Plastic Healthcare Packaging Market

Key Points Covered in the Plastic Healthcare Packaging Market Study

• Market Estimates and Forecast 2016–2031
• Key Drivers and Restraints Impacting Market Growth
• Segment-wise, Country-wise, and Region-wise Analysis
• Competition Mapping and Benchmarking
• Market Share Analysis
• Key Product Innovations and Regulatory Climate
• COVID-19 Impact on Plastic Healthcare Packaging and How to Navigate
• Recommendation on Key Winning Strategies

2015-2020 Plastic Healthcare Packaging Market Outlook Compared to 2021-2031 Forecast

The global market value of plastic healthcare packaging is expected to increase at a growth rate of 5.1% during 2021-2031 in comparison to the 3.6% CAGR registered during 2016-2020. Growth witnessed can be attributable to the discovery of new drugs for treatment of health issues and to prevent spread of chronic diseases.

The consumption of plastic packaging in the healthcare industry is further expected to rise on the back of government funding for healthcare and pharmaceutical centers for drug development.

Recently, the Guangzhou Sino-Israel Bio-industry Investment Fund (GIBF) announced fund of US$ 300 million for joint drug development ventures. FMI has predicted that the increasing drug production and government initiatives toward development of healthcare and pharmaceutical sectors will generate significant growth opportunities for the plastic healthcare packaging market in the coming years.

Furthermore, plastic healthcare packaging formats are preferred by consumers, as these not fragile and are easy to handle compared to alternative packaging solutions available in the market. Inclusion of child resistant packaging, user-friendly solutions, and eco-friendly material is expected to increase sales in the market.

Increasing use of interactive technologies such as barcoding and QR codes help in easy tracking of inventories, while minimizing the chances of counterfeiting drug formulations.

The COVID-19 outbreak has directly affected the packaging industry in a positive way, as the demand for cost-effective, high-quality, and efficient healthcare packaging solutions will gain ground through the crisis.

Manufacturers prefer plastic packaging for healthcare owing to anti-microbial properties and reduced risk of breakage. Products with PCR content and bioplastics which are non-reactant and eco-friendly are likely to become popular.

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What is the Impact of the COVID-19 Crisis on the Plastic Healthcare Packaging Market?

The COVID-19 outbreak has impacted almost every aspect of life around the world, changing the purchase patterns of consumers who are concerned about safe and hygienic packaging.

The impact of COVID-19 on the packaging industry is mixed as the demand for healthcare packaging remains strong, but the lack of raw materials, storage units, manpower due to worldwide shut down has created a challenge for manufacturers to balance the demand and supply.

Packaging manufacturers have been pushed to focus on regional diversification, product portfolios, and governmental rules of lockdown at different countries. According to FMI, the industry will witness a gradual recovery driven by the resurgence of global demand.

Country-wise Insights

Why is the Demand for Plastic Healthcare Packaging Increasing across China?

According to the FMI, the China market will rise at a CAGR of 8.0% in the year 2021-2031 and is estimated to hold a volume share of 53.9% in 2021 in the East Asia market. As per PlasticsEurope, a European trade association, world plastic production was nearly 368 million tons in 2019 and China accounted for more than 1/3rd of the volume share.

Amid the COVID pandemic, the government in China has boosted the production of plastic healthcare packaging solutions. Availability of plastic raw materials are propelling growth opportunities for the key players of the target market.

China is one of Asia’s largest contributors in the production of healthcare products. The enormous market continues to grow rapidly driven by economic growth, expenditure, and aging population owing to investments into basic health treatments. The country is projected to grow rapidly due to low cost of raw materials and labor charges.

Why are Market Players Willing to Invest in India?

According to FMI, the India market is growing steadily due to the presence of several small-and-large scale companies who are ready to widen their reach across for the production of plastic healthcare packaging.

In the South Asia market, India is expected to hold major share of 35.3% in 2021. Increasing government initiatives and awareness regarding personal health and hygiene are key factors supporting demand. The country is expected to witness prominent growth of 8.4% during the assessment period.

This growth is attributable to economic development, low cost of labor and deployment. Many key players are looking to invest on multiple profit earning opportunities in the emerging economies of India and China.

Why is the U.S. Estimated to be a Highly Lucrative Plastic Healthcare Packaging Market?

The U.S. is currently the next most attractive market after Europe, according to FMI. The U.S. is estimated to hold a market share of 69.4% in North America and is estimated to have a year-on-year growth rate of 5.2% in 2021.

The U.S. remains one of the leading manufacturers of pharmaceutical drugs, directly increasing the demand for safe and high-quality healthcare packaging.

According to the Organization for Economic Co-operation and Development (OECD), the U.S. is globally the country with the highest per capita healthcare spending, totaling US$ 10,966 Mn in the year 2019. The U.S. also spends more per person on health care and medicines more than any other country.

Why are Manufacturers Eyeing Germany to Consolidate Market Position?

The Federal Statistical Office of Germany has reported that healthcare spending rose by 4% in 2018 from 2017 in Germany. In 2018, the country’s healthcare expenditure accounted for 11.7% of the GDP. Moreover, country’s projected healthcare spending exceeds US$ 505 Bn in 2020, creating a conducive environment for the expansion of plastic healthcare packaging market.

Demand for plastic healthcare packaging in Germany is expected to rise at nearly 3.8% CAGR over the forecast period. Germany is well known for its technology-driven industry and its developments in the healthcare sector owing to the stringent government rules and initiatives. The rise in number of factories of medical devices and high consumer attractiveness towards healthcare is anticipated to cover over 14.8% of the Europe market by the year 2031.

Category-wise Insights

What is the Top Selling Product Type in the Plastic Healthcare Packaging Market?

Prefilled inhalers, syringes and cartridges are widely used all over the world and the segment accounts for a market share of 62.6% through the end of the year 2031. Rising occurrences of respiratory diseases will enhance the sales of pre filled inhalers.

Vials and ampoules are anticipated to grow a robust 4.7% year over year in 2031. Demand has significantly increased since the Covid 19 outbreak owing vaccination requirements. Plastic packaging also ensures temperature resistance, as some drugs needs to be stored at a low temperature. Vials and ampoules are forecasted to expand 1.7 times by the year 2031.

Which is the Most Commonly Used Material in the Plastic Healthcare Packaging Market?

Polypropylene products reached US$ 7.6 billion in 2021 with a market share of 33.3% in 2021 and it estimated to expand 2.0 times its current market size by 2031. Stringent rules regarding the global usage of plastics and the environmental hazards caused by the extensive use of plastic materials have forced manufacturers to switch to materials that has a higher number of cycles for reuse and recycling, supporting long term growth.

Which Application of Plastic Healthcare Packaging Holds the Maximum Share?

By application, medical devices hold a dominant share of 57% in 2021. The technological advances in the medical device industry tend to challenge the packaging industry to innovate with high quality, anti-microbial packaging.

On the back of this, the medical devices segment is estimated to witness a gain of 430 bps by 2031-year end. On the other hand, pharmaceuticals are expected to hold a market share of 43% in 2021, which will gradually fall to 38.7% in 2031.

Competitive Landscape

Companies operating in the plastic healthcare packaging market are aiming for strategic collaborations and partnerships with other manufacturers to expand their product portfolio, in addition to investing in capacity expansions.

• In April 2021, Amcor plc launched a recyclable polyethylene-based thermoform blister packaging format. It is intended to meet the high standards of regulated pharmaceutical packaging that creates a sustainable alternative.
• In January 2021, Gerresheimer planned to build a second production plant near Mumbai, India to meet plastic healthcare packaging requirements worldwide. The product portfolio includes plastic containers, plastic ampoules, plastic bottles and more in a variety of designs.
• In December 2020, Airnov Healthcare Packaging introduced OXYNOV. The packaging products are applicable for high protective barrier bottles required for pharmaceutical, nutraceutical, and probiotic products.

Scope of the Report

Key Questions Answered in the Report

• What is the current valuation of the plastic healthcare packaging market?

  The current valuation of the plastic healthcare packaging market in 2021 is estimated to be US$ 22.6 billion.

• Which is the most lucrative market for plastic healthcare packaging?

  Europe currently leads the global market for plastic healthcare packaging products. Sales in the region account for more than 30% in 2021.

• Which is the top-selling plastic healthcare packaging by product type?

  In terms of usage, prefilled inhalers, syringes and cartridges are expected to outpace other segments and are estimated to reach nearly US$ 23 Billion, by 2031.

• What is the outlook for the plastic healthcare packaging market in Japan and South Korea?

  Japan is emerging as a high potential market with a CAGR of 8.7%. South Korea will also reflect steady growth with a 4.5% CAGR through the end of 2031.

• Which are some of the leading companies offering plastic healthcare packaging products?

  Some of the leading companies in the market include Wipak Ltd., Aptar Group, Inc., West Rock Company, West Pharmaceutical Services, Inc., Bilcare Limited, Gerresheimer AG, Constantia Flexibles Group and among others. These players are estimated to hold nearly 20% to 30% share in the global plastic healthcare packaging market.

• Which plastic material type is accountable for driving sales of plastic healthcare packaging?

  Polypropylene is the most commonly used plastic material in the healthcare packaging industry as it is useful for disposable packaging formats. The segment’s global volume is estimated to display a year-on-year (Y-O-Y) growth rate of 5.8% in 2021.

• What are the key factors driving plastic healthcare packaging sales?

  The key factors driving the sales of plastic healthcare packaging are functional benefits over other materials such as glass and metals. A higher per capita healthcare expenditure and the recyclability of materials like polyvinyl chloride and polypropylene support market growth.

• What are the key trends prevailing in the plastic healthcare packaging market?

  Considering the growing focus of manufacturers and consumers on sustainability, bio-based plastics are gaining traction. Also, there is high focus on the formulation of new drugs, laboratory tests, and innovations during the pandemic.

• At what rate will the India plastic healthcare packaging market grow?

  FMI has forecasted that the Indian plastic healthcare packaging market volume is to exhibit a CAGR of 7.9% between 2021 and 2031.

• What is the incremental opportunity of the Plastic healthcare packaging market in North America?

  According to FMI analysis, the plastic healthcare packaging market in North America is estimated to have an incremental opportunity of US$ 3.8 billion during the forecast period.

Plastic Healthcare Packaging Market by Category

By Product Type:

• Vials & Ampoules
• Blisters
• Bottles
  • Dropper Bottles
  • Nasal Spray Bottles
  • Liquid Bottles

• Bags, Pouches & Sachets
  • IV Bags
  • Medical Specialty Bags
• Prefilled Inhalers, Syringes & Cartridges
• Containers & Jars
• Caps & Closures
• Trays
• Medication Tubes

By Material Type:

• Polyethylene
  • Low Density Polyethylene (LDPE)
  • High Density Polyethylene (HDPE)
  • Linear Low Density Polyethylene (LLDPE)
• Polyvinyl Chloride
• Polystyrene
• Polypropylene
  • Bi-axially Oriented Polypropylene (BOPP)
  • Cast Polypropylene (CPP)
• Polyethylene Terephthalate
  • Bi-axially oriented Polyethylene Terephthalate (BoPET)
  • Metallized PET
• Others (Polycarbonate)

By Application:

• Medical devices
  • Sterile packaging
  • Non sterile packaging
• Pharmaceuticals

By Region:

• North America
• Latin America
• Europe
• South Asia
• East Asia
• Oceania
• Middle East and Africa (MEA)