Generic Pharmaceuticals Market Analysis

Generic Pharmaceuticals Market Overview

The Generic Pharmaceuticals Market Size was valued at USD 358.8 Billion in 2022 and is projected to grow from USD 390.37 Billion in 2023 to USD 766.50 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.80% during the forecast period (2023 - 2032). The increasing prevalence of chronic illnesses and an increase in the older population are the key market drivers boosting market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Generic Pharmaceuticals Market Trends

Growing demand for artificial intelligence systems is driving the market growth

Market CAGR for generic pharmaceuticals is being driven by the fact that robotic process automation AI is the application of computational methods intended to complete routine, rule-based operations. Ultimately, this automation frees up time, energy, and resources for the key operating actors in the target market to devote to higher-value operations. Using RPA to guarantee adherence to norms and regulations is one of the most promising new developments in the generic brand market. Generic medications' low prices make healthcare more accessible to more people and help bring down overall healthcare costs. Potential market growth drivers include factors including fast urbanization and digitization, improved healthcare infrastructure, and rising levels of awareness.

Additionally, due to innovations in generic pharmaceutical technology and rising investments in research and development within the pharmaceutical sectors, the generic pharmaceuticals market is expected to expand at a rapid rate worldwide over the next few years. However, the spread of generic medications is hindered in large part because of the FDA's strict standards, which evaluate the efficacy, adverse effects, and other ingredients used in generic pharmaceuticals. If pharmaceutical drug manufacturers don't adhere to regulatory guidelines, the drugs may be recalled. Purity, stability, and drug release are the primary factors that affect the quality of generic pharmaceuticals. To achieve the intended drug quality, these should be controlled within a suitable range or distribution.

The necessity for government clearance of generic drugs is expected to slow down the industry's growth in light of the stringent regulations. Moreover, the rising R&D spending in the pharmaceutical and biotechnology sectors is expected to create attractive opportunities for the demand for generic pharmaceutical tools. The increase in investments and government funds deployed in the field of medical diagnostics will further provide numerous growth opportunities for the market.

For instance, generic and biosimilar pharmaceutical leader Sandoz has announced that the officially recognized by the European Medicines Human Medicinal Products Advisory Committee has adopted a positive review recommending marketing authorization for their biosimilar trastuzumab (150 mg for intravenous use), originally developed by EirGenix Inc. As a result, it is likely that throughout the projection period, demand for generic medicines is due to the growing rate of cancer incidence. Thus driving the generic pharmaceuticals market revenue.

Generic Pharmaceuticals Market Segment Insights

Generic Pharmaceuticals Type Insights

The Generic Pharmaceuticals Market segmentation, based on type, includes simple generics, specialty generics, and biosimilars. The simple generics segment dominated the market because the simple generic pharmaceuticals needing bioequivalence studies have a well-defined development plan and regulatory procedure for filing an ANDA.  Government actions aimed at lowering healthcare spending on medicines, as well as rising approvals and product launches, continue to be projected to boost the industry.

Figure 1: Generic Pharmaceuticals Market, by Type, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Generic Pharmaceuticals Application Insights

The Generic Pharmaceuticals Market segmentation, based on application, includes central nervous system disorders, respiratory diseases, hormones & related diseases, gastrointestinal diseases, cardiovascular diseases, infectious diseases, cancer, diabetes, and others. In 2022, the infectious diseases segment sector held the highest market share globally, accounting for over 65.62% of the total revenue because Human Papillomavirus, the illness, hepatitis, human immunodeficiency virus, influenza, and tuberculosis are only a few examples of infectious diseases. The rising prevalence of diseases and consumer demand could drive the industry forward in the next years.

Generic Pharmaceuticals Product Insights

The Generic Pharmaceuticals Market segmentation, based on product, includes small molecules and large molecules. In 2022, the worldwide generic pharmaceuticals market share was dominated by the large molecule category because the prevalence of chronic diseases and the need for tailored treatment are both on the rise. The large molecule market is projected to expand more rapidly with the approval of insulin biosimilars.

Generic Pharmaceuticals Route of Administration Insights

The Generic Pharmaceuticals Market segmentation, based on the route of administration, includes oral, injectable, inhalable, and others. The injectable segment dominated the market because a generic injectable is identical to its brand-name analog in all aspects that matter, including safety, potency, dose form, performance, quality, and method of administration. There is a significant price difference between generic and brand-name injectable drugs. This is especially true for cancer therapies.  

Generic Pharmaceuticals Distribution Channel Insights

The Generic Pharmaceuticals Market segmentation, based on distribution channels, includes online pharmacies, retail pharmacies, and hospital pharmacies. In 2022, the worldwide generic pharmaceuticals market share was dominated by the retail pharmacies category because the expansion of the pharmaceutical sector is bolstered by the widespread distribution of pharmaceuticals through retail drugstore chains. The hospital affiliations also help market expansion with these companies.

Generic Pharmaceuticals Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American generic pharmaceuticals market area will dominate this market, owing to improved healthcare infrastructure, the growing elderly population, and the spread of information about medical conditions.

Further, the major countries studied in the market report are The US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: GENERIC PHARMACEUTICALS MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe’s generic pharmaceuticals market accounts for the second-largest market share because of the increasing need for personalized treatment, which can be traced to a number of causes, including expanding possibilities in cancer cell research and rising consumer awareness of medical technology advancements. Further, the German generic pharmaceuticals market held the largest market share, and the UK generic pharmaceuticals market was the fastest-growing market in the European region.

The Asia-Pacific generic pharmaceuticals Market is predicted to grow at the highest CAGR from 2023 to 2032. This is due to the rise of improvements in medical facilities and more government programs. Increased public awareness of health issues is a factor, as is the aging of the region's population. The generic pharmaceuticals industry in the area has been expanding rapidly in recent years, thanks in large part to a number of government initiatives. Moreover, China’s generic pharmaceuticals market held the largest market share, and the Indian generic pharmaceuticals market was the fastest-growing market in the Asia-Pacific region.

Generic Pharmaceuticals Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the generic pharmaceutical market grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the generic pharmaceutical industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global generic pharmaceuticals industry to benefit clients and increase the market sector. In recent years, the generic pharmaceutical industry has offered some of the most significant advantages to medicine. Major players in the generic pharmaceuticals market, including Teva Pharmaceutical Industries Ltd., Viatris Inc., Novartis AG, Sun Pharmaceutical Industries Ltd., LUPIN, AbbVie Inc. (Allergan), AstraZeneca, Sawai Pharmaceutical Co.Ltd., Hikma Pharmaceuticals PLC,  Dr. Reddy’s Laboratories Ltd., Cipla Inc.,  Sanofi, Aurobindo Pharma, and Endo International plc.

Global healthcare provider Viatris Inc. has made it possible for people to live healthier lives at every stage of life. It links more people with more goods and services, makes drugs more accessible to individuals, promotes environmentally sustainable operations, and discovers creative solutions through our unique Global Healthcare Gateway. They include a range of OTC products, well-known brands around the world, and high-tech branded and generic medications. In April 2023, Viatris Inc., a worldwide healthcare company, announced the establishment of its new Viatris Eye Care Division following the conclusion of its acquisitions of Oyster Point Pharma and Famy Life Sciences.

Hikma Pharmaceuticals PLC has been developing effective pharmaceuticals and making them available to those who are in need. Our nearly 760* high-quality generic, specialty and branded pharmaceutical items are used by hospitals, physicians, and pharmacists in the United States, Canada, the Middle East, and Europe to treat patients. In total, we employ almost 8,800 people at 32 production facilities and research and development centers. In June 2023, Hikma Pharmaceuticals PLC (Hikma), a global pharmaceutical company, released vancomycin hydrochloride for injection, USP 1.25g and 1.5g. The product launch in the US has taken place.

Key Companies in the Generic Pharmaceuticals market include

• Teva Pharmaceutical Industries Ltd.


• Viatris Inc.


• Novartis AG


• Sun Pharmaceutical Industries Ltd.


• LUPIN


• AbbVie Inc. (Allergan)


• AstraZeneca


• Sawai Pharmaceutical Co.Ltd.


• Hikma Pharmaceuticals PLC


• Reddy’s Laboratories Ltd.


• Cipla Inc.


• Sanofi


• Aurobindo Pharma


• Endo International plc

Generic Pharmaceuticals Industry Developments

January 2022: Viatris Inc. and Kindeva Drug Delivery L.P. introduced BreynaTM   Inhalation Aerosol, the first generic version of AstraZeneca's Symbicort®, which has an Abbreviated New Drug Application approved by the U.S. Food and Drug Administration. A combination of drugs and devices for certain individuals who have asthma or chronic obstructive pulmonary disease, Breyna, is advised. It will be immediately available in dose forms of 80 mcg/4.5 mcg and 160 mcg/4.5 mcg.

March 2023: Dr. Reddy's Laboratories Ltd. and its affiliates have announced the introduction of Regadenoson injectable, the USFDA-approved generic counterpart of Lexiscan® (Regadenoson) injectable, to the market in the United States.

Generic Pharmaceuticals Market Segmentation

Generic Pharmaceuticals Type Outlook

• Simple Generics


• Specialty Generics


• Biosimilars

Generic Pharmaceuticals Application Outlook

• Central Nervous System Disorders


• Respiratory Diseases


• Hormones & Related Diseases


• Gastrointestinal Diseases


• Cardiovascular Diseases


• Infectious Diseases


• Cancer


• Diabetes


• Others

Generic Pharmaceuticals Product Outlook

• Small Molecule


• Large Molecule

Generic Pharmaceuticals Route of Administration Outlook

• Oral


• Injectable


• Inhalable


• Others

Generic Pharmaceuticals Distribution Channel Outlook

• Online Pharmacies


• Retail Pharmacies


• Hospital Pharmacies

Generic Pharmaceuticals Regional Outlook

• 
  North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• 
  Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• 
  Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• 
  Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America