Number of pages: 100 | Report Format: PDF | Published date: July 20, 2022
Historical Years – 2020 | Base Year – 2021 | Forecasted Years – 2022-2030
The global biotechnology market was valued at US$ 1,032.92 billion in 2021 and is expected to register a revenue CAGR of 13.0% during the forecast period.
Biotechnology is a branch of science that develops or creates products from biological systems, living creatures, or elements derived from them. Biotechnology now encompasses many disciplines, including biochemistry, genetics, and molecular biology. Biotechnology is the application of living organisms such as specific organisms or microbes, to create a variety of solutions that benefit humans. It is a synthesis of various techniques used to study living cells, including biological, arithmetic, biochemistry, and biomedical engineering.
A long term impact on the biotechnological and healthcare industry is the COVID-19 pandemic because of which several biotech companies have increased their investment in research for the development of vaccines and drugs, which has boosted the market’s revenue growth.
Factors driving the biotechnology market include the introduction of new and advanced technologies, significant investments, and the rising demand for synthetic biology. Government assistance in the development of biotechnological infrastructure is also accelerating market revenue growth. For instance, India's Union Budget 2021-22 included US$ 227.94 million in provisions for biotechnology R&D activities, as well as plans to establish nine biosafety level-3 laboratories across the country. Likewise, initiatives such as Illumina Accelerator are propelling market revenue growth by providing access to seed investment, genomics expertise, Illumina sequencing systems, and reagents to selected emerging companies.
However, ethical concerns about clinical trials are expected to hinder the market revenue growth to some extent. Drug clinical trials consist of a series of tests designed to find out information about the effects, side effects, and safety of the drugs. These trials are only carried out after sufficient information about the drug is gathered. However, the lack of regulations in some areas has resulted in many deaths in recent years. Additionally, faulty clinical trial practices such as lack of observation, non-disclosure of drug trial risks, and trials conducted without permission from authorized bodies have added to the ethical concerns of these trials.
The global biotechnology market has been analyzed from four perspectives: product type, technology, application, and region.
Biotechnology Market by Product Type
Based on product type, the global biotechnology market is segmented into instruments, reagents, and software & services.
During the forecast period, the software & services segment is expected to dominate the global biotechnology market in terms of revenue. Biotech software includes imaging tools, bioinformatics, patient management systems, laboratory management software, diagnostic and decision-making systems, and other solutions. The increasing use of such software is driving the segment's revenue growth.
The reagents segment is expected to register the fastest revenue growth during the forecast period. Chemicals or compounds used in biotechnology to identify or create another substance to obtain a test result are referred to as reagents. Areas such as research, diagnosis, biology, genetics, bioscience, and immunology all use reagents that are bought repeatedly. Reagents are widely used in technologies such as in-vitro diagnostics (IVD), cell culture, flow cytometry, spectrometry, polymerase chain reaction (PCR), chromatography, expression and transfection, and electrophoresis, and have applications in immunophenotyping, DNA analysis, fluorescent microscopy, and cell cycle analysis.
Biotechnology Market by Technology
Based on technology, the global biotechnology market is segmented into DNA sequencing, fermentation, nanotechnology, cell-based assay, and others.
During the forecast period, the nanotechnology segment is expected to dominate the global biotechnology market in terms of revenue. The rising investment in R&D is the major factor driving the growth of the nano-biotechnology segment. The revenue growth of this segment will benefit from the rising demand for treatments for essential diseases. Additionally, nanotechnology has the potential to revolutionize medicine, cancer treatment, therapeutics, and drug targeting.
Biotechnology Market by Application
Based on application, the global biotechnology market is segmented into bio-pharmacy, bio-industry, bio-services, bio-agriculture, and bioinformatics.
The bio-pharmacy segment dominates the global biotechnology market in terms of revenue and is expected to continue this trend throughout the forecast period. The rising prevalence of diseases is responsible for the segment's revenue growth. The rising demand for medicines and drugs is propelling the revenue growth of the bio-pharmacy segment.
The Bio-informatics segment, on the other hand, is expected to grow at a rapid pace during the forecast period. Significant advancements in the field of Artificial Intelligence (AI), machine learning, and big data are also expected to increase bioinformatics applications. Moreover, rising demand for nucleic acid and protein sequencing, rising initiatives from private and public sector organizations are propelling the revenue growth of proteomics & genomics, and rising research on molecular biology and drug discovery are all revenue growth factors for the bio-informatics segment.
Biotechnology Market by Region
Asia Pacific is expected to register the fastest revenue growth during the forecast period. Increased investments and improvements in healthcare infrastructure, favorable government initiatives, and expansion strategies from key market players are all contributing to the market's revenue growth in this region. For instance, in February 2022, Moderna Inc. announced plans to expand its commercial network in Asia by establishing four new subsidiaries in Malaysia, Singapore, Hong Kong, and Taiwan. Additionally, biopharmaceutical collaborations, such as Kiniksa Pharmaceuticals and Huadong Medicine's strategic collaboration in the Asia Pacific for the development and commercialization of Kiniksa's ARCALYST and mavrilimumab, are expected to drive market revenue growth.
The key players operating the market global biotechnology market include:
These market players are trying to increase their market revenue share through various marketing strategies such as new product launches, investments, partnerships, and mergers & acquisitions.
The global biotechnology market is valued at US$ 1,032.92.
The global biotechnology market is projected to reach US$ 3,102.94 billion by 2030.
The global biotechnology market revenue growth is mainly driven by an increasing prevalence of infectious and chronic diseases.
Johnson & Johnson Services Inc., Gilead Sciences, Inc., Waters Corporation, BioNTech SE, and Moderna, Inc. are the top players operating in the global biotechnology market.
The global biotechnology market is expected to register a revenue CAGR of 13.0% during the forecast period of 2022-2030.
North America accounts for the largest revenue share in the global biotechnology market.
*Insights on financial permanence is subject to availability of information in public domain