Global Compounding Pharmacy Market
The Compounding Pharmacy Market size is estimated at USD 15.12 billion in 2025, and is expected to reach USD 19.93 billion by 2030, at a CAGR of 5.68% during the forecast period (2025-2030). The market growth is fueled by the rising demand for personalized medicine, which provides treatment according to the individual patient’s characteristics. Drug shortages influenced by factors such as the lengthy and costly process of drug development and approval result, drive the demand for compounding pharmacies as they can create customized medications to address gaps in supply. The rising focus on the management of chronic diseases creates substantial opportunities for the new and existing market players to provide customized treatment plans, resulting in the increased adoption of compounding pharmacies.
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Study Period | 2019 - 2030 |
Market Size (2025) | USD 15.12 Billion |
Market Size (2030) | USD 19.93 Billion |
CAGR (2025 - 2030) | 5.68 % |
Fastest Growing Market | Asia-Pacific |
Largest Market | North America |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
Industry Dynamics
As personalized medicine becomes more popular, the demand for medications customized to the unique needs of individual patients is on the rise, particularly for those with allergies, specific dosage requirements, or distinct health conditions that necessitate non-standard treatments. Compound pharmacies provide patients with a range of personalized medicines that cannot be found in stores. Therefore, the demand for compound pharmacy solutions is anticipated to rise with the increase in the adoption of personalized treatments and is expected to boost the market growth.
Moreover, compounding pharmacies can provide customized alternatives when specific medications are in limited supply or no longer available, ensuring a continuous supply and access to essential treatments for patients. Further, older adults frequently need specialized medication plans, and compounding pharmacies can produce tailored dosage forms, combination medications, and various formulations appropriate for older patients who might face challenges with conventional medications. Therefore, the rising geriatric population along with the increasing shortage of drugs and are expected to boost the compounding pharmacy market in the future.
However, the compounding pharmacy industry faces several challenges, such as a lack of skilled compounding pharmacists, which may impede market growth. Experienced compounding pharmacists should be proficient in identifying suitable drug combinations, accurately calculating dosages, verifying ingredient compatibility and sterile compounding pharmacy. The lack of this expertise among compounding pharmacists can affect the quality of compounded medications and may impede the broader market for compounding pharmacies during the projected period.
Compounding Pharmacy Market Report Coverage
Overview of Market Segments Covered:
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In 2024, pain management is expected to dominate the therapeutic area segment, capturing a significant 34.03% market share. Market research indicate that this segment will grow to an estimated USD 6.36 billion by 2029. The rising burden of pain-related diseases and road accidents leads to the high demand for compounding pain management medications. For instance, industry data published by the National Institutes of Health (NIH) in May 2023 mentioned that the rate of chronic pain cases among United States adults was significant, standing at 52.4 cases for every 1,000 individuals annually. Additionally, an article published by the Times of India in October 2024 mentioned that the burden of injuries resulting from road crashes was increased in India, with nearly 463 thousand individuals injured in 2023, marking a 4% rise compared to 2022. As a result, the demand for compounding pharmacies, which offer specialized pain medications for severe, pain-inducing wounds, is anticipated to surge, bolstering market growth during the forecast period.
The compounding pharmacy market analysis report is segmented by therapeutic area, route of administration, end user, and geography. By therapeutic area, the market is segmented into pain management, hormone replacement, dermal disorders, nutritional supplements, and other therapeutic areas. By route of administration, the market is segmented into oral, topical, parenteral, and other routes of administration. By end user, the market is segmented into humans and veterinary. Hormone replacement therapy helps drive the market growth by increasing the demand for personalized hormone formulations, such as bioidentical hormones, that are tailored to individual patient needs, particularly for menopause, thyroid, and andropause treatments.
Regional Market Scope of this Report:
North America is anticipated to grow significantly in the market, holding a considerable 45.43% market share of the compounding pharmacy sector. Forecasts suggest that this market in North America will expand to approximately USD 8.37 million by 2029, experiencing substantial growth. This increase is attributed to various industry trends and factors, including the existence of numerous community-based pharmacies offering compounding services, widespread acceptance of personalized medications among the population, and a shortage of certain drugs in the North America region. For instance, the data published by the Center for American Progress Organization in October 2023 mentioned there were 128 active drug shortages in the United States in 2023. Additionally, more than 90 percent of cancer treatment centers in the country were impacted by shortages of chemotherapy drugs alone. Further, in August 2023, Manulife, a Canadian multinational insurance company, introduced a personalized medicine program to enhance health outcomes for its healthcare members. This initiative highlights the growing emphasis on personalized medicine, which can be facilitated by drug compounding in pharmacies and is expected to drive market growth in Canada. Thus, owing to factors such as the shortage of drugs and increasing personalized medicine programs, the demand for compound pharmacy is expected to fuel, which in turn is anticipated to propel the market growth in the North American region over the forecast period.
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By geography, the global market segmentation of compounding pharmacies comprises of North America (United States, Canada, Mexico), Europe (Germany, United Kingdom, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, Japan, India, Australia, South Korea, Rest of Asia-Pacific), Middle East and Africa (GCC, South Africa, Rest of Middle East and Africa), and South America (Brazil, Argentina, Rest of South America). Emerging markets, especially in the Asia-Pacific and Middle East region are experiencing a rise in demand for compounding pharmacies. The growth in East Africa market is likely to be substantial in the coming years. The compounding pharmacy industry is projected to experience significant growth in the North America and Europe regions in future.
Competitive Landscape and Ecosystem Analysis:
Some of the key players in the compounding pharmacy market are B. Braun Medical Inc., Fagron NV, Fresenius SE & Co. KGaA, Wedgewood Pharmacy, Nephron Pharmaceuticals Corporation, Dougherty's Pharmacy Inc., Pharmasave, Rx3 Compounding Pharmacy, Institutional Pharmacy Solutions LLC, Mcguff Compounding Pharmacy Services, Pencol Specialty Pharmacy, ITC Compounding Pharmacy and Valor Compounding Pharmacy Inc., among others. The major market participants are engaged in various strategic initiatives, including partnerships, product launches, and agreements, all of which are anticipated to enhance market growth. For instance, in October 2024, B. Braun Medical Inc. revealed its efforts to secure essential intravenous (IV) fluid supplies in light of Hurricane Milton and the damage inflicted by Hurricane Helene on a significant IV fluid manufacturing facility in North Carolina. B. Braun collaborated closely with the Administration for Strategic Preparedness and Response (ASPR) to protect the supply of finished products from the distribution center and utilized their resources for transferring 60 truckloads with 70,000 cases of IV solutions to a secure facility located north of Florida. The global market of compounding pharmacy is semi-consolidated in the context of competitive landscape, comprising several market players.
Compounding Pharmacy Market Report Scope
By Therapeutic Area | |
Pain Management | |
Hormone Replacement | |
Dermal Disorders | |
Nutritional Supplements | |
Other Therapeutic Areas |
By Route of Administration | |
Oral | |
Topical | |
Parenteral | |
Other Route of Administrations |
By End-User | |
Humans | |
Veterinary |
Geography | ||||||||
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Industry Developments
- In October 2024, Strive Compounding Pharmacy made a significant advancement by acquiring a nearly 50,000 sq. ft. facility in St. Louis, Missouri, in the United States. This new facility bolsters the company’s position as one of the fastest-growing compounding pharmacies in the country.
- In October 2024, Iterum Therapeutics plc introduced the United States Food and Drug Administration (FDA) approval for its new drug application for ORLYNVAH (sulopenem etzadroxil and probenecid), intended for the treatment of uncomplicated urinary tract infections (uUTIs) in adult women, who have few or no alternative oral antibacterial treatment options available. The company is progressing with developing its first compound, sulopenem, a new penem anti-infective agent available in both oral and intravenous formulations.
- In August 2024, Valley Health System broadened its pharmaceutical services with the launch of a compounding pharmacy in New Jersey, United States. This type of pharmacy creates personalized prescriptions designed to meet the unique medication requirements for both people and animals.
- In July 2024, Revelation Pharma completed the acquisition of Taylors Pharmacy and Washington-based Key Compounding Pharmacy. These strategic acquisitions signify the company's ongoing expansion across the United States in its mission to enhance the accessibility of its distinctive compounding products and services for both patients and healthcare providers.
Compounding Pharmacy Market Research FAQs
How big is the Compounding Pharmacy Market?
The Compounding Pharmacy Market size is expected to reach USD 15.12 billion in 2025 and grow at a CAGR of 5.68% to reach USD 19.93 billion by 2030.
What are the leading companies in the Compounding Pharmacy Market?
B. Braun Medical Inc., Fagron NV, Fresenius SE & Co. KGaA, and Wedgewood Pharmacy are the major companies operating in the compounding pharmacy industry.
What are the growth opportunities in Compounding Pharmacy ?
Few of the factors presenting growth opportunities to the global market are expansion in the access to personalized medicine, surge in drug shortages, and expansion in services for pets and animals, offering custom medications.
What are the challenges facing the Compounding Pharmacy Market?
The lack of skilled compounding pharmacists and market competition among industry participants are anticipated to hinder the market growth over the forecast period.
Which regions are driving the Compounding Pharmacy Market's growth?
The North America and Europe regions are fueling the global compounding pharmacy growth.