With PACK EXPO East (Feb. 27–March 1, Pennsylvania Convention Center, Philadelphia) quickly approaching, show organizer PMMI, The Association for Packaging and Processing Technologies, reports that the market for pharmaceuticals and medical devices continues to grow. In total, the 2015 pharmaceutical industry produced $1.1 trillion in global sales with medical devices reaching $350 billion. PMMI explores the global expansion of the pharmaceutical and medical device market, including the impact of mergers and acquisitions in the associations’ latest infographic, “Pharmaceutical and Medical Device Market Trends.”
“With such significant industry growth, now is the time to invest in new technologies to improve operations and get prepared for more growth ahead,” says Paula Feldman, director, Business Intelligence, PMMI. “With two out of three companies predicting an increase in capital equipment over the next one to two years, the U.S. remains the largest market for pharmaceuticals and medical devices and there are great opportunities for OEMs in both segments.”
U.S. shipments for the pharmaceutical market accounted for 70 percent of the sector, while medical devices made up 30 percent. Legacy lines are driving equipment change. Manufacturers have outdated equipment that needs replacing now or in the very near future. Branded and specialty drugs and innovative medical devices will likely drive spending growth in the developed markets, while an overall increase in the use of pharmaceuticals and medical devices will likely spur growth in emerging markets.
An aging population, longer life expectancy and a general increase in rare or chronic diseases is impacting healthcare worldwide. As the infographic shows, global medicine use is expected to reach 4.5 trillion doses by 2020, up 24 percent from 2015, emphasizing the opportunity in this market segment.
Industry consolidation continues to change the landscape of this sector. Mergers and acquisitions have seen double-digit growth in the past three years and remain a major component of strategic growth. Larger players are establishing strategic partnerships with smaller niche companies to increase the scope of product offerings and often to establish a foothold in offshore markets.
For more detailed information on pharmaceutical and medical device industry trends including a look at trends in technology, equipment procurement, regulations and standards and the impact on manufacturing download PMMI’s 2016 Pharmaceutical and Medical Device Report.
PMMI’s PACK EXPO portfolio of trade shows continuously brings opportunities for the packaging machinery industry to support and grow. PACK EXPO East 2017, the industry’s premier trade show experience in the East, returning to Philadelphia, brings together suppliers of packaging innovations for pharmaceutical/medical device, food, beverage, cosmetic/personal care, chemical/household and other packaged goods that serve companies of all sizes. With one-third of the nation’s consumer packaged goods companies and a significant number of major pharmaceutical manufacturers located within 200 miles of Philadelphia, PMMI is expecting another top-tier event for the growing industry.