Generic Injectables Market size was valued at USD 83.09 billion in 2021 and is expected to grow at a CAGR of 12.2% from 2022–2028. Generic injectables are bioequivalent to their branded counterparts; they are as safe and effective as innovator compounds. Only after the patent on the branded drug has expired can these medications be created for commercial use. Generic injectables have low R&D costs because the drug molecules are equivalent in branded and generic formulations. Drugmakers can sell generic injectables at low prices because of the minimal upfront R&D costs. According to the USFDA, a single generic competitor can result in price reductions of 30%, whereas five generic competitors can result in price reductions of 85%. Furthermore, generic drugs are approved faster than branded medicines. According to the US Food and Drug Administration (USFDA), 107 first-generation generic pharmaceuticals and 110 complicated generic drugs were approved in 2019, accounting for 11% of all generic drug product approvals. One thousand fourteen generic medicine applications were granted or tentatively approved by the generic drugs program in 2019. Furthermore, the development of a new chemical entity takes roughly a decade on average, whereas generic injectables are developed in a fraction of that time. As a result, one of the primary drivers encouraging new companies to enter the market and driving the generic injectables market is the lower cost associated with generic injectables. Manufacturers in the generic injectables market are preparing for the future by keeping adequate supply chains to avoid any COVID-19-like vulnerabilities. Drug companies such as Zydus Cadila have been seen lowering the price of Remdac, the generic version of Remdesivir. Companies are utilizing government programs and financing schemes given by the BFSI industry to streamline their operations in response to turbulent market conditions. Furthermore, branded injectables’ patents are set to expire in the coming years in several countries, presenting a lucrative opportunity for generic injectables manufacturers. Generational injectables businesses target regulated markets and explore other markets to generate funds and build steady revenue streams.
Recent Market Developments:
In January 2022, Hikma Pharmaceuticals launched Hikma 503B, a new outsourced sterile compounding business. The unit would focus on providing high-quality, ready-to-administer injectables and customized medications for the US market.
In April 2022, Hospira, Inc., the world leader in generic injectable pharmaceuticals, acquired the generic injectable pharmaceuticals business of Orchid Chemicals & Pharmaceuticals Ltd., a leading Indian pharmaceuticals company, for approximately $400 Billion.