Biologics Market

Biologics Market Size (2022 to 2027)

As per our analysis report, the global biologics market size was worth USD 269.1 billion in 2021 and is expected to exhibit an 8.1% CAGR from 2022 to 2027. The market is estimated to be worth USD 429.4 billion by 2027 from USD 290.9 billion in 2022.

Biologics Market Share Insights:

• The U.S. biologics market was valued at USD 198.6 billion in 2021.
• Based on the source, the microbial segment led the biologics market in 2021.
• Based on product, the monoclonal antibodies segment held a leading share of the global biologics market in 2021.
• Based on disease, the oncology segment dominated the market in 2021.
• The North American region had 69.4% of the global market share in 2021.
• The European region is expected to value USD 124.3 billion by 2027.
• The Asia-Pacific region is anticipated to grow at a CAGR of 10.06% from 2022 to 2027.

MARKET DRIVERS:

The global biologics market growth is driven by the factors such as government initiatives to develop innovative techniques, Y-O-Y growth in the incidence of chronic diseases, growing healthcare expenditure, and rising prevalence to promote excellent treatment procedures.

The increasing acceptability of innovative therapies and rising demand for biological drugs with an increasing number of patent expiries are expected to favor the market's growth rate. Biologics have broad applications in targeted therapies and help treat various medical conditions when treatments are unavailable. In addition, gene-based and cellular biologics are major elements in biomedical research, which is expected to be favorable to the market's growth rate.

In addition, the rising scale of pharmaceutical companies worldwide and the growing initiatives of government organizations to spread awareness among people over the availability of treatment procedures for targeted diseases are further positively influencing the growth rate of the biologics market. Also, oral products have increased efficacy for various diseases such as Crohn's and rheumatoid arthritis, pulling patients to adopt novel treatment procedures. This is enhancing the growth rate of the biologics market eventually. Furthermore, the rising geriatric population and increasing prominence to lower the cost of treatment procedures are also urging the biologics market growth. Also, people's preference for pills rather than injections is increasing the market's growth rate. Technological advancements are also expanding the growth rate of the market. For instance, Eli Lilly and Pfizer adopted Amazon's Elastic Compute Cloud (EC2) platform to conduct simulation models more effectively in early drug discovery.

Furthermore, launching innovative therapies with the latest technologies is anticipated to set growth opportunities for the market. Reduction in the demand for small molecule drug R&D activities is expected to promote the biologics market growth shortly.

MARKET RESTRAINTS:

Lack of awareness regarding the utilization of biologics in the research centers and the complex regulatory structure by the government in approving new products are some of the major factors hindering the market's growth rate.

In addition, long-term use of biologics leads to specific problems such as changes in blood pressure, gastrointestinal complications, and breathing problems, slowly hampering the market's demand. Furthermore, supervising treatment procedures with biologics requires advanced technologies. This is quietly to restrain the biologics market growth during the forecast period. Furthermore, the absence of skilled people in laboratories to analyze the outcome limits the biologics market's growth rate. The high cost of installing and maintaining laboratory devices impedes market growth. Furthermore, the manufacturing process of biologics drugs is a little complex and remains a significant challenge for the market to grow. Less turnover for clinical trials is declining the growth rate of the biologics market.

Impact of COVID-19 on the global biologics market:

The COVID-19 pandemic has disrupted almost every sector in an unprecedented way. The novel coronavirus has been spreading rapidly since the WHO declared it a pandemic. Most people infected by COVID-19 have mild symptoms such as cold, cough, fever, and loss of smell or taste. However, it may yield severe heart failure symptoms, acute respiratory distress syndrome, and others for older people aged 65 to 70. As a result, the Biologics market has a declining growth rate in the initial months of 2020. The market was valued at USD 249 billion in 2019, where it dropped to USD 239 billion in 2020. The primary reason for the declined growth rate is to lock down restrictions and ban flights. As the treatment procedures using biologics are postponed or canceled, the market shares have reduced suddenly. As a result, the number of patients infected with the coronavirus and getting treatment with biologics is significantly less. This is a significant factor for the market's slow growth rate in 2020. All the activities were resumed in the hospitals and clinics by taking specific measures. All the postponed treatment procedures were resumed in the last months of 2020, along with the treatment procedures using biologics.

REPORT COVERAGE:

This research report on the global biologics market has been segmented and sub-segmented based on source, product, biologics manufacturing type, disease category, and region.

Biologics Market – By Source: 

• Microbial
• Mammalian
• Others

Based on the source, the microbial segment accounted for the largest share of the worldwide biologics market in 2021 and is expected to grow at the highest CAGR during the forecast period. This is because scientists have found various beneficial applications that can be derived from microbial source biologics.

On the other hand, the mammalian segment had a considerable share of the worldwide market in 2021 and is expected to grow at a reasonable CAGR during the forecast period. This is because scientists are doing more research in this field, and soon this source will have the same market share as microbial.

Biologics Market – By Product:

• Monoclonal Antibodies
• Vaccines
• Recombinant Proteins
• Antisense, RNAi, & Molecular Therapy
• Others

Based on the product, the monoclonal antibodies segment dominated the biologics market in terms of share in 2021 and is expected to grow at a healthy CAGR during the forecast period owing to their higher usage in different therapeutic areas. Monoclonal antibodies allow the targeting of unhealthy cells without harming healthy cells. These drugs benefit cancer management and treat autoimmune diseases, including rheumatoid arthritis.

The Vaccines segment is anticipated to witness the fastest CAGR in the coming years owing to its usage as a preventative tool in infectious diseases. Currently, when the world is suffering from a deadly virus, there is an immediate need for an effective virus, and biologics will be a key to the development of vaccines.

Biologics Market – By Biologics Manufacturing:

• Outsourced
• In-house

Based on biologics manufacturing, the in-house segment had a significant global market share in 2021. Manufacturing is a part of the significant steps of biologics production and comprises a substantial share of the biologics market. It has two segments, 'Outsourced' and 'In-house' Companies are opting to manufacture biologics in their plants; thus, In-house dominates the market. Companies are engaged in investing in their bioprocessing capabilities. The companies are investing more in their plants to increase their commercial manufacturing capacity. The rising population has forced the countries to be self-sustained, as in the case of the world pandemic, and there might be problems in supply dependent on others.

Biologics Market – By Disease Category:

• Oncology
• Infectious Diseases
• Immunological Disorders
• Cardiovascular Disorders
• Hematological Disorders
• Others

The Oncology segment accounted for the largest share of the worldwide market in 2021 and is estimated to grow at a healthy CAGR in the coming years owing to the rising incidence of cancer coupled and to cure it. In addition, there is the presence of different R&D projects. These projects include gene therapies and antisense therapies for cancer eradication. Oncology also had the second-highest growth rate among all other sub-segments. The advantages of cancer therapy are a significant reason.

The infectious disease segment held a substantial share of the global market in 2021. The increase in the viral disease's negative impact has led to more investments in treating infectious diseases. As a result, it will soon take over the oncology sub-segment.

Immunological, cardiovascular, and hematological disorders have third, fourth and fifth places, respectively.

Biologics Market – By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa

Geographically, the North American biologics market accounted for the largest share of the worldwide market in 2021. The region's domination is anticipated to continue during the forecast period owing to significant established participants in this region. In addition, the North American region has the world's 80% research in healthcare biotechnology. As a result, higher demand for products for treating diseases has increased this region's revenue share.

The biologics market in Europe held the second-largest share worldwide in 2021 and is expected to grow reasonably. The improvement in healthcare quality and the rise in disease cases have fuelled the growth in this region.

The biologics market in Asia pacific captured the third-largest share of the worldwide market in 2021 and is expected to have the highest growth CAGR in the global market owing to the growing population and high expected population growth have led to more investments.

During the forecast period, the biologics market in Latin America is anticipated to grow steadily.

The MEA biologics market is estimated to hold a moderate global market share in the coming years.

KEY MARKET PARTICIPANTS:

Johnson & Johnson (J&J), F Hoffmann-La Roche, Bristol-Myers Squibb, GlaxoSmithKline, AbbVie, Amgen, Sanofi, Eli Lilly and Company, Merck & Co., and Pfizer Inc. are some of the dominating companies in the global biologics market.

RECENT HAPPENINGS IN THIS MARKET:

• In August 2019, National Centre for Research and Development funded Euro 6.7 billion to Wroclaw-based pure Biologics, a biotech startup, for its PureBike project. The project focussed on developing an immuno-oncological drug that is useful to treat triple-negative breast cancer (TNBC).
• In September 2019, BioCare Medical LLC, a leading provider of immunohistochemistry (IHC) instrumentation and reagents, announced the launch of p16INK4a, a new mouse monoclonal antibody. It is cost-effective and shows accurate results in the evaluation of cervical biopsies.