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Active Pharmaceutical Ingredients Market USD 219,601.9 billion by 2020

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Active Pharmaceutical Ingredients Market USD 219,601.9 billion by 2020

November 16
17:06 2018

Research Cosmos is an aggregator of syndicated and bespoke market research, business intelligence and consulting services on the gamut of sectors across the globe.
The report on “ Active Pharmaceutical Ingredients Market ” helps you to understand the market size, share, growth, trends, major companies performance data and market opportunities.

Active Pharmaceutical Ingredients market and its meteoric rise from 2010

Ever-rising war between man and diseases has seen an upward rise in the recent years. This has led to the healthcare industry booming at an unprecedented rate. And the growing investment of the government into drugs and APIs has enhanced the acceptance and use effectively. The active pharmaceutical ingredients market can be segmented into molecular entity natural and molecular entity synthetic. Synthetic APIs are further divided to chemical, biocatalytic and call structure. The API market has been divided into captive, merchant and contract manufacturing organizations and can be used for either commercial uses or clinical trials. The drug type can be branded, generic or over the counter.

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According to previous reports, the market share held by Indian API to the world API market was just around 12% in 2010. While today the Indian market stands at over 36% to the global market. The global API market was valued at US $151,591.7 billion in 2016 and is projected to grow at a CAGR of 6.4% to US $219,601.9 billion by 2023. The captive and contract segment are expected to grow the most with the captive segment generating over US $ 100,476.0 million in the forecasted period. While between the synthetic and natural type, the synthetic is expected to generate revenues of US $ 144,838.9 million and the branded drug will generate around US $164,481.9 million. In terms of geography API manufacturing is focussed mostly to North America, Asia Pacific, Latin America and the rest of the world. In the recent years, the major player was seen to be Asia Pacific, however, increase in regulatory and supply chain intervention of the government has led to the API market to move from Asia Pacific zones unto Western Europe and Americas. Increasing adoption of safety measures and precautions and quality standards has inadvertently stunted the growth of API’s with only niche players being able to conform to the standards set. Some of the key players are BASF, DuPont, Bayer, Sun Pharma, Pfizer etc.

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Because of the market being extremely fragmented and risky, the latest trend is they often work in tandem with organizations that have acquired them. And because of the growing umbrella of diseases that these API’s cater to, they are being widely accepted by pharmaceutical firms. Another prominent factor that is playing a threat to the slowdown of the API market is the concept of product differentiation apart from the high manufacturing costs. Thereby, pricing of the drug inherently plays a vital role in the sale of the product.

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