June 24, 2024
Biosimilars Market

Global Biosimilars Market Is Estimated To Witness High Growth Owing To Increasing Demand for Cost-effective Medications

The Global Biosimilars Market is estimated to be valued at USD 29.4 Bn in 2023 and is expected to exhibit a CAGR of 17.8% over the forecast period 2023-2028, as highlighted in a new report published by Coherent Market Insights. Biosimilars are highly similar versions of biologic drugs that have been authorized for use based on demonstrating that they are highly similar to the reference product and have no clinically meaningful differences.

A) Market Overview:

Biosimilars are gaining significant popularity due to their cost-effective nature compared to the high-priced biologic drugs. The increasing need for affordable medications and the expiration of patent rights for multiple biologic drugs are the major factors driving the growth of the global biosimilars market. Biosimilars provide patients with access to critical treatments at lower costs, thereby reducing the burden on healthcare systems.

B) Market Key Trends:

The key trend in the global biosimilars market is the increasing adoption of biosimilars by healthcare providers and patients. As they offer similar effectiveness and safety profiles as biologic drugs, healthcare providers are increasingly recommending and prescribing biosimilars to their patients. This trend is further supported by the development of robust regulatory frameworks that ensure the safety and efficacy of biosimilars.

For example, in Europe, the European Medicines Agency (EMA) has established stringent guidelines for the approval of biosimilars, ensuring that they meet the same quality, safety, and efficacy standards as their reference products. This has led to a significant increase in the availability and adoption of biosimilars in the European market.

C) Porter’s Analysis:

– Threat of new entrants: Low. The Biosimilars Market is highly regulated, requiring extensive clinical trials and regulatory approvals, which acts as a barrier to entry for new players.

– Bargaining power of buyers: High. With the increasing availability of biosimilars, buyers have a wider range of options and can negotiate for lower prices.

– Bargaining power of suppliers: Moderate. The suppliers of raw materials and manufacturing services have moderate bargaining power due to the increasing demand for biosimilars.

– Threat of new substitutes: Low. Biosimilars are the closest substitutes to biologic drugs, offering similar therapeutic outcomes.

– Competitive rivalry: Moderate. The global biosimilars market is highly competitive, with key players striving to gain a larger market share through product innovation and strategic partnerships.

D) Key Takeaways:

Market size related content: The global biosimilars market is expected to witness high growth, exhibiting a CAGR of 17.8% over the forecast period, due to increasing demand for cost-effective medications. As more biologic drugs lose patent protection, the demand for biosimilars is expected to surge.

Regional analysis related content: North America is expected to be the fastest-growing and dominating region in the global biosimilars market. The presence of a well-established healthcare infrastructure, rising adoption of biosimilars, and favorable regulatory policies are driving the market growth in this region.

Key players related content: Key players operating in the global biosimilars market include Novartis AG, Pfizer, Inc., Teva Pharmaceutical Industries Ltd., Celltrion Healthcare Co., Ltd., Biocon Limited, Amgen, Inc., Dr. Reddy’s Laboratories, and Sanofi S.A. These players focus on strategic collaborations, acquisitions, and product launches to strengthen their market position and expand their product portfolio.

In conclusion, the global biosimilars market is poised for significant growth, driven by the increasing demand for cost-effective medications and the expiration of patent rights for biologic drugs. The adoption of biosimilars by healthcare providers and patients is on the rise, supported by robust regulatory frameworks. With North America leading the market, key players are actively pursuing growth strategies to capitalize on the immense potential of the biosimilars market.