Japan Generic Drug Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028
Market Overview:
The Japan generic drug market size reached US$ 10.7 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 16.9 Billion by 2028, exhibiting a growth rate (CAGR) of 7.8% during 2023-2028.
Japan represents the world’s eighth biggest market for generic drugs in terms of value. Generic drugs, however, have traditionally enjoyed a relatively lower penetration in Japan compared to other developed markets such as the United States and Europe. Historically, the lower penetration of generic drugs in japan was due to several reasons. These included – the perception of inferior quality of generic drugs, the preference of branded drugs among physicians and patients and the limited profits to be made by physicians from pharmaceutical price differentials by prescribing low priced generics. Generic drugs also remained less popular in Japan because of the lack of generic substitution rights by Japanese pharmacists, slower review times in the drug approval process and difficulties working with major pharmaceutical distributors – many of whom were closely tied to major branded drug manufacturers.
The landscape of the Japan generic drug market, however, has changed noticeably over the last decade. The Japanese government has identified growth of the country’s generic drug market as imperative to Japan’s long-term economic health. The Japanese government, recognizing the country’s increasing aging population as well as rising costs of branded drugs has begun instituting healthcare policy changes to cut their expenditures on medical costs. Drug costs account for around a fifth of the country’s total medical expenses and reducing this burden has become a cornerstone of Japan’s health administration policy. Substitution of low-cost generic drugs for innovator products has been identified as a strategy where major savings are possible. Driven by these initiatives, the penetration of generics has grown robustly over the past few years. This is expected to create huge opportunities for both domestic and foreign generic manufacturers in Japan.
The report entitled “Japan Generic Drug Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028” represents an in-depth analysis on the historical, current and future market trends in the generic drug market in Japan. This research report serves as an exceptional tool to understand the drivers, sales trends, prescription trends, market structure, competitive landscape, regulations, key players, key drugs, manufacturing and the outlook of generic drug market in Japan. This report can serve as an excellent guide for investors, researchers, consultants, marketing strategists and all those who want to gain an insight into the generic drug market in Japan.
Key Questions Answered:
What are generic drugs? How are they different from branded drugs?
How has Japan’s generic drug market performed in recent years?
What has been the impact of COVID-19 on the Japan generic drug market?
How have generic drugs performed compared to branded drugs?
What were the total sales and prescriptions for generic drugs in Japan?
Who are the key players in the Japanese generic drug market? How have they performed?
What is the structure of the Japanese generic drug market?
What is the pricing mechanism of generic drugs in Japan?
What is the value chain of generic drugs in Japan?
What are the regulations for generic drugs in Japan?
How are generic drugs distributed in Japan?
How are generic drugs manufactured?
What are the raw material and machinery requirements to manufacture generic drugs?
What are the drivers and challenges in the Japanese generic drug market?
The Japan generic drug market size reached US$ 10.7 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 16.9 Billion by 2028, exhibiting a growth rate (CAGR) of 7.8% during 2023-2028.
Japan represents the world’s eighth biggest market for generic drugs in terms of value. Generic drugs, however, have traditionally enjoyed a relatively lower penetration in Japan compared to other developed markets such as the United States and Europe. Historically, the lower penetration of generic drugs in japan was due to several reasons. These included – the perception of inferior quality of generic drugs, the preference of branded drugs among physicians and patients and the limited profits to be made by physicians from pharmaceutical price differentials by prescribing low priced generics. Generic drugs also remained less popular in Japan because of the lack of generic substitution rights by Japanese pharmacists, slower review times in the drug approval process and difficulties working with major pharmaceutical distributors – many of whom were closely tied to major branded drug manufacturers.
The landscape of the Japan generic drug market, however, has changed noticeably over the last decade. The Japanese government has identified growth of the country’s generic drug market as imperative to Japan’s long-term economic health. The Japanese government, recognizing the country’s increasing aging population as well as rising costs of branded drugs has begun instituting healthcare policy changes to cut their expenditures on medical costs. Drug costs account for around a fifth of the country’s total medical expenses and reducing this burden has become a cornerstone of Japan’s health administration policy. Substitution of low-cost generic drugs for innovator products has been identified as a strategy where major savings are possible. Driven by these initiatives, the penetration of generics has grown robustly over the past few years. This is expected to create huge opportunities for both domestic and foreign generic manufacturers in Japan.
The report entitled “Japan Generic Drug Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028” represents an in-depth analysis on the historical, current and future market trends in the generic drug market in Japan. This research report serves as an exceptional tool to understand the drivers, sales trends, prescription trends, market structure, competitive landscape, regulations, key players, key drugs, manufacturing and the outlook of generic drug market in Japan. This report can serve as an excellent guide for investors, researchers, consultants, marketing strategists and all those who want to gain an insight into the generic drug market in Japan.
Key Questions Answered:
What are generic drugs? How are they different from branded drugs?
How has Japan’s generic drug market performed in recent years?
What has been the impact of COVID-19 on the Japan generic drug market?
How have generic drugs performed compared to branded drugs?
What were the total sales and prescriptions for generic drugs in Japan?
Who are the key players in the Japanese generic drug market? How have they performed?
What is the structure of the Japanese generic drug market?
What is the pricing mechanism of generic drugs in Japan?
What is the value chain of generic drugs in Japan?
What are the regulations for generic drugs in Japan?
How are generic drugs distributed in Japan?
How are generic drugs manufactured?
What are the raw material and machinery requirements to manufacture generic drugs?
What are the drivers and challenges in the Japanese generic drug market?
1 PREFACE
2 SCOPE AND METHODOLOGY
2.1Objectives of the Study
2.2Stakeholders
2.3Data Sources
2.3.1Primary Sources
2.3.2Secondary Sources
2.4Market Estimation
2.4.1Bottom-Up Approach
2.4.2Top-Down Approach
2.5Forecasting Methodology
3 EXECUTIVE SUMMARY
4 JAPAN GENERIC DRUG MARKET - INTRODUCTION
4.1What are Generic Drugs?
4.2Unbranded and Branded Generic Drugs
4.3Authorized Generic Drugs
5 WHY IS THE JAPANESE GENERIC DRUG MARKET SO LUCRATIVE
5.1Blockbuster Drugs Going Off-Patent
5.2Rising Healthcare Costs Coupled with an Increasing Ageing Population
5.3Japan Has One of the Lowest Penetration of Generics
5.4Incentives for Dispensing Generics
5.5Significant Savings for Payers and Providers
5.6Biosimilars
6 GLOBAL GENERIC DRUG MARKET
6.1Market Performance
6.1.1 Value Trends
6.1.2 Volume Trends
6.2Market Breakup by Country
6.2.1 Market Breakup by Volume
6.2.2 Market Breakup by Value
6.3Market Forecast
6.4Most Prescribed Generic and Branded Drugs
7 JAPAN GENERIC DRUG MARKET
7.1Japan Pharmaceutical Market Performance
7.1.1 Value Trends
7.1.2 Volume Trends
7.1.3 Market Breakup by Type
7.1.4 Market Forecast
7.2Japan Generic Drug Market Performance
7.2.1 Value Trends
7.2.2 Volume Trends
7.2.3 Impact of COVID-19
7.2.4 Market Forecast
8 SWOT ANALYSIS
8.1Overview
8.2Strength
8.3Weakness
8.4Opportunities
8.5Threats
9 PRICING MECHANISM AND PROFIT MARGINS AT VARIOUS LEVELS OF SUPPLY CHAIN
10 PORTER’S FIVE FORCES ANALYSIS
10.1Overview
10.2Bargaining Power of Buyers
10.3Bargaining Power of Suppliers
10.4Degree of Competition
10.5Threat of New Entrants
10.6Threat of Substitutes
11 JAPAN GENERIC DRUG MARKET- COMPETITIVE LANDSCAPE
11.1Japan Generic Drug Market - Competitive Structure
11.2Japan Generic Drug Market - Breakup by Key Players
11.3Japan Generic Drug Market - Breakup by Distribution Channel
12 JAPAN GENERIC DRUG MARKET- VALUE CHAIN ANALYSIS
12.1Research and Development
12.2Manufacturing
12.3Marketing
12.4Distribution
13 REGULATIONS IN JAPAN GENERICS INDUSTRY
13.1Approval Pathway of a Generic Drug in Japan
13.1.1 Master File Scheme for Active Ingredients
13.1.2 Equivalency Review
13.1.3 Conformity Audit
13.2Certifications
13.2.1 MAH (Market Authorization Holder) License for Product Approval
13.2.2 FMA (Foreign Manufacturer Accredited) Certification for Product Approval
13.2.3 DMF (Drug Master File) Registration
13.2.4 GMP (Good Manufacturing Practices) Certification
13.2.5 Manufacturer’s License
14 JAPAN GENERIC DRUG MARKET: KEY SUCCESS FACTORS
15 JAPAN GENERIC DRUG MARKET: ROAD BLOCKS
16 REQUIREMENTS FOR SETTING UP A GENERIC DRUG MANUFACTURING PLANT
16.1Manufacturing Process
16.2Raw Material Requirements
16.3Raw Material Pictures
16.4Land and Construction Requirements
16.5Machinery and Infrastructure Requirements
16.6Machinery Pictures
16.7Plant Layout
16.8Packaging Requirements
16.9Utility Requirements
16.10Manpower Requirements
17 JAPAN GENERIC DRUG MARKET - KEY COMPANY PROFILES
2 SCOPE AND METHODOLOGY
2.1Objectives of the Study
2.2Stakeholders
2.3Data Sources
2.3.1Primary Sources
2.3.2Secondary Sources
2.4Market Estimation
2.4.1Bottom-Up Approach
2.4.2Top-Down Approach
2.5Forecasting Methodology
3 EXECUTIVE SUMMARY
4 JAPAN GENERIC DRUG MARKET - INTRODUCTION
4.1What are Generic Drugs?
4.2Unbranded and Branded Generic Drugs
4.3Authorized Generic Drugs
5 WHY IS THE JAPANESE GENERIC DRUG MARKET SO LUCRATIVE
5.1Blockbuster Drugs Going Off-Patent
5.2Rising Healthcare Costs Coupled with an Increasing Ageing Population
5.3Japan Has One of the Lowest Penetration of Generics
5.4Incentives for Dispensing Generics
5.5Significant Savings for Payers and Providers
5.6Biosimilars
6 GLOBAL GENERIC DRUG MARKET
6.1Market Performance
6.1.1 Value Trends
6.1.2 Volume Trends
6.2Market Breakup by Country
6.2.1 Market Breakup by Volume
6.2.2 Market Breakup by Value
6.3Market Forecast
6.4Most Prescribed Generic and Branded Drugs
7 JAPAN GENERIC DRUG MARKET
7.1Japan Pharmaceutical Market Performance
7.1.1 Value Trends
7.1.2 Volume Trends
7.1.3 Market Breakup by Type
7.1.4 Market Forecast
7.2Japan Generic Drug Market Performance
7.2.1 Value Trends
7.2.2 Volume Trends
7.2.3 Impact of COVID-19
7.2.4 Market Forecast
8 SWOT ANALYSIS
8.1Overview
8.2Strength
8.3Weakness
8.4Opportunities
8.5Threats
9 PRICING MECHANISM AND PROFIT MARGINS AT VARIOUS LEVELS OF SUPPLY CHAIN
10 PORTER’S FIVE FORCES ANALYSIS
10.1Overview
10.2Bargaining Power of Buyers
10.3Bargaining Power of Suppliers
10.4Degree of Competition
10.5Threat of New Entrants
10.6Threat of Substitutes
11 JAPAN GENERIC DRUG MARKET- COMPETITIVE LANDSCAPE
11.1Japan Generic Drug Market - Competitive Structure
11.2Japan Generic Drug Market - Breakup by Key Players
11.3Japan Generic Drug Market - Breakup by Distribution Channel
12 JAPAN GENERIC DRUG MARKET- VALUE CHAIN ANALYSIS
12.1Research and Development
12.2Manufacturing
12.3Marketing
12.4Distribution
13 REGULATIONS IN JAPAN GENERICS INDUSTRY
13.1Approval Pathway of a Generic Drug in Japan
13.1.1 Master File Scheme for Active Ingredients
13.1.2 Equivalency Review
13.1.3 Conformity Audit
13.2Certifications
13.2.1 MAH (Market Authorization Holder) License for Product Approval
13.2.2 FMA (Foreign Manufacturer Accredited) Certification for Product Approval
13.2.3 DMF (Drug Master File) Registration
13.2.4 GMP (Good Manufacturing Practices) Certification
13.2.5 Manufacturer’s License
14 JAPAN GENERIC DRUG MARKET: KEY SUCCESS FACTORS
15 JAPAN GENERIC DRUG MARKET: ROAD BLOCKS
16 REQUIREMENTS FOR SETTING UP A GENERIC DRUG MANUFACTURING PLANT
16.1Manufacturing Process
16.2Raw Material Requirements
16.3Raw Material Pictures
16.4Land and Construction Requirements
16.5Machinery and Infrastructure Requirements
16.6Machinery Pictures
16.7Plant Layout
16.8Packaging Requirements
16.9Utility Requirements
16.10Manpower Requirements
17 JAPAN GENERIC DRUG MARKET - KEY COMPANY PROFILES
LIST OF TABLES
Table 1: Japan: Sales (in Billion US$) and Patent Expiry of Major Drugs Expected to Lose Patent Protection (in Billion US$)
Table 2: Japan: History of Major Policies to Encourage the Use of Generic Drugs
Table 3: Japan: Expenses of Generic and Branded Drug Manufacturers (in %)
Table 4: Major Biosimilar Product Under Development as of March 2021
Table 5: Japan: Generic Drug Market: Key Industry Highlights, 2022 and 2028
Table 6: Global: Generics Market: Volume Performance of Top Molecules (in Million Prescriptions)
Table 7: Global: Branded Drug market: Volume Performance of Top Branded Drugs (in Million Prescriptions)
Table 8: Japan: Generic Drug Industry: Market Structure
Table 9: Generic Drug Manufacturing Plant: Machinery Costs (in US$)
Table 10: Generic Oncology Drug Manufacturing Plant: Costs Related to Salaries and Wages (in US$)
Table 11: Japan: Data Requirements for a New Generic Drug Application
Table 12: Japan: Various Bioequivalence Guidelines for Generic Drugs
Table 13: Japan: Timeline for New Generic Drug Approval
Table 14: Japan: Review Time of the Application for Partial Change Approval
Table 15: Nichi-Iko Pharmaceutical Co., Ltd: Key Financials (in US$ Million)
Table 16: Sawai Pharmaceutical Co., Ltd: Key Financials (in US$ Million)
Table 17: Towa Pharmaceutical: Key Financials (in US$ Million)
Table 18: Teva Pharmaceutical Ltd: Key Financials (in US$ Million)
Table 19: Fuji Pharma Co Ltd: Key Financials (in US$ Million)
Table 1: Japan: Sales (in Billion US$) and Patent Expiry of Major Drugs Expected to Lose Patent Protection (in Billion US$)
Table 2: Japan: History of Major Policies to Encourage the Use of Generic Drugs
Table 3: Japan: Expenses of Generic and Branded Drug Manufacturers (in %)
Table 4: Major Biosimilar Product Under Development as of March 2021
Table 5: Japan: Generic Drug Market: Key Industry Highlights, 2022 and 2028
Table 6: Global: Generics Market: Volume Performance of Top Molecules (in Million Prescriptions)
Table 7: Global: Branded Drug market: Volume Performance of Top Branded Drugs (in Million Prescriptions)
Table 8: Japan: Generic Drug Industry: Market Structure
Table 9: Generic Drug Manufacturing Plant: Machinery Costs (in US$)
Table 10: Generic Oncology Drug Manufacturing Plant: Costs Related to Salaries and Wages (in US$)
Table 11: Japan: Data Requirements for a New Generic Drug Application
Table 12: Japan: Various Bioequivalence Guidelines for Generic Drugs
Table 13: Japan: Timeline for New Generic Drug Approval
Table 14: Japan: Review Time of the Application for Partial Change Approval
Table 15: Nichi-Iko Pharmaceutical Co., Ltd: Key Financials (in US$ Million)
Table 16: Sawai Pharmaceutical Co., Ltd: Key Financials (in US$ Million)
Table 17: Towa Pharmaceutical: Key Financials (in US$ Million)
Table 18: Teva Pharmaceutical Ltd: Key Financials (in US$ Million)
Table 19: Fuji Pharma Co Ltd: Key Financials (in US$ Million)
LIST OF FIGURES
Figure 1: Structure of the Pharmaceutical Industry
Figure 2: Classification of Generic Drugs
Figure 3: Penetration of Generic Drugs Across Various Developed Markets
Figure 4: Global: Generic Drug Market: Sales Value (in Billion US$), 2017-2022
Figure 5: Global: Generic Drug Market: Sales Volume (in Billion Units), 2017-2022
Figure 6: Global: Generic Drug Market: Sales Value Breakup by Country (in %), 2022
Figure 7: Global: Generic Drug Market: Sales Volume Breakup by Country (in %), 2022
Figure 8: Global: Generic Drug Market Forecast: Sales Value (in Billion US$), 2023-2028
Figure 9: Global: Generic Drug Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 10: Japan: Pharmaceutical Market: Sales Value (in Billion JPY), 2017-2022
Figure 11: Japan: Pharmaceutical Market: Sales Volume (in Billion Units), 2017-2022
Figure 12: Japan: Pharmaceutical Market Forecast: Sales Value (in Billion JPY), 2023-2028
Figure 13: Japan: Pharmaceutical Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 14: Japan: Pharmaceutical Market: Sales Volume Breakup of Branded and Generic Drugs (in %), 2017 and 2022
Figure 15: Japan: Pharmaceutical Market: Sales Value Breakup of Branded and Generic Drugs (in %), 2017 and 2022
Figure 16: Japan: Generic Drug Market: Sales Value (in Billion US$), 2017-2022
Figure 17: Japan: Generic Drug Market Forecast: Sales Value (in Billion US$), 2023-2028
Figure 18: Japan: Generic Drug Market: Sales Volume (in Billion Units), 2017-2022
Figure 19: Japan: Generic Drug Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 20: Japan: Generic Drug Market: Breakup by Key Players (in %)
Figure 21: Japan: Generic Drug Market: Breakup by Distribution Channel (in %)
Figure 22: Japan: Generic Drug Industry: SWOT Analysis
Figure 23: Pricing Mechanism and Profit Margins at Various Levels of the Supply Chain
Figure 24: Japan: Generic Drug Industry: Porter’s Five Forces Analysis
Figure 25: Japan: Generic Drug Industry: Value Chain Analysis
Figure 26: Japan: Generic Drug Manufacturing: Detailed Process Flow
Figure 27: Japan: Generic Drug Manufacturing: Raw Material Requirements
Figure 28: Japan: Generic Drug Manufacturing Plant: Proposed Plant Layout
Figure 29: Japan: Generic Drug Manufacturing: Packaging Requirements
Figure 30: Japan: Approval Pathway for a Generic Drug
Figure 1: Structure of the Pharmaceutical Industry
Figure 2: Classification of Generic Drugs
Figure 3: Penetration of Generic Drugs Across Various Developed Markets
Figure 4: Global: Generic Drug Market: Sales Value (in Billion US$), 2017-2022
Figure 5: Global: Generic Drug Market: Sales Volume (in Billion Units), 2017-2022
Figure 6: Global: Generic Drug Market: Sales Value Breakup by Country (in %), 2022
Figure 7: Global: Generic Drug Market: Sales Volume Breakup by Country (in %), 2022
Figure 8: Global: Generic Drug Market Forecast: Sales Value (in Billion US$), 2023-2028
Figure 9: Global: Generic Drug Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 10: Japan: Pharmaceutical Market: Sales Value (in Billion JPY), 2017-2022
Figure 11: Japan: Pharmaceutical Market: Sales Volume (in Billion Units), 2017-2022
Figure 12: Japan: Pharmaceutical Market Forecast: Sales Value (in Billion JPY), 2023-2028
Figure 13: Japan: Pharmaceutical Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 14: Japan: Pharmaceutical Market: Sales Volume Breakup of Branded and Generic Drugs (in %), 2017 and 2022
Figure 15: Japan: Pharmaceutical Market: Sales Value Breakup of Branded and Generic Drugs (in %), 2017 and 2022
Figure 16: Japan: Generic Drug Market: Sales Value (in Billion US$), 2017-2022
Figure 17: Japan: Generic Drug Market Forecast: Sales Value (in Billion US$), 2023-2028
Figure 18: Japan: Generic Drug Market: Sales Volume (in Billion Units), 2017-2022
Figure 19: Japan: Generic Drug Market Forecast: Sales Volume (in Billion Units), 2023-2028
Figure 20: Japan: Generic Drug Market: Breakup by Key Players (in %)
Figure 21: Japan: Generic Drug Market: Breakup by Distribution Channel (in %)
Figure 22: Japan: Generic Drug Industry: SWOT Analysis
Figure 23: Pricing Mechanism and Profit Margins at Various Levels of the Supply Chain
Figure 24: Japan: Generic Drug Industry: Porter’s Five Forces Analysis
Figure 25: Japan: Generic Drug Industry: Value Chain Analysis
Figure 26: Japan: Generic Drug Manufacturing: Detailed Process Flow
Figure 27: Japan: Generic Drug Manufacturing: Raw Material Requirements
Figure 28: Japan: Generic Drug Manufacturing Plant: Proposed Plant Layout
Figure 29: Japan: Generic Drug Manufacturing: Packaging Requirements
Figure 30: Japan: Approval Pathway for a Generic Drug
