SMALL MOLECULE API MARKET ANALYSIS

Market Size and Trends

The small molecule API market is witnessing rapid growth due to increasing number of corporate agreements. For instance, BASF Pharma will sell its OMEGA 3 manufacturing facility in Norway to Marine Ingredients. The Highly Potent Active Pharmaceutical Ingredients (HPAPI) is projected to witness high growth rate, owing to easy access to the people for medication in emerging economies. The rising prevalence of diseases such as cancer, cardiovascular, and infectious diseases is expected to propel demand for manufacturing of small molecule APIs. According to the National Center for Biotechnology Information (NCBI) report, in 2014, out of 570,341 deaths 29.4% were due to cancer and 27.1% were due to cardiovascular disease. Increasing consumer awareness, benefits of small molecule API, expiry of patents covering the top-selling pharmaceuticals, and technological advancement in manufacturing sector are expected to drive the market growth over the forecast period. Increasing adoption of generic drugs has resulted into affordable healthcare expenditure, which is expected to increase production of small molecule API’s, in turn driving the global small molecule API market growth. According to the Indian Brand Equity Foundation (IBEF), in 2018, India is largest producer of generic medicines, which supplies 50% of vaccines and 40% of drugs to the U.S. and 25% of drugs to the U.K.