Biologics, also known as biological drugs, refer to medicines manufactured in living systems such as microorganisms or animal cells rather than being chemically synthesized. As complex large molecules, biologics can be engineered to target specific disease pathways and treat conditions where traditional drugs may not be effective. Biologics have revolutionized the treatment of various complex and chronic diseases including cancer, autoimmune disorders, cardiovascular diseases and other previously untreatable conditions. Biologics represent promising alternatives to conventional drugs for indications such as rheumatoid arthritis, psoriasis, leukemia, and multiple sclerosis due to their high specificity and ability to mimic natural processes in the human body. Their development has filled numerous gaps in disease management and improved outcomes for patients worldwide.
The global biologics market is estimated to be valued at US$ 463.06 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increasing prevalence of chronic and complex diseases has been a key factor driving the demand for biological drugs globally. Biologics deliver targeted treatments for conditions like cancer, diabetes, arthritis and other autoimmune disorders where conventional drugs lacked efficacy. Emergence of biosimilars has also increased penetration of biologics as more affordable alternatives. Additionally, advancement in biologics production technologies using novel platforms like plant-based expression systems is expected to scale up supply and lower production costs over the coming years. Continuous research exploring new disease targets and mechanisms is expanding applications of biologics into wider therapeutic areas. partnerships between biologics manufacturers and academia/research institutes will further catalyze innovation and product pipeline growth.
Threat of new entrants: The biologics market has high capital requirements for research, development and manufacturing facilities, which create entry barriers for new players.
Bargaining power of buyers: Individual consumers have relatively low bargaining power in the biologics market. However, large group purchasers such as hospitals and governments have significant bargaining power.
Bargaining power of suppliers: Suppliers of advanced technologies and raw materials have moderate bargaining power due to less substitutes availability and requirements in large volumes.
Threat of new substitutes: New drug delivery technologies may pose potential threats, but development and approval process is long which protects the market.
Competitive rivalry: The market is competitive with companies investing heavily in R&D to develop novel therapies and accumulate IP rights.
The Global Biologics Market Size is expected to witness high growth. In 2024, the market size is estimated at US$ 463.06 billion with a CAGR of 8.2% during the forecast period of 2024 to 2031.
North America currently dominates the global biologics market. Major biotech clusters in the US and presence of leading global players drive the region’s growth. Asia Pacific is anticipated to be the fastest growing market going forward supported by improving healthcare infrastructure, rising disposable incomes and increasing emphasis on biosimilars development in China and India.
Key players operating in the biologics market are Advanced Accelerator Applications (AAA). Companies are focused on developing innovative therapeutics in niche disease segments and expanding manufacturing capacities to meet rising global demand.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it