Pharmaceuticals Market Size, Share, Growth Analysis, By Type(Pharmaceutical Drugs; Biologics), By Distribution Channel(Hospital Pharmacies, Drugs Stores & Retail Pharmacies, Online Pharmacies), By Region(North America, Europe, Asia-Pacific, South America), By Region - Industry Forecast 2024-2031

Pharmaceuticals Market Driver

Growing aging population

• The population profile of most countries is aging. According to the Bureau of Census, the proportion of the world's population aged 65 and over has increased from 8% in 2015 to 9% in 2021. This is an important driving force for the market. Improved living standards combined with a constantly expanding net population are causing a massive change in global demography, with many nations facing a substantial increase in the percentage of old residents. Indeed, the United Nations predicts a 56% growth in the 60-plus age group between 2015 and 2030. While longer lifespans provide several benefits to individuals and society, they exert tremendous strain on global healthcare systems. Age-related disorders are becoming increasingly prevalent as our population ages, necessitating the development of new and more effective treatments. Pharma innovation is vital to bring these novel therapies to market, and recent advancements in nanotechnology and artificial intelligence provide particularly exciting prospects for addressing this significant unmet medical need. Furthermore, the increase in the patient pool has driven the demand for medicines to treat these diseases and has had a significant impact on market growth during this period.

Pharmaceuticals Market Restraint

Lack of skilled labour and fluctuating raw material cost

• Market growth was limited due to a severe shortage of skilled workforce for developing drugs that require specialized skill sets. These skillsets are limited to some research organizations and medical equipment. Furthermore, the fluctuating prices of raw materials is one of the restraints hindering the growth of global pharmaceuticals market. Furthermore, there is a rising talent gap since the pharma workforce's abilities have yet to match with this new world of biopharma production. Biopharma businesses are struggling to locate the expertise they want in advanced areas such as automation, computer science, and process modelling—skills that were not traditionally required in traditional pharmaceutical manufacture but are now essential in modern biopharma manufacturing. This skills gap might stifle innovation if left uncontrolled and ignored.