Biopharmaceuticals Market Is Expected To Be Flourished By Growing Adoption Of Targeted Therapy Drugs


The biopharmaceuticals industry comprises biological products used in the treatment and management of various chronic as well as life-threatening diseases. Commonly used biopharmaceutical products include monoclonal antibodies, vaccines, gene therapies, recombinant hormones, and cytokines for treating various chronic conditions like autoimmune diseases, cancer, diabetes, and disorders like hemophilia. For instance, monoclonal antibodies such as Rituxan for non-Hodgkin’s lymphoma and rheumatoid arthritis, Herceptin for breast cancer, Humira for rheumatoid arthritis are some of the major drugs driving the biopharmaceuticals market.

The global biopharmaceuticals Market is estimated to be valued at US$ 397.24 Bn in 2023 and is expected to exhibit a CAGR of 9.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:

Growing Adoption of Targeted Therapy Drugs: Targeted therapy drugs such as monoclonal antibodies revolutionized the treatment of various chronic diseases such as cancer. These are more precise and cause fewer side effects than traditional chemotherapy drugs. Increasing R&D activities for development of innovative biologics and targeted therapies is expected to drive the demand for biopharmaceuticals.

Rising Incidence of Chronic Diseases: Growing prevalence of chronic diseases worldwide is a major factor favoring the growth of the biopharmaceuticals industry. According to WHO estimates, chronic diseases accounted for approximately 60% of the global burden of disease in 2001, and this percentage is expected to rise to 73% by 2020. Biopharmaceutical drugs play a major role in the effective management of chronic conditions.

Segment Analysis

The biopharmaceuticals market is dominated by monoclonal antibodies segment which holds around 35% market share. Monoclonal antibodies are extensively used for treatment of various conditions like cancer, infectious diseases, autoimmune disorders etc. Their high selectivity and efficacy makes them preferred biologic drug class over other segments. Other major segments include vaccines, recombinant proteins, and stem cell therapy and tissue engineering. The recombinant proteins segment is also growing at a significant rate due to wide application in treatment of metabolic disorders.

PEST Analysis

Political: The biopharmaceuticals industry is regulated tightly by government agencies like FDA in US and EMA in Europe to ensure safety and efficacy of drugs. Favourable regulatory policies to support development of biologics has propelled growth. However, pricing controls and market access issues pose challenges.

Economic: Rising healthcare spending worldwide has fuelled market growth. Developed markets dominate currently due to high adoption and accessibility. However, demand is increasing rapidly in emerging economies due to growing disease burden and availability of low-cost generic versions of biologics.

Social: Increasing incidence of chronic diseases, growing geriatric population, and rising patient awareness about benefits of biologic drugs are driving the market. Social media also plays an important role in creating awareness. However, high cost of treatment remains a concern for certain segments of the population.

Technological: Advances in bioinformatics, cell culture, and downstream processing has enabled development of novel biologic drug classes with better efficacy and safety profiles. Continuous R&D is further expanding applications of biologics. 3D bioprinting technology also offers promise for future.

Key Takeaways

The global biopharmaceuticals market share is expected to witness high growth at a CAGR of 9.4% during the forecast period of 2023 to 2030. It is projected to reach a market size of US$ 721.51 Bn by 2030 from US$ 397.24 Bn in 2024.

Regional analysis: North America currently dominates the market and is expected to continue its dominance owing to presence of major players and high healthcare spending. Asia Pacific is anticipated to grow at the fastest pace during the forecast period. This can be attributed to expanding healthcare infrastructure, high disease prevalence, and growing disposable income in the region.

Key players: Major players operating in the biopharmaceuticals market are Accenture, Teleperformance SE, Infosys Limited (Infosys BPM), WNS (Holdings) Ltd., HCL Technologies Limited, AMDOCS, CBRE Group Inc., Sodexo, NCR Corporation, TTEC Holdings, Inc., Wipro Limited, and Capgemini. These companies are engaged in new product development, mergers & acquisitions and expansion of manufacturing facilities globally to reinforce their market presence. For instance, Accenture partnered with Fujifilm in 2020 to develop digital platform for drug discovery and development.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it