The market for preservative-free eye drops is anticipated to expand from US$ 1.129 billion in 2022 to US$ 1.587 billion by 2030, reflecting a projected compound annual growth rate (CAGR) of 4.3% during the period from 2022 to 2030.

Preservatives are commonly included in eye drops to inhibit bacterial growth. However, certain individuals may experience sensitivity or allergic reactions to these additives. Benzalkonium chloride (BAK) is the most frequently used preservative in eye drops, but excessive use can lead to eye irritation and exacerbate dry eye symptoms. In contrast, preservative-free eye drops are formulated without preservatives like BAK, making them a preferred choice for those with sensitivities or for individuals requiring frequent application. The increasing awareness of the adverse effects linked to preservatives, coupled with a rise in eye-related conditions among the elderly, is driving the growth of the preservative-free eye drops market. Nonetheless, the market's expansion may be challenged by a rise in product recalls.

Companies in the preservative-free eye drops sector are actively pursuing strategic initiatives such as collaborations, expansions, partnerships, and the introduction of new products. These efforts are aimed at boosting sales, broadening their market presence, and enhancing their capabilities to serve a larger customer base. Below are some significant developments that support market growth:

- In September 2023, Alcon broadened its selection of preservative-free eye drops with the launch of Systane Hydration multi-dose lubricant eye drops. This new product utilizes Systane's Intelligent Delivery system, which combines HP-Guar and borate with 0.15% hyaluronic acid to provide prolonged relief for dry eyes. The bottle incorporates Alcon's patented PureFlow technology, minimizing the need for preservatives.

- In July 2023, Bausch + Lomb acquired the Blink product line of eye and contact lens drops from Johnson & Johnson Vision for US$106 million. This acquisition includes Blink Tears preservative-free lubricating eye drops and other related products. Additionally, the company announced plans to acquire the Xiidra prescription dry eye medication from Novartis, reinforcing its strategy to focus on over-the-counter consumer eye care products.

- In June 2023, Senju Pharmaceutical Co., Ltd. and Novaliq GmbH finalized a licensing agreement for the rights to develop, manufacture, and market NOV03 (perfluorohexyloctane ophthalmic solution) in Japan. This innovative treatment for dry eye disease specifically targets tear evaporation and is the first preservative-free option for addressing the signs and symptoms of this condition.

- In April 2023, Sun Pharmaceutical Industries Limited launched CEQUA, a new ophthalmic treatment for dry eye disease and inflammation in India. This novel clear preservative-free aqueous nano micellar solution enhances the absorption of the active ingredient cyclosporine into ocular tissues.

- In March 2023, NovaBay Pharmaceuticals, Inc. partnered with Eyeganics to distribute its over-the-counter Organic Tears through its website and physician-dispensed channels. Organic Tears is notable for being the only USDA-certified lubricant eye drop that is entirely organic, chemical-free, and preservative-free, utilizing a unique technology for dispensing preservative-free formulations in a multi-dose system with microbiological safety.

- In February 2023, Santen Pharmaceutical Co., Ltd. received marketing authorization from the National Medical Products Administration of China for STN1011101, a preservative-free combination eye drop containing tafluprost 0.0015% and timolol 0.5%.

- In March 2022, Anjac Health & Beauty acquired Pillar5 Pharma Inc. to enhance its pharmaceutical operations and presence in North America. Pillar5 is a leading North American contract development manufacturing organization (CDMO) specializing in sterile ophthalmic solutions and solid dose manufacturing, and it was the first CDMO to offer multi-dose preservative-free capabilities in the North American market.

- In February 2022, AFT Pharmaceuticals launched Ocuzo, a preservative-free product for treating bacterial eye infections, approved for ocular infections caused by organisms sensitive to chloramphenicol. This antibiotic eye drop is available in a 10mL multi-dose bottle.

- In January 2022, Alcon introduced its innovative Systane Complete preservative-free lubricant eye drops in Europe, expanding its portfolio of preservative-free artificial tears in multi-dose bottles, thereby enhancing its presence in the rapidly growing artificial tears market.

- In February 2021, Bausch + Lomb launched Alaway Preservative Free antihistamine eye drops in the US, marking the first over-the-counter preservative-free antihistamine eye drop approved by the US Food and Drug Administration.

The introduction of new products and strategic initiatives such as expansions and acquisitions enable companies in the preservative-free eye drops market to innovate and remain competitive. These strategic growth efforts present substantial opportunities for the market's expansion in the years ahead.

**Application-Based Insights**

The preservative-free eye drops market is categorized by application into segments such as dry eye disease, eye allergies/infections, glaucoma, retinal disorders, and other indications. The dry eye disease segment accounted for a significant share of the market in 2022 and is projected to experience the highest CAGR from 2022 to 2030.

**Distribution Channel-Based Insights**

In terms of distribution channels, the market is divided into hospital pharmacies, drug stores and retail pharmacies, and online pharmacies. The hospital pharmacies segment held the largest market share in 2022, while the online pharmacies segment is expected to achieve the highest CAGR from 2022 to 2030.

The data for this report was sourced from reputable organizations including the World Health Organization, United Nations Global Population Prospects, Centers for Disease Control and Prevention, and the China Dry Eye Expert Consensus.