Biotechnology involves the use of biology to manufacture products on a commercial scale in order to improve the quality of life. It involves the use of organisms, processes or systems to produce products such as pharmaceuticals on a large scale.
The global biotechnology market is estimated to account for US$ 1,303.1 Bn in terms of value by the end of 2027.
Global Biotechnology Market: Drivers
Increasing demand for food is expected to propel growth of the global biotechnology market over the forecast period. For instance, according to Food and Agriculture Organization, worldwide food demand is expected to increase by 70% by 2050.
Global Biotechnology Market: Opportunities
R&D in vaccines is expected to offer lucrative growth opportunities for players in the global biotechnology market. For instance, in April 2020, the U.S. Food and Drug Administration (FDA) granted a Biologics License Application for Sanofi’s MenQuadfi Meningococcal (Groups A, C, Y, W) Conjugate Vaccine for the prevention of invasive meningococcal disease in persons 2 years of age and older.
Global Biotechnology Market: Restraints
Long research and development lead time is expected to hinder growth of the market. The process of discovering a drug from the earliest stage to getting the product to the market involves a time period of almost ten to fifteen years. Other than the basic discovery of the drug, the stages involved in the drug being available in the market involves preclinical testing, investigational new drug (IND) application, first phase of clinical trials, second phase of clinical trials, third phase of clinical trials, new drug application (NDA) and fourth phase of studies. The drug approval in the U.S. is majorly looked upon by the Food and Drug Administration (FDA). Due to the various stages involved and the long time period taken for each of these stages, drugs take a long period to enter the market.
The global biotechnology market was valued at US$ 518.3 Bn in 2019 and is forecast to reach a value of US$ 1,303.1 Bn by 2027 at a CAGR of 12.3% between 2020 and 2027. Increasing investment in research and development of vaccines is expected to drive the market growth during the forecast period.
Biopharmaceutcal segment held dominant position in the global biotechnology market in 2019, accounting for 57.1% share in terms of value, increasing demand for biopharmaceuticals for treatment of chronic diseases is expected to drive the growth of the segment during the forecast period.
Launch of novel antibody tests is boosting growth of the market. For instance, in September 2019, bioLytical Laboratories launched the INSTI HIV-1 / HIV-2 Antibody Test in Canada.
The market is witnessing increasing launch of generics. For instance, in September 2019, Endo International received the U.S. FDA approval for its generic version of Syprine, a drug used for the treatment of Wilson's disease.
Global Biotechnology Market: Competitive Landscape
Major players operating in the global Biotechnology market include, Abbott Laboratories, Amgen Inc., GlaxoSmithKline, Johnson and Johnson, Merck, Novartis, Novo Nordisk, Pfizer, Inc., Roche, and Sanofi – Aventis.
Global Biotechnology Market: Key Developments
January 2020: GlaxoSmithKline plc funded study ‘Meningococcal B Vaccine and Meningococcal Carriage in Adolescents in Australia’, published in the New England Journal of Medicine, reported that the 4CMenB vaccine had no discernible effect on the carriage of disease-causing meningococci, including group B among Australian adolescents.
June 2019: Ethicon, part of the Johnson & Johnson Medical Devices Companies, received a 510(k) clearance from the FDA for its Vistaseal applicators, which spray a biological sealant to stem moderate bleeding during open or laparoscopic surgical procedures.
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