Downstream Processing Market

Global Downstream Processing Market Size (2023 to 2028)

The global downstream processing market size is projected to be worth USD 64.05 billion by 2028 from USD 29.51 billion in 2023, growing at a CAGR of 16.76% between 2023 to 2028.

The recovery and purification of biosynthetic materials such as cells, tissue culture fluid, or plant tissues from natural sources such as animal or bacterial cells are called downstream processing. In downstream processing, desired products are purified and segregated using enzyme and fermentation reactions and a multistep process that exploits physical and chemical properties to increase yield. Separation, cell disruption, extraction, isolation, purification, and drying are among the steps involved. Initially, pollutants are eliminated in downstream processing via harvesting and clarification steps, and the feed stream is refined until the process remains the target product via isolation and purification. These steps differ depending on the final product.

Downstream processing produces pharmaceutical products, including hormones such as insulin and human growth hormone, antibiotics, antibodies such as infliximab and abciximab, enzymes, and vaccines. These antibodies and enzymes have potential applications in diagnostics, synthetic enzymes, and natural scent and taste compounds used in the food industry. In the biotechnology industry, downstream processing is used for biochemical engineering and chemical engineering for laboratory-scale separation. It is also used in biopharmaceutical downstream manufacturing for mAb or protein processes and developing oligonucleotides, polysaccharides, and various vaccines.

MARKET DRIVERS:

The growing demand for biopharmaceuticals and increasing R&D spending associated with technological advancements drive the global downstream processing market growth.

The growing demand for biopharmaceutical products is the primary driver driving the growth of the downstream processing industry. Downstream processing is critical in the production of high-quality, pure biopharmaceutical drugs. Monoclonal antibodies are a widely sought-after biopharmaceutical product. In 2019, 40 % or more of 40,000 clinical trials were biopharmaceutical products. In addition, biosimilars, biogenerics, and bio-betters have risen in recent years in developing countries. Developing new vaccines, antibodies, and antibiotics to combat disease raises the need for downstream manufacturing. Furthermore, various CMOs on the market assist biopharmaceutical firms in outsourcing downstream processing, thus reducing the high initial capital expenditure and procedure costs. CMOs also aid in improving downstream purification and cell culture preparation, chromatography, blending concentration, and process control of pharmaceutical drugs. As a result, biopharmaceutical adopts downstream processing to satisfy product demand, which raises downstream processing demand.

Increasing R&D spending by pharmaceutical and biotech firms fuels demand in the global downstream processing market.

The costs of R&D contribute to the opening of new doors for downstream processing. With rising costs, new strategies may be developed cost-effectively.  According to Statista, the pharmaceutical industry spent 186 billion US dollars on research and development in 2019, a five-billion-dollar rise from the previous year. As a result, this investment requires advanced bioprocess technology for multicomponent separations, perfusion chromatography systems, high-throughput process growth, high-resolution membrane systems, and the adoption of continuous downstream processing systems growth. As a result, there is a greater need for improved bioprocessing technology to solve the purification problem.

Technological advancements are also driving the downstream manufacturing market. Technological advances in different processes accelerate the acceptance of downstream processing, which aids in maintaining productivity and driving progress in biomanufacturing. Spin filters for product concentration or diafiltration, which have recently been developed, are aiding in simplifying downstream processing. Furthermore, advances in gene therapy and genetic modification for the production of monoclonal antibodies improve demand for the downstream processing market. Besides that, the acceptance of single-use technologies in bioprocessing and the commercial success of biopharmaceuticals drive demand for bioprocessing innovation, which drives downstream processing market development.

MARKET RESTRAINTS:

However, the high cost of instruments and a scarcity of skilled workers hinder the development of the downstream processing market. Furthermore, a lack of cutting-edge frameworks in nations would also impede the global downstream processing market development.

Impact of COVID-19 on the global downstream processing market:

COVID-19 gives a growth opportunity to the downstream processing market. The coronavirus-caused covid – 19 has spread all over the globe. This condition is associated with respiratory illnesses and is transmitted by droplets of coughing and sneezing. Many players are trying to find a lasting solution for the disease, and the increasing number of deaths places pressure on pharmaceutical firms to develop a vaccine. Many firms have been effective in obtaining emergency certification, but a permanent solution is still in the works in the form of a vaccine. Many pharmaceutical firms place a high value on vaccine research and production, which leads to an increase in downstream manufacturing techniques. Many industries are assisting them in achieving this aim by downstream manufacturing. For example, in February 2021, CureVac N.V., a biopharmaceutical corporation creating a new class of innovative medicines based on mRNA, and Rentschler Biopharma SE, a leading global CDMO for biopharmaceuticals, announced that they had begun the process of establishing manufacturing capabilities for CureVac’s COVID-19 vaccine, CVnCoV in which Rentschler Biopharma responsible for manufacturing, downstream processing and formulation of CureVac’s CVnCoV in Laupheim, Germany. Furthermore, the most recent downstream developments include sterile disconnects for single-use production processes, ligand technologies for purifying RNA, and for COVID-19 vaccines, which raises demand for downstream processing for coronavirus vaccine.

REPORT COVERAGE:

This market research report on the global downstream processing market has been segmented and sub-segmented based on the product, technique, application, and region.

Downstream Processing Market – By Product:

• Chromatography Systems
• Filters
• Evaporators
• Centrifuges
• Dryers
• Others

Based on the product type, the chromatography systems segment accounted for more than 40% share of the global downstream processing market and is forecasted to continue the domination throughout the forecast period. The segment growth is attributed to the uninterrupted research and development to improve the efficiency and speed of chromatography systems. Bolt Biotherapeutics used GoSilico ChromX simulation tools to perform chromatography simulation in December 2020 to speed up bioprocessing.

Downstream Processing Market – By Technique:

• Cell Disruption
• Solid-liquid separation
  • Filtration
  • Centrifugation
• Concentration
  • Evaporation
  • Membrane filtration
• Purification by Chromatography
• Formulation

Based on the technique, the purification by chromatography segment is predicted to lead the global downstream processing market during the forecast period. In the recent past, Companies are engaged in market growth initiatives such as a takeover, partnership, and agreement to extend their chromatography portfolio because single-use chromatography and filtration systems are considered the gold standards in downstream bioprocessing.

Downstream Processing Market – By Application:

• Antibiotics
• Hormones
• Antibodies
• Enzymes
• Vaccines

Based on the application, the production of the antibiotics segment had more than a 33% share in 2022 and is forecasted to continue the lead during the forecast period. Factors are a wide range of applications of antibiotics for the treatment of several disorders. Antibiotic-resistant bacteria kill over 700,000 people per year. As a result, there is a strong demand for the production of antibiotics, which propels the market forward.

Downstream Processing Market – By Region:

• North America
  • The U.S.
  • Canada
  • Rest of North America
• Europe
  • UK
  • Germany
  • France
  • Spain
  • Italy
  • Rest of EU
• Asia-Pacific
  • India
  • China
  • Japan
  • Australia
  • South Korea
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Chile
  • Rest of Latin America
• Middle East
• Africa

Geographically, the North American downstream processing market accounted for around 34.6% share of the global market in 2022 and is estimated to continue the regional domination during the forecast period. The regional market growth is attributed to the rising medical expenditure and availability of advanced healthcare facilities. On the other hand, the U.S. dominated the North American downstream processing market and held the major contributor in the region. Favorable government reimbursement policies for market growth and collaborative activities with the healthcare giants for better investments. Besides, the Canadian market is anticipated to contribute a moderate share of North America during the forecast period.

The European downstream processing market was the second-largest regional market globally in 2022. It is further projected to account for a significant market share in the global market during the forecast period. Europe announced the expansion of the commercial manufacturing of medicine, vaccines, and therapies; the expansion added 15 growth and cGMP commercial production lines, allowing the company to accommodate various manufacturing capacities while maintaining its high-quality standards to improve the regional market growth. 

The APAC downstream processing market is predicted to be the fastest-growing regional market globally during the forecast period and had a 17.3% market share in 2022 of the global market. The presence of a large population base and key market players boost the market growth in the region. The China downstream processing market is expected to record the largest share in the APAC market; due to the biopharmaceutical industry and the demand for drugs and vaccines, China dominated the market share in the Asia Pacific. The biopharmaceutical industry is one of China's most productive economic markets, with new biopharmaceutical equipment and processes constantly revolutionizing the industry. The Indian market is one of the fastest-growing countries in APAC. Support from the government and improving healthcare infrastructure is encouraging market growth.

KEY MARKET PLAYERS:

Some of the noteworthy companies operating in the global downstream processing market profiled in this report are GE Healthcare, 3M Company, Lonza Group Ltd, Danaher Corporation, Merck KGaA, Repligen Corporation, Eppendorf AG, Corning Incorporated, Dover Corporation, Boehringer Ingelheim International GmbH, GlaxoSmithKline (GSK), Marathon Petroleum Corporation, Asahi Kasei and Ferner PLC.

RECENT MARKET DEVELOPMENTS:

• Eppendorf AG purchased Koki Holdings Co., Ltd. in March 2020. The company was able to expand its centrifuge business and strengthen its market presence due to this acquisition.
• Danaher Corporation announced the purchase of General Electric Company's Life Sciences Division’s Biopharma enterprise in March 2020. The group was able to improve its life sciences division as a result of the acquisition.