May 26, 2024

Biopharmaceuticals Are Driving Innovation In Medical Research And Drug Development

The biopharmaceuticals industry entails the development, production, and marketing of drugs and therapeutics produced from biological sources for use in areas including oncology, neurology, cardiology, and metabolic disorders. Biopharmaceuticals such as monoclonal antibodies, recombinant hormones/proteins, gene therapies, and vaccines are manufactured using cutting-edge biotechnological and genetic engineering techniques. They target specific molecular pathways by modifying or regulating gene function unlike conventional chemically synthesized small molecule drugs. Biologics have revolutionized treatments for various chronic and life-threatening diseases.

The global biopharmaceuticals market is estimated to be valued at US$ 457.63 billion in 2024 and is expected to exhibit a CAGR of 9.4% over the forecast period 2024-2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends driving growth in the biopharmaceuticals market is the rising incidence of chronic and lifestyle-related diseases globally. Conditions such as cancer, diabetes, cardiovascular diseases and neurological disorders have significantly increased in prevalence owing to aging populations and changing disease patterns associated with urbanization and sedentary lifestyles. Biologics offer targeted therapies with fewer side effects for management of such hard-to-treat diseases compared to conventional drugs. Their development will continue gaining popularity given the complex molecular nature and etiology of many modern illnesses.

Porter’s Analysis

Threat of new entrants: The biopharmaceuticals market requires high research and development investments which pose high entry barriers for new players.

Bargaining power of buyers: The bargaining power of buyers is moderate as there are many established biopharmaceutical companies offering a variety range of products.

Bargaining power of suppliers: The suppliers have low bargaining power as the raw material required in biopharmaceutical manufacturing are commodity products and available from numerous suppliers.

Threat of new substitutes: Currently, there are limited product substitutes. However, new substitutes may emerge as advanced technologies are adopted.

Competitive rivalry: The competitive rivalry in the market is high as the top players are focused on developing novel therapeutics and foraying into new disease areas.

Key Takeaways

The Global Biopharmaceuticals Market Size is expected to witness high growth over the forecast period of 2024 to 2030.

Regional analysis – North America dominates the global biopharmaceuticals market currently due to presence of many global players, rising prevalence of chronic diseases and increasing ageing population.

Key players – 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. Key players operating in the biopharmaceuticals are focused on strengthening their product pipelines through mergers and acquisitions. They are also expanding their manufacturing capabilities to cater to the growing demand. Some of the players are investing in novel drug discovery to gain a competitive edge in the market.

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