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Global Anti-counterfeit markets in Food & Pharmaceutical applications by geography, technology trends and forecasts (2010-2015)

 

By: marketsandmarkets.com
Publishing Date: January 2011
Report Code: FB 1042

 




Counterfeiting was earlier a problem specific to developing countries of Africa and Asia. However, with the recent increase in parallel trading and internet pharmacies, the industry has also expanded in developed nations such as the U.S. and Europe. Counterfeit medicines in particular are on the increase. The most commonly counterfeited drugs in developed countries are the so-called ‘lifestyle drugs’ and other common pharmaceuticals that have a high demand, such as aspirin, antacid, and analgesics.

With increasing disease outbreaks due to food contamination as well as casualties due to counterfeit drugs, the packaging industry has been aggressively moving towards developing and commercializing tamper-proof packaging solutions for the food and pharmaceutical industry. Popular packaging technologies include PFID (Radio Frequency Identification) tags, 2D-barcodes and holograms, used to ensure original and unhampered products.

Anti-counterfeiting techniques have its root in inventory management techniques. Barcodes were the first to be introduced for managing inventory and generating bills. Inventory management techniques evolved into authentication techniques, bringing about immense improvement in protecting products against counterfeiting. However, authentication techniques cannot constantly monitor product; and this gap facilitated the evolution of track and trace products. This is expected to initiate a trend of convergence techniques integrating different anti-counterfeit methods – such as integrating taggants in RFID or holograms in order to secure the packaging with more efficiency. Companies such as Bayer Diagnostics and Pfizer have already incorporated RFID in their supply chain in order to obtain multilevel security.

The anti-counterfeit market can be segmented into technologies and applications market. The technology market consists of authentication and track and trace technologies. Authentication technology includes techniques which facilitate validation of the manufacturer and include taggants, holograms, inks & dyes, and watermarks. Trace and track techniques such as barcodes and RFID facilitate identification of each item with a unique identity number. This helps to keep a record of items sold and stored in the inventory. The track and trace market holds approximately 70% share of the entire anti-counterfeiting market, mainly due to huge market share of bar-coding, which accounts for more than 40% of the total anti-counterfeiting market. However, the track and trace market does not have as high a growth rate as of the authentication market, mainly due to the fact that the barcodes submarket of the former has a very low CAGR of 0.4%. Seagull Scientific Inc., Percon, Unitech, Wasp Barcode, IBM, and Cisco are actively developing track and trace technology to enhance the security system for the pharmaceuticals and food industry.

The major packaging applications of anti-counterfeiting technology lie in the pharmaceutical and food packaging industry. Anti-counterfeiting technology is also having a high demand for securing auto parts and electronic goods. Counterfeiting is most prevalent in the pharmaceutical industry, which accounts for 59% of the global anti-counterfeiting packaging market. Concerns over the reliability of anti-counterfeit packaging systems have increased the need for more developed and highly sophisticated models for securing the pharmaceutical supply chain. Promising technologies such as RFID can be relied upon for trace and track of the pallet and package. However, RFID is not immune to package tampering and intelligent hacking.

From an investment perspective, technologies such as holograms and inks and dyes require very low initial investment; and thus have less entry barriers resulting in a greater number of players. Barcodes too have low entry barriers due to the easy availability of the infrastructure required for printing barcodes. In addition, barcodes is a well-developed technology with competitive prices resulting from intense competition. RFID and taggants require high initial investments, which raises the break-even point in these markets and thus have a high entry barrier. Watermarks have very few applications in the food and pharmaceutical industry; and therefore have low entry barriers.

This report analyzes the market potential of anti-counterfeiting technologies for food and pharmaceuticals packaging, as these are the two most prominent sectors taking anti-counterfeit measures. This report not only provides a comprehensive market estimate of the anti-counterfeit macro-markets but also gives a detailed analysis of its sub-markets, which have so far remained unexplored.

Scope of the report

The report gives a full breakdown of the entire market for anti-counterfeiting food and pharmaceuticals packaging technologies. The market is segmented on the basis of products, applications, and technologies. Each section will provide market data, market drivers, trends and opportunities, top-selling products, key players, and competitive landscape.

On the basis of technologies:

  1. Authentication technologies (inks and dyes, holograms, watermarks, and taggants)
  2. Trace and track technologies (barcodes and RFIDs)

On the basis of applications:

  1. Food products (dairy, meat, sea food, bakery, confectionery, convenience, and baby food)
  2. Pharmaceuticals (generic drugs, prescription drugs, and power boosters)

On the basis of geography:

  1. North America
  2. Europe
  3. Asia
  4. ROW

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