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Market for Pharmaceutical Excipients is expected to reach $13.9 billion by 2028

January 8, 2024
in General
Market for Pharmaceutical Excipients is expected to reach $13.9 billion by 2028
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Major Growth Driving Factors:

Growing emphasis on patient-centric formulations, higher R&D investments for the development of novel excipients, and rising demand for pharmaceuticals and generic drugs are the main factors driving the market’s growth. In the near future, partnerships and collaborations for tailored excipient solutions with pharmaceutical companies should accelerate market growth.

Revneue Growth Dynamics:

The pharmaceutical excipients market is expected to grow at a compound annual growth rate (CAGR) of 6.8% from 2023 to 2028, from an estimated $10.0 billion in revenue in 2023 to $13.9 billion by that time.

Driver: The market for pharmaceutical excipients is being driven by the rising demand for pharmaceutical products and generic medications.

The market for pharmaceutical excipients is anticipated to gain from the rising popularity of generic medications. Because they are less expensive than branded medications, generics are anticipated to increase sales volume when they enter the market. The patent cliff has resulted in an increase in the approval of generic drugs. Prominent US-based pharmaceutical companies, including Torrent Pharma, Aurobindo Pharma, Zydus Lifesciences, and Ajanta Pharma, are expected to benefit greatly from this development.

Excipients can be an important cost-saving strategy for generic medication manufacturers, who are always looking for ways to cut expenses. The demand for cost-effective, high-quality excipients is rising as a result, driving the pharmaceutical excipient market. This is regarded as a sign that the market for pharmaceutical excipients is expanding.

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Market Segmentation:

In 2022, the product segment’s market share was dominated by the organic chemicals segment.

The pharmaceutical excipients market is divided into three segments based on product type: inorganic chemicals, organic chemicals, and other chemicals. The majority of compounds classified as organic have carbon atoms covalently bonded to other elemental atoms. It is anticipated that the non-toxic properties of organic chemicals will propel the organic chemicals segments, thereby driving the pharmaceutical excipient market from 2023 to 2028.

In the functionality segment, the Fillers and Diluents segment held the largest market share in 2022.

In2022, the fillers and diluents category held the lion’s share of the market. Fillers and diluents give the product shape, weight, or consistency. Because fillers and diluents are increasingly used in the development and production of solid oral drugs, the market for these products is anticipated to expand. Due to their benefits for both patients and manufacturers, tablets are the most widely used dosage form and can therefore propel the market for fillers and diluents. The industry for lubricants and glidants is anticipated to expand at the fastest rate due to their ability to enhance a formulation’s flow characteristics by lowering cohesion and friction between particles.

Geographical Growth Dynamics:

It is anticipated that during the forecast period, the Asia Pacific region will grow at the fastest rate.

Because labor and manufacturing costs are so low in China and India, the Asia Pacific region is expected to grow at the fastest rate in the market. Pharmaceutical companies have made large investments in these nations due to their cost advantages. The region’s strong market growth is also attributed to the increasing incidence of age- and lifestyle-related illnesses, rising disposable income, and government programs to upgrade healthcare facilities.

Key Players:

The global pharmaceutical excipients market comprises of many key market players competing for markets shares like International Flavors & Fragrances Inc. (US), Ashland Inc. (US), Evonik Industries AG (Germany), BASF SE (Germany), Kerry Group Plc (Ireland), Roquette Frères (France), Merck KgaA (Germany), Associated British Foods Plc (UK), ADM (US), Wacker Chemie AG (Germany).

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About MarketsandMarkets™

MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients.

The B2B economy is witnessing the emergence of $25 trillion of new revenue streams that are substituting existing revenue streams in this decade alone. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines – TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the ’GIVE Growth’ principle, we work with several Forbes Global 2000 B2B companies – helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore™ (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry.

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