Biopharmaceuticals and biomedicines are rapidly growing due to their ability to treat complex diseases like cancer, autoimmune, and chronic diseases. Biologics are defined as medicines derived from living organisms using biotechnology methods for novel drug development and drug targeting. Unlike chemically synthesized pharmaceuticals, biologics are much larger and complex molecules that are sensitive to heat or pH or other manufacturing changes. Biologics are helpful in the treatment of a wide range of diseases and conditions including cancer, diabetes, arthritis, multiple sclerosis and inflammatory bowel disease. The global biopharmaceutical and biomedicine market is estimated to be valued at US$ 20025.57 Bn in 2023 and is expected to exhibit a CAGR of 9.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity
The growing demand for biologics offers a key market opportunity. The demand for biologics is growing rapidly owing to their superior effectiveness in treating rare and chronic diseases compared to traditional pharmaceutical drugs. According to market estimates, biologics now account for over 25% of overall drug spending and generated over US$ 250 Bn in global sales in 2020. This growing market share of biologics presents a major opportunity for companies to develop innovative biologics and gain market share. Rapid development of biosimilars and advanced therapies are further expected to drive the demand for biologics and boost revenue growth in the biopharmaceutical and biomedicine market over the forecast period.
Porter's Analysis
Threat of new entrants: Low economies of scale due to high capital investment and R&D costs prevent new players from entering the market. Bargaining power of buyers: Large buyers such as hospitals and pharmaceutical companies have significant bargaining power due to the fragmented nature of the industry and dependencies on few major players. Bargaining power of suppliers: Suppliers of raw materials and specialized equipment have moderate bargaining power due to differentiation in production process and technologies. Threat of new substitutes: New substitutes pose moderate threat as alternative therapies and treatment options emerge continuously. Competitive rivalry: Intense rivalry exists among key players due to technological innovations, strategic collaborations and investments in R&D.
SWOT Analysis
Strengths: Growing geriatric population boosting demand for drugs and therapies. Technological advancements enabling personalized medicine. Weaknesses: High capital requirements for R&D and clinical trials driving up costs. Stringent regulatory norms delay product approvals. Opportunities: Emerging economies represent large untreated patient base. Cell and gene therapies present new opportunities. Threats: Risk of failure and side effects in drug development. Price control measures and healthcare reforms.
Key Takeaways
The Global Biopharmaceutical and Biomedicine Market Demand is expected to witness high growth over the forecast period. The North American region currently dominates the market due to availability of funds for research. Key regional growth is projected in Asia Pacific driven by improving healthcare infrastructure and increasing healthcare expenditures.
Key players operating in the Biopharmaceutical and Biomedicine market are KABA Group, Yubico, SecuGen Corporation, Anviz Global, Nitgen Co., Ltd., Integrated Biometrics, BIO-key International, Daon Inc., Suprema Inc., Integrated Biometrics, ASSA ABLOY, Dormakaba Holding, Allegion plc, HID Global Corporation, Gunnebo Security Group, IDenticard Systems, PrimeKey Solutions AB, Thales Group, Gemalto NV, NXP Semiconductors N.V.
The rising R&D investments and increasing adoption of biopharmaceutical products are anticipated to offer lucrative opportunities for market expansion. Significant growth is projected in antibody drugs, vaccines, biosimilars, cellular and gene therapies.
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