Generic Drugs Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Generic Drugs Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The generic drugs market was valued at USD 364,925.27 million in 2021, and it is expected to reach USD 468,787.86 million by 2027, registering a CAGR of 4.27% during the forecast period of 2022-2027.

During the early pandemic, COVID-19 has severly impacted the generic drugs market due to the lockdown restrictions and supply chain disruption. Later, there has been increased demand for the generic pharmaceuticals as the COVID-19 infections has provided many opportunities for the generic drug manufacturers to manufacture the drugs for the treatment of this infection. For instance, According to a report by United States Food and Drug Administration (FDA) in published in November 2021, FDA has implemented a Generic Drug Program. This initiative assisted generic medication developers with product development by sending written communications and holding meetings to clarify regulatory expectations early in the development process and during application review. By this Food and Drug Administration received 121 requests for product development and pre-submission pre-Abbriviated New Drug Application meetings in 2020.

As the global generic drugs market is huge, it is very likely to continue growing in the forecast period. The reasons attributed for this growth are the increasing prevalence of chronic diseases, increase in the geriatric population, and increasing healthcare expenditure.

Many North American and Asia-Pacific countries are facing the issue of the rise in the geriatric population, which is also expected to increase the demand for generic drugs, as older people need more drugs because of comorbidities and other factors. Due to the prevalence of chronic disorders, the government and many pharmaceutical players are increasing their expenditure in R&Ds for the discovery of new molecules and enhancing the current technologies so that more patient issues can be addressed. For instance, according to the International Diabetes Federation, in 2021, approximately 537 million adults (20-79 years) are living with diabetes across the globe and the total number of people living with diabetes is projected to rise to 643 million by 2030 and 783 million by 2045.

Hence, based on the aforementioned factors, the market is expected to grow significantly during the forecast period.

Key Market TrendsInjectable Segment is Expected to Witness a Major Share in the Studied Market Over the Forecast Period

Tablets, capsules, pills are not the only way to administer the drug in the body, the injectable is another way of administration of the drug, and this is considered to be the most effective way, as the bioavailability of the drug through this route is higher than the other routes. Nowadays, new advancements are happening in this injectable segment. Through this route, the drug takes less time to react. Recent developments in needle-free injectors have helped its growth. For instance, In November 2021, Bespak Europe Limited works closely with its biopharmaceutical partners to develop a customized device for the needs of specific patient groups. Moreover, the prevalence of diabetes, cardiovascular problems, cancer, and several other chronic diseases will help the injectables to grow more in the forecast period.

Furthermore, rising intravenous generic product launches is further expected to drive the growth of this segment in the forecast period. For instance, in July 2021, Generic Ferumoxytol, an injectable drug used to treat iron deficiency anaemia (IDA) has launched in the United States by Sandoz, a global leader in generic and biosimilar medicines. The rise in product launches of injectable generic products in the developed countries is further expected to drive the growth of this segment in the near future.

Asia Pacific is the Fast Growing Region in Overall Market and Similar is Expected Over the Forecast Period.

Asia-Pacific has shown the fastest growing trend in the global generic market owing to increased awareness among the people related to any disorder, the rise in population can also be attributed to the increase in demand for generic drugs. Countries like India and China in Asia-Pacific contribute more than the other nations.

According to the Indian Pharmaceutical Industry Report published in November 2021 by India Brand Equity Foundation, India is the world's top supplier of generic pharmaceuticals. The Indian pharmaceutical industry supplies more than half of global demand for vaccines, 40% of generic demand in the United States, and 25% of all pharmaceuticals in the United Kingdom. Indian has many pharmaceutical companies that manufacture many generic drugs, e.g., Alkem Laboratories, Sun Pharma, Aurobindo Pharma Limited, among several others. Hence, the market for global generic drugs is likely to grow in the forecast period.

Furthermore, according to the news published in September 2021, India is open to working with East Asian partners on the development of generic pharmaceuticals and medical technology for the treatment of Covid-19 patients, as well as vaccine development. This will further lead to increase in production of generic drugs in collaboration with other East Asian companies, thereby expected to propel the market growth over the forecast period.

Moreover, the rising approvals of generic drugs in China is further expected to drive this regions growth. For instance in October 2021, The Yangtze River Pharmaceutical Group in China has submitted the first marketing application for eslicarbazepine acetate, a class 3 generic medication used to treat epileptic patients.

Therefore, owing to the above mentioned factors, the Asia Pacific region is expected to show growth at larger pace over the forecast period.

Competitive Landscape

The Global Generic Drugs Market is highly competitive, with many players dominating the market. The market players are adopting strategies such as rising R&D investment, mergers, acquisitions, and product innovations, in order to sustain the increasing market rivalry. The key market players in this market include Mylan NV, Eli Lilly and Company, GlaxoSmithKline PLC, Pfizer Inc., Sun Pharma, Novartis, and Sanofi, among others.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Companies

Mylan NV
Abbott Laboratories
Teva Pharmaceutical Industries Limited
Eli Lilly and Company
STADA Arzneimittel AG
GlaxoSmithKline PLC
Baxter International Inc.
Pizer Inc.
Sanofi
Novartis AG (Sandoz International)
Sun Pharma