Across the globe, millions of people are suffering from the Covid-19 and hundreds of healthcare organizations and companies are working towards development of cure for this disease. With the recent positive news on possible cure, in the form of vaccines; the global headwinds are shifting towards fulfilment of spontaneous demand of products which are required alongside drug discovery.
While the whole world waits for the vaccine to come out soon, the pharmaceutical packaging companies are redefining their strategies to accelerate production of Parenteral packaging products which will be used for packaging of COVID-19 vaccines.
Due to global nature of this outbreak, there is huge demand for vaccines from almost every country in the world. Growing need of vaccines will ultimately drive demand for required Parenteral packaging products such as ampoules, vials and syringes. However, it should also be understood that the existing production capacities are not enough to meet this short-term demand. The pharmaceutical packaging companies have been preparing to scale up their operations since last couple of months. As per an estimation, COVID-19 outbreak will generate additional demand of more than two billion units of pharmaceutical Parenteral packaging products (ampoules, vials, syringes, etc).
Top Companies in Europe Pharmaceutical Parenteral Packaging Market
In Europe, two major German companies, i.e., Gerresheimer and Schott, are leading the space with dominant market share in the global Parenteral packaging market. However, Italian firms Stevanato Group and Bormioli Pharma are also set to leverage this huge opportunity in the market.
Schott AG: The company had annual turnover of USD 2.54 Billion in 2019 and 23% of which is generated in North America. With 16,200 employees, it has production plants and sales offices in more than 34 countries across the globe. Recently, the company has reached agreements with leading pharmaceutical manufacturers to supply glass vials to serve local vaccine production needs.
Gerresheimer AG: The company generated annual turnover of EUR 1.4 Billion in 2019 with pharmaceutical primary packaging segment accounting for 45% of its revenue. The company has diversified presence in the global Parenteral packaging market, with 55%, 27% and 18% of its revenues coming from Europe, Americas and Emerging Markets, respectively. The company witnessed organic growth of 2.1% in its revenues, during third quarter of financial year 2020. Along with Stevanato Group and Schott AG, the company has also committed to support future COVID-19 vaccine production with Parenteral packaging containers.
Stevanato Group: The company employs more than 4,000 people and generated EUR 571 Million in 2019. It produced 1.5 billion diagnostic consumables and 1 billion Pen-injectors in year 2019. Its revenues have grown with a CAGR value of around 14%, during year 2015-2019. It has 9 strategically located production facilities for pharma and healthcare products. The company claims to export its products to more than 150 countries around the world.
Bormioli Pharma: Every year, Bormioli Pharma produces more than 7 billion units of pharmaceutical packaging products, for variety of applications. With over 1200 employees and 8 factories, the company generated annual turnover of more than 250 Million Euros in 2019.
While governments and pharmaceutical companies are ordering hundreds of millions of dollars’ worth of vaccines and pushing the pharmaceutical glass packaging companies to ramp up their production lines; therefore, being the pioneer of innovation in this space, these firms are rapidly scaling up their operations within and outside Europe.
Top Companies in the US Pharmaceutical Parenteral Packaging Market
In the US, the government is supporting pharmaceutical Parenteral packaging companies by providing financial assistance which will help them to cater to strong anticipated demand. Leading US-based pharmaceutical packaging manufacturer SiO2 Materials Science was awarded USD 143 Million to boost its production of syringes and vials. Also, the world’s largest US-based pharmaceutical glass tubing (used as raw material for Parenteral packaging products) manufacturer Corning Incorporated has won USD 204 Million in US Government funding to boost its production volumes.
SiO2 Materials Science: The company is a privately-owned and headquartered in the United States. The company has planned expansion of its vials production capacity from 400 million to 1.2 billion by the end of year 2020. SiO2 Material Science will supply plastic vials (fused with a layer of glass 50 times finer than a strand of human hair) for drug maker Moderma’s COVID-19 vaccine. SiO2’s COVID-19 vaccine vials combine the best of plastic and glass material.
Corning Incorporated: With strong experience spanning over 165 years and more than 50,000 employees, the company is the leader in pharmaceutical glass tubing market. In 2018, the company generated sales of USD 11.4 Billion. In 2015, Corning acquired Gerresheimer’s pharmaceutical glass tubing business for total consideration of approximately USD 220 million.
Top Companies in Japan Pharmaceutical Parenteral Packaging Market
In Japan, Nipro Corporation has invested heavily in this space and delivered its first batch of vials for COVID-19 vaccines in June 2020. The company claims to have sufficient supply for filling of COVID-19 vaccines in excess of 1 billion doses. Being the vertically integrated player in the Parenteral packaging market, the company has an edge over other small Parenteral packaging manufacturers in the market.
Nipro Corporation: Founded in 1954, the company employs more than 4,060 people in year 2020. The company generated revenues of more than USD 346 million from its pharma packaging business, while its total sales stood at USD 4.2 Billion in year 2020. It has total capacity of producing more than 90,000 tonnes of pharmaceutical packaging every year.
Top Companies in APEJ Pharmaceutical Parenteral Packaging Market
Piramal Glass from India and Ghani Global Group of Pakistan, are also exploring opportunities, generating from the spontaneous global demand for vaccines. Piramal Glass has production capacity of more than 400 million (or 45 TPD) type-1 glass vials and infusion bottles per year.
In China, Shandong Pharmaceutical Co. Ltd. along with other smaller players are catering to the demand for Parenteral packaging products. Shandong Pharmaceutical Co. Ltd. was founded in 1970 and produces more than 1.4 billion glass ampoules every year. The company claims to have global presence and stated on its website that it exports its products to more than 65 countries, across the globe.
Pharmaceutical Manufacturers are Conducting Extensive Market Research to Select Relevant Suppliers for their Packaging Needs
Considering the large base of Parenteral packaging suppliers catering to international markets, it is becoming more challenging for the pharmaceutical manufacturers to select a supplier that offers good quality products at cheaper price range. Higher cost of packaging would directly impact the cost of final pharmaceutical product. Therefore, Newton Consulting Partners have prepared a Supplier Assessment of Parenteral Packaging Market to help companies select the most relevant supplier for their packaging needs. We have created detailed profiles of all major companies active in the global Parenteral packaging market. To request full supplier selection study, please click here.
Top Companies in the Pharmaceutical Glass Tubing Market
Pharmaceutical glass tubing is used as a raw material to manufacture Parenteral packaging products such as ampoules, vials, syringes, and cartridges. Borosilicate glass i.e., Type I glass is primarily used to manufacture pharmaceutical glass tubing. It should be noted that globally over 4/5th of the glass vials and ampoules are manufactured from borosilicate glass material. The demand for borosilicate glass tubing is increasing at a much faster pace than ever before, due to its inert properties which other conventional materials do not offer. The supply base of pharmaceutical glass tubing market is consolidated in nature with the presence of only a few players in the developed as well as in developing economies.
The market consolidation has created a pressure on packaging converters due to fewer options of pharmaceutical glass tubing suppliers. Packaging converters face the challenge of high cost due to low bargaining power on their side. However, the increasing demand for Parenteral packaging products has gained significant attention from the investors and other established specialty glass manufacturing companies. Key players dominating pharmaceutical glass tubing market are Schott AG (Germany), Nipro Pharma Packaging (Japan), and Corning Incorporated (United States).
Chinese companies are also gaining strong foothold in the pharmaceutical glass tubing market owing to their capability to supply products at low cost with average quality. Chinese companies are expected to expand their market presence through outsourcing high-quality pharmaceutical glass tubing manufacturing machinery from European suppliers and capacity additions in the coming years.
To order full market research report on Global Parenteral Packaging Market, Global Pharmaceutical Packaging Market and Global Glass Tubing Market; please click here. The report is available at a cost of USD 4,000 for single user license.
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