The Global Medical Device Packaging Market Size, by value, was estimated at USD 32.17 billion in 2020, which is expected to reach USD 61.27 billion by 2030, growing at a CAGR of 8% during the forecast period (2022-2030). The global healthcare packaging market is growing due to various factors such as the increasing geriatric population, rising incidence of life-threatening diseases, changing lifestyles, and increasing health care expenditure. The primary role of healthcare packaging is to safeguard the products manufactured by the healthcare industry. Healthcare products utilize packaging to follow medical guidelines and protect the integrity of the product. Medical device packaging makes an integral part of the global medical device industry, and efficient packaging is necessary to avoid contamination that would be unsafe for the patients and preserve sterility.
On account of the increasingly stringent government regulations and rising awareness regarding environmental issues, companies in the market are moving toward a sustainable process, resulting in high investments in research and development to improve healthcare packaging products. The industry is anticipated to experience enormous changes in its methods of timelines and operations, as manufacturers are concentrating on innovation by implementing automation in line and process manufacturing.
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Growing Medical Devices Market Globally to Impede the Market Growth
Some of the most frequent medical devices used in the healthcare business are surgical implants and instruments, medical supplies, electro-medical equipment, in-vitro diagnostic equipment and reagents, irradiation apparatuses, and dentistry items. For the past decade, the demand for the aforementioned medical equipment has been quickly expanding due to an aging population that requires improved medical treatments.
In recent years, people's sedentary lifestyles have led to an increase in conditions like heart disease, cancer, diabetes, stroke, and arthritis, particularly in industrialized countries. Furthermore, several governments, especially in the Asia Pacific, have been offering various schemes to medical device manufacturers to support the industry growth.
Rapid Demand for IVD's Post Covid-19 Outbreak to Boost Market Opportunities
The demand for In Vitro Diagnostic (IVD) devices skyrocketed in 2020 due to the COVID-19 outbreak. This was owing to the increased demand for infectious illness tests by countries such as the United States, China, India, and the U.K. The countries invested heavily in COVID-19 testing to curb the spread of the virus. The U.S. alone had spent approximately USD 25 billion in 2020 on testing. Furthermore, in March 2021, the Biden administration announced a further investment of USD 12 billion to boost testing in the country.
Growing Stringent Regulations
The medical device industry is highly regulation-compliant and needs to meet the regulation standards set by the regulatory bodies. This is to assure e the safety and security of products.
Furthermore, several government bodies conduct regular audits to ensure the quality of medical devices. For instance, the U.S. FDA conducts quality audits every 12 months or less to check compliance with 21 CFR 820.22. Any deviation in product quality or packaging compliance would result in high penalties for the manufacturers. Therefore, the loss of supervision by regulatory bodies from product quality to packaging and labeling is expected to hinder new players in the medical device packaging industry. This is expected to restrain the growth of the medical device packaging market.
Advancement in Technology to Augment Market Growth Prospect
Life longevity has improved many folds, implying that a significant number of older individuals must be medically assisted. People's intended uses raise demand for medical devices, which may be employed in-home healthcare. The medical device packaging market growth and the healthcare system are inextricably linked. Furthermore, the technological advancements in the healthcare business, combined with emerging countries' increased focus on building their health infrastructure, are projected to provide attractive prospects for medical device packaging firms. Recyclable and reusable packaging is becoming more popular as environmental concerns grow.
The global medical device packaging market is segmented by material, product, application, and region.
By material, the medical device packaging market has been segmented into four categories: plastic, paper, paperboard, metal, and others. Plastic emerged as a frequent material in the medical device packaging market in 2021. It is valued at USD 20,995 million in 2021 and is expected to reach USD 35990 million by 2030 growing at a CAGR of 6%. Further, plastic packaging has lower durability and strength compared to metal packaging. Plastic cannot be replaced entirely due to its undisputable properties catering to the medical industry, such as hygiene, versatility, cost-effectiveness, and easy availability. Thus, plastic is expected to witness significant growth over the projected period.
By product, the medical device packaging market is divided into pouches and bags, trays, boxes, clamshells, and others. Pouches & bags represent the most dominated segment. It is valued at USD 11630 million in 2021 and is expected to reach USD 20105 million by 2030 at a CAGR of 6%. It provides flexible packaging solutions to medical devices. They can efficiently pack tiny, medium, and significant medical devices. Medical gadgets can be easily stored and handled because of their small and high product-to-package ratio. Pouches & bags, when manufactured using appropriate materials like LLDPE and PET, can offer protection to medical devices against light, moisture, and gases. Increasing research and development on medical devices to miniaturize them to make them and make them more user-friendly, light in weight, and cost-effective is expected to open new opportunities for bags and pouch packaging solutions over the forecast period.
By application, the medical device packaging market has been segmented into equipment and tools, devices, IVD, and implants. IVD is the most dominated segment, valued at USD 9,640 million in 2021. It is expected to reach USD 18265 million by 2030, growing at a CAGR of 7%. This growth is due to the higher adoption of in-vitro diagnostics (IVD) for testing COVID patients. As the demand for these testing kits increases rapidly due to the rising threat of coronavirus (especially in developing regions), the market for medical device packaging is expected to grow over the projected period.
Sterile plastic pouches and plastic trays are the most widely used packaging solution for IVDs. They are flexible e, easy to use and dispose of, and provide an excellent barrier against microbes, gas, and chemicals. These packaging materials enable the operator easy access to IVD devices when working with Class III devices. These factors, along with a high degree of sterilization and versatility of plastic, are boosting the demand for plastic-based packaging for IVD devices.
Based on regions, the global medical device packaging market is segmented into North America, Europe, Asia-Pacific, Central and South America, and Middle East & Africa.
Regional Growth Insights Request Sample Pages
During the forecast period, North America had a significant share in the global medical device packaging market. The global market in North America was valued at USD 96,440 million in 2021. It is expected to reach USD 161145 million by 2030, growing at a CAGR of 6%. In North American states, the U.S. has emerged as the largest market for medical device packaging owing to the robust medical sector and the presence of numerous entities catering to the healthcare domain. The country holds a competitive advantage in instrumentation, technology, software development, and high investments in the research and development field, resulting in increased production volumes of medical devices. As per insights obtained through primary research, the U.S. alone accounts for about 40% of the medical devices manufactured globally.
The collaborations by the medical device manufacturing companies with the technology and software developers have helped the market players produce the most advanced medical devices in the country. As innovation plays a vital role in the treatment and diagnostics of medical conditions, such initiatives by medical device makers are expected to fuel the industry's growth even further. The country has also emerged as the key exporter of medical devices globally. These parameters are likely to boost the development of the medical device packaging market in the country.
The medical packaging market in the Asia-Pacific is expected to grow at the highest CAGR during the forecast period. It is valued at USD 8,995 million in 2021 and is expected to reach USD 18085 million by 2030 growing at a CAGR of 8%. China and Japan are the world's fastest-growing economies and one of the world's biggest markets for medical devices. Following the economic development in China, more and more investments are going into the healthcare industry. The healthcare industry in China is expected to continue to expand in the coming years, including the medical device industry. This is expected to propel the growth of the medical device packaging market in the country. The high potential for developing the healthcare sector in the country in light of the high population and developing healthcare infrastructure, which demands a considerable number of medical devices, is expected to compel foreign companies to invest in the country.
Thus, the country's market for medical device packaging is expected to witness growth over the projected period. The increasing number of patients with chronic and lifestyle diseases is expected to fuel the demand for medical devices. Lucrative opportunities are available for medical device manufacturers in Japan to excel in sophisticated new medical devices as the county's healthcare system emphasizes improved treatments and health maintenance.