Key Takeaways:
· Large healthcare systems, high per capita income, and large investments in drug development are key factors driving the U.S. market.
· Smart packaging technologies designed to increase patient engagement are trending.
· While automation proves to be valuable to the industry, many manufacturers find there are barriers to adopting these technologies.
The pharmaceutical industry has been expanding in recent years due to scientific and technological advancements. Globally, the pharmaceutical packaging market size was valued at $139.37 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 9.7% from 2024 to 2030, reports Grand View Research.
Last year, the U.S. accounted for the largest pharmaceutical market worldwide, according to the report. Large healthcare systems, high per capita income, and large investments in drug development in the country are some of the key factors driving the U.S. market. The growing importance of generic drugs and access to better healthcare services are anticipated to provide gainful opportunities for pharmaceutical packaging in the coming years.
Like any industry, with growth comes new developments that then blossom into new trends. The three biggest that are emerging for pharmaceutical packaging are sustainability, smart packaging to improve patient compliance, and new ways to boost safety.
Sustainability
Sustainability continues to be a major focus across all industries, and pharmaceutical packaging is no exception. This shows up in ways like lightweighting, developing packaging made from compostable materials, and/or utilizing post-consumer recycled (PCR) material. Rebecca Marquez, director of custom research for PMMI, The Association for Packaging and Processing Technologies, states that both consumer demand and regulatory pressures are bolstering the drive toward eco-friendly solutions. Biodegradable and recyclable materials are becoming more prevalent, with companies increasingly opting for packaging made from plant-based plastics and recycled materials. This trend of sustainable packaging is expected to significantly gain pace in the coming years.
Smart packaging
Marquez says another growing trend is smart packaging technologies designed to increase patient engagement and adherence to medication regimens, which are crucial factors in treatment outcomes. Smart blisters and bottles equipped with embedded sensors can now track dosage and provide reminders via smartphone apps. Moreover, these packaging solutions can relay adherence data back to healthcare providers, allowing real-time treatment plan adjustments.
Piggybacking on smart packaging is the idea of intelligent packaging technologies that enhance safety, traceability, and patient adherence. Integrating IoT (Internet of Things) devices into packaging can provide a new way to interact with patients and gather valuable data. It also offers real-time monitoring of temperature, humidity, and other critical parameters, ensuring the integrity of pharmaceutical products during storage and transportation.
Safety first
With the rise in medication complexity and the need to ensure absolute product integrity, Marquez says that enhanced safety features in packaging are more crucial than ever. Tamper-evident and child-resistant packaging are becoming the norm, not just a regulatory requirement. Innovations such as holographic images and color-shifting inks are being used to combat counterfeiting, a significant concern in the pharmaceutical industry. Then there is the use of IoT as mentioned above to track the temperature and humidity of sensitive products during transportation to maintain the product’s integrity. These features make it easier to verify the authenticity of products and ensure that consumers receive safe, effective medications.
PMMI Business Intelligence: Pharmaceutical Packaging
As the industry grows and becomes more sophisticated, so does the machinery that aids in pharmaceutical manufacturing. Currently this equipment makes up 11% of the packaging machinery market and is forecasted to grow 7.8% by 2027, according to PMMI Business Intelligence’s Pharmaceutical Manufacturing: The Future Ahead (Pharmaceutical Machinery Shipments, PMMI 2023 State of the Industry report).
In direct response to the trends listed above, there are four key opportunities, or challenges, as it relates to pharmaceutical packaging machinery:
Automation
Automation in pharmaceutical packaging is increasing efficiency and reducing human error all while ensuring precision and compliance with stringent health regulations. Marquez says that integrating digital systems into pharmaceutical operations streamlines production and enhances the capability to monitor and control the quality of packaging operations in real time. But while the pros may outweigh the cons, barriers to automation remains a challenge for manufacturers. PMMI’s business Intelligence report states the common barriers for manufacturers are:
· Cost
· Time
· Government compliance
· Lack of skilled/knowledgeable automation engineers
· Line interruptions/ downtime
Sustainability
While sustainability is a trend for pharmaceutical packaging itself, it remains a challenge, or maybe better said, an opportunity when talking about pharmaceutical packaging machinery. Common sustainability strategies include:
· Changing packaging formats
· Seeking more energy efficient equipment
· Lightweighting
Supply Chain
Pharmaceutical manufacturers face continued supply chain issues that show up as:
· Delays in acquiring parts
· Difficulties sourcing raw materials
· Equipment backlog
Regulation Compliance
Regulatory requirements for serialization are tightening globally, emphasizing traceability throughout the supply chain. Packaging now often includes unique identifiers that comply with global standards such as the Drug Supply Chain Security Act in the United States.
