The Global Active Pharmaceutical Ingredients (API) Market was valued at USD 189.0 Bn in 2020 and is expected to reach USD 290.5 Bn by 2027, growing at a CAGR of 6.4% during the forecast period.. An Active Pharmaceutical Ingredients (API) is that part of a formulation that is intended to provide pharmacological activity such as biological activity, in the treatment or prevention of diseases or is intended to affect the function or structure of the human body.
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The main driving factors for the growth of the active pharmaceutical ingredients (API) market are the increasing prevalence of chronic diseases, increasing uptake of biopharmaceutical products, and the rising importance of generic drugs. Increasing uptake of generic medicines and technological advancement in API manufacturing is considerably the boosting factors for the growth of the targeted market.
However, the rising adaption of counterfeit drugs and high drug price policies across the globe are expected to impede the growth of this market. The active pharmaceutical ingredients market was earlier dominated by cardiovascular, anti-infective, pain management, and analgesic drugs. However, the market has been witnessing an increasing demand for complex and novel formulations for the treatment of cancer, metabolic disorders, and autoimmune diseases.
The Global Active Pharmaceutical Ingredients (API) Market Segmentation:
By Type
By Synthesis Type
By Therapeutics Applications
By Region
Based on synthesis type, the biotech API, is expected to dominate the global active pharmaceutical ingredients (API) market due to increased investment for research on API
Based on the synthesis type, the active pharmaceutical ingredients (API) market has been segmented into synthetic API and biotech API. The biotech API segment is further divided into type and expression systems. A further type is sub-divided into monoclonal antibodies and recombinant proteins. Expression system is further divided into mammalian expression systems, yeast expression systems, microbial expression systems, and others. The biotech API segment held the highest share in the base year. The high efficiency of biotech molecules, coupled with the increasing demand for biopharmaceuticals, is expected to drive the market for the biotech APIs segment. However, the synthetic APIs sub-segment is expected to grow at the highest CAGR during the forecast period.
Based on therapeutics applications, cardiovascular diseases is expected to dominate the global active pharmaceutical ingredients (API) market due to increased prevalence of cardiovascular disorders
The high prevalence of cardiovascular disorders is one of the major factors for the dominance of the cardiovascular diseases segment. According to the World Health Organization (WHO), the number is expected to reach 187 million by the year 2030. The estimated global cost of cardiovascular disease was around USD 863 Bn in 2010 and is expected to reach USD 1,044 Bn by the year 2030.
The key drugs classes for the treatment of cardiovascular diseases are blood pressure-lowering drugs and cholesterol-reducing drugs. Statins are the most important drugs that control the cholesterol level to avoid cardiovascular diseases and block the excess cholesterol producing action in the liver that are expected to drive the growth of the cardiovascular disease segment.
However, the oncology segment is expected to grow at the highest rate during the forecast period. The International Agency for Research on Cancer estimates that the global incidence of cancer will reach 29.5 million by 2040, from 18.1 million in 2018. The increasing prevalence of cancer, coupled with the launch of new synthetic and biological drugs for the treatment of cancer, is expected to drive the oncology segment.
Geographically, North America accounted for the largest share of the global active pharmaceutical ingredients market
In the base year 2020, North America dominated the market, followed by Europe region. The major reasons behind the dominance of the North America region are the increasing prevalence of chronic diseases in the region and increased healthcare expenditure. Advanced technology in the manufacturing process of active pharmaceutical ingredients, the increasing prevalence of cancer, and the rising demand for biologics are some other factors that are expected to drive the growth of the global active pharmaceutical ingredients (API) market in North America.
However, Asia-Pacific is expected to grow at the highest CAGR during the forecast period. The majority of API manufacturers have a presence in China or India. The region has advantages such as the availability of a cheap and talented labor pool. Additionally, the increasing prevalence of chronic diseases, rising incidence of cancer, and the increasing demand for quality healthcare in this region are also expected to augment the growth of the API market in the Asia-Pacific region.
Company Profiles and Competitive Intelligence
The key players operating in the active pharmaceutical ingredients (API) market are:
The report also provides an in-depth analysis of the global API market dynamics such as drivers, restraints, opportunities, and challenges
Drivers
Restraints
Opportunities
Challenges
COVID-19 Impact on the Global Active Pharmaceutical Ingredients (API) Market Analysis
COVID-19 has highly affected the industries in terms of growth, economy, health, and mental well-being of every individual. In this challenging situation, every industry is trying to give the best services in terms of quality and safety. The outbreak of COVID-19 has affected positively on the healthcare industry and the active pharmaceutical ingredients (API) market. This is due to increased respiratory and infectious disorders in patients. However, due to the outbreak of COVID-19, the funding for the innovation in active pharmaceutical ingredients (API)s distracted is the restraining factor for the growth of the global active pharmaceutical ingredients (API) market.
The report also provides an in-depth analysis of key trends in the global active pharmaceutical ingredients (API) market
The report also provides an in-depth analysis of recent news developments and investments
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