Pharmaceutical sector is witnessing a prominent shift after expiration of patents of most of the blockbuster drugs in 2015, growing customer expectations and tightening regulatory environment globally. In broader sense, pharmaceutical industry includes R&D, production, and marketing of drugs or medicines. Drugs manufactured by pharmaceutical companies can be primarily segmented into branded and generic drugs and these drugs can be over-the-counter (OTC) or prescription drugs. Pharmaceutical drugs are sold through various channels such as mail orders, retail, clinics and hospitals.
In developed markets demand for pharmaceutical products is growing, majorly driven by rising aging population coupled with increasing life expectancies. In addition, emerging markets are also experiencing higher demand backed by increasing incomes and improving healthcare infrastructure. Global pharmaceutical market is estimated at around USD1 trillion, with USA being the leader followed by European Union and Japan.
Considering global economic uncertainties, pharmaceutical market is under pressure of reducing cost and improve efficiencies and to achieve this objective pharmaceutical companies are outsourcing their manufacturing operations. Consequently, contract manufacturing has emerged as an integral part of pharmaceutical market and it includes both active pharmaceutical ingredients (API) and finished dosage formulations (FDF) manufacturing.
With many blockbuster drugs going off-patent in 2015, the market is also facing challenges related to squeezing of new drug pipeline and declining innovations in pharmaceutical market. It is expected that there will be a boom of generic drugs in the pharmaceutical market which is expected to wipe off a bigger chunk of branded drugs market. The industry is also inflicted with harsher price controls imposed by the governments across the globe.
Increasing competition and slower growth is forcing pharmaceutical companies to consolidate. Bigger companies are acquiring smaller pharma and biotechnology companies as to improve their competitive positioning. Major players operating in pharmaceutical market are Pfizer, Novartis, Roche, Merck, Johnson & Johnson, Bristol-Myers, Lilly and AstraZeneca.
ASDReport.com has an extensive repository of reports on almost all segments of pharmaceutical market like, generics, OTC drugs, pharmaceutical distribution and manufacturing, pharmaceutical raw materials, pharmacovigilance, and much more.