Pharmaceutical Excipients Global Market Opportunities and Strategies to 2032

This report describes and explains the pharmaceutical excipients market and covers 2017-2022, termed the historic period, and 2022-2027 termed the forecast period, along with further forecasts for the period 2027-2032. The report evaluates the market across each region and for the major economies within each region.

The global pharmaceutical excipients market reached a value of nearly $9,109.47 million in 2022, having grown at a compound annual growth rate (CAGR) of 6.4% since 2017. The market is expected to grow from $9,109.47 million in 2022 to $12,282.34 million in 2027 at a rate of 6.2%. The market is then expected to grow at a CAGR of 6.6% from 2027 and reach $16,939.64 million in 2032.

Growth in the historic period resulted from strong economic growth in emerging markets, a surge in the sale of generic drugs and rising advanced healthcare infrastructure.

Going forward, government initiatives, an increasing development of novel drugs, rising healthcare expenditure and a rapid growth in the elderly population will drive market growth. Factors that could hinder the growth of the pharmaceutical excipients market in the future include a rise in interest rates, the Russia Ukraine war and surging prices of major excipients.

The pharmaceutical excipients market is segmented by functionality into fillers and diluents, suspending and viscosity agents, coating agents, binders, flavoring agents and sweeteners, disintegrants, colorants, lubricants and glidants, and other functionalities. The fillers and diluents market was the largest segment of the pharmaceutical excipients market segmented by functionality accounting for 30.09% of the total in 2022. Going forward, the coating agents market is expected to be the fastest growing segment in the pharmaceutical excipients market segmented by functionality, at a CAGR of 6.5% during 2022-2027.

The pharmaceutical excipients market is segmented by type of formulation into oral formulation, topical formulation, parenteral formulation and other formulations. The oral formulation market was the largest segment of the pharmaceutical excipients market segmented by type of formulation accounting for 39.9% of the total in 2022. Going forward, the topical formulation market is expected to be the fastest growing segment in the pharmaceutical excipients market segmented by type of formulation, at a CAGR of 6.43% during 2022-2027.

The pharmaceutical excipients market is segmented by product into inorganic chemicals, organic chemicals and other products. The inorganic chemicals market was the largest segment of the pharmaceutical excipients market segmented by product accounting for 33.1% of the total in 2022. Going forward, the inorganic chemicals market is expected to be the fastest growing segment in the pharmaceutical excipients market segmented by product, at a CAGR of 6.23% during 2022-2027.

North America was the largest region in the pharmaceutical excipients market, accounting for 41.3% of the total in 2022. It was followed by Asia Pacific, Western Europe, and then the other regions. Going forward, the fastest-growing regions in the pharmaceutical excipients market will be Asia Pacific, and, Western Europe where growth will be at CAGRs of 27.0% and 17.2% respectively. These will be followed by South America and Middle East where the markets are expected to grow at CAGRs of 3.9% and 3.6% respectively.

The pharmaceutical excipients market is fairly fragmented, with a large number of players. The top ten competitors in the market made up to 37.00% of the total market in 2021. Technological innovations in the recent past helped the companies to strengthen their market presence. BASF SE was the largest competitor with 8.25% share of the market, followed by Ashland Global Holdings with 6,42%, Evonik Industries AG with 5.23%, International Flavors & Fragrances, Inc. with 4.70%, Roquette Frères with 3.17%, Archer Daniels Midland Company with 2.41%, Lubrizol Corporation with 2.06%, Croda International Plc with 1.66%, Kerry Group with 1.54%, and DuPont de Nemours, Inc. with 1.54%.

The top opportunities in the pharmaceutical excipients market segmented by functionality will arise in the fillers and diluents segment, which will gain $1,003.8 million of global annual sales by 2027. The top opportunities in segment by type of formulation will arise in the oral formulation segment, which will gain $1,212.0 million of global annual sales by 2027. The top opportunities in segment by product will arise in the organic chemicals segment, which will gain $1,840.4 million of global annual sales by 2027 The pharmaceutical excipients market size will gain the most in the USA at $1,249.0 million.

Market-trend-based strategies for the pharmaceutical excipients market include focusing on sustainable packaging to reduce the use of plastics, focusing on mergers and acquisitions to strengthen market position, focusing on reducing greenhouse gas emissions and leveraging artificial intelligence to track nutrients, water levels and improve transparency in supply chains.

Player-adopted strategies in the pharmaceutical excipients market include enhancing business operations through obtaining regulatory approvals, strengthening business capabilities through receiving regulatory approvals and expanding excipients portfolio and enhancing business operations through strategic acquisitions.

To take advantage of the opportunities, the publisher recommends the pharmaceutical excipients companies to focus on launch of new products, focus on high purity and low endotoxin excipients, focus on easily dissolvable excipients, expand in emerging markets, continue to focus on developed markets, focus on mergers and acquisitions, provide competitively priced offerings, participate in trade shows and events, continue to use B2B promotions, and continue to target pharmaceutical drug manufacturers.