Market Trends of North America Pharmaceutical Warehousing Industry
Rise in Aged Population in North America is Driving the Market
The United States includes a growing and aging population that is increasing the need for pharmaceuticals. As people get older, they become more likely to need medications to treat chronic conditions like diabetes, heart conditions, and arthritis. The COVID-19 pandemic affected the pharmaceutical markets around the world. It is expected that the pharmaceutical market will continue to grow in 2027, with vaccines leading the way.
Infectious diseases that spread from country to country were around for thousands of years. For example, the coronavirus pandemic of 2020 killed millions of people and caused billions of dollars in economic losses. One of the most important ways to manage the spread of viral diseases is through the discovery and development of vaccines. However, the biggest challenges for vaccination programs are related to vaccine cold chain and cold storage. Apart from the pharmaceutical market, North America’s pharmaceutical consumption is also on the rise. It is partly due to an increasing demand for drugs to treat age-related and chronic conditions, as well as changes in clinical practice, all of which contribute to the warehousing trend.
As per the US Census Bureau, in 2022, about 17.3% of the American population was 65 years old or over and is expected to reach 22% by 2050. The number of people over the age of 65, who generally need the most care, is growing even faster. Hence, the demand for pharmaceutical warehousing is expected to increase over the study period.
Increasing Pharmaceutical Trade is Driving the Market
In 2022, North America represented 52.3% of global pharmaceutical sales, compared to 22.4% for Europe. According to IQVIA, the latest data shows that 64.4% of new medicines launched in the US between 2017 and 2022 were sold on the US market compared to 16.4% for the European market. With the development of new technologies and more cost-effective and efficient manufacturing processes, the industry is going through a major transformation. Market growth is also supported by increasing investment flows in this industry.
North America accounted for the major share of the global E-drug stores due to the development of programming innovations in the clinical industry. North America is the largest E-drug market in the world. The high number of users of app-based pharmacies, the growing presence of e-commerce pharmacies, and the growing web-dependency population are the major factors that fuel global e-drug stores. The pharmaceutical industry witnessed an increase in e-commerce sales. Distribution centers and warehouses must be well-positioned to deliver products quickly and efficiently to consumers.
The United States stood as the leading country of destination for Mexico's pharmaceutical exports in 2022. In 2022, pharma exports from Mexico into the US reached over USD 1 billion, according to Trade Map. France followed with around USD 141.37 million worth of pharmaceuticals exported from Mexico. Meanwhile, pharmaceutical exports originating in Mexico totaled about USD 2.18 billion in 2022. Thus, the growing pharmaceutical trade is expected to drive the North American pharmaceutical warehousing market.
