The solvent used in various pharmaceutical applications is known as a pharmaceutical solvent. They easily get suspended, dissolved, and extract other products without altering the property of other material. Pharmaceutical solvents are used in the manufacturing of drug, extraction, and purification processes. Sometime solvent also acts as a reaction medium. They are widely used in the manufacturing of Active Pharmaceutical Ingredients (API) which require alcoholic solvents such as propylene glycol, ethanol, isopropanol, and propanol.
The global pharmaceutical solvent market was estimated to be valued more than US$ 3.0 billion in terms of revenue in 2019 and is predicted to grow at a CAGR of 4.4% during the forecast period (2020 to 2027).
Growth in the pharmaceutical industry across the developing region of the Asia Pacific such as China and India is expected to drive the market growth of the pharmaceutical solvent. The growing prevalence of various chronic diseases has propelled the demand for a novel drug which is again expected to foster the market growth of the pharmaceutical solvent. Increasing investment by the government in the pharmaceutical industry to develop more drugs in order to meet the rising demand around the globe is further expected to bolster the market growth.
Growth in the chemical industry due to the increasing production of various chemicals supported by favorable government policies is expected to provide potential growth opportunities to the market. According to the India Brand Equity Foundation, in terms of value and production volume, the Indian chemical industry is the 3rd largest producer in Asia & 6th by output in the world. Indian chemical industry could grow at 11% p.a. to reach a size of US$ 224 billion by 2017. By 2025, the Indian chemical industry is projected to reach US$ 403 billion.
Strict rules and regulations regarding the manufacturing of the solvents are expected to hinder the market growth of the pharmaceutical solvent. For instance, the government of developed countries such as the United States Environmental Protection Agency (U.S. EPA) determined that acetone has negligible ground-level ozone-forming properties and exempted it from some air pollution regulations and also removed acetone from the Toxics Release Inventory (TRI).
On the basis of chemical type, alcohol dominated the global pharmaceutical solvent market in 2019 with around 34% of market share in terms of revenue, followed by others and ester respectively.
The growing trend of recycling pharmaceutical solvent which is used in the production of medical marijuana. This is also attributed to the growing market of medical marijuana. According to the marijuana business fact book, the marijuana market is projected to reach US$ 44 billion in 2020. Solvents such as propane, hexane, isopropyl alcohol butane, and ethanol are mainly used in the manufacturing of medical marijuana. All these solvents are recycled by using a distillation process where they are filtered out from waste solvent.
Various key players are expanding their presence across a developing region by opening new pharmaceutical facility especially in India is a major trend in the market. For instance, in August 2017, BASF India Limited, subsidiary of BASF SE has inaugurated its pharma technical lab at its Innovation Campus Asia Pacific, located in Navi Mumbai, India. Named “BASF Pharma Solutions Lab”, the mission of this facility is to cater to the fast-growing pharmaceutical market in South Asia, especially generic drug manufacturing, which accounts for more than 70% of the sector in India.
Solvents like acetone are associated with fire hazards as it is highly flammable and it has a flashpoint of -18 °C (0 °F).
Government of developed countries such as United States Environmental Protection Agency (U.S. EPA) recently determined that acetone has negligible ground-level ozone-forming properties and exempted it from some air pollution regulations and also removed acetone from the Toxics Release Inventory (TRI)
In November 2004, U.S. EPA added tert-butyl acetate (TBAC) to the list of Volatile Organic Compound (VOC) regulations.
Applicability of <467> is regulation for the manufacturers of official excipients, official active pharmaceutical ingredients and for official drug product
Global Pharmaceutical Solvent Market - Impact of Coronavirus (Covid-19) Pandemic
As per CMI analysis, there is steep increase in demand for higher production rate of active pharmaceutical ingredients (APIs) during Coronavirus (Covid-19) Pandemic. This is expected to fuel the growth Global Pharmaceutical Solvent Market during 2020-2021 period
Key players are operating in the global pharmaceutical solvent market are BASF SE, The Dow Chemical, Alfa Aesar, Clariant AG, Merck KGaA, and Yip’s Chemical Holdings Limited
By Chemical Group
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