Pharmaceutical Packaging Equipment Market Size, Share & Trends Analysis Report By Machine Type (Filling, Labelling, Cartoning), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global pharmaceutical packaging equipment market size was estimated at USD 5.65 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 5.5% from 2023 to 2030. Increasing demand for integrating equipment in addition to flexible and innovative packing are some of the key factors anticipated to drive the growth of the industry.

In the pharmaceutical sector, packaging equipment is required for primary and secondary packing, as well as labeling and coding of the products. Highly sophisticated packing machines are required to safeguard the drugs and keep them free of contamination. Moreover, there are stringent regulations for the serialization and tracing of pharmaceutical products.

In 2020, the COVID-19 pandemic adversely affected the manufacturing industry worldwide. However, the pharmaceutical packaging industry witnessed a weaker impact of COVID-19. Many pharmaceutical packaging manufacturers are functioning with a higher production capacity.Increased COVID-19 vaccine production by companies including Moderna, Johnson & Johnson, Pfizer, AstraZeneca, and GlaxoSmithKline plc (GSK) resulted in significant demand for glass-based vials. This further propelled the demand for pharmaceutical packaging equipment.

The U.S. is the largest pharmaceutical market in terms of production as well as consumption. In 2021, according to NHE (National Health Expenditure Data), U.S. medicare spending increased by 8.4% to USD 900 billion. Moreover, Medicaid spending has increased by 9.2% to USD 734 billion compared to 2020. Furthermore, in 2021, the U.S. spending for medicines has increased by 12% due to increased demand for COVID vaccines, boosters, treatments, and prescription medication usage was 194 billion daily doses across the U.S.

This was due to new treatment starts for both acute and chronic care, which improved, while turning around the decline in 2020. This is expected to have a positive impact on the pharmaceutical packaging equipment market over the forecast period. Filling machines are majorly used as part of the production line owing to the need for immediate packing of the manufactured products.

Growing population, increased awareness about diseases, and high spending potential on pharmaceutical products is expected to drive the pharmaceutical industry, in turn, driving the packaging equipment market. Moreover, several governments have undertaken numerous efforts to provide medicines to citizens at affordable prices, which has increased the demand for pharmaceutical packaging equipment across the globe. 

The global pharmaceutical packaging equipment industry is dominated by multinationals, which are majorly headquartered in Europe and North America. Ascending demand for technologically advanced, highly automated, and integrated packing solutions in the developed economies, including U.S., Germany, Russia, and Italy are expected to have a positive impact on the market over the forecast period.

To gain a competitive advantage, many manufacturers are improving their solutions by adding advanced technologies. For instance, in September 2021 Körber AG added the historian function to its Werum PAS-X MES Suite, which enables the machine to archive structured data. The solution also enables a high level of addition in pharmaceutical packing production, to make it fast and cost-effective.

Machine type Insights

The filling machine segment was valued at USD 2.01 billion in 2022, and it is projected to show substantial growth over the forecast period. Filling machines are used to separate the product from the produced bulk using predefined values. Later, it is dispensed in a container with optimum accuracy.

There are different types of filling machines used in the market to manufacture numerous products including lotions, creams, tablets, syrups, powders, and liquids into various containers like vials, bottles, and ampoules of which vial filling, powder filling, tube filling, and syringe filling machines are commonly used.

The wrapping machine is expected to be the fastest-growing segment, registering a CAGR of 7.1% from 2023 to 2030. The wrapping machine is used for compressing small medicines into different-sized operation gloves pharmaceutical industry. It can wrap products of various sizes and shapes. Such shapes include round, rectangular or square products and it is also suitable for packaging liquid capsules. The burgeoning e-commerce industry and an increase in the total production output, especially in emerging industrial economies across the globe are expected to drive the segment demand.

The Form-Fill-Seal (FFS) segment was the second-largest machine-type segment, and it was valued at USD 1.12 billion in 2022. It is expected to grow substantially over the forecast period. This growth can be attributed to the rising popularity of flexible packing in the medical industry, along with the fast and economic functioning of the machines.

Regional Insights

The growth for pharmaceutical packaging equipment in Europe was valued at USD 1.53 billion in 2022 and is dominated by the rapidly growing pharmaceutical industry in Germany, Italy, the U.K., and Russia. The majority of the global manufacturers of packaging equipment are based in Europe, particularly in Germany and Italy, and also account for a significant share of the total exports of the machines across the globe.

In terms of revenue, Asia Pacific emerged as the leading regional market in 2022. This growth is fueled by the expansion of the pharmaceutical sector in the region, especially in the developing economies of Asia Pacific. For instance, FDI flow in the Indian pharmaceuticals and drugs industryreached USD 1.4 Billion for FY 2021-22. In addition, several global players have set up their manufacturing facilities in the region, especially in China and India, to cater to the demand from numerous end-use industries and gain cost advantages.

For instance, in November 2021, the Meiji Seika announced an investment of USD 20 million for the construction of a new manufacturing facility in India. The facility has a production capacity of 75 million packages, 750 million tablets, and 4 million bottles annually. The above mention factors will positively influence the pharmaceutical packaging equipment market growth.

Central & South America pharmaceutical packaging equipment industry accounted for a minor share of 6.5%. However, the market offers tremendous potential and opportunities in the field of packaging machinery. The region is expected to undergo swift economic recovery due to the end of the recession in Brazil and other countries, which is projected to contribute to the steady growth of the pharmaceutical packaging equipment industry over the forecast period.

North America is anticipated to be the fastest-growing market for pharmaceutical packaging equipment, registering a CAGR of 4.1% from 2023 to 2030. The growth is attributed to growing investments in the pharmaceutical sector by the U.S., coupled with the growing demand for technologically advanced, flexible, and integrated machinery.

Key Companies & Market Share Insights

Pharmaceutical packaging equipment manufacturers are employing a variety of strategies, including acquisitions, mergers, joint ventures, new product development, and geographical growth, to increase market penetration. With the increasing demand for laminates and flexible packaging, many manufacturers are investing in the expansion of their manufacturing facilities. For instance, in October 2022, MULTIVAC started the construction of its new manufacturing facility, Buchenau in Germany. Players are also focused on offering value-added services to attract a greater number of clients.Some prominent players in the global pharmaceutical packaging equipment market include:

• Robert Bosch

• Romaco Holding

• Marchesini Group

• Korber AG

• I.M.A. Industria Macchine Automatiche S.p.A.

• Uhlmann Group

• Accutek Packaging Equipment Companies

• Bausch + Ströbel

• Coesia

• Vanguard Pharmaceuticals Equipment

• MULTIVAC Group

• OPTIMA Packaging Group

• ACG Worldwide

• BREVETTI CEA S.P.A

Pharmaceutical Packaging Equipment Market Report Scope

Global Pharmaceutical Packaging Equipment Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global pharmaceutical packaging equipment market report based on machine type and region:

• Machine Type Outlook (Revenue, USD Billion, 2018 - 2030)

  • Filling

  • Labelling

  • Form Fill & Seal

  • Cartoning

  • Wrapping

  • Palletizing

  • Cleaning

  • Others

• Regional Outlook (Revenue, USD Billion, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • Russia

    • U.K.

    • Spain

    • Italy

  • Asia Pacific

    • China

    • Japan

    • South Korea

    • India

    • Australia

  • Central & South America

    • Brazil

  • Middle East & Africa

    • Saudi Arabia

    • United Arab Emirates