Saudi Arabia Pharmaceuticals Market Size, Share & Industry Analysis, By Type (Drugs and Vaccines), By Disease Indication (Oncology, Diabetes, Infectious, Cardiovascular, Neurology & Psychiatry, Respiratory, Renal, Obesity, Autoimmune, Ophthalmic, Gastrointestinal, Dermatology, Hematology/Blood, Liver/Hepatology, Genetic, Hormonal/Endocrine, Women’s Health, Reproductive, Allergies, Others), By Drug Type (Biologics & Biosimilars, Small Molecules), By Route of Administration (Oral, Parenteral, Topical, Inhalation, Others), By Age Group, By Distribution Channel, and Regional Forecast, 2025-2032

The Saudi Arabia pharmaceuticals market size was valued at USD 10.50 billion in 2024. The market is projected to grow from USD 10.86 billion in 2025 to USD 16.52 billion by 2032, exhibiting a growth at a CAGR of 6.18% during the forecast period.

The Saudi Arabia pharmaceutical market is expected to witness substantial growth during the forecast period. Currently, Saudi Arabia is dependent on imported pharmaceuticals; thus, the increasing focus of government authorities to expand the healthcare sector and localize pharmaceutical manufacturing through strategic initiatives is expected to propel the pharmaceuticals market in Saudi Arabia.

Moreover, the rising number of chronic diseases, the presence of advanced healthcare facilities, and the expansion of key companies are expected to further boost the demand and market growth in the country.

• For instance, in October 2024, Eisai Co., Ltd. established a new pharmaceutical sales subsidiary in Riyadh, the Kingdom of Saudi Arabia.

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As per the Saudi FDA drug approvals and GMP inspections report, the generic pharmaceuticals approved annually increased from 59 in 2011 to 533 in 2021.

Saudi Arabia Pharmaceuticals Market Trends

Emphasis on Developing an Advanced Treatment Model Is a Prominent Market Trend

The country's healthcare sector is increasingly collaborating with international biopharmaceutical companies and research institutions to introduce innovative therapies. The increasing focus of the government on developing advanced treatment models, particularly in the field of immunotherapy, is a prominent trend in the Saudi Arabia pharmaceuticals market.

• For instance, in May 2025, ImmunityBio, Inc. signed a strategic Memorandum of Understanding (MOU) with key partners, such as the Ministry of Investment of Saudi Arabia (MISA), King Faisal Specialist Hospital & Research Centre (KFSHRC), and King Abdullah International Medical Research Center (KAIMRC). This collaboration aims to introduce the FDA-approved Cancer BioShield platform to Saudi Arabia and the wider Middle East region. The initiative is expected to open new opportunities for immune-restorative cancer therapies, potentially benefiting patients across the region through innovative treatment options.

Such strategies are designed to enhance cancer treatment options and position Saudi Arabia as a regional hub for cutting-edge medical research and patient care.

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In February 2023, as per the data published by the General Authority for Statistics, Saudi Arabia, the expenditure on research and development accounted for 50.0% of total expenditure in 2021.

Saudi Arabia Pharmaceuticals Market Growth Factors

Increasing Investment in the Pharmaceutical Sector to Drive Market Growth

Increasing efforts by key health authorities to secure investments are driving the Saudi Arabia pharmaceuticals market. The rising prevalence of chronic infectious diseases, along with a focus on expanding treatment offerings to patients, is bolstering market growth.

• For instance, in December 2024, the Convention on Pharmaceutical Ingredients (CPHI) Middle East announced USD 798 million in funds to boost research, local manufacturing, and logistics in Saudi Arabia's pharmaceutical sector, with an aim of building a strong pharmaceutical ecosystem.

Saudi Arabia Pharmaceuticals Market Restraints

Stringent and Lengthy Regulatory Approval Processes Hamper Market Growth

Complex and time-consuming approval procedures by the Saudi Food and Drug Authority (SFDA) are significantly restricting the pharmaceutical market growth. The stringent policies for approvals decrease the expansion of multinational companies in the country and thus reduce the launch and approval of advanced therapies in the region.

• For instance, the total time required by SFDA to examine new medications is 119 days, for biologics is 105 days, and for generics is 109 days in 2021. Such lengthy timelines may hamper market growth.

Saudi Arabia Pharmaceuticals Market Segmentation Analysis

By Type

As per the type segment, the market is divided into vaccines and drugs.

The drugs segment dominated the Saudi Arabia pharmaceutcials market owing to the increasing prevalence of chronic diseases and adoption of prescription and OTC drugs.

The vaccines segment is expected to hold a significant CAGR during the forecast period. The growth of the segment in Saudi Arabia is supported by increasing research and development activities and the presence of advanced healthcare infrastructure for active vaccination programs.

• For instance, in February 2025, the Kingdom of Saudi Arabia announced USD 500 million in funding to the Global Polio Eradication Initiative (GPEI). These funds were used to stop polio outbreaks in Pakistan and Afghanistan. Such initiatives by the government aimed to propel the segment’s growth in the country.

By Disease Indication

Based on disease indication, the market is segmented into oncology, autoimmune, diabetes, infectious, cardiovascular, renal, obesity, ophthalmic, neurology & psychiatry, respiratory, gastrointestinal, dermatology, genetic, hematology/blood, liver/hepatology, hormonal/endocrine, women’s health, reproductive, allergies, and others.

The cardiovascular segment accounts for a leading portion of the Saudi Arabian pharmaceutical market. The increasing incidence of cardiovascular diseases drives the segment’s growth due to inadequate dietary habits, stress, and other factors.

Moreover, the presence of advanced healthcare facilities and infrastructure to support the diagnosis and treatment of these diseases further boosts market growth.

• For instance, as per the data published by the World Heart Federation, the age-standardized CVD incidence in Saudi Arabia was 1,218 per 100,000 population in 2021.

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As per the data published by the Global Cancer Observatory Report, 2022, the burden of colorectum cancer is higher in Saudi Arabia Males.

By Drug Type

Based on drug type, the market in Saudi Arabia is bifurcated into small molecules/ conventional drugs and biologics & biosimilars.

The biologics & biosimilars segment is expected to dominate the market during 2025-2032. The presence of major players with an active focus on expanding their offerings in the country, along with the rising approvals and marketing authorization for biosimilars, is boosting market growth.

• For instance, in March 2024, Formycon, in collaboration with MS Pharma, announced the approval and marketing authorization of FYB201/ranibizumab Ravegza, a biosimilar to Lucentis, from the Saudi Food and Drug Authority. The biosimilar is used for the treatment of age-related neovascular (wet) macular degeneration. Such approvals are expected to further boost market growth.

By Route of Administration

Based on route of administration segment, the market is divided into oral, parenteral, topical, inhalation, and others.

The parenteral segment is likely to hold a leading market share, driven by rising demand for hospital-based treatments and the delivery of effective and rapid therapies, particularly in hospital and clinical settings.

Additionally, the increasing demand for parenteral administration of drugs in chronic conditions and approvals for new pharmaceutical products are expected to bolster the segment’s growth.

• For instance, in June 2023, Venus Remedies Ltd. received market authorization from the Saudi Food and Drug Authority for Docetaxel injections, a widely used chemotherapy drug for the treatment of breast, prostate, stomach, and non-small cell lung cancers.

By Age Group

On the basis of age group, the market is bifurcated into adult and pediatric.

The adult segment is holding the dominant share of the Saudi Arabia pharmaceuticals market during the forecasted timeframe. The rising number of age-related disorders and an increasing number of product launches for adults targeting genetic disorders are expected to propel the segment’s growth.

• For instance, in August 2025, Agios Pharmaceuticals, Inc. announced that the Saudi Food and Drug Authority (SFDA) had approved PYRUKYND (mitapivat) for the treatment of non-transfusion-dependent and transfusion-dependent alpha- or beta-thalassemia in adults.

By Distribution Channel

The distribution channel is segmented into hospital pharmacies, drug stores & retail pharmacies, and online pharmacies.

The drug stores and retail pharmacies segment is expected to hold the maximum portion of the market. The presence of a wide variety of drugs, rising patient preferences due to easier accessibility and convenience, are the factors bolstering the segment’s growth.

Additionally, rising collaboration between key pharmacy retail chains and pharmaceutical companies to boosting the segment’s growth.

• For instance, in February 2025, Bayer collaborated with Al-Dawaa Medical Services, one of the largest retail pharmacy chains in Saudi Arabia. The collaboration aimed to support the "Protect Your Heart" national awareness campaign for efficient, cost-effective detection of cardiovascular diseases, and to offer adequate treatment for better patient outcomes.

List of Key Companies in the Saudi Arabia Pharmaceuticals Market

Pfizer, Sanofi, AstraZeneca, and Novartis AG are the prominent players in the Saudi Arabia pharmaceuticals market, with a robust product portfolio of branded drugs and a strong focus on strategic activities to expand their product lines in the market.

Other companies with a considerable presence include local players such as Saudi Pharmaceutical Industries and Medical Appliances Corporation SPIMACO, Tabuk Pharmaceuticals, and Hikma Pharmaceuticals, and global players such as Amgen Inc., Gilead Sciences, Inc., and Takeda Pharmaceutical Company Limited. Strong government support, with a focus on developing and launching generics and biosimilars to offer affordable and effective treatments, is expected to help these companies maintain their market position.

LIST OF KEY SAUDI ARABIA PHARMACEUTICALS COMPANIES PROFILED

• Merck & Co., Inc. (U.S.)
• Pfizer Inc. (U.S.)
• Johnson & Johnson (U.S.)
• AbbVie Inc. (U.S.)
• AstraZeneca (U.S.)
• Hoffmann-La Roche Ltd (Switzerland)
• Novartis AG (Switzerland)
• Bristol-Myers Squibb Company (U.S.)
• SPIMACO (Saudi Arabia)
• Tabuk Pharmaceuticals (Saudi Arabia)
• Eli Lilly and Company (U.S.)
• Sanofi (France)

KEY INDUSTRY DEVELOPMENTS

• July 2025: CEL-SCI partnered with Saudi Arabia’s premier pharmaceutical and healthcare companies to receive commercialization approvals for Multikine (Leukocyte Interleukin, Injection), for the treatment of head and neck cancer.
• March 2022: Cumberland Pharmaceuticals Inc., in collaboration with Tabuk Pharmaceutical Manufacturing Company, announced the launch of Cumberland's Vibativ (telavancin) injection in the Middle East, including Saudi Arabia.

REPORT COVERAGE

The Saudi Arabia pharmaceuticals market report provides a detailed analysis of the market. The report emphasizes the detailed study of the prevalence of key diseases in Saudi Arabia, with key products under pipeline for treatment. Additionally, the Saudi Arabia pharmaceuticals market analysis comprises market dynamics and key industry developments, such as mergers and acquisitions. Furthermore, the detailed reimbursement and regulatory scenarios of the country to be offered in the report. Besides this, the report also offers insights into the latest industry trends and the impact of various factors on the demand for the Saudi pharmaceutical industry.

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Report Scope & Segmentation