The Peptide Synthesis Market, estimated at USD 519.0 Mn in 2025, is expected to exhibit a CAGR of 7.6% and reach USD 866.7 Mn by 2032.
The market growth is driven by increasing demand for innovative and effective drugs across diverse therapeutic areas. Advances in drug discovery, biopharmaceuticals, and digital technologies are improving treatment outcomes and operational efficiency. Supportive regulations, rising R&D investments, and a strong focus on patient-centric care are creating new opportunities for pharmaceutical companies.
The key market players are focused on adopting various business development activities, such as funding and others, which in turn is expected to propel market growth over the forecast period. For instance, on December 14, 2023, Amide Technologies, a biotech that synthesizes challenging peptides, announced that it had begun commercializing its novel peptide manufacturing platform. The company also announced it has raised US$ 16.5 million in total funding to date, which includes a US$ 7.5 million Series A Extension investment closed in July 2023 led by Engine Ventures, an investment firm, with participation from Forcefield Venture Fund, a venture capital firm. Previous rounds included a US$ 3.5 million Series A, also led by Engine Ventures, and a US$ 5.5 million Seed Round led by Biological Engineering Ventures, a venture capital firm.
Global Peptide Synthesis Market – Impact of Coronavirus (COVID-19) Pandemic
The World Health Organization (WHO) designated the illness caused by the Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-CoV-2), which first appeared in Wuhan (province of Hubei, China) in the last months of 2019, as "coronavirus disease 2019" or COVID-19. This virus spread quickly and had a serious negative impact on the economies, social behaviors, and healthcare of every country in the world.
COVID-19 affected the economy in three main ways: by directly affecting production and demand, by creating disruptions in distribution channels, and through its financial impact on firms and financial markets. Due to the lockdown, several countries, such as India, China, Brazil, and others, faced problems with regard to the transportation of drugs from one place to another.
Lockdowns or shutdowns imposed in many countries had a negative impact on the economy of the private healthcare sector globally.
Lockdowns resulted in the closure of industrial establishments, except for the manufacturing of essential commodities, and disruptions in the supply chain of healthcare products.
On the other hand, peptides were increasingly being developed and repurposed in search of therapeutics for the treatment of the COVID-19 pandemic, which propelled market growth. For instance, as per the August 2022 update from Clinical Trials.gov, there is a robust pipeline of peptide-based therapeutics under development specifically targeting COVID-19. This includes over 100 peptide candidates geared toward various treatment aspects, with 15 of these synthetic peptides focusing on addressing acute respiratory distress syndrome (ARDS)—a critical and potentially fatal condition that impairs pulmonary oxygenation capabilities—and other respiratory complications induced by the SARS-CoV-2 virus. The development activities in this sector reflect a concerted response to the ongoing demand for effective COVID-19 therapeutics, representing a significant area of investment and interest within the pharmaceutical industry.
Global Peptide Synthesis Market: Key Developments
In January 2022, CordenPharma, a company specializing in pharmaceutical manufacturing, has recently entered into a partnership with PeptiSystems, innovators in the field of peptide and oligonucleotide production technology. PeptiSystems is known for developing instruments that facilitate the process development and manufacturing of these therapeutics using flow-through column technology. Acknowledging the significant waste generated from producing peptides in quantities exceeding 100 kilograms annually, the CordenPharma Peptide Center of Excellence located in Frankfurt, Germany, has integrated PeptiSystems' pioneering technology. This move aims to diminish the environmental impact and enhance the Process Mass Intensity (PMI) associated with peptide production methods.