Japan generic drugs market is projected to witness a CAGR of 7.81% during the forecast period FY2024-FY2032, growing from USD 12.72 billion in FY2024 to USD 23.23 billion in FY2032. The market’s growth is supported by government policies to reduce healthcare expenditure, expanding aging population due to low birth rates, and rising collaborations and partnerships by pharmaceutical companies to boost the availability of generic drugs in the country.
The growing prevalence of chronic diseases, including respiratory diseases and disorders, is also boosting the Japan generic drugs market demand. According to an article published in Dove Medical Press in May 2024, the prevalence of airflow obstruction in Japan is 3.8%-16.9%. This bolsters the requirement for generics as they are equivalent to their brand-name counterparts in route of administration, strength, quality, and dosage while providing patients with an economical alternative. To reduce the national healthcare expenditure, the Japanese government has also implemented various policies to encourage the adoption of generics.
Additionally, the growing utilization of products by both healthcare professionals and patients can also be attributed to the increasing awareness about the benefits offered by them, which, in turn, is boosting the Japan generic drugs market size. Additionally, the Ministry of Health, Labor and Welfare (MHLW) proposed measures to promote generics for FY2022 reimbursement reform.
Furthermore, a study published in Biomed Central in February 2023 observed that the rate of generic prescription utilization for outpatient in-hospital prescriptions and out-of-hospital prescriptions increased as the monthly personal incomes of patients decreased.
The increasing prevalence of diseases such as cancer, diabetes, and cardiovascular diseases is driving the demand for generic drugs. These chronic conditions often require long-term medication, and the use of generic drugs enables patients to manage their conditions in a cost-effective manner, thereby highlighting the vital role of generic drugs in managing chronic diseases.
Government Encouragement Provides Growth Opportunities
The Japanese government is increasingly investing in educational campaigns to bolster public awareness and boost the utilization of generic drugs. The country’s health ministry is also encouraging bigger drug manufacturers to merge with the small ones to propel the production of generics and ensure a stable supply. The ministry also aims to revitalize the pharmaceutical industry to accelerate domestic drug development. Medications are one of the main expenses of the healthcare system; possible reduction in drug costs is an everlasting concern for the government and policymakers to reduce expenditures, extend medical coverage, and improve access to medications. Thus, augmenting the adoption of generic drugs and positively influencing the market’s growth.
Read More: https://www.marketsandata.com/industry-reports/japan-generic-drugs-market
Expansion of the Aging Population Boosts Market Demand
Over the past few decades, a push toward generic drugs have been witnessed to reduce costs in the healthcare sector due to the growth of the aging population. As per the estimates of the World Economic Forum, almost a third of the Japanese population is older than 65, and more than 1 in 10 individuals in the country are 80 or older. This growth is augmenting the requirement for generic drugs in the country as the older population is more susceptible to various diseases and disorders and regularly needs medications. As the generic drugs carry the same active ingredient as their brand name counterparts, they have the same administration, efficacy, dosage, and effect as the patented drug while being economically efficient. Thus, the preference for generics is increasing in the country.
Branded Generics Account for Major Market Share
The rising prevalence of various chronic diseases and increasing product launches by market players are supporting the growth of the Japan generic drugs market. In April 2023, Mochida Pharmaceutical Co., Ltd. announced the launch of Treprost Inhalation Solution, indicated for pulmonary arterial hypertension. The product contains Treprostinil as the active ingredient. Pulmonary arterial hypertension is characterized by elevated pulmonary artery pressure caused by the hardening and narrowing of pulmonary arteries responsible for carrying blood from the heart to the lungs. Symptoms including dizziness, fatiguability, and palpations accompany the orphan refractory disease. The market players are actively investing in the launch of branded generics to manage and treat such chronic conditions in Japan.
Biosimilars Hold Significant Market Share
Various biosimilars are being launched in Japan to ensure the availability of economically efficient treatment options for patients combatting chronic diseases. In December 2023, Sandoz Group AG and Biocon Biologics Limited announced a partnership for promoting, distributing, and selling Adalimumab in Japan. Under the agreement, Sandoz holds exclusive rights for the distribution and sale of the subcutaneous injection of Adalimumab BS in Japan. Adalimumab, the biosimilar version of Humira, is indicated for rheumatoid arthritis. Such collaborations and partnerships are expected to support the segment’s expansion and boost the Japan generic drugs market’s growth. The adoption of biosimilars is rapidly increasing in the country due to the growing awareness about their efficacy and safety among the general population.
Future Market Scenario (FY2025-FY2032F)
As per the Japan generic drugs market analysis, the growth of the market is boosted by the ongoing efforts of the Japanese government to propel awareness about generics, the increasing prevalence of chronic diseases, and the rapid aging of the country’s population. According to the Population Projections for Japan (2023) in the National Institute of Population and Social Security Research, the number of people of ages 75 and above will increase to 22.58 million in 2030. The increasing investments by pharma companies towards the expansion of their generic portfolios and the launch of new biosimilars in the country are further expected to provide lucrative growth opportunities to the market.
Report Scope
“Japan Generic Drugs Market Assessment, Opportunities and Forecast, FY2018-FY2032F”, is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of the current state of Japan generic drugs market, industry dynamics, and challenges. The report includes market size, segmental shares, growth trends, opportunities, and forecast between FY2025 and FY2032. Additionally, the report profiles the leading players in the industry, mentioning their respective market share, business models, competitive intelligence, etc.
Contact
Mr. Vivek Gupta
5741 Cleveland street,
Suite 120, VA beach, VA, USA 23462
Tel: +1 (757) 343-3258
Email: info@marketsandata.com
Website: https://www.marketsandata.com/
Related Reports:
United States Generic Drugs Market Assessment, Opportunities and Forecast, 2017-2031F
India Generic Drugs Market Assessment, Opportunities and Forecast, 2017-2031F
Global IoT Medical Devices Market Assessment, Opportunities and Forecast, 2017-2031F