Market Overview:
Pharmaceutical excipients are inactive substances used as carriers for the active pharmaceutical ingredients and help in improving the processability and bioavailability of drugs. They play a vital role in manufacturing tablets, capsules, injectables, topical formulations, and oral liquids. Common excipients include binders, coatings, colorants, disintegrants, fillers, flavors, lubricants, preservatives, and sweeteners. Excipients help improve the functionality and manufacture of medicines and ensure patient safety. They facilitate production efficiency and product stability during storage and transportation.
The Pharmaceutical Excipients market is estimated to be valued at US$ 10.7 Bn in 2023 and is expected to exhibit a CAGR of 6.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the pharmaceutical excipients market is the increased focus on innovative drug delivery systems. Biotech advancements have led to growing demand for targeted and controlled drug delivery approaches. Novel excipients facilitate the development of oral, transdermal, buccal, rectal, vaginal, parenteral, and ocular drug delivery systems by modifying drug release properties. Leading pharmaceutical companies are investing heavily in R&D to develop excipients that enable controlled, precise and localized drug administration. This helps improve therapeutic efficacy and patient compliance while reducing side effects. Growing investments in biologics and generics manufacturing are also driving innovation in excipient manufacturing technologies.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the pharmaceutical excipients market is moderate. High capital requirements act as a barrier for new players to enter the market.
Bargaining power of buyers: The bargaining power of buyers is moderate. Buyers have various pharmaceutical excipients manufacturers to choose from. However, compliance with regulatory requirements give some advantage to existing players.
Bargaining power of suppliers: The bargaining power of suppliers is low to moderate. Raw material availability is consistent while requirements and quality standards are stringent.
Threat of new substitutes: Threat of new substitutes is low as excipients have unique functional properties required for drug formulation and development.
Competitive rivalry: The competition in the market is high due to presence of numerous global and regional players.
Key Takeaways
The Global Pharmaceutical Excipients Market Size is expected to witness high growth, exhibiting CAGR of 6.8% over the forecast period, due to increasing demand for generics and biosimilars.
Regional analysis: North America dominated the global market in 2023 and is expected to continue its dominance over the forecast period. High healthcare spending and stringent regulations have led to high demand in the region. Asia Pacific is expected to witness fastest growth due to expanding pharmaceutical industry in countries such as India and China.
Key players analysis: Key players operating in the pharmaceutical excipients market are Kerry Group plc., DFE Pharma, Cargill, Incorporated, Pfanstiehl, Colorcon, MEGGLE GmbH & Co. KG, Omya AG, Peter Greven GmbH & Co. KG, Ashland., Evonik, Dow, Croda International Plc, Roquette Frères., The Lubrizol Corporation, BASF SE, Avantor, Inc., BENEO, Chemie Trade, among others. These players are focused on new product launches and capacity expansion to gain competitive edge.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
