The U.S. 503B compounding pharmacies market is estimated to be valued at US$ 985.6 Mn in 2022 and is expected to exhibit a CAGR of 7.6% over the forecast period 2022-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The U.S. 503B compounding pharmacies market includes pharmacies that provide customized medications for patient-specific needs. Compounding pharmacies combine or alter ingredients to create customized medications for patients who may be allergic to specific ingredients or need a non-standard dosage or delivery method for a medication. This allows practitioners to customize drug formulations to meet unique clinical needs of individuals for whom commercially available medications may not exist or may require alteration for therapeutic effect.
Market Dynamics:
The U.S. 503B compounding pharmacies market is driven by the growing opioid crisis and increasing prevalence of chronic diseases in the country. According to the Centers for Disease Control and Prevention (CDC), more than 70,200 drug overdose deaths occurred in the U.S. in 2019, with opioids involved in over 49,000 of those deaths. Compounding pharmacies help address the opioid crisis by providing alternative treatment options and customized pain management formulas for patients. Furthermore, expanding geriatric population base and increasing incidence of various chronic diseases such as cancer, diabetes, and arthritis has resulted in rising demand for compounded medications which target specific disease conditions and patient needs. However, stringent regulations regarding proper production and testing of compounded drugs pose a challenge to market growth.
Segment Analysis
The U.S 503B compounding pharmacies market is segmented based on product, application and therapeutic area. Among product segments, oral medications dominate the market with around 55% share due to high demand for capsules and tablets. Oral medications are preferred over other formulations as they are easy to administer and have better patient compliance.
PEST Analysis
Political: The U.S government regulates drug compounding under section 503A and 503B of the Food, Drug and Cosmetic Act to ensure safety and efficacy of compounded medications. Regulation and oversight by the U.S Food and Drug Administration affects the operations of compounding pharmacies.
Economic: The rising healthcare expenditure in the U.S is driving the demand for affordable treatment options like customized compounded medications. High income levels also allow patients to choose compounding pharmacies for specific medical needs.
Social: The aging U.S population has increased the demand for complex medical conditions requiring compounded drugs. Growing health awareness has also led to rising preference for alternative medicinal formulations among individuals.
Technological: Advanced technologies like 3D printing and robotics are enabling compounding pharmacies to manufacture customized medications with precise ingredients in different strengths and dosages conveniently.
Key Takeaways
The U.S 503B Compounding Pharmacies Market Size is expected to witness high growth, exhibiting CAGR of 7.6% over the forecast period 2022-2030, due to increasing prevalence of chronic diseases. The market was valued at US$ 985.6 Mn in 2022.
The central and western U.S are the fastest growing regions in the U.S 503B compounding pharmacies market owing to rising geriatric population and increasing penetration of major pharmacy chains. Texas and California accounted for over 30% share of the overall market in 2021.
Key players operating in the U.S 503B compounding pharmacies are Central Admixture Pharmacy Services, Inc., Nephron Pharmaceuticals Corporation, QuVa Pharma, Olympia Pharmacy, ASP Cares, Fagron Compounding Pharmacies, Athenex, Inc., Avella Specialty Pharmacy, Atlas Pharmaceuticals, Empower Pharmacy, Carie Boyd’S Prescription Shop, Edge Pharma, Imprimis NJOF, LLC, IntegraDose Compounding services, LLC, Wells Pharma of Houston, LLC, US Compounding Inc., and SCA Pharma. Central Admixture Pharmacy Services and Nephron Pharmaceuticals Corporation dominate the market owing to their diverse product portfolios and wide distribution channels.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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