Pharmaceutical Manufacturing Market 2030: What Will Be Changes In Investment Ratio With Opportunity

Author : Mrudula Karmarkar | Published On : 29 Jan 2024

San Francisco, 29 January 2024: The Report Pharmaceutical Manufacturing Market Size, Share & Trends Analysis Report By Route of Administration, By Molecule Type, By Drug Development Type, By Sales Channel, By Age Group, By Formulation, By Region, And Segment Forecasts, 2023 - 2030

The global pharmaceutical manufacturing market size is expected to reach USD 929.9 billion by 2030, according to a new report by Grand View Research, Inc. The market is expected to grow at a CAGR of 7.63% from 2023 to 2030. The pharmaceutical industry has undergone significant transformations as a result of technological advancements, cost-effective methods, and increased investments. These factors have had a positive impact on the growth of the market. The implementation of robotic technology and Artificial Intelligence (AI) has played a crucial role in reducing manufacturing floor downtime and minimizing product waste. By incorporating these technologies, efficiency, and productivity in pharmaceutical manufacturing processes have been greatly improved.

In addition, traditional open-transfer manufacturing methods have been replaced by the adoption of single-use disposable solutions, leading to streamlined operations and reduced risks of contamination. Moreover, there has been a notable shift toward integrated, smart, and data-rich paperless operations within the industry. This transition has resulted in error-free and precise production processes, ensuring the production of high-quality pharmaceutical products. These ongoing advancements in the market have significantly contributed to the progress of drug manufacturing. The development of personalized medicine has brought about a revolution in the healthcare sector, offering new opportunities to target various health conditions and paving the way for patient-centric models.

Consequently, there has been a shift from large-scale production to smaller batches to cater to the development of complex medicines and personalized treatments tailored to individual patients. This transformative shift has prompted manufacturers to restructure their supply chains in alignment with the patient-centric healthcare system. All such factors propel pharmaceutical manufacturing market growth over the forecast period. Furthermore, leading companies in the pharmaceutical industry have taken strategic initiatives to enhance their market presence and gain a competitive advantage. These key players actively engage in various activities, such as product development, collaboration & partnership models, agreements, business expansion, and merger & acquisition strategies.

These initiatives are also aimed at strengthening their product portfolios and meeting the growing demand for pharmaceutical products. For instance, in April 2022, Ferring Pharmaceuticals inaugurated an integrated manufacturing and research and development (R&D) facility in Hyderabad, India. This facility underscores Ferring's commitment to expanding its operations and capabilities. The R&D division of the facility focuses on areas, such as packaging development, formulation development, and analytical development. Ferring Pharmaceuticals aims to enhance its product offerings and meet the evolving needs of the market by investing in these areas.

The pharmaceutical industry has experienced a significant shift due to advancements in technology, cost-effective manufacturing methods, and increased investment. These factors have had a positive impact on market growth. The implementation of robotic technology and Artificial Intelligence (AI) has led to a reduction in manufacturing floor downtime and product waste. These technologies have improved efficiency and productivity in pharmaceutical manufacturing processes.

Request sample report of Pharmaceutical Manufacturing Market@ https://www.grandviewresearch.com/industry-analysis/pharmaceutical-manufacturing-market/request/rs1

Moreover, the adoption of single-use disposable solutions has gained traction, replacing traditional open-transfer manufacturing methods. This shift has resulted in more streamlined operations and reduced contamination risks. Furthermore, there has been a transition toward integrated, smart, and data-rich paperless operations. This shift has led to error-free and precise production processes, ensuring high-quality pharmaceutical products. These ongoing developments in the industry have significantly contributed to advancements in drug manufacturing. Advancements in personalized medicine have revolutionized the healthcare industry, offering new avenues to target various health conditions and paving the way for patient-centric models.

Pharmaceutical Manufacturing Market Report Highlights

  • In 2022, the conventional drugs (small molecules) segment accounted for the highest revenue share of over 54.9%. This is attributed to the easy availability of small molecules products, with high market penetration
  • The outsourcing segment dominated the market in 2022 with a revenue share of over 53%. Several benefits associated with outsourcing operations are expected to drive the segment growth at a lucrative pace over the coming years
  • In terms of revenue, the tablets segment dominated the market with a share of over 26.08 % in 2022. This is due to the wide availability of tablet-based products and types, such as film and enteric-coated, effervescent, and orally disintegrating tablets
  • The oral segment led the global market with a share of more than 58% in 2022. Oral dosage forms are affordable, easy to manufacture, and patient-friendly
  • The prescription medicines segment accounted for the maximum revenue share of 83.76% in 2022 and will expand further at a steady CAGR over the forecast period due to the growing prescription drug expenditures across the globe
  • North America dominated the market and accounted for a significant revenue share in 2022 due to a large number of strategic pharma partnerships, especially among the well-established and early-stage companies, in this region

As a result, there has been a shift from large-scale production to smaller batches to cater to the development of complex medicines and personalized treatments tailored to individual patients. This transformation has prompted pharmaceutical manufacturers to restructure their supply chains to align with the patient-centric healthcare system. The increasing number of drug approvals by regulatory bodies is expected to drive growth in drug manufacturing processes. In 2022, the FDA approved 37 novel drugs, indicating a positive trend.

In addition, the extensive number of ongoing clinical trials presents numerous opportunities for market expansion and innovation. Moreover, the pharmaceutical industry has witnessed a surge in mergers and acquisitions (M&As) in recent years. Established companies are engaging in consolidation strategies to strengthen their market position in the highly competitive environment. Simultaneously, small- to mid-sized pharmaceutical companies with innovative capabilities are being acquired by larger players. Furthermore, the implementation of stringent regulations to control pharmaceutical prices has further incentivized M&A activities within the industry.

Pharmaceutical Manufacturing Market Report Scope 

Report Attribute

Details

Market size value in 2023

USD 566.3 billion

Revenue forecast in 2030

USD 929.9 billion

Growth rate

CAGR of 7.63% from 2023 to 2030

Base year for estimation

2022

Historical data

2018 - 2021

Forecast period

2023 - 2030

In 2022, the conventional drugs (small molecules) segment generated the highest revenue share of over 54.9% and is estimated to grow rapidly over the forecast period. According to a November 2022 NCBI study, small-molecule drugs represent up to 90% of total global drug sales in terms of units. These figures highlight a significant dominance of small molecules in the global pharmaceutical market. Recent drug approvals by regulatory bodies worldwide further support this trend. Out of the 37 new drugs approved by the U.S. FDA in 2022, 19 were small molecule drugs, indicating their prominent position in the market.

List of Key Players in the Pharmaceutical Manufacturing Market

  • F. Hoffmann-La Roche Ltd.
  • Novartis AG
  • GlaxoSmithKline plc
  • Pfizer, Inc.
  • Merck & Co., Inc.
  • AstraZeneca
  • Johnson & Johnson
  • Sanofi SA
  • Eli Lilly and Company
  • AbbVie, Inc.
  • Thermo Fisher Scientific, Inc.
  • Wuxi Apptec
  • Samsung Biologics
  • FUJIFILM Diosynth Biotechnologies U.S.A., Inc.
  • Lonza
  • Catalent Pharma Solutions
  • Jubilant Pharmova Limited