Dispensing Pharmacy Packaging Machine Market Definition

Dispensing pharmacy packaging machines are advanced machines that reduce drugs dispensing time and serve customers quickly and with efficiency. Dispensing pharmacy packaging machines are medication distribution systems that provide computer-controlled storage, dispensing, packaging and distribution of medicines. The dispensing pharmacy packaging machines, with the help of the programmed working process, latest technologies and sensors, accomplish their tasks. Such machines are capable of enhancing efficiency, reducing overall costs, real-time data processing and decreasing the margin of error.

The dispensing pharmacy packaging machine market consists of sales, by entities (organizations, sole traders and partnerships), of dispensing pharmacy packaging machines that are used in preparing medications and nutraceuticals for secure distribution. It is an automated system that helps in positioning medications properly to preserve their quality and improve their overall appearance.

Dispensing Pharmacy Packaging Machine Market Size

The global dispensing pharmacy packaging machine market reached a value of nearly $2,033.81 million in 2023, having grown at a compound annual growth rate (CAGR) of 7.85% since 2018. The market is expected to grow from $2,033.81 million in 2023 to $ 3,178.60 million in 2028 at a rate of 9.34%. The market is then expected to grow at a CAGR of 10.04% from 2028 and reach $5,128.39 million in 2033.    

Growth in the historic period resulted from the growing prevalence of obesity and diabetes, increased healthcare expenditure, growing penetration of retail pharmacies and increasing government initiatives. Factors that negatively affected growth in the historic period were uncertainties in serializing standards and regulations and stringent regulations.

Going forward, the growth of the pharmaceutical manufacturing industry, an aging population, the rise of e-commerce in pharmaceutical retail, the rise in telemedicine and remote pharmacy services and an increase in the number of pharmacies and healthcare facilities will drive the market. Factors that could hinder the growth of the dispensing pharmacy packaging machine market in the future include high initial investment and operational costs and a lack of skilled personnel to operate advanced dispensing pharmacy packaging machines.  

Dispensing Pharmacy Packaging Machine Market Drivers

The key drivers of the dispensing pharmacy packaging machine market include:

Growth Of Pharmaceutical Manufacturing Industry

During the forecast period, the growth of pharmaceutical manufacturing in emerging economies will support the growth of the dispensing pharmacy packaging machine market. Emerging markets, particularly India and China, offer significant growth opportunities for pharmaceutical packaging equipment providers. Both governments are emphasizing the development of life science infrastructure by undertaking a number of projects and initiatives to encourage pharmaceutical and biopharmaceutical companies to develop and manufacture drugs for a variety of infectious and chronic diseases. For instance, in September 2023, according to the Generics and Biosimilars Initiative (GaBI), a Belgium-based independent and peer-reviewed academic journal, there was a 10% increase in Venezuela's domestic production of generic medications between January and April of 2023. In the first quarter of 2023, the nation produced 22.5 million generic medication units, which is 1.9 million more than it did during the same period in 2022.  Additionally, in July 2023, according to a report by CareEdge Ratings Limited, an India-based knowledge-based analytical group, the Indian pharmaceutical market grew by almost 5% in the fiscal year 2023 (FY23) to reach $49.78 billion. The domestic pharmaceutical industry is expected to reach $57 billion by FY25, with an increase in operating margins of 100–150 basis points (bps).  Thus, the growth of pharmaceutical manufacturing industry in emerging economies will support the growth of the dispensing pharmacy packaging machine market.

Dispensing Pharmacy Packaging Machine Market Restraints

The key restraints on the dispensing pharmacy packaging machine market include:

High Initial Investment And Operational Costs

High initial investment and operational costs are expected to restrict the growth of the dispensing pharmacy packaging machine market in the forecast period. Purchasing a dispensing pharmacy packaging machine can involve a sizable upfront cost. This places a heavy financial burden on pharmacies and healthcare facilities, particularly independent or smaller ones with limited funding. For instance, according to Qx Robotics Private Limited, an India-based pharmacy automation system development company, the initial price of a low-cost desktop medicine dispensing machine starts at $8,894.41. For fully automatic machines that can handle the entire packaging process with minimal manual intervention, the price ranges from $50,000 to $250,000 or more.  Therefore, high initial investment and operational costs may hinder the growth of the dispensing pharmacy packaging machine market.

Dispensing Pharmacy Packaging Machine Market Trends

Major trends shaping the dispensing pharmacy packaging machine market include:

Focus On Development Of New And Advanced Products

Players operating in the dispensing pharmacy packaging machine market are developing new technological solutions to strengthen their position in the market. For example, in June 2023, CVS Health, a US-based healthcare company, launched its CVS Health QuickServe Vitamin Dispensing System. CVS Pharmacy's new vitamin distribution system prioritizes patient adherence and medicine access through a revolutionary countertop design that can be opened with a fingertip. The consumer assembles the system in simple stages as illustrated on the outer carton: open and remove the cap and safety seal from the cartridge, then attach the base to the cartridge.  Additionally, in November 2020, JVM, a South Korean provider of pharmacy and hospital automation solutions, has launched NS20, a new pharmaceutical packaging machine that can prevent packaging errors of pharmaceuticals while speeding up the automatic dispensing procedure and save wrapping paper. The NS20 model is designed for large pharmacies and hospital pharmacies and it includes the most recent automatic sensor and communication technology, ACRS-III, as well as automatic tablet dispensing and packaging system (ATDPS), a traditional automatic medicine classification and packaging system.

Strategic Partnerships And Collaborations Among Market Players

Strategic partnerships and collaborations is another key trend gaining traction in the dispensing pharmacy packaging machine market. Companies are increasingly focusing on partnerships and collaborations to improve their financial strength and geographic presence. For example, in March 2022, Omnicell Limited, a UK-based provider of pharmaceutical packaging solutions, has entered into an agreement with Hanmi Pharm Co., Ltd, a South Korean pharmaceutical company, to distribute JVM medication dispensing and packaging automation solutions in the United Kingdom (UK).  Further, Huhtamaki, a Finnish consumer packaging company, collaborated with Syntegon, a German company involved in the manufacturing and supply of processing and packaging equipment to the medical industry, to launch a paper-based tablet packaging solution for the pharmaceutical and healthcare industries.  Additionally, in November 2021, Syntegon Technology, a Germany-based machine industry company, entered into a strategic partnership with Bayer AG, a Germany-based pharmaceutical and biotechnology company, for the development of new continuous manufacturing processes for oral solid dosage (OSD) forms. The collaboration is built upon the Xelum platform, created by Hüttlin, a Syntegon subsidiary, which the partners hope to jointly advance and become the industry standard for the pharmaceutical sector. Its primary benefit is the precise dosing of active ingredients, which was previously unattainable in continuous pharmaceutical production.

Opportunities And Recommendations In The Dispensing Pharmacy Packaging Machine Market

Opportunities – The top opportunities in the dispensing pharmacy packaging machine market segmented by product type will arise in the fully automatic segment, which will gain $784.0 million of global annual sales by 2028. The top opportunities in the dispensing pharmacy packaging machine market segmented by speed will arise in the high-speed segment, which will gain $580.7 million of global annual sales by 2028. The top opportunities in the dispensing pharmacy packaging machine market segmented by function will arise in the filling segment, which will gain $431.0 million of global annual sales by 2028. The dispensing pharmacy packaging machine market size will gain the most in the USA at $364.3 million.

Recommendations- To take advantage of the opportunities, The Business Research Company recommends the dispensing pharmacy packaging machine companies to focus on technological innovation to elevate market presence, focus on advanced automated dosing systems, focus on strategic investments for technological advancements, focus on advanced automated dosing systems, focus on advanced robotics for enhanced pharmacy packaging, expand in emerging markets, continue to focus on developed markets, focus on strategic collaborations for market expansion, focus on strategic distribution channels, provide competitively priced offerings, focus on strategic pricing strategies, participate in trade shows and events, continue to use B2B promotions and focus on customer-centric approach to target end-users of dispensing pharmacy packaging machines.

Dispensing Pharmacy Packaging Machine Market Segmentation

The Dispensing Pharmacy Packaging Machine market is segmented by product type, by function, and by speed.

By Product Type –
The dispensing pharmacy packaging machine market is segmented by product type into:

• a) Fully Automatic
• b) Semi-Automatic

The fully automatic market was the largest segment of the dispensing pharmacy packaging machine market segmented by product type, accounting for 64.4% or $1,309.30 million of the total in 2023. Going forward, the fully automatic segment is expected to be the fastest growing segment in the dispensing pharmacy packaging machine market segmented by product type at a CAGR of 9.84% during 2023-2028.

By Function –
The dispensing pharmacy packaging machine market is segmented by function into:

• a) Filling
• b) Wrapping
• c) Mixing And Split
• d) Other Functions

The filling market was the largest segment of the dispensing pharmacy packaging machine market segmented by function, accounting for 35.9% or $731.09 million of the total in 2023. Going forward, the filling segment is expected to be the fastest growing segment in the dispensing pharmacy packaging machine market segmented by function, at a CAGR of 9.71% during 2023-2028.

By Speed –
The dispensing pharmacy packaging machine market is segmented by speed into:

• a) Low Speed
• b) Standard Speed
• c) High Speed

The high-speed market was the largest segment of the dispensing pharmacy packaging machine market segmented by speed, accounting for 48.4% or $983.96 million of the total in 2023. Going forward, the high-speed segment is expected to be the fastest growing segment in the dispensing pharmacy packaging machine market segmented by speed, at a CAGR of 9.72% during 2023-2028.

By Geography - The dispensing pharmacy packaging machine market is segmented by geography into:

o Asia Pacific
• • China
• • India
• • Japan
• • Australia
• • Indonesia
• • South Korea
o North America
• • USA
o South America
• • Brazil
o Western Europe
• • France
• • Germany
• • UK
o Eastern Europe
• • Russia
o Middle East
o Africa

North America was the largest region in the dispensing pharmacy packaging machine market, accounting for 36.1% or $734.9 million of the total in 2023. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the dispensing pharmacy packaging machine market will be Asia-Pacific and North America, where growth will be at CAGRs of 10.1% and 9.4% respectively. These will be followed by Western Europe and South America, where the markets are expected to grow at CAGRs of 9.1% and 8.4% respectively.

Dispensing Pharmacy Packaging Machine Market Competitive Landscape

Major Competitors are:

Yuyama Manufacturing Co., Ltd

TOSHO Inc

Canon Inc

JVM Co., Ltd.

Marchesini Group S.p.A.

Other Competitors Include:

Optima Packaging Group GmbH

I.M.A. INDUSTRIA MACCHINE AUTOMATICHE S.P.A

Takazono Corporation

Romaco Group

Bausch+Ströbel SE + Co. KG

Essel Propack Limited

Huhtamaki India Ltd

Jiangsu Yangtze River Pharmaceutical Group

Nipro India Corporation Pvt. Ltd

Parekhplast India Limited

Uflex Limited

Bayer Healthcare Co Ltd

Shanghai Fosun Pharmaceutical (Group) Co Ltd

Yung Chung machinery co

SGD Pharma

Actelion Pharmaceuticals UK Ltd

Abnova

Syntegon Technology

AbbVie Ltd

Abbott Diabetes Care

Robert Bosch GmbH

Bausch+Stroebel

Robotik Technology

Brothers Pharmamach

Constantia Flexibles Pharma

Chiesi Pharmaceuticals

Alpen Pharma Group

Amgen

AstraZeneca

OMAG Srl

Parata

MTS Medication Technologies

Talyst

ARxIUM

Medical Packaging Inc

McKesson Canada

ATG Pharma

BD and Pyxis

Masipack

IMA Group

Swisslog Healthcare

Optima Group

Opuspac

LOG Primary Packaging

Pfizer

Sanofi

Novartis

Novo Nordisk

GSK

Naveh Pharma LTD

Blister Packaging Machine

Vannpax

Electropak

Dara Pharma

Frank Noe Egypt