RFID in Pharmaceuticals Market - Growth, Trends, Covid-19 Impact, And Forecasts (2022 - 2027)

The Global RFID in Pharmaceuticals Market is segmented by component (RFID Readers, RFID Tags, and RFID Middleware), Type (Chipped RFID and Chipless RFID), Application (Drug Tracing Systems, Drug Quality Management, and Others), and Geography (North America, Europe, Asia-Pacific, Middle-East and Africa, South America). The report offers the value (in USD million) for the above segments.

Market Snapshot

Study Period: 2019-2027
Base Year: 2021
Fastest Growing Market: Asia-Pacific
Largest Market: North America
CAGR: 7 %

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Market Overview

The RFID in the pharmaceutical market is projected to grow with a CAGR of 7% during the forecast period (2022 - 2027).

The ongoing COVID-19 pandemic and long-term shutdown have significantly impacted drug manufacturing companies. The government of several countries has reported that active pharmaceutical ingredients were in short supply because of the COVID-19 epidemic. This is due to the barrier across the country's border that has an ultimatum effect on the import and export facilities of medicinal products, among others. Due to this, many local players are developing and marketing falsified drugs in the market. The increasing cases of counterfeit drugs during the COVID-19 pandemic have increased the need for drug tracing and tracking. Microchips integrated into RFID tags are used to track and authenticate vaccines, antibody test kits, personal protective equipment (PPE), medical equipment, and high-value medicinal treatments from manufacturing to clinical location. The smart labels in the pharmaceutical industry also enable itemizing and sorting of stock to ensure quality and prevent waste. Hence, increases the demand for RFID technology usage and adoption by the pharmaceutical industry for better tracking of the drugs and to ensure the wellbeing of patients and consumers.

The increasing strictness in maintaining a secure drug supply in the wake of rising counterfeit drugs prevalence, the introduction of innovations and technological advancements, and the rising need for efficient supply chain management and increasing adoption of RFID in combination with electronic product code (EPC) for the real-time tracking, tracing, and authentication of drugs in the pharmaceutical industry are all projected to fuel market growth.

The rising number of counterfeit drugs is the key driving factor for the growth of the RFID in pharmaceuticals over the forecast period. Due to the COVID-19 pandemic, the incidents of counterfeit products have increased. According to the World Health Organization report, in 2021, the number of cases of substandard and falsified (SF) medical items increased by 52% from 2020. Recently, the majority of the incidents involved COVID-19-related medical products, such as vaccines, medicines, COVID test kits, antibiotics, face masks, and sanitizers. Similarly, in 2021, World Health Organization's worldwide surveillance and monitoring system for substandard and counterfeit medical products discovered fraudulent versions of the COVID-19 vaccine Covishield in India and Uganda.

In addition, the pharmaceutical industries are incorporating RFID into their supply chain, making it more efficient and enhancing patient safety along with time and money-saving. For instance, AstraZeneca, which has previously integrated RFID into its supply chain, has had remarkable success dispensing over 30 million RFID-enabled Diprivan syringes. However, the high costs associated with RFID system installation and device interoperability and emerging alternative electronic identifications are likely to limit the market expansion.

However, high cost of RFID system installation significantly hinder the market's growth.

Scope of the Report

As per the scope of the report, RFID (radio-frequency identification) is a technology that uses electromagnetic fields to automatically identify and track tags attached to objects. The Global RFID in Pharmaceuticals Market is segmented by component (RFID Readers, RFID Tags, and RFID Middleware), type (Chipped RFID and Chipless RFID), application (Drug Tracing Systems, Drug Quality Management, and Others), and Geography (North America, Europe, Asia-Pacific, Middle-East and Africa, South America). The market report also covers the estimated market sizes and trends for 17 countries across major regions globally. The report offers the value (in USD million) for the above segments.

By Component
RFID Readers
RFID Middleware
By Type
Chipped RFID
Chipless RFID
By Application
Drug Tracing Systems
Drug Quality Management
By End User
Drug Manufacturers
Hospitals and Clinics
North America
United States
United Kingdom
Rest of Europe
South Korea
Rest of Asia-Pacific
Middle-East and Africa
South Africa
Rest of Middle-East and Africa
South America
Rest of South America

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Key Market Trends

Drug Tracing Systems Segment Expected to Register a High CAGR in the Forecast Period

The pharmaceutical industry used RFID technologies to increase visibility across the value chain and track falsified drugs.

In addition, the rising number of counterfeit incidents and drug recalls have forced the government to reframe drug quality and take strict measures to make QR codes or RFID tags mandatory on active pharmaceutical ingredients and products due to the safety and tracking purpose are likely to boost the growth of RFID in drug tracing systems in the coming years.

As per the report released by Authentication Solutions Providers' Association (ASPA) in march 2022, Instances of substandard and falsified (SF) medical items surged by about 47% between 2020 and 2021, driven by the COVID-19 pandemic. For instance, according to an article published by the National Center for Biotechnology Information, in 2022, Valsartan was recalled due to identified contamination with N-nitroso dimethylamine (NDMA), a potentially cancerogenic substance, resulting from unintended changes in the manufacturing process in China. Valsartan is used as a long-term medication in patients with high blood pressure and heart diseases which will cause carcinogenic effects in patients.

Similarly, the formulations containing losartan and losartan with hydrochlorothiazide were also recalled from the market due to the presence of nitrosamine impurities. Furthermore, the introduction of next-generation RFID tags and readers is being efficiently used by the drug manufacturers and wholesalers in the pharmaceutical industry to prevent medical errors and increase the safety of individualized medicinal products. Thus, the rising counterfeit drugs and drug recalls have increased the demand for using RFID technologies in drug tracing and tracking systems in the pharmaceutical industry.

Thus, the segment is anticipated to witness significant growth over the forecast period due to the abovementioned factors.


North America is Expected to Have the Significant Market Share Over the Forecast Period

North America is anticipated to hold the major share of the market over the forecast period owing to the increasing risks from substandard and falsified drugs and stringent regulatory frameworks.

The rising incidences of drug counterfeiting in large pharmaceutical and biopharmaceutical companies is the key factor driving the growth of RFID technology in the market. For instance, in December 2020, Janssen Pharmaceutical notified that counterfeit SYMTUZA was distributed to over three pharmacies in the United States. The use of RFID is high in supply chain monitoring for tracking assets in real-time. Thus, such instances are likely to drive the growth of RFID in the pharmaceutical market in the region.

Moreover, the companies developing and launching RFID technologies and systems are also contributing to the growth of the market. For instance, In October 2020, Sandoz partnered with Kit Check, a company offering artificial intelligence and radio frequency identification medication management technology. Under this partnership, Sandoz introduced two RFID-tagged injectable products in the United States.

Thus, the market is expected to witness significant growth during the forecast period due to the abovementioned factors.


Competitive Landscape

Some RFID technology providers for pharmaceutical industries are focusing on new product innovations and technological advancements. This allows them to expand their product offerings globally and boost their market share. Some of the key players are Checkpoint Systems, Inc., Checkpoint Systems, Inc., Avery Dennison Corporation, Tageos, and Fresenius Kabi.

Recent Developments

  • In February 2022, Avery Dennison Smartrac launched its AD Minidose U9 RAIN RFID inlay for pharmaceutical applications, unlocking critical RFID value for healthcare, pharmacies, and laboratory asset management.
  • In August 2021, Tageos launched its EOS-202 U9 RAIN RFID inlay for healthcare and pharmaceutical applications.

Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Overview

    2. 4.2 Market Drivers

      1. 4.2.1 Rising Prevalence of Counterfeit Drugs

      2. 4.2.2 Introduction of Innovations and Advanced Technology

      3. 4.2.3 Adoption of RFID by Pharmaceutical Industry

    3. 4.3 Market Restraints

      1. 4.3.1 High Cost of RFID System Installation

    4. 4.4 Porter's Five Forces Analysis

      1. 4.4.1 Threat of New Entrants

      2. 4.4.2 Bargaining Power of Buyers/Consumers

      3. 4.4.3 Bargaining Power of Suppliers

      4. 4.4.4 Threat of Substitute Products

      5. 4.4.5 Intensity of Competitive Rivalry

  5. 5. MARKET SEGMENTATION (Market Size by Value - in USD Million)

    1. 5.1 By Component

      1. 5.1.1 RFID Readers

      2. 5.1.2 RFID Tags

      3. 5.1.3 RFID Middleware

    2. 5.2 By Type

      1. 5.2.1 Chipped RFID

      2. 5.2.2 Chipless RFID

    3. 5.3 By Application

      1. 5.3.1 Drug Tracing Systems

      2. 5.3.2 Drug Quality Management

      3. 5.3.3 Others

    4. 5.4 By End User

      1. 5.4.1 Drug Manufacturers

      2. 5.4.2 Hospitals and Clinics

      3. 5.4.3 Others

    5. 5.5 Geography

      1. 5.5.1 North America

        1. United States

        2. Canada

        3. Mexico

      2. 5.5.2 Europe

        1. Germany

        2. United Kingdom

        3. France

        4. Italy

        5. Spain

        6. Rest of Europe

      3. 5.5.3 Asia-Pacific

        1. China

        2. Japan

        3. India

        4. Australia

        5. South Korea

        6. Rest of Asia-Pacific

      4. 5.5.4 Middle-East and Africa

        1. GCC

        2. South Africa

        3. Rest of Middle-East and Africa

      5. 5.5.5 South America

        1. Brazil

        2. Argentina

        3. Rest of South America


    1. 6.1 Company Profiles

      1. 6.1.1 Checkpoint Systems, Inc.

      2. 6.1.2 GAO Group


      4. 6.1.4 Tageos

      5. 6.1.5 Fresenius Kabi

      6. 6.1.6 Invengo Technology Pte. Ltd

      7. 6.1.7 Zebra Technologies Corporation

      8. 6.1.8 CCL Industries

      9. 6.1.9 Blue Vector

      10. 6.1.10 Intermec, Inc.

    2. *List Not Exhaustive

**Competitive Landscape covers- Business Overview, Financials, Products and Strategies and Recent Developments

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Frequently Asked Questions

The Global RFID in Pharmaceuticals Market market is studied from 2019 - 2027.

The Global RFID in Pharmaceuticals Market is growing at a CAGR of 7% over the next 5 years.

Asia-Pacific is growing at the highest CAGR over 2021- 2026.

North America holds highest share in 2021.

Checkpoint Systems, Inc., GAO Group, Tageos, Fresenius Kabi , Avery Dennison Corporation are the major companies operating in Global RFID in Pharmaceuticals Market .

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