Pharmaceutical Drugs Global Market Report 2024

The pharmaceutical drugs market size has grown strongly in recent years. It will grow from $1199.86 billion in 2023 to $1267.05 billion in 2024 at a compound annual growth rate (CAGR) of 5.6%. The expansion in the historical period can be ascribed to an upswing in healthcare awareness, a heightened prevalence of respiratory diseases, shifts in lifestyles, a surge in pharmaceutical research and development (R&D) expenditure, a growing aging population, a rise in the number of surgical procedures, robust economic growth in emerging markets, and an increased number of approvals for hematology/oncology (cancer) drugs.

The pharmaceutical drugs market size is expected to see rapid growth in the next few years. It will grow to $2092.95 billion in 2028 at a compound annual growth rate (CAGR) of 13.4%. The expansion in the forecast period can be attributed to growing government support, an increase in healthcare access, a rise in investments, rapid growth in the elderly population, an upsurge in healthcare expenditure, and heightened awareness of immunization and vaccination. Key trends in the forecast period include the use of biomarkers for drug development, an increased focus on next-generation biologics development, a heightened emphasis on personalized medicine, investments in artificial intelligence (AI) for drug discovery, the adoption of combination drug therapy for respiratory diseases, partnerships with wearables companies to enhance drug research and development, the utilization of 3D printing technology in drug manufacturing, the development of microneedle pills for improved drug delivery, and advancements in vaccine development using mRNA technology.

The increase in sedentary jobs, busy lifestyles, and evolving consumer preferences is impacting the global disease landscape, particularly the prevalence of non-communicable diseases such as cancer, diabetes, and cardiovascular conditions. Factors such as prolonged working hours, reduced physical activity, and unhealthy dietary habits contribute significantly to chronic diseases such as diabetes. According to the World Health Organization, noncommunicable diseases (NCDs) account for 41 million deaths annually, representing 74% of global mortality. This trend underscores the growing demand for biologic drugs to address conditions such as diabetes. These factors are anticipated to expand the global patient population, thereby fostering growth in the pharmaceutical drug market throughout the forecast period.

The escalating occurrence of rare diseases is expected to drive the pharmaceutical drug market in the future. Rare diseases, characterized by low prevalence in comparison to more common health issues, affect only a small percentage of the population. Pharmaceutical drugs play a crucial role in managing these diseases, facilitating the identification of potential therapeutics, and preventing unnecessary treatments with severe side effects, contributing to effective treatment approaches. For instance, as of February 2021, the International Osteoporosis Foundation (IOF) reported that over 300 million people worldwide are affected by rare diseases, constituting 3.5% to 5.9% of the global population. Additionally, in November 2022, Health Match, an Australia-based digital health company, highlighted approximately 150 rare kidney diseases with high prevalence rates, ranging from 60 to 80 incidences per 100,000 people in America and Europe. Hence, the increasing incidence of rare diseases acts as a catalyst for the pharmaceutical drug market's growth.

Leading companies in the pharmaceutical drug market are introducing innovative medications such as Sohonos (palovarotene) capsules to establish a competitive advantage. Sohonos, a retinoid, is designed to reduce the volume of new heterotopic ossification in individuals with fibrodysplasia ossificans progressiva (FOP). For instance, in August 2023, Ipsen Biopharmaceuticals, Inc., a France-based biopharmaceutical company, unveiled Sohonos (palovarotene). This retinoid is indicated for minimizing the volume of new heterotopic ossification in adults and pediatric patients (8 years and older for females, 10 years and older for males) with FOP - a rare genetic disorder characterized by abnormal bone development in areas not typically containing bone, leading to limited movement, deformities, and severe disability.

An emerging trend in the dermatology drugs market is the early Rx-to-OTC switch, where products transition from prescription to non-prescription status. Traditionally, this shift occurred near the drug's patent expiry or afterward. However, forward-thinking companies are now opting for early Rx-to-OTC switches well in advance of patent expiry to capitalize on market opportunities and recover product-related expenses. This strategy offers additional benefits to manufacturers. For instance, in 2020, the FDA approved the switch of three prescription drugs to OTC status, including Voltaren for arthritis pain and olopatadine hydrochloride 0.1% and 0.2% (Pataday Twice Daily Relief and Pataday Once Daily Relief) for temporary relief of itchy and red eyes caused by pollen, ragweed, and grass.

Major companies operating in the pharmaceutical drugs market report are Pfizer Inc., AbbVie, Johnson & Johnson, Merck & Co, Sanofi S.A., F. Hoffmann-La Roche Ltd., Novartis AG, Bristol-Myers Squibb, AstraZeneca, GlaxosmithKline, Shanghai Pharmaceutical Drugs, Shanghai Fosun Pharmaceutical, Takeda Pharmaceutical Company Ltd., Otsuka Pharmaceutical Co. Ltd., Daiichi Sankyo, China National Pharmaceutical Group Co., Ltd. (Sinopharm), Shanghai Acebright Pharmaceutical Drugs Group Co., Ltd., Jiangsu Hengrui Medicine Co., Ltd., Hanmi Pharmaceutical, Cipla Limited, Aurobindo Pharma Limited, Dr. Reddy’s Laboratories Ltd., Sun Pharma, KYORIN Holdings, Inc., Nichi-Iko Pharmaceutical Co., Ltd., Daewoong Pharmaceutical Co.,Ltd., Kalbe Farma, Hyphens Pharma, Adjuvanz Technology Pte Ltd., Alliance Pharm Pte Ltd., Teva UK Limited, Abbott Laboratories, Vectura Group, Boehringer Ingelheim, Mylan, Zentiva, Apotex, Gilead Sciences, Bayer, Amgen, Janssen Pharmaceutica, Accord Healthcare Inc., AA Pharma Inc, Sanfer, LABORATORIOS SENOSIAIN SA DE CV (Senosiain), Siegfried Rhein, Eli Lilly & Company, Biogen, EMS Pharma, Hypermarcas, Eurofarma, Teuto Brasileiro, Biolab Farmaceutica, Cristalia, União Quimica, Ache, Mantecorp Farmasa, Libbs, FQM Grupo, Spimaco, Jamjoom Pharma, Tabuk Pharmaceutical Manufacturing, Jazeera Pharmaceutical Industries, Julphar, Neopharma, Johnson & Johnson, Eurolab, Aspen.

North America was the largest region in the pharmaceutical drugs market in 2023. Middle East is expected to be the fasted growing region in the forecast period. The regions covered in the pharmaceutical drugs market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the pharmaceutical drugs market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa. The pharmaceutical drug market consists of sales of generic drugs, over-the-counter medications, bulk drugs, vaccines, biosimilars, and biologics. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The primary categories of pharmaceutical drugs cover a wide spectrum, including cardiovascular drugs, dermatology drugs, gastrointestinal drugs, genito-urinary drugs, hematology drugs, anti-infective drugs, metabolic disorders drugs, musculoskeletal disorders drugs, central nervous system drugs, oncology drugs, ophthalmology drugs, and respiratory diseases drugs. Cardiovascular drugs are specifically tailored to address medical conditions related to the heart or circulatory system, such as arrhythmias, blood clots, coronary artery disease, high or low blood pressure, high cholesterol, heart failure, and stroke. These drugs can be administered through various routes, including oral and parenteral methods, and are categorized as branded or generic drugs. The acquisition of pharmaceutical drugs can occur through prescription-based or over-the-counter channels, with distribution taking place through hospital pharmacies, retail pharmacies/drug stores, and other outlets.

The pharmaceutical drug market research report is one of a series of new reports that provides pharmaceutical drug market statistics, including pharmaceutical drug industry global market size, regional shares, competitors with a pharmaceutical drug market share, detailed pharmaceutical drug market segments, market trends and opportunities, and any further data you may need to thrive in the pharmaceutical drug industry. This pharmaceutical drug market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.