Market Trends of Specialty Pharmaceuticals Industry
Oncology Segment Expected to Account for a Significant Market Share Over the Forecast Period
Oncology is a branch of medicine that deals with cancer prevention, diagnosis, and treatment. The rising incidences of cancer worldwide, increasing product approvals, a rise in research and development studies, and increasing strategic initiatives by key market players are expected to further drive the market's growth. For instance, according to data updated by the Spanish Network of Cancer Registries (REDECAN) in January 2023, an estimated 279,260 new cases of cancer were expected to occur in Spain by the end of 2023, out of which 42,721 new cases of colorectal cancer, 31,282 cases of lung cancer, and 21,694 cases of urinary bladder cancer were expected to occur in Spain. Thus, the high burden of cancer is expected to contribute to the segment’s growth over the forecast period.
The product approvals expand the company's product offerings and geographical footprint, contributing to market growth. For instance, in March 2022, Accord BioPharma, the United States’ Specialty division of Intas Pharmaceuticals Ltd, launched the CAMCEVI (leuprolide) 42 mg injection emulsion to treat advanced prostate cancer in adults in the United States. Additionally, in January 2022, ALX Oncology Holdings Inc. received an orphan drug designation from the US Food and Drug Administration (FDA) for Evorpacept, a next-generation CD47 blocker, to treat patients with gastric cancer and gastroesophageal junction cancer.
Furthermore, in February 2022, Humana Specialty Pharmacy added two drugs to its comprehensive, personalized, and targeted oncology therapies: TAGRISSO (osimertinib), a drug that helps certain patients with epidermal growth factor receptor-mutated (EGFRm) non-small cell lung cancer (NSCLC) manage their disease, and LENVIMA (lenvatinib), a drug that helps patients with different forms of cancer, including certain types of thyroid, liver, and kidney cancers. Such additions help expand the product portfolio, thereby driving the market.
Thus, due to the factors mentioned above, the segment studied is expected to contribute to the significant growth of the market.
North America Expected to Hold a Significant Market Share With its Dominance Expected to Continue Over the Forecast Period
The primary driving factors for the growth of the North American specialty pharmaceuticals market are the increasing prevalence of chronic and rare diseases such as sickle cell disease, cancer, and HIV, increasing product launches, rising strategic initiatives by key market players, and increasing research and development activities.
The rising burden of chronic diseases is expected to boost the market over the forecast period. For instance, as estimated in the American Heart Association 2022 Journal, by 2035, more than 130 million adults in the United States will have heart disease. Similarly, according to the CDC, in July 2022, 12.1 million Americans were expected to have atrial fibrillation (AFib) by 2030. Furthermore, as per the Canadian Cancer Statistics 2023 report, about 239.2 thousand new cancer cases were reported in 2023 in Canada, compared to 233.9 thousand in 2022. Thus, the growing burden of cancer is expected to generate demand for drug research and manufacturing services, which is likely to contribute to the segment’s growth. Thus, the huge burden of cancer is expected to increase demand for specialty pharmaceuticals, boosting market growth.
Moreover, strategic initiatives taken by key market players, such as product launches, partnerships, new programs, mergers, and acquisitions, will drive market growth. For instance, in February 2022, the US Food and Drug Administration granted orphan drug designation to CT103A, a chimeric antigen receptor T-cell therapy in development for adults with relapsed or refractory multiple myeloma.
Rising investments will also boost innovation in the market studied, thereby driving it. For instance, in April 2022, Free Market Health secured USD 13.5 million in Series A financing led by Alta Partners with participation from existing investors Highmark Ventures and 653 Investment Partners. This investment will help the company scale its innovative, care-driven marketplace platform that streamlines the complex and opaque specialty medication fulfillment process to benefit specialty pharmacies and payers. Therefore, investments will expand the company’s product offerings and geographical reach, thus driving the market studied.
Therefore, the abovementioned developments are expected to result in the North American market registering lucrative growth.
