June 25, 2024

The rapid digitization of healthcare is anticipated to open up the new avenue for Pharmaceutical Packaging Market

Pharmaceutical packaging involves materials and components used for packing pharmaceutical drugs and medical devices. It ensures drug safety, efficiency and required sterility of drugs till the end of shelf life. Pharmaceutical packaging includes primary packaging such as vials, ampoules, syringes; secondary packaging such as folding cartons, bottles, bags/pouches; and tertiary packaging such as wooden pallets and cardboard boxes for logistic purposes. The key purpose of pharmaceutical packaging is to minimize contamination and environmental degradation and ensure drug integrity during distribution and storage.

The Pharmaceutical Packaging Market is estimated to be valued at US$ 264.21 Bn in 2023 and is expected to exhibit a CAGR of 9.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
The pharmaceutical packaging market is primarily driven by the rapidly growing pharmaceutical industry coupled with increasing healthcare expenditure across the world. As per World Bank data, global current health expenditure reached US$ 8.5 trillion in 2020, registering a growth rate of over 2.5% per year globally. Additionally, rising demand for biologics and increasing cases of chronic diseases are propelling the growth of pharmaceutical industry, thus augmenting the packaging demand. Furthermore, rising adoption of digital technologies has enabled digitization of supply chain management which has enhanced visibility and traceability of pharmaceutical products during transportation & storage. Technologies such as blockchain and Internet of Medical Things (IoMT) are being increasingly used for serialization & tracking of drugs distribution which requires efficient and digitalized pharmaceutical packaging, thereby fueling market growth over the forecast period.

Segment Analysis
The global pharmaceutical packaging market is dominated by the plastic & polymers segment, which accounts for over 40% share of the market. Plastic & polymers packaging offers advantages such as lightweight and durable nature and material and print compatibility. This segment is further sub-segmented into HDPE, LDPE, LLDPE, PET, and PP among others. HDPE dominates the plastic & polymers sub-segment owing to its excellent moisture barrier properties and versatility.

PEST Analysis

  • Political: Stringent regulations regarding packaging safety and quality set by regulatory bodies like FDA and EU drive the need for innovative packaging solutions.
  • Economic: Growing geriatric population and increasing healthcare spending globally propel the pharmaceutical industry growth and thereby drive the packaging market.
  • Social: Rising awareness about environment-friendly and sustainable packaging positively impacts the adoption of eco-friendly materials.
  • Technological: Advanced packaging technologies like blister packaging, skin packaging, and modified atmosphere packaging help increase product shelf-life.

Key Takeaways

The global pharmaceutical packaging market is expected to witness high growth, exhibiting CAGR of 9.5% over the forecast period, due to increasing demand for sustainable and flexible packaging solutions. The market size for 2023 is US$ 264.21 Bn.

The Asia Pacific region is expected to dominate as well as exhibit the highest growth in the global market during the forecast period. Factors such as growth in the healthcare industry, rising income, and increasing patient population in emerging countries including India and China contribute to the large share and high growth of the APAC region.

Key players operating in the pharmaceutical packaging market are Amcor Limited, Berry Plastics Corporation, MeadWestvaco Corporation, Becton Dickinson and Company, Owens-Illinois Inc., West Pharmaceuticals Services Inc., Schott Pharmaceuticals Services Inc., RPC Group Plc and Graphic Packaging International Inc. These players are focusing on new product launches and partnerships to strengthen their market position.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it