Compounding pharmacy provides tailored drugs as per individuals need. The process includes mixing and altering ingredients of drugs. It has been in use since decades but the growing need for personalized medicines for various chronic diseases has increased the demand for specialty medicines. These are prepared by trained professionals to meet the needs of a patient for whom an approved drug may not be appropriate due to allergy or sensitivity towards the certain drug or content. Pharmacy compounding is regulated by state authorities.
North America is projected to lead the global compounding pharmacy market during the forecast period 2019–2026 due to high cost of specialty medicines and well-established healthcare infrastructure. For instance, according to the Pharmacy & Pharmacology International Journal, pharmaceutical compounding in the well-established industry, which generates over USD 5 billion in revenue. It also provides employment to more than 100,000 people across the U.S. The industry contributes largely to the economic growth in the region.
Europe is the second largest compounding market owing to the presence of a strong network of compounding pharmacies. For instance, Fagron, a leader in pharmaceutical compounding in 32 countries, operates 22 compounding facilities in Europe and other regions. Strong regulatory reforms implemented by Europeans government has made hospitals to invest in compounding pharmacies.
Asia Pacific is the fastest growing market region due to growing awareness, increasing healthcare expenditure and increasing medical facilities in the region. As per, World Health Organization for Economic Co-operation and Development report of 2018, Australia reported highest healthcare expenditure of USD 4357.00 million. Whereas, OECD countries healthcare expenditure accounted for around 9% of GDP.
Latin America and the Middle East & Africa is expected to attain substantial growth owing to increasing awareness about medical facilities and increasing healthcare infrastructure in the region.
Based on the type, the global compounding pharmacies market is segmented by product type, therapeutic type, and end users. The product type is divided into oral, topical, mouthwashes, suppositories, injectables, and ophthalmic. The original segment is expected to hold the largest share during the forecast period. This growth can be attributed to consumer presence and technological advancements in formulations by major players. For instance, Fargon, which is a supplier of compounding essentials supplies approximately 5000 raw materials across the globe.
Based on the therapeutic type, the market is segmented into hormone replacement and pain management. The hormone replacement is growing at a significant rate due to changing lifestyle across the globe, which is leading to hormonal imbalance mostly in the adult population.
Based on end users, the market is segmented into hospitals, ambulatory surgical centers, and specialty clinics. The adult segment is projected to dominate the segmental growth due to physiological changes in adult people, which, in turn, can increase the demand for compounded medicines.