Hepatitis Drugs Market Overview
The global hepatitis drugs market size is projected to cross $118.5 billion by 2020, growing at a CAGR of 29.7% during the forecast period. The market is driven by four major factors, including increasing incidences of hepatitis, increasing support from government organizations, growing geriatric population, and increasing R&D investments on hepatitis research and drug discovery.
Based on type, the hepatitis drugs market is broadly segmented into hepatitis A, hepatitis B, hepatitis C, and others. The hepatitis C segment accounted for a major share in the global market for hepatitis drugs during the historical period and it is projected to hold a market share of more than 80% by 2020. The hepatitis C segment is also predicted to witness the fastest growing during the forecast period.
Geographically, North America is the largest hepatitis drugs market and it is expected to be the largest market during the forecast period. The North American market is growing due to the increased awareness about various types of hepatitis infections and their management, and aging population in the region. In addition, the increasing R&D investments and improved healthcare infrastructures are also driving the growth of market in the region. Among the countries of the North American region, the U.S. is the largest market for drugs and it is expected to grow at a CAGR of 30% during the forecast period.
Hepatitis Drugs Market Dynamics
A key trend observed in the hepatitis drugs industry is the increasing number of collaborations and partnerships. The companies dealing in hepatitis drugs market are actively involved in collaborations and partnerships to provide novel therapeutic solutions for the treatment of hepatitis infections. Most of these collaboration and partnerships are focused on accelerating and streamlining the pharmaceutical drug development process and providing a range of novel drugs for the management of various chronic diseases including hepatitis.
The increasing incidences of various types of hepatitis, such as hepatitis B, and hepatitis C are playing a pivotal role in the growth of the hepatitis drugs market. Hepatitis is one of the leading causes of death around the world. According to the Hepatitis B Foundation, every year around 1 million deaths are recorded due to hepatitis B and its complications around the world. In the case of hepatitis C, the WHO stated that approximately 500,000 deaths are reported globally every year from hepatitis C related infections. The increasing incidences of hepatitis have increased the demand of therapeutic drugs for the management of the disease.
The increasing participation of various government organizations is leading to increased awareness about various types of hepatitis infections and their management and is thereby driving the growth of the hepatitis drugs market. Several government organizations are providing support in the form of funding and initiatives implemented by them for enhancing prevention, offering drug therapies, encouraging testing, and providing patient-centric services. The major organizations include Centers for Disease Control and Prevention (CDC), WHO, U.S. Department of Health and Human Services (HHS), Hepatitis Foundation International (HFI), Immunization Action Coalition, and American Liver Foundation.
The high capital requirement for the manufacturing of hepatitis treating drugs is a key restraint, which is adversely impacting the growth of the hepatitis drugs market. Hepatitis drugs are costly, as its manufacturing process requires expensive raw materials, such as active pharmaceutical ingredients (APIs) and drug intermediates. The production, isolation, and usage of raw materials for pharmaceutical and biopharmaceutical drug production, is a complex process and demands skilled workforce, which adds to the cost of pharmaceuticals.
In addition, factors such as longer development and approval time of pharmaceuticals including hepatitis drugs are further restraining the growth of the hepatitis drugs market. For instance, the development of any new drug typically takes 8 – 10 years. This longer development time is due to the identification of potentially harmful interactions and further safety monitoring is needed to minimize risks.
Hepatitis Drugs Market Competitive Landscape
The key companies operating in the hepatitis drugs market include F. Hoffmann-La Roche Ltd., Gilead Sciences Inc., Merck & Co. Inc., Johnson & Johnson, Novartis AG, GlaxoSmithKline PLC, AbbVie Inc., Dynavax Technologies Corporation, Mitsubishi Tanabe Pharma Corporation and Bristol-Myers Squibb Company.