The pharmaceutical packaging industry in India plays a vital role to deliver quality medicines to patients safely and securely. Pharmaceutical packaging includes packaging material such as plastics, paper & paperboard, glass, and aluminum foil, used for primary, secondary, and tertiary packaging of drugs, pharmaceutical products, and medical devices. Plastic is the widely used material for pharmaceutical packaging as it provides strength, durability, and protection from moisture. In India, pharmaceutical packaging manufactures produce a variety of plastic bottles, vials, prefilled syringes, blister packs, sachets, laminates, tubes, and strips meeting global quality standards. 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 Dynamics:
The growing demand for generic drugs in India is expected to drive the growth of India pharmaceutical packaging market share over the forecast period. As India is known as the “Pharmacy of the World” and contributes significantly to the supply of generic medicines globally. The government initiatives promoting generic drugs to provide affordable medicines have increased in India. This has boosted the manufacturing and export of generic drugs from India. For instance, according to the India Brand Equity Foundation 2019 report, India has the highest number of US Food and Drug Administration (USFDA) compliant pharma plants outside the U.S. India accounts for 30% of global exports in generics drugs. Growing generics drug production will surge the demand for pharmaceutical packaging solutions further propelling the market growth. Along with this, increasing R&D activities for novel drug delivery systems will create new opportunities in specialty pharmaceutical packaging market during the forecast period.
Segment Analysis
The India pharmaceutical packaging market is dominanted by the solid dose packaging segment which accounts for over 60% share. This is because majority of drugs consumed in India are tablet and capsule based formulations which require primary and secondary packaging such as blisters, bottles and strip packaging. The solid dose packaging segment is expected to continue its dominance during the forecast period owing to growth in generic drugs market and increased healthcare access and expenditure across various states of India.
PEST Analysis
Political: The Indian government has taken initiatives to boost domestic pharmaceutical production by promoting schemes like ‘Make in India’ which promotes local manufacturing. It has also curbed excessive imports through price controls. This encourages growth of domestic packaging companies.
Economic: India experiences high annual economic growth rate estimated to be over 7% during the forecast period. Rising incomes and increased healthcare access will drive increased spend on pharmaceuticals and associated packaging.
Social: Growth in elderly population combined with increased burden of chronic lifestyle diseases will augment demand for prescription drugs. Rise of nuclear families also increases demand for medicines packaged in lower unit packs for convenience.
Technological: Package printing technologies have advanced with innovations in multifunctional packaging, auto identification techniques like bar coding, and track and trace solutions. Radio frequency identification (RFID) usage is also growing for supply chain and inventory management.
Key Takeaways
The India pharmaceutical packaging market size was valued at US$ 1.96 Bn in 2024 and is expected to reach US$ 7.23 Bn by 2031, expanding at a CAGR of 11% during the forecast period.
Regional analysis: The western region of India dominates owing to presence of major pharmaceutical hubs like Mumbai and Ahmedabad. It accounts for over 30% market share currently. However, southern states like Telangana, Karnataka and Andhra Pradesh are fastest growing markets driven by initiatives to promote generic drug manufacturing and favorable investment policies.
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 developing innovative packaging solutions integrates with digitization and supply chain transparency.