Owing to an overall increase in contract manufacturing, the general growth of the pharmaceutical industry in the region, and the ageing population that is creating the need for more pharmaceutical products, the Asia Pacific region is expected to show an increase in demand in the global pharmaceutical packaging market, according to a study by Transparency Market Research.
North America held the largest market share in 2011 with more than 30 per cent, thanks to the huge demand for pharmaceutical packaging in Canada and the U.S. This dominance could soon be cut short by Asia Pacific, which is currently the fastest growing region in the pharmaceutical packaging market. By 2018, the region could effectively hold more than 25 per cent of the market , the report says.
The global and U.S. pharmaceutical packaging market was worth US$50.07 billion in 2011 is expected to grow at a CAGR of 5.6 per cent from 2012 to 2018, eventually attaining an overall market value of US$73.04 billion in 2018 , the report adds.
Developments in the pharmaceutical packaging market include nano - enabled packaging that provides the best protection for drugs against mechanical forces, moisture and light. These advancements are expected to give a further boost to the pharmaceutical packaging market.
According to the report, the largest segment in the pharmaceutical packaging market was the plastic bottles segment in 2011. The segment held nearly 20 per cent of the market share in 2011, due to the high demand for in from countries in Europe and North America.
On the other hand the fastest growing segment in the pharmaceutical packaging market is the parental containers segment. This is said to occur due to the establishment of better injected therapies. Another segment that is set to show substantial growth is the label product segment.
In the meanwhile according to another report, the packaging market by drug delivery type is growing at a CAGR of 9.1 per cent and constitutes a significant part of the overall pharmaceutical packaging market. The market is expected to be pushed by off-patenting of drugs, expanding generics market, and rapidly growing drug delivery market. Due to increasing generic and contract manufacturing activities in Asia-Pacific, especially in India and China, the emerging geographies are expected to register maximum growth.
Advances in biotechnology often lead to the introduction of new therapies that must be injected; the pharmaceutical packaging market is expected to witness fastest growth from pre-fillable syringes and parenteral vials. Availability of raw materials and price volatility coupled with changing health regulations are the major deterrents that are curbing the growth of this market.
The fastest growth in the pharma packaging market is expected to come from pre-fillable syringes, labels and accessories, blister packs, temperature controlled medicines packaging, and few niche products, which will continue to expand in the coming years. Mergers and acquisitions in the recent past have indicated that the industry is on its way to consolidation globally and global packaging suppliers are strengthening their presence in emerging markets.
Pharmaceutical packaging plays an indispensable role in preventing biological contamination and enabling pharmaceutical formulations to retain their properties through the entire logistical and purchase cycle. Advances in biotechnology, nanotechnology and electronics (pertinent to packaging technologies) will directly influence the overall pharmaceutical packaging market. Despite strong growth prospects, the ever-shifting regulatory landscape and raw material supply remain a key area of concern for players in this market.
All these factors, along with the growing pharma industry, will continue to drive the demand for packaging. However, the packaging industry will have to overcome challenges, such as the availability and price volatility of raw materials and changing health regulations, in order to meet the increasing demand from the growing pharma industry, the report points out.
In the meanwhile according to the research group Freedonia, the demand for pharmaceutical packaging products in the United States is expected to increase by 4.9 per cent annually and the value of the market reach $22.1billion in 2018.
The two- thirds of this total will consist of primary containers, with the remainder being made up of closures, secondary containers, labels and other packaging, the report adds.
“Led by prefillable syringes, vials, and premixed IV systems, parenteral containers will post the fastest growth in both revenue and unit demand as new injectable and infusion therapies based on biotechnology and other advanced life sciences are introduced into the marketplace,” said an analyst with the group.
Plastic bottles will continue to see the largest demand among primary pharmaceutical containers, said Freedonia, saying their leading competitor will still be blister packaging in solid oral drug applications.
Researchers estimate that the value of demand generated by pre-fillable inhalers will expand a little faster than the overall average of primary pharmaceutical containers as the devices build applications in the delivery of asthma, COPD, and most recently, insulin therapies.
The market for glass pharmaceutical bottles would decrease as plastic bottles and blister packs continue to replace them.
Freedonia predicted that dispensing closures, parenteral stoppers, security-enhanced labelling, and intelligent components would see the fastest revenue growth of pharmaceutical packaging accessories.
Pharmaceutical packaging is an essential part of pharmaceuticals product and drug delivery system in the pharmaceutical industry. Pharmaceutical packaging protects products from physical damage, biological contamination and from all adverse external influences which can damage the properties of the products.
Pharmaceutical packaging material consists of primary packaging system, secondary packaging system and tertiary packaging system. Primary packaging system consists of those packaging material which have direct contact with the product. It includes bottles, cap, labels and cap liner. Ampoules, tubes, blisters, pens vials, inhalers and syringes are some primary packaging for dosing and fillings. Secondary packaging system includes cartoons, corrugated shippers and pallets.
Packaging is one of the largest industry sectors in the world, worth several billions. Pharmaceutical packaging represents a meagre percentage of this colossal market. The global pharmaceutical industry has seen a shift in paradigm and has now moved towards efficient and advanced packaging. About a decade ago, packaging was considered as a last thought, which was needed to be considered in the final stages of manufacturing for many pharmaceutical companies. But recently, packaging has quickly become an essential part of the pharmaceutical products, drug delivery system as well as a core element of the marketing mix, through which manufacturers can differentiate their products from those of their competitors.
Packaging has been helping the drug manufacturers to meet many challenges in value chain of pharmaceuticals business. The demand for pharmaceutical packaging is increasing and will continue to increase as the companies utilize packaging and labelling more like a medium to protect and promote their products, increase patient compliance, and meet new regulations.
In response to the rising demand for flexible, automated, and integrated packaging lines from the pharmaceutical industry, the pharmaceutical packaging equipment market has witnessed a paradigm shift in the use of conventional packaging lines. In order to keep up with this change, pharmaceutical packaging equipment manufacturers are applying various novel technologies to reduce down time in order to increase production. It is expected that this trend will continue to solve the present challenges and fulfil the unmet needs of the market. The overall research activities in the pharmaceutical packaging equipment market mostly concentrate on developing equipment for novel drug delivery solutions and personalized drugs to meet patient compliance requirements. The regulatory modifications regarding packaging and labelling of pharmaceutical products is also expected to play a vital role in the growth of this market .
The US market is driving the growth of North American market for pharmaceutical packaging due to presence of health conscious people and their high spending power. The U.S. market is expected to maintain moderate growth due to increasing ageing population, robust innovations and increasing consumer demand for sophisticated packaging.
Technological innovation in packaging and integration and advanced manufacturing process are some of the driving factors responsible for the growth of pharmaceutical packaging market in the U.S. In addition, regulation implemented by authorized agencies such as Food and Drug Administration (FDA), National Quality Forum (NQF) and Healthcare Compliance Packaging Council (HCPC) for packaging is also driving the growth of the pharmaceutical packaging market.
However, price volatility, availability of raw material and changing health regulation are some major restraints inhibiting the growth of the pharmaceuticals packaging market.
Nano enabled pharmaceutical packaging open new opportunities for the growth of pharmaceutical packaging market. Nanotechnology, biotechnology and electronics plays important role in enhancing functionality of packaging. Availability of raw material for packaging is expected to be the challenge for the growth of the pharmaceutical packaging market. Some of the recent market trends in the field of pharmaceutical packaging market are advancement in packaging technologies and emergence of new medicinal products. In addition, eco-friendly packaging and child resistant packaging is also gaining popularity due to special blister packs and cardboard packaging.
The key players in the pharmaceutical packaging market include Rexam PLC, Gerresheimer AG, Amcor, MeanWestvaco, Becton Dickinson, 3M, Tear and Tape, Schott, Nypro and Consort Medical.