Mobile: +91 992-500-9739

Tele: +91 79 403-07106


Recent Growth of the Pharmaceutical Industry in Germany

Pharmaceutical Industry

The pharmaceutical industry in Germany is highly regarded and follows its tradition as the “world’s pharmacy.” Consequently, Germany constitutes a primary pharmaceutical market and fourth-largest worldwide after the USA, China, and Japan. Furthermore, Germany is the most prominent pharmaceutical manufacturing location within the European Union and ranks second in Europe after Switzerland. Moreover, Germany has the second-highest figures worldwide after the USA in biopharmaceutical production.

With more than 500 pharmaceutical companies, Germany is the ideal location for pharmaceutical R&D, production, and sales of medicines. Small and medium enterprises (SMEs) constitute the backbone of the economic sector, with around 90 percent of drug manufacturers having less than 500 employees. Overall, the German pharmaceutical industry has a qualified workforce of 120,000 people (2019). Let us drill down on the recent growth of the pharmaceutical industry in Germany.

Recent Growth of the Pharmaceutical Industry in Germany

Statistical figures of growth of the pharmaceutical industry in Germany:

As per the Grand View Research Report, the German pharmaceutical market was estimated at USD 41.35 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 6.0% from 2020 to 2027.  Furthermore, with the increase in the patent applications focused on developing novel drugs and formulations, the German pharmaceutical market is anticipated to unfold more revenues. 

The country is the largest exporter of medicinal products and ranks among the top pharmaceutical producers worldwide. The export of pharmaceutical products from Germany was US$99.26 Billion during 2020, according to the United Nations COMTRADE database on international trade. The U.S., Netherlands, and Switzerland are the top three customers for pharmaceuticals from Germany.

Major factors driving the German pharmaceutical industry:

  • Germany is located in the heart of Europe and has an excellent infrastructure. Moreover, it is the continent’s most populous country, with a favorable investment climate and attractive business opportunities. Accordingly, it is one of the favorites for pharmaceutical companies planning to expand their business internationally.
  • The country has a highly competent workforce contributing to significant R&D and clinical trial activities. New active ingredients and therapies are also researched, developed, and produced here for the domestic and world markets. In addition, they have long-standing strength in the local chemical industry.
  • Germany belongs to the world’s leading clinical trials locations based on R&D investment and patent application levels. Secondly, they have potent pipeline drugs in Phase III clinical trials.
  • Many German organizations have joined global efforts to combat the Covid-19 pandemic. Germany has also evolved into one of the leading suppliers of novel biopharmaceuticals because of the global need for personalized medicines.

Recent Growth of the Pharmaceutical Industry in Germany
Prominent players in the pharmaceutical market of Germany:

Some of the prominent players in the pharmaceuticals market of Germany include: 

  • Boehringer Ingelheim International GmbH
  • Bayer AG
  • Merck & Co., Inc.
  • Fresenius Kabi AG
  • STADA Arzneimittel AG
  • Pfizer Inc.
  • Abbott
  • Abbvie Inc.
  • Teva Pharmaceutical Industries Ltd.
  • Novartis AG

Recent Growth of the Pharmaceutical Industry in Germany

Pharmaceutical Associations present in Germany:

Several associations represent the German pharmaceutical industry:

German Association of Research-based Pharmaceutical Companies (VFA): The VFA represents the interests of 44 global leaders in research-based pharmaceutical companies and more than 100 subsidiaries and affiliated companies in healthcare, research, and economic policy.

German Association for the Pharmaceutical Industry (BPI): The BPI represents approx. 240 companies. They include traditional pharmaceutical companies, pharmaceutical service providers, and companies in biotechnology, herbal medicine, and homeopathy/anthroposophy.

German Association of Pharmaceutical Producers (BAH): With more than 450 members, the BAH has the most members among the pharmaceutical industry associations in Germany. Its members are primarily pharmaceutical producers, pharmacists, lawyers, publishers, agencies, and market and opinion research institutes in the healthcare field.

Pro Generika: Pro Generika is the association of companies that manufacture generic and biosimilar products in Germany. Pro Generika has 16 member companies in Germany. Companies manufacturing generic and biosimilar products together cover over 75 percent of the medicinal drugs required by the statutory health insurance funds.

NEWEDGE Overseas has offices and a robust presence in India, Egypt, Ukraine, Iran, UAE, Colombia, USA, and Germany. Providing advanced pharma solutions across the globe, NEWEDGE Overseas exports a wide range of products to more than 40 countries, representing more than 500+ partnerships in India for our export markets. So, Kindly contact us for your pharmaceutical needs. 

Previous ArticleNext Article