A fresh business intelligence study by Future Market Insights (FMI) has reassured the faith in the global small molecule API market, with the analysts rejecting the misconception among investors and observers that the small molecule drugs are becoming obsolete. The analysts of the FMI report have detected that more than half of new drug applications (NDAs) that gain approval are still developed using small molecule and they represent the most prominent chunk of novel drugs in the pipeline. While there indeed is a growing demand for large molecule therapies, small molecule continues to stand highly important as they offer substantial advantages over large molecules. The FMI report has projected the demand in the global small molecule API market to expand at a CAGR of 4.9% during the forecast period of 2017 to 2027.
Some of the key companies currently ahead of the curve in the global small molecule API market are Sun Pharmaceutical Industries Ltd., Albemarle Corporation, Pfizer Inc., Aurobindo Pharma, Allergan Plc, Novartis AG, Cambrex Corporation, Glaxosmithkline Plc, Lonza, Dr. Reddy’s Laboratories Ltd, Merck Sharp & Dohme Corp., Mylan N.V., Siegfried AG, and Teva Pharmaceutical Industries Ltd. For most of the companies, mergers and acquisition activities, geographical expansion into emerging economies, and development of novel drugs that go on to gain FDA approvals are the three primary strategies to maintain their leadership position.
For instance, BASF Pharma Ingredients and Services sold its Norwegian OMEGA-3 manufacturing facilities while Biocon took back the control of research services subsidiary Syngene in India. Catalent has acquired Micron Technologies in order to provide enhanced solubility solutions while Dr. Reddy’s has received form 483 for an FDA inspection. Over in France, Novaset has let go of its Bahamian manufacturing facility as well as subsidiary named Pharmachem Technologies.
Some of the key factors driving the demand in the global small molecule API are: its ability to engineer strong therapies in small doses, ranging from a few micrograms to 10 mgs, formulations that can consumed orally that are usual well received by drug administrators than injectable, availability of a vast number of experience experts who can operate with small molecule, and cost of drug development. The analysts of the report has noted that clinical trials pertaining to small molecule are simple and moderately less expensive in comparison to large molecule. In addition to that, the small molecule therapeutics have gained tremendous amount of funding for research and development in the recent past and contract manufacturing organizations are mushrooming, which will also bear fruits during the forecast period of the report.
Application-wise, the report segments the global small molecule API market into clinical and commercial, whereas based on therapeutic area, the market has been bifurcated into respiratory, cardiovascular, immunology, infectious, oncology, metabolic, urology, neurology, ophthalmology, dermatology, general health, and others.
Geographically, the report rates Asia Pacific as one of the most promising region with great potential, projecting the demand to increment at an above average CAGR of 5.8% during the forecast period of 2017 to 2025. It has been detected that most of the antibiotic drugs and anti-inflammatory drugs are currently being developed in the Asian countries such as India as a result of strong outsourcing processes from the developed regions of North America and Europe. There is an abundant availability of raw materials in the region and skilled professionals are present at reduced cost. As governments in these countries continue to invite foreign investment, the Asia Pacific except Japan (APEJ) small molecule market is projected to prosper solidly in the near future. The APEJ region is projected to provide for a demand worth of US$52 bn by 2027.
Queries regarding these research findings can be addressed to Future Market Insights’ analysts at firstname.lastname@example.org