Middle East and Africa Active Pharmaceutical Ingredients (API) Market – Industry Trends and Forecast to 2030

Middle East and Africa Active Pharmaceutical Ingredients (API) Market, By Molecule (Small Molecule, Large Molecule), Type (Innovative Active Pharmaceutical Ingredients, Generic Innovative Active Pharmaceutical Ingredients), Type of Manufacturer (Captive API Manufacturer, Merchant API Manufacturer), Synthesis (Synthetic Active Pharmaceutical Ingredients and Biotech Active Pharmaceutical Ingredients), Chemical Synthesis (Acetaminophen, Artemisinin, Saxagliptin, Sodium Chloride, Ibuprofen, Losartan Potassium, Enoxaparin Sodium, Rufinamide, Naproxen, Tamoxifen, Others), Type of Drug (Prescription Drugs, Over-the-Counter), Usage (Clinical, Research), Potency (Low-to-Moderate Potency Active Pharmaceutical Ingredients, Potent-to-Highly Potent Active Pharmaceutical Ingredient), Therapeutic Application (Cardiology, CNS and Neurology, Oncology, Orthopedic, Endocrinology, Pulmonology, Gastroenterology, Nephrology, Ophthalmology, Other Therapeutic Application) – Industry Trends and Forecast to 2030.

Middle East and Africa Active Pharmaceutical Ingredients (API) Market Analysis and Size

Increase in technological advancements will enhance the capabilities and boost the manufacturing skills of the market players that the manufacturers have to provide APIs in bulk and meet the demand of the consumers which can drive the growth of the Middle East and Africa active pharmaceutical ingredients (API) market. Availability of sub-standard and counterfeit drugs is acting as a restraint for hampering the demand of the Middle East and Africa active pharmaceutical ingredients (API) market.

Data Bridge Market Research analyses that the Middle East and Africa active pharmaceutical ingredients (API) market which was USD 6,889.76 million in 2022, is expected to reach USD 10,980.14 million by 2030, and is expected to undergo a CAGR of 6.3% during the forecast period of 2023 to 2030. “Small molecule” dominates the molecule segment of the Middle East and Africa active pharmaceutical ingredients (API) market due to increasing number of regulatory approval and rising research and development on novel small molecules due to their high penetration power. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include depth expert analysis, patient epidemiology, pipeline analysis, pricing analysis, and regulatory framework.

Middle East and Africa Active Pharmaceutical Ingredients (API) Market Scope and Segmentation

Market Definition

Active pharmaceutical ingredients are the substance or combination of substances intended to be used in the manufacturing of a drug product, which when used in the production of the drug, becomes an active pharmaceutical ingredient. Such substances are used to provide pharmacological activity. The final drug dosage form is formulated using the APIs and excipient but the APIs are formulated using the raw material which is known as intermediates. API intermediates are the kind of material that is produced in the process of API.

Middle East and Africa Active Pharmaceutical Ingredients (API) Market Dynamics

Drivers

• Increasing Demand for Generic Drugs

The Middle East and Africa have seen a rising demand for affordable healthcare and pharmaceuticals. Generic drugs, which require APIs, are often more cost-effective alternatives to branded medications. This has boosted the demand for APIs in the region. This increase in use of active pharmaceutical ingredients (API) in pharmaceutical drug production which will further act as driver that will lead to the growth of the active pharmaceutical ingredients (API) market in the above mentioned projected timeframe.

• Rise in Research and Development

Investments in research and development by pharmaceutical companies and API manufacturers in the Middle East and Africa are leading to the development of new drugs and therapies. This creates opportunities for API manufacturers to supply the necessary ingredients. This increase in the technological advancements is expected to accelerate the market growth. Furthermore, most of the active pharmaceutical ingredients (API) are used in pharmaceutical and biopharmaceutical companies because these companies are responsible for the production of medicines in all dosage forms such as solid, semi-solid and liquid.

• Rising Pharmaceutical Industry

The pharmaceutical industry in the Middle East and Africa has been expanding rapidly, driven by increasing populations, changing disease profiles, and government initiatives to improve healthcare access. As a result, local pharmaceutical companies are manufacturing more medications, increasing the demand for APIs, which can foster the demand for the active pharmaceutical ingredients (API) in the market.

Opportunity

• Rising Strategic Initiatives by Market Players

The key product launches, high concentration of market players or manufacturer's presence, and acquisition and partnerships among major players will extend profitable opportunities for the market players in the forecast period of 2023 to 2030. In addition, the rising demand for drugs has significantly heightened the need for new drug development via extensive clinical trials. Manufacturers are now focusing on remodelling their drug development processes in an attempt to cater to patient needs. Increasing advancement in technology and rising number of innovations along with rising product approvals which will further contribute by generating immense opportunities that will further expand the market's growth rate in the future. 

Restraint/Challenge

• Limited Domestic Production of API

The limited domestic API production capacity can lead to supply chain disruptions, especially during global crises or geopolitical tensions. Many countries in the Middle East and Africa rely heavily on API imports, often from countries such as India and China. This is expected to hinder the growth of Middle East and Africa pharmaceutical active pharmaceutical ingredients (API) market. Moreover, lack of skilled workforce will projected to become the biggest and foremost challenge for the growth of the market in the forecast period of 2023-2030.

This Middle East and Africa pharmaceutical active pharmaceutical ingredients (API) market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the Middle East and Africa pharmaceutical active pharmaceutical ingredients (API) market Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Developments

• In November 2021, Merck KGaA signed a partnership with SaudiVax to help construct a multimodality biologics manufacturing facility to provide a more localized production infrastructure for the Middle East and North African region
• In November 2020, AlzChem Group AG had announced the expansion of the production of the nitriles which is one of the intermediates of the company. The company has decided to expand the production by 50%. The motive behind the company was to support the demand of the medicines and biocides. The nitrile production plant is based on the gas phase technology which has been optimized and validated by the company’s engineers. This expansion has helped the company to enhance their growth in the field of the intermediates which will help them to boost their production capacities
• In January 2018, AstraZeneca had signed an agreement with Cambrex who is the leading manufacturer of the small molecule APIs. The company has signed the agreement for the long term manufacturing of the products. This agreement helped the company to increase their product portfolio as the manufacturing is for the long term so it will boost the manufacturing skills of the company and at the end the revenues of the company will increase in end

Middle East and Africa Active Pharmaceutical Ingredients (API) Market Scope

The Middle East and Africa active pharmaceutical ingredients (API) market is segmented on the basis of molecule, type, type of manufacturer, synthesis, chemical synthesis, type of drug, usage, potency and therapeutic application. The growth amongst these segments will help you analyse meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Molecule

• Small Molecule
• Large Molecule

Type

• Innovative Active Pharmaceutical Ingredients
• Generic Innovative Active Pharmaceutical Ingredients

Type of Manufacturer

• Captive API Manufacturer
• Merchant API Manufacturer

Synthesis

• Synthetic Active Pharmaceutical Ingredients
• Biotech Active Pharmaceutical Ingredients

Chemical Synthesis

• Acetaminophen
• Artemisinin
• Saxagliptin
• Sodium Chloride
• Ibuprofen
• Losartan Potassium
• Enoxaparin Sodium
• Rufinamide
• Naproxen
• Tamoxifen
• Others

Type of Drug

• Prescription Drugs
• Over-the-Counter

Usage

• Clinical
• Research

Potency

• Low-to-Moderate Potency Active Pharmaceutical Ingredients
• Potent-to-Highly Potent Active Pharmaceutical Ingredient

Therapeutic Application

• Cardiology
• CNS & Neurology
• Oncology
• Orthopedic
• Endocrinology
• Pulmonology
• Gastroenterology
• Nephrology
• Ophthalmology
• Other Therapeutic Application

Middle East and Africa Active Pharmaceutical Ingredients (API) Market Regional Analysis/Insights

The Middle East and Africa active pharmaceutical ingredients (API) market is analysed and market size insights and trends are provided by country, molecule, type, type of manufacturer, synthesis, chemical synthesis, type of drug, usage, potency and therapeutic application as mentioned above.

The countries covered in the Middle East and Africa active pharmaceutical ingredients (API) market report are South Africa, Saudi Arabia, U.A.E., Israel, Kuwait, Egypt, and Rest of Middle East and Africa

South Africa dominates the Middle East and Africa active pharmaceutical ingredients (API) market and is expected to grow at the highest growth rate during the forecast period of 2023 to 2030 due to increase of easy product and easy availability of raw materials and increasing prevalence of various chronic disorders.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Healthcare Infrastructure Growth Installed Base and New Technology Penetration

The Middle East and Africa active pharmaceutical ingredients (API) market also provides you with detailed market analysis for every country growth in healthcare expenditure for capital equipment, installed base of different kind of products for Middle East and Africa active pharmaceutical ingredients (API) market, impact of technology using life line curves and changes in healthcare regulatory scenarios and their impact on the Middle East and Africa active pharmaceutical ingredients (API) market. The data is available for historic period 2015-2020.

Competitive Landscape and Active pharmaceutical ingredients (API) market Share Analysis

The Middle East and Africa active pharmaceutical ingredients (API) market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to Middle East and Africa active pharmaceutical ingredients (API) market.

Some of the major players operating in the Middle East and Africa active pharmaceutical ingredients (API) market are:

• Teva Pharmaceutical Industries Ltd (Israel)
• Aspen Pharmacare Holdings Ltd (South Africa)
• Hikma Pharmaceuticals (U.K.)
• Eva Pharma (Egypt)
• Alvogen (U.S.)
• Sanofi (France)
• Aurobindo Pharma (India)
• BASF SE (Germany)
• Vasudha Pharma (India)
• Anyang General Chemical Co., Ltd. (China)
• Sandoo Pharmaceuticals and Chemicals Co., Ltd. (China)