Pharmaceutical Packaging Market Size, Share & Trends Analysis Report By Material (Plastics & Polymers, Paper & Paperboard, Glass, Aluminum Foil), By Product, By End-use, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global pharmaceutical packaging market size was valued at USD 127.83 billion in 2022 and is expected to register a compound annual growth rate (CAGR) of 9.7% from 2023 to 2030. The enormous growth of the pharmaceutical sector is one of the primary growth factors for the pharmaceutical packaging sector. The pharmaceutical business has been expanding quickly in recent years due to scientific and technological advancements, and this trend is predicted to continue over the projection period, particularly in developing nations like China, India, and Brazil. The U.S. accounted for the largest pharmaceutical market worldwide.

An extensive healthcare system, high per capita income, and significant investments in drug development in the country are some of the key factors driving the U.S. market. Furthermore, the growing importance of generic drugs and access to better healthcare services are anticipated to provide lucrative opportunities for pharmaceutical packaging in the coming years. The 21st Century Cures Act (Cures Act) was signed on December 13, 2016, in the U.S. and is designed to accelerate medical product development. The law is expected to drive innovations in product developments in the pharmaceutical industry. This is expected to drive the demand for pharmaceutical packaging in the U.S.

The pharmaceutical industry is primarily driven by progress in medicine and bioscience. In addition, the pharmaceutical industry is a crucial asset to the European economy as it is one of Europe’s top-performing, high-technology sectors. The pharmaceutical industry is witnessing a significant transition, and the focus on the development of biopharmaceutical drugs has considerably grown over the past few years. Few biotechnology-driven drug therapies are unstable in liquid form and are, therefore, introduced as lyophilized or dry powder dosage forms. Lyophilized drugs demand specialized packaging for optimal performance, creating new opportunities for packaging manufacturers.

Pharmaceutical drugs are majorly offered in tablet, capsule, liquid, and powder forms. Various packaging types, including rigid bottles, standup pouches, flat pouches, sachets, and blister packs, are used for their packaging. Packaging companies increasingly focus on incorporating dispensing mechanisms, administration aids, sustainable material, tamper-evident properties, and counterfeiting measures into the packaging to enhance their functionality and safety.

Companies are majorly focusing on the utilization of post-consumer recycled (PCR) material and are also developing packaging from compostable material to increase the sustainability of packaging. Gerresheimer AG, a leading pharmaceutical packaging manufacturer, has offered glass bottles made from PCR glass for several years. In addition, the company is offering bottles made from R-PET and BIO-PET (resins made from sugarcane plants). This sustainable packaging trend is expected to gain pace in the coming years significantly.

Material Insights

Based on Material, the global market is bifurcated into plastics & polymers, paper & paperboard, glass, aluminum foil, and others.

Plastics & polymers held the highest revenue share of 36.9% in 2022. Various plastic resins, including PE, PET, PP, PVC, PS, and bioplastic, are widely used for manufacturing pharmaceutical vials, bottles, closures, syringes, pouches, sachets, cartridges, tubes, and blister packs. Polypropylene (PP) accounted for the largest revenue share in the plastic & polymers material segment in 2020 as it offers a combination of beneficial properties, such as mechanical, physical, electrical, and thermal characteristics.

Paper & paperboard are majorly used in the secondary and tertiary packaging of pharmaceutical products. Excellent printability, low cost, wide availability, and sustainability of paper & paperboard make them lucrative secondary and tertiary packaging options. Paper-based materials are often used as lidding in blister packs because of their low cost compared to aluminum lidding. International Paper and WestRock Company are some of the leading manufacturers of paper-based packaging.

Glass is impervious to gases, moisture, odors, and microorganisms, thus, is widely employed in the packaging of liquid and semisolid pharmaceutical formulations. Glass is used for manufacturing injectable vials, syrup bottles, cartridges, syringes, and other products. Amber-colored glass is preferred for pharmaceutical packaging as it absorbs harmful UV wavelengths and protects the medicines from getting damaged.

Aluminum is another commonly used material for pharmaceutical packaging. It is used as a lidding material in blister packs owing to its strong barrier and easy-to-tear properties. It is also used to make flexible strip packs used for packing tablets. In addition, most of the seals used in plastic or glass syrup bottles are made of aluminum because of their strong barrier properties against oxygen and UV light.

The other material segment primarily includes rubber and cotton. Multiple types of rubber, including natural, neoprene, nitrile, butyl, chlorobutyl, bromobutyl, and silicone, are used in pharmaceutical packaging to make closures, cap liners, and bulbs for dropper assemblies. Rubber stopper is primarily used for multiple-dose vials and disposable syringes.

Product Insights

Based on product pharmaceutical packaging market is segmented into primary, secondary, and tertiary. The primary segment accounted for a significant share of the market in 2022. Primary packaging, such as bottles, tubes, or blister packs, directly comes in contact with the drug and thereby envelopes the drug and protects it from contamination. In addition, it is often involved in dispensing and dosing drug contents. Packaging companies are focusing on the easy-to-open closures and incorporation of dispensing systems that deliver the correct dose at the right time, which can aid the elderly population in drug dosage.

Secondary pharmaceutical packaging is a consecutive covering or package which stores several groups of pharmaceutical packages together and protects the packages from external impacts. Secondary packaging is primarily used for branding & display, which plays a vital role in the marketing strategy for the product, and logistics, wherein grouping several products offer ease of handling.

Tertiary packaging is used for wrapping or packaging a set of products. The packaging is used for safe handling and smooth transportation of goods. Some examples of tertiary packaging include brown cardboard boxes, shrink wraps, and plastic bags. The increasing trend of e-pharmacy is expected to further increase the adoption of tertiary packaging in the market over the forecast period.

End-use Insights

Pharma manufacturing is the key end-use segment that accounted for the highest share of 49.9% in 2022 and is expected to grow strongly from 2023 to 2030. This is owing to the increasing demand for medicines. As per the World Health Organization (WHO), between 2015 and 2050, the proportion of the world’s population of age over 60 years will nearly double from 12% to 22%. The geriatric population requires additional medical assistance, thereby fueling pharmaceutical manufacturing activities. This, in turn, will likely boost the demand for pharmaceutical packaging.

Market players in the pharmaceutical industry have increased the outsourcing of packaging activities to save their expenses and time. Instead of investing in packaging products, manufacturers outsource packaging operations to specialized and highly capable contractors to ensure efficient packaging. This is expected to push the demand for contract manufacturing.

Retail pharmacies increasingly incorporate branding activities on their packaging to differentiate them from others. Polybags and paper pouches are the commonly used packaging products by such retail pharmacies. The increasing retail penetration, especially in developing countries like India, China, and Brazil, is expected to boost the retail pharmacy end-use segment.

Institutional pharmacies are the pharmaceutical outlets operating within the institutions, such as medical hospitals, nursing care facilities, and assisted living communities. An increasing number of hospitals and nursing homes and rising healthcare spending are likely to have a positive impact on the institutional pharmacy end-use segment.

Regional Insights

North America dominated the market with a revenue share of 35.9% in 2022, wherein pharma manufacturing, which includes in-house production, was the largest end-use segment in the region. The presence of a large number of manufacturers of pharmaceutical plastic bottles in the country, such as AptarGroup Inc., Gerresheimer AG, Amcor Ltd., and Berry Plastics Group, Inc., is likely to have a positive impact on the demand for pharmaceutical plastic bottles over the forecast period.

Asia Pacific is expected to register the fastest CAGR of over 12% from 2023 to 2030. Growing health awareness among consumers in the Asia Pacific, especially in developing countries including China and India, coupled with the rising disposable income levels, is anticipated to boost the growth of the pharmaceutical industry over the forecast period, augmenting demand for its packaging. China dominated the Asia Pacific regional market in 2020 and will retain the leading position over the coming years owing to increasing government initiatives, such as Healthy China 2020, growing contract-manufacturing activities, and a burgeoning aging population.

Europe is expected to have considerable growth owing to the rising research & development activities and the introduction of new medicines aimed at improving patient health and quality of life. Companies, such as BioNTech SE and CureVac, in Europe, have proven successful in their vaccines in 2020, further attracting investments in the biotech industry in countries such as Germany, Russia, and the U.K.

Key Companies & Market Share Insights

The global market is highly competitive owing to the presence of numerous players across the globe. Moreover, key players are consolidating their market positions mainly through acquisitions, which further intensifies the competition. Key players directly compete with each other in securing agreements from large-sized pharmaceutical manufacturers. Thus, the competitive rivalry in the global market is high.

Players are focusing on offering value-added services to attract a more significant number of clients. Spray painting, ultraviolet coating, and metallization are the commonly employed processes for coloring packaging containers used by packaging manufacturers. In addition, labeling and the incorporation of various anti-counterfeit packaging measures, including overt and covert technologies, such as barcodes, holograms, sealing tapes, and radio frequency identification devices, are often undertaken by the packaging manufacturers.

Key players are adopting growth strategies, such as mergers & acquisitions and new product development, to expand market penetration. For example, In April 2022, Amcor launched new and more sustainable High Shield laminates to its pharmaceutical packaging portfolio. This is a low-carbon, recycle-ready, and moisture-resistant packaging solution, thus, end-use companies’ recyclability agendas. Some of the prominent companies in the global pharmaceutical packaging market are:

• Amcor plc

• Becton, Dickinson, and Company

• AptarGroup, Inc.

• Drug Plastics Group

• Gerresheimer AG

• Schott AG

• Owens Illinois, Inc.

• West Pharmaceutical Services, Inc.

• Berry Global, Inc.

• WestRock Company

• SGD Pharma

• International Paper

• Comar, LLC

• CCL Industries, Inc.

• Vetter Pharma International

Recent Development

• In February 2023, Gerresheimer unveiled its latest offering, the Clinical Trial Kit, during the Pharmapack event in Paris. The comprehensive kit includes sterile Gx RTF vials in nest and tub or tray, along with matching closures, catering to pharmaceutical companies engaged in over 3,000 injectable drug programs in pre-clinical and clinical phases. The kit is designed to provide top-tier primary packaging solutions and supportive services

• In February 2023, Berry Global Healthcare achieved a significant milestone with the introduction of a fully accredited child-resistant (CRC) and tamper-evident (TE) packaging solution tailored for the pharmaceutical and herbal market, catering specifically to syrup and liquid medicines. The comprehensive offering encompasses seven ranges of 28mm neck PET bottles, available in sizes ranging from 20ml to 1,000ml, offering diverse design options to cater to various customer needs

• In February 2023, Telangana State unveiled a strategic partnership between SGD Pharma and Corning Incorporated, aiming to introduce cutting-edge technology and manufacturing capabilities to the region. Leveraging Corning's top-notch pharmaceutical tubing technology and SGD Pharma's expertise in glass vial manufacturing and converting, the collaboration will serve as a key supplier of primary packaging solutions to both Indian and international customers from the Telangana State

• In April 2022, Amcor unveiled its new range of more sustainable High Shield laminates, a breakthrough in pharmaceutical packaging. These laminates offer high barrier and performance capabilities essential for the industry while also addressing pharmaceutical companies' recyclability goals through low carbon and recycle-ready packaging options

• In February 2022, Comar revealed the successful acquisition of Automatic Plastics Ltd., a strategic move that reinforces Comar's capabilities in medical device and pharmaceutical packaging manufacturing. This acquisition marks the initial stride towards Comar's ambitious global expansion plans, strengthening its position in the industry

• In November 2022, Gerresheimer AG and Stevanato Group S.p.A. introduced EZ-fill Smart™, an advanced ready-to-use (RTU) vial platform aimed at enhancing drug packaging quality, optimizing total cost of ownership (TCO), and expediting lead times for customers. This innovative solution reflects their commitment to delivering higher value and efficiency to the pharmaceutical industry

• In April 2021, Amcor achieved a significant milestone by introducing the world's first recyclable Polyethylene-based thermoform blister packaging, revolutionizing recyclable healthcare packaging. This innovative solution meets the strict demands of specialized and regulated pharmaceutical packaging, offering a sustainable and sought-after alternative to conventional healthcare packaging options.

• In September 2022, Gerresheimer Ag and Stevenato Group joined forces to create a high-end Ready-To-Use (RTU) solution platform, with a primary focus on vials, leveraging Stevenato Group's renowned EZ-fill® technology. This collaboration between two prominent innovators in the drug containment industry is poised to provide a dependable ecosystem that streamlines and expedites the market transition from bulk to RTU vials while reducing associated risks

Pharmaceutical Packaging Market Report Scope

Global Pharmaceutical Packaging Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the Pharmaceutical Packaging market report based on material, product, end-use, and region:

• Material Outlook (Revenue, USD Million, 2018 - 2030)

  • Plastics & Polymers

    • Polyvinyl Chloride (PVC)

    • Polypropylene (PP)

      • Homo

      • Random

    • Polyethylene Terephthalate (PET)

    • Polyethylene (PE)

      • HDPE

      • LDPE

      • LLDPE

    • Polystyrene (PS)

    • Others

  • Paper & Paperboard

  • Glass

  • Aluminium Foil

  • Others

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Primary

    • Plastic Bottles

    • Caps & Closures

    • Parenteral Containers

      • Syringes

      • Vials & Ampoules

      • Others

    • Blister Packs

    • Prefillable Inhalers

    • Pouches

    • Medication Tubes

    • Others

  • Secondary

    • Prescription Containers

    • Pharmaceutical Packaging Accessories

  • Tertiary

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Pharma Manufacturing

  • Contract Packaging

  • Retail Pharmacy

  • Institutional Pharmacy

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

    • Spain

    • Russia

    • Turkey

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Southeast Asia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • GCC Countries

    • Egypt