The global active pharmaceutical ingredient market reached a robust valuation of US$ 172.14 billion in 2020. The market will exhibit strong growth, rising at 6% CAGR during the forecast (2021-2029) period. Companies such as Sanofi planned to create a major European company dedicated to the production and marketing to third parties of active pharmaceutical ingredients (API) in 2020. The headquarters are to be located in France and the company intent for an IPO on Euronext Paris that would be evaluated for an anticipated decision by 2022, subject to market conditions.
Rising medicine shortages critically impacting patient care
Increasing medicine shortages which are negatively impacting the patient care, the new company would contribute to supporting and securing API manufacturing as well as supply capacities for Europe and beyond. In Europe, the new API industry champion is expected to help in balancing the industry’s heavy reliance on API sourced from the Asian region. The project consisted of creating a standalone company which would combine Sanofi’s API commercial and development activities with six of its European API production sites which are Brindisi (Italy), Frankfurt Chemistry (Germany), Haverhill (UK), St Aubin les Elbeuf (France), Újpest (Hungary) and Vertolaye (France). By operating independently, the new entity plans to increase its sales to third parties and to expand its partnerships with other pharmaceutical companies in order to take advantage of new market opportunities and have the ability to deftly adapt to client needs. The new company would be uniquely positioned to benefit from its significant competitive strengths, including a broad portfolio of both volume and niche products, high standards of quality, competitive pricing, state-of-the-art industrial capabilities and technologies across Europe (including France, Italy, Germany, Hungary, and the United Kingdom) as well as leveraging an extensive commercial network covering over 80 countries. Sanofi is fully committed to the new company’s success and intends to establish a long-term customer relationship with the new API supplier and to hold a minority stake of approximately 30% in the new company. To provide the optimal conditions for success, Sanofi intends the new company to be debt free in order to maximize its future investment capacities, and is committed to remaining an important customer.
Enquiry Before [email protected]
Branded and innovative prescription drugs accounted the largest share in 2020
The branded or innovative drugs captured a prominent share in 2020 and are expected to continue the same trend over the forecast period. With more patients receiving existing branded drugs and using newly launched drugs; the overall market is expected witness a lucrative growth over the forecast period. The people in the United States are filling 6.1 billion prescriptions in 2019, an increase of 2.6% over the previous year. Such factors are expected to drive the overall active pharmaceutical industry over the next eight years.
The Impact of Covid-19 on the Global Active Pharmaceutical Ingredient Market
In 2020, India banned export of the anti-viral drug Remdesivir amid a rise in COVID-19 cases in the country. In an order, the government said it has banned export of Remdesivir injection and Remdesivir active pharmaceutical ingredients (API) till the pandemic situation in the country stabilizes. As on April 11, there are 11.08 lakh active Covid cases and they are steadily rising due to medicine shortages. This has led to a sudden spike in demand for injection Remdesivir used in treatment of Covid patients. There is a potential of further increase in this demand in the future days. It has been duly reported that seven Indian companies are producing Remdesivir under voluntary licensing agreement with Gilead Sciences, United States. They have an installed capacity of about 38.80 lakh units per month. To ensure more people can get Remdesivir, the government said manufacturers of Remdesivir have been asked to show on their website the details of their stockists and distributors. Drugs inspectors and other officers have been asked to verify stocks, check any malpractice and stop hoarding and black marketing. Such factors initially impacted the overall industry critically but owing to high demand, the active pharmaceutical ingredient market again took back its initial form and is expected to rise favorably over the forecast period.
Request for [email protected]
Active Pharmaceutical Ingredient Market:
- North America
- Rest of North America
- The UK
- Nordic Countries
- Benelux Union
- The Netherlands
- Rest of Europe
- Asia Pacific
- New Zealand
- South Korea
- Southeast Asia
- Rest of Southeast Asia
- Rest of Asia Pacific
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa
- Latin America
- Rest of Latin America
Absolute Markets Insights assists in providing accurate and latest trends related to consumer demand, consumer behavior, sales, and growth opportunities, for the better understanding of the market, thus helping in product designing, featuring, and demanding forecasts. Our experts provide you the end-products that can provide transparency, actionable data, cross-channel deployment program, performance, accurate testing capabilities and the ability to promote ongoing optimization. From the in-depth analysis and segregation, we serve our clients to fulfill their immediate as well as ongoing research requirements. Minute analysis impact large decisions and thereby the source of business intelligence (BI) plays an important role, which keeps us upgraded with current and upcoming market scenarios.
Company: Absolute Markets Insights
Email id: [email protected]
Contact Name: Shreyas Tanna
The Work Lab,Model Colony, Shivajinagar, Pune, MH, 411016