The Global Pharmaceutical Contract Packaging Market is valued approximately at USD 6.1 billion in 2023 and is anticipated to grow with a healthy growth rate of more than 7.5% over the forecast period 2024-2032. Pharmaceutical contract packaging involves outsourcing the packaging process of pharmaceutical products to specialized third-party companies, which provide services such as blister packing, bottling, labelling, and secondary packaging. This allows pharmaceutical companies to focus on core activities like drug development and marketing while ensuring compliance with regulatory standards. Contract packagers offer expertise in packaging technology, quality control, and supply chain management, helping to reduce costs, enhance efficiency, and ensure product safety and integrity throughout the distribution process.
Increasing stringent quality requirements and outsourcing of pharmaceutical packaging to contract packagers in emerging countries are expected to drive the market over the forecast period. Pharmaceutical companies are outsourcing the packaging activities to contract packagers to reduce the overall cost of production and speed to market. This is anticipated to contribute to the growth of the market over the forecast period. In addition, lack of in-house packaging capabilities, expertise, and budget constraints are the major issues faced by small pharmaceutical companies in the industry. Contract packaging service providers are recognized as an effective approach to curb such issues of the small companies owing to the low-cost service offering. However, lack of resources and budgets has prompted many small pharmaceutical companies to establish mutually beneficial relationships with Contract Packaging Organizations (CPOs) and Contract Development and Manufacturing Organizations (CDMOs). Contract service providers are making significant attempts to meet their client's expectations and provide highly sophisticated packaging facilities. Moreover, the growing pharmaceutical industry across the globe is anticipated to drive the market. As outsourcing of packaging activities offers several benefits such as access to advanced packaging technologies, increased efficiency, focus on core areas, access to skilled resources, and faster and better services, pharmaceutical companies are increasingly outsourcing the wrapping services to the CPOs and CDMOs.
The implementation of serialization including the Drug Supply Chain Security Act (DSCSA) in the U.S. and the EU Falsified Medicines Derivative (FMD) has mandated the barcodes on pharmaceutical packaging and the transfer of large volumes of data in the supply of medicines. This has made manufacturing companies develop appropriate infrastructure to comply with this new legislation. The introduction of serialization is expected to drive the market over the forecast period. Technological innovations, population increase, health awareness, the implementation of advanced manufacturing techniques, higher spending in public health systems, and the government implementation of new regulations to control the transmission of contagious diseases are all contributing factors to the growth. Furthermore, the growing demand for bio-products and new treatments such as gene and cell therapies are helpful to promote the pharmaceutical companies thereby increasing the demand for such packaging products.
North America accounts for the leading market share by generating almost one-third of the global demand for effective pharmaceutical packaging solutions through contracts. The total revenue generated by the United States alone was figured out to be around 90% of the total business in North America. Quality services offered by the CPOs and CDMOs based in the United States propel the demand for pharmaceutical contract packaging services and solutions in the country. The demand for biological therapies, increase in strict protocols, and rise in the geriatric population could also broaden the global pharma contract packaging market size. However, Asia Pacific is expected to witness the fastest growth over the forecast period due to the presence of a large number of contract packaging service providers in the region. These players are focusing on expanding their facilities to satisfy the growing needs of pharmaceuticals companies. In addition, increasing the outsourcing of pharmaceutical manufacturing to emerging countries such as India is further driving the growth of the market in the region.
Major market players included in this report are:
Catalent Pharma Solutions
Patheon
Baxter BioPharma Solutions
AbbVie Contract Manufacturing
Pfizer Centre Source
Daito Pharmaceutical
Nipro Corporation
Becton Dickinson & Company
AptarGroup Inc.
Drug Plastics Group
Gerresheimer AG
Schott AG
Owens Illinois Inc.
WestRock Company SGD S.A.
International Paper Company
The detailed segments and sub-segment of the market are explained below:
By Product Type:
Flexible Packaging
Plastic or Glass Containers
Caps or Closures
By Form Type:
Oral
Injectable
By Application Type:
Autacoids & Related Drugs
Contraceptives
Hormone Replacement
Cardiovascular Medicines
Cancer Therapies
By Region:
North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
RoLA
Middle East & Africa
Saudi Arabia
South Africa
RoMEA
Years considered for the study are as follows:
Historical year - 2022
Base year - 2023
Forecast period - 2024 to 2032
Key Takeaways:
Market Estimates & Forecast for 10 years from 2022 to 2032.
Annualized revenues and regional level analysis for each market segment.
Detailed analysis of geographical landscape with Country level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of competitive structure of the market.
Demand side and supply side analysis of the market.
