The pharmaceutical packaging industry plays a vital role in ensuring the integrity and safety of drugs during transport and storage. Pharmaceutical packaging prevents drug contamination and minimizes package damage during distribution. Packaging helps extend shelf life and adds brand appeal. This is essential considering India has a large population and growing healthcare needs. The market comprises primary, secondary, and tertiary packaging materials such as plastics & polymers, glass, paper & paperboard, and metals.
The global India Pharmaceutical Packaging Market is estimated to be valued at US$ 1.96 Bn in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
Growth in Healthcare Expenditure
India has one of the fastest growing pharmaceutical industries globally. With rising income levels and favorable demographics India's healthcare expenditure is projected to grow substantially. The growing healthcare expenditure will drive increased demand for pharmaceutical products stimulating growth of pharmaceutical packaging in India. Branded medicines are also gaining acceptance among Indian consumers, benefitting pharmaceutical companies and increasing demand for effective and innovative packaging solutions to gain larger market share. As healthcare spending rises, opportunities abound for pharmaceutical packaging manufacturers to tap into India's dynamic market.
Porter's Analysis
Threat of new entrants: The India pharmaceutical packaging market size has moderate threat of new entrants as the market requires large capital investments in machinery and plant infrastructure. Regulations for pharmaceutical packaging are also stringent requiring approvals.
Bargaining power of buyers: Buyers in the form of pharmaceutical companies have moderate bargaining power as brand loyalty and compliance to regulations leaves limited room for negotiation on prices.
Bargaining power of suppliers: Raw material suppliers have moderate to high bargaining power given availability of alternative material options and consolidation among material providers globally.
Threat of new substitutes: Threat of substitutes is low as packaging plays a critical role in safety and compliance of pharmaceutical products throughout supply chain.
Competitive rivalry: The India pharmaceutical packaging market sees high competition owing to presence of numerous regional and global players offering substitutable product ranges.
SWOT Analysis
Strength: Strong domestic demand for pharmaceuticals, availability of skilled workforce, favorable FDI policies.
Weakness: Limited R&D spending, high dependency on imported machinery and materials.
Opportunity: Growth in contract manufacturing, focus on specialized packaging such as for biologics.
Threats: Stringent regulations delaying approvals, increasing raw material prices.
Key Takeaways
The India pharmaceutical packaging market is expected to witness high growth over the forecast period 2024 to 2031 supported by rising domestic pharmaceutical production and consumption. The market size for India pharmaceutical packaging is projected to reach US$ 1.96 Bn by 2024.
Regional analysis sees South and West India as the fastest growing regions currently contributing over 60% market share backed by presence of major pharmaceutical hubs like Hyderabad and Mumbai along with proactive government support. North India is also emerging as a high potential region.
Key players operating in the India pharmaceutical packaging market are IBM Corporation, Lucid Work Incorporation, Microsoft Corporation, Dassault Systems S.A., Oracle Corporation, X1 Technologies Inc., SAP AG, Coveo Corporation, and Attivio Software Incorporation. These players are focusing on automation, track and trace solutions and specialized packaging like temperature controlled solutions to tap growth opportunities.
Get more insights on this topic: https://www.trendingwebwire.com/india-pharmaceutical-packaging-market-size-and-opportunity-analysis/
