FMI’ Analyst view: “Blow Fill Seal: Pioneering Next-Gen Packaging Solutions”

The global blow fill seal technology market is estimated to be valued at US$ 3,246.7 million in 2023 and is anticipated to reach US$ 6,206.5 million by 2033. Sales revenue is projected to expand at a CAGR of 6.8% over the forecast period. The revenue generated by blow fill seal technology in 2022 was US$ 3,034.2 million and is anticipated to exhibit Year-on-Year (YoY) growth of 7.0% in 2023. The pharmaceutical industry significantly consumes blow fill seal technology and is expected to dominate the market with more than 97% market share in terms of value by the end of 2023.

Plastic is prominently used in blow fill seal technology, accounting for 61% of the value share and expected to expand at a CAGR of above 6.9% over the forecast period. Ampoules in the product type category are anticipated to create incremental opportunities of US$ 571.2 million between 2022 and 2033 and are set to gain 1/5th of the market share by 2033.

Key Insights

·         The expansion of the pharmaceutical and food & beverage sectors has spurred innovation in packaging solutions, with the incorporation of blow fill seal (BFS) technology.

·         The need for precise and improved packaging solutions to facilitate accurate drug delivery is driving the widespread adoption of blow fill seal technology.

·         BFS technology is favored by numerous end users as it facilitates contamination-free packaging and enhances processing speed, making it the top choice in the industry.

·         North America and Western Europe pharmaceutical industries adopt blow fill seal tech for flexible filling, meeting the demand for diverse biotech drugs and manufacturing formats.

Insight into Growth Drivers Impacting Global Blow Fill Seal Technology Market

The global blow fill seal technology market recorded a CAGR of 7.8% during the historic period, with a market value of US$ 3,034.2 million in 2022, up from US$ 2,245.1 million in 2018.

The expansion of the pharmaceutical and food and beverage industry in recent years has driven the demand for blow fill seal technology in the global market. The growing need for precise and improved packaging solutions for accurate drug filling and safe packaging is fueling the adoption of BFS technology.

The BFS technology market is anticipated to gain prominent growth driven by its need to save packaging time and ensure clean room packaging for sensitive drugs and medicines. Manufacturers are launching new products and technologies such as designing performed and pre-sterilized components molding techniques for creating versatile designs of injectable products. Factors influencing the widespread adoption of BFS technology in the manufacturing industry include the assurance of high sterility, flexibility, low operating costs, limited component inventory, and reduced labor requirements.

The technology is finding its huge applications in the pharmaceutical sector because of its built-in effects and aseptic advantages pushed by the numerous rules and regulations enforced by the United States Food and Drug Administration that have identified BFS technology as an aseptic process. The rising demand for convenient packaging techniques providing contamination-free filing and packaging in pharmaceutical, nutraceutical, cosmetics and personal care industries is contributing to the growth of the BFS technology market.

The global blow fill seal technology market is projected to experience lucrative growth from 2023 to 2033, generating an overall incremental growth opportunity worth US$ 3,172.3 million, with sales revenue set to expand by 1.9 times its current market value.

Key Drivers and Trends Impacting Global Blow Fill Seal Technology Market

·         Blow Fill Seal Technology Aids in Curbing Medical Non Adherence Issues

Over the last three decades, poor medical adherence has posed a serious challenge for the healthcare industry as it raises a risk to patient safety as well as leads to elevated healthcare costs. To curb the issue, the healthcare industry continually makes serious efforts to improve the use of medication through the development of unique drug delivery systems as well as packaging to ensure the right dose is taken by the patient at the right time.

In a study conducted by IMS Health, it was revealed that in the United States, approximately 50% of prescribed drugs are taken incorrectly. The consequences of this mismanagement result in costs exceeding US$ 200 billion within the United States healthcare system. This alarming trend underscores the necessity for accurately measured doses that provide convenience and align with patients’ needs.

The technology has been extensively used for manufacturing unit dose packaging solutions to increase adherence to prescribed drug limits. Employing BFS technology in single-dose medication has resulted in better accuracy and reduced contamination of the drugs. Manufacturers are taking a holistic approach by integrating BFS solutions with patient instruction materials, such as labels or inserts. This integration facilitates the delivery of precise instructions regarding drug regimens and storage, ultimately promoting better compliance among patients.

·         Introduction of Co-extrusion Technology for Parenteral Packaging

Co-extrusion technology can utilize a parison of up to seven layers, specially designed for sensitive products such as oxygen and carbon dioxide-sensitive injectable drugs. During co-extrusion, the barrier material is entrapped between polyethylene and polypropylene layers with an inner layer of EVOH and LDPE, preventing the entry of oxygen through the parison. Rommelag has introduced this technology for packaging sensitive drugs.

While PET boasts excellent barrier properties, it is not suitable for packaging products that require terminal sterilization. COC can be utilized as a moisture barrier, as the product packed is in the unit dose, and any loss of water vapor can result in a pH change. To expand the applications for its BFS bottleneck technology, Rommelag has developed Co-Extrusion technology for multi-layer containers, addressing contact layer compatibility and barrier protection. Co-extrusion heads that handle up to seven layers can be fitted to most Rommelag BFS bottleneck machines.

Holopack Verpackungstechnik, a Stuttgart-based contract packager, installed a Rommelag multi-purpose CoEx BFS bottleneck machine with co-extrusion technology for manufacturing unit-dose and larger volume bottles for packaging oxygen-sensitive solutions.

Country-wise Insights

Healthcare spending in the United States Fuels the Demand for Blow fill Seal Technology

The United States has healthcare spending around 18% of its GDP, which is twice that of an OECD country, and it has the lowest life expectancy. The country has a high rate of people with multiple chronic diseases and obesity rates. Rising prices in the healthcare sector, high demand for medical services, and growth in medical technologies are contributing to the growth in healthcare spending. The rising rate of spending on healthcare is anticipated to drive the demand for BFS technology in the United States. The United States is expected to gain an 85% market share in 2023, recording a 5.2% CAGR during the forecast years.

Pharmaceutical Industry in Germany Fuels the Market Growth

Pharmaceuticals and chemicals constitute the third leading industry in Germany, with a total turnover of US$ 249.9 billion in 2021, following the automotive, machinery, and equipment sectors. Research spending on research and development activities in Germany was US$ 14.5 billion in the year 2021, and around 80% of chemical and pharma companies in Germany are involved in research activities. The German chemical and pharmaceutical industry, with its high research and turnover, is anticipated to create a growth opportunity for the market. Germany is expected to generate incremental opportunities worth US$ 616 million during the upcoming forecast years, with a growing CAGR of 5.2%.

Competition Scenario Molding the Global Blow Fill Seal Technology Market

Manufacturing companies operating in blow fill seal technology are developing innovative designs, launching new products, and expanding their market presence. Companies are responding to customer needs by expanding their global sales presence, geographic footprint, and production capacity through investments in acquisitions and research. Recent activities and developments implemented by the leading players in the market include:

·         In March 2023, Stevanato Group S.p.A. announced a collaboration with Resyca® BV (a joint venture between Recipharm and Medspray) for the development and production of pre-fillable syringes.

·         In April 2021, SK Capital completed the acquisition of Catalent’s Blow Fill Seal CDMO and renamed it Woodstock Sterile Solutions.

·         In November 2023, Unither Pharmaceuticals announced an investment of around US$ 80 million for the expansion and facility upgrade of its manufacturing sites.

These insights are based on a report by Ismail Sutaria Blow Fill Seal Technology Market by Future Market Insights.

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