Straits Research released its highly anticipated report, “Global Pharmaceutical Excipients Market Size & Outlook, 2026-2034”. According to the study, the global market size is valued at USD 11.12 billion in 2025 and is anticipated to grow to USD 18.96 billion by 2034, registering a compound annual growth rate (CAGR) of 6.15% from 2026-2034.

Market Dynamics

The growth of the global pharmaceutical excipients market is driven by the increasing demand for advanced drug formulations and the rising adoption of novel drug delivery systems across the pharmaceutical industry. The growing prevalence of chronic diseases and the surge in production of generic drugs have further boosted the use of excipients in oral, topical, and injectable formulations. Moreover, pharmaceutical manufacturers are increasingly focusing on multifunctional and specialty excipients to meet the stringent regulatory standards and achieve formulation flexibility. As a result, companies are investing in R&D for innovative excipient technologies, such as co-processed and multifunctional excipients, to improve performance and reduce formulation complexities.

However, regulatory constraints and high costs associated with the approval of new excipients remain a key market restraint, limiting the pace of innovation and market entry for smaller players. On the other hand, the expanding pharmaceutical manufacturing base in emerging markets, coupled with the increasing emphasis on quality and compliance, presents a lucrative opportunity for excipient suppliers. The integration of sustainable and biodegradable materials into excipient production is also gaining traction, as the industry aligns with global environmental goals while ensuring product safety and performance.

Market Highlights

• Product: The oleochemicals segment is anticipated to register the fastest CAGR of 6.87% during the forecast period.
• Formulation Type: The oral segment dominated the market with a revenue share of 52.79% in 2025.
• Functionality: The binders segment dominated the market in 2025 with a revenue share of 12.36%.
• Regional Insights: North America dominated the market with 37.41% of revenue share, owing to the strong presence of leading pharmaceutical companies.