In terms of revenue, the Global Generic Drugs Market is expected to reach USD 531.8 Billion by 2028, growing at a Compound Annual Growth Rate (CAGR) of 5.2% from 2022 to 2028.
Generic Drugs play a major role in human health care. The expiry of patents and upcoming multiple Generic Drugs resulting in significant cost saving is the major factor driving the Generic Drugs Market. Increase in population and growing prevalence of chronic diseases is another factor for the market to grow in coming years.
Key Highlights from Report:
- The injectable sub-segment of the route of administration segment is anticipated to dominate the Generic Drugs Market. Tablets, capsules and pills are considered one way to administer drug in the body but injectable are considered to be the most effective method for diagnosing patient healthcare. Thus, increasing use of injectable for generic drug delivery drives this segment.
- The cardiovascular products sub-segment of the application segment is accounted for the largest market share in 2021 for the Generic Drugs Market. Majority of deaths occurs owing to cardiovascular failure or diseases, the need for efficient Generic Drugs discovery under cardiovascular products is need for the day. Thus, this segment is accounted to grow during the forecast period.
- North America is the largest regional segment. This surge is attributed to the rising demand for Generic Drugs in developed economies such as the U.S. and Canada. The growing healthcare industry and flexible market players drive this region. Also, technological advancements and high potential and availability of healthcare professionals make this region flourish during the forecast period.
Accurate and quality manufacturing of Generic Drugs is considered to be an important factor for the growth of market. Also, cost effective and affordability is major concern that drives the market growth. Branded manufacturers are expected to take financial risk and initiate heavy investments in Research and Development (R&D) of Generic Drugs. Additionally Generic Drugs must have the same quality and performance before introduced in market. Owing the large number of competitors, it is expected that the prices of similar drugs should not be volatile and not controlled by single entity. According to University of Southern California’s Schaeffer Center for Health Policy and Economics states that the analysis of branded and generic supply chains shows that on average a brand manufacturer recoups 76% of the prescription drug expenditure on brand drugs, while generic manufacturers capture 36% of the expenditure on Generic Drugs.
North America is expected to dominate the Global Generic Drugs Market in 2021 and is likely to continue the same trend during the forecast period. This region has the most advanced healthcare professionals and funds for investing in Generic Drugs. Also, growing technological advancements with the availability of surplus knowhow in executing this technology makes this region prominent for the market to flourish in coming years. On the other hand, developing countries such as India, China and Indonesia are showing huge potential to manufacture Generic Drugs in their respective organizations. However, insufficient funds, lack of skilled labour and social issues make it difficult for the market to grow.