The pharmaceutical industry in India is growing at a rapid pace due to expanding demand for generic and patented drugs. Pharmaceutical packaging serves the purpose of protecting drugs from external environmental factors such as air, moisture, and contamination along with communicating product information to consumers. It ranges from primary packaging such as blisters, bottles, ampoules, vials, and syringes to secondary and tertiary packaging such as cartons, boxes, wrappers, and bulk shipping containers. The pharmaceutical packaging market is beneficial not only for manufacturers but also for regulatory bodies to monitor production and distribution of pharmaceutical products.
The global India Pharmaceutical Packaging Market is estimated to be valued at US$ 1.7 Bn in 2023 and is expected to exhibit a CAGR of 9.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the India pharmaceutical packaging market is the rise in preference for sustainable packaging. Pharmaceutical companies and regulatory authorities are paying increased attention to save the environment from pollution caused by pharmaceutical waste. They are promoting the use of eco-friendly packaging materials such as paper, bioplastics, and glass over single-use plastics. Biodegradable and recyclable packaging can help reduce carbon footprint. Another trend is increased adoption of digital technologies like Blockchain, machine learning, and artificial intelligence by packaging manufacturers for anti-counterfeiting and serialization applications. It allows capturing and exchanging critical data securely across the supply chain for authentication and inventory management.
Porter's Analysis
Threat of new entrants: The threat is moderate as initial capital requirement for setting up a pharmaceutical packaging plant is high. However, India offers a large domestic market.
Bargaining power of buyers: The bargaining power of buyers is high as they have several domestic and international players to choose from. Buyers can negotiate on prices and demand value-added services.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material suppliers have established relationships with packaging players. However, presence of local suppliers keeps raw material prices in check.
Threat of new substitutes: The threat is low as pharmaceutical packaging has no close substitutes and ensures product safety and stability during transport.
Competitive rivalry: The competition is high among domestic and global players. Players compete based on innovation, quality, and services.
Key Takeaways
The Global India Pharmaceutical Packaging Market Demand is expected to witness high growth. With rising incomes, healthcare awareness and increasing penetration of health insurance, domestic demand for medicines is growing rapidly in India. This is expected to drive the pharmaceutical packaging market in the country over the forecast period.
Regional analysis: The western region currently dominates India's pharmaceutical packaging market, both in terms of production and consumption. States like Maharashtra and Gujarat have a large number of pharmaceutical manufacturers. Meanwhile, southern states like Telangana, Karnataka and Tamil Nadu are also emerging as major pharmaceutical hubs.
Key players: Key players operating in the India Pharmaceutical Packaging market are JRD Cycling, Castelli Cycling, Giro Sport Design, Champion System, Conquest Cycle Wear Ltd., 2XU Pty. Ltd., Endura Limited, Isadore Apparel, Rapha Racing Limited, Attaquer Pty Ltd., Lumiere Cycling, Panache Cyclewear Co., Cadence Collection, Voler Inc., and Ornot. These players are focusing on developing sustainable and customized packaging solutions to cater to customer requirements. They are also investing in technological advancements to improve production efficiency.
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