Compounding Pharmacies Market size was over USD 6 billion in 2015 and is expected to grow at over 5% CAGR from 2016 to 2024.
The growing geriatric population and their improved longevity is anticipated to increase demand for compounded medicine. As per UN estimates, the number of people above 60 years of age is projected to grow from 901 million in 2015 to 1.4 billion in 2030. It is expected to double its size and reach nearly 2.1 billion by 2050.
Request for an in-depth table of contents for this report
Compounding allows dispensing of medication according to patient specifications in terms of route of administration, composition and dose of medication. The practice of dispensing tailored medicine is widely accepted in regions where availability of standardized drugs is a challenge. The increased acceptance trend of personalized medicine will fuel industry growth.
Shortage of drug supply across various regions will boost the industry growth. Amongst others, U.S. alone is facing a shortage of over 300 drugs. For instance, more than one million women go through menopausal phase annually requiring human replacement therapy. Compounded drugs are sought for as an option, when need for critical drugs are not met through commercially available branded drugs.
Convenience of compounded drug administration provides a significant benefit, specially during alleviation of chronic pain associated with cancer where patient is unable to swallow the medication. It is estimated that about 116 million people in U.S. suffer from chronic pain associated with chronic diseases. The drug are either administered as a transdermal or intravenous preparation. Convenient drug dispensing methods will enable distribution of small and unique doses thus improving the acceptance of compounded medicines.
The potential restrain for industry growth should be the unavailability of skilled lab technicians and pharmacists. Furthermore, the pharmacies involved in preparation of injectables incur high cost for purchasing equipment and maintaining a sterile environment with minimal risk of contamination.
Based on therapeutic area, compounding pharmacies dispense medication predominantly for pain management, hormone replacement and others. Special preparations for pain management enable delivery of correct dose to a patient without any adverse effects. Pain management dominates the compounding market size and is expected to continue its dominance during forecast period followed by hormone replacement therapy and others.
Compounding pharmacies are required to conform with the regulatory guidelines issued by state laws governing the practice. The growing need to strictly comply with the changing regulatory specifications should act as an impediment for industry growth.
Increasing Demand for Anti-aging and other cosmetic products is anticipated to drive cosmeceuticals compounding market size. The demand for compounding services in bio-identical hormone replacement and other such sub-therapeutic areas is increasing gradually. In U.S., out of about 56,000 community-based pharmacies, approximately 7,500 pharmacies are specialized in compounding services with majority of the pharmacists engaged in formulation of compounded drugs.
U.S. dominates the region with revenue of over $5.6 billion in 2015. It is expected to have a stable growth due to increasing geriatric population, higher life expectancy and increasing per capita income of the citizens. Regulating the compounding pharmacies, FDA needs manufacturing facilities to comply with good manufacturing practices and takes disciplinary action against any reports of drug contamination in the country.
Make an inquiry for purchasing this report
Europe is the second largest market for compounded pharmacies. Improved healthcare infrastructure and rise in number of skilled pharmacists is expected to have a positive impact on industry growth.
Asia-Pacific is anticipated to witness a double digit growth with countries such as Singapore and Australia driving the market growth. Strong economic growth and improved R& D activities will drive the regional market growth. Products used for pain management are expected to stimulate market growth whereas, lack of reimbursement policies will hindrance regional industry growth.
Some of the major players in compounding pharmacies include Fagron, PharMEDium Services, B. Braun Melsungen AG Company, Institutional Pharmacy Solutions, Triangle Compounding Pharmacies, Cantrell Drug Company, Fresenius Kabi AG and Lorraine’s Pharmacy.
About Global Market Insights
Global Market Insights, Inc., headquartered in Delaware, U.S., is a global market research and consulting service provider; offering syndicated and custom research reports along with growth consulting services. Our business intelligence and industry research reports offer clients with penetrative insights and actionable market data specially designed and presented to aid strategic decision making. These exhaustive reports are designed via a proprietary research methodology and are available for key industries such as chemicals, advanced materials, technology, renewable energy and biotechnology.