Market Analysis, Hiv Aids Res J Vol: 2 Issue: 1
Market Research Analysis of Hepatitis 2020: 3rd World Hepatitis Congress
Researcher, Department in Mediterranean Legal and Economic Systems, University of Bari, Italy E-mail: [email protected]
Keywords: HIV and AIDS
The hepatitis drugs market is expected to reach $118.5 billion by 2020, registering a CAGR of 29.7% during 2015–2020, globally. Growing aging population, rising prevalence of hepatitis, and increasing investments in research and development (R&D) to carry out research on hepatitis and drug discovery by public and private organizations are major factors driving this market.
Hepatitis can be identified as an inflammatory condition of the liver. It is normally caused by a viral infection and can be further classified into hepatitis A, B, C, D, and E.
On the premise of sort, the hepatitis drugs market is bifurcated into hepatitis A, B, C, and others. Among these, hepatitis C held the largest share in the market and it is further estimated to hold more than 80% by 2020. In addition, it is also estimated to be the fastest growing category in the coming years.
Globally, North America held the largest share historically and is further projected to follow the same trend during the forecast period, mainly on account of increasing geriatric population, and measures taken up by government and private organizations to raise awareness about hepatitis infections, its forms, severity, and management.
Moreover, another issue driving the growth of hepatitis drugs market is increasing investments in the R&D to improve healthcare infrastructures in the region. Among the countries of the region, the U.S. is a major contributor to the hepatitis drugs market and is estimated to progress at a CAGR of 30% during the forecast period.
Hepatitis Drugs Market Dynamics
The hepatitis drugs market is expected to reach $118.5 billion by 2020, registering a CAGR of 29.7% during 2015–2020, globally. Growing aging population,rising prevalence of hepatitis, and increasing investments in research and development (R&D) to carry out research on hepatitis and drug discovery by public and private organizations are major factors driving this market.
Increasing number of incident cases of different types of hepatitis, including hepatitis B and C are playing an important role in driving the growth of the hepatitis drugs market. According to an article published by Hepatitis B Foundation, hepatitis is identified as a leading cause of mortality. Approximately, one million deaths are recorded every year due to hepatitis type B, and various complications associated with it, whereas, hepatitis C is responsible for approximately 500,000 cases of mortality every year, as stated by the World Health Organization (WHO). Therefore, rise in hepatitis incidence has increased the overall demand of drugs to treat and manage the disease.
In addition, increasing participation of market players and government associations, in the form of promoting and funding, play a pivotal role in driving the growth of hepatitis drugs market. In turn, these initiatives are supporting the development of drug therapies, encouraging diagnosis, and providing tailor-made solutions to patients. The major organizations include U.S. Department of Health and Human Services (HHS), Centers for Disease Control and Prevention (CDC), American Liver Foundation, WHO, Immunization Action Coalition, and Hepatitis Foundation International (HFI).
The development of hepatitis drugs is highly priced, as their manufacturing process are labor intensive and require expensive drug intermediates and active pharmaceutical ingredients (APIs). Therefore, the high capital requirement for the development and commercialization of drugs indicated for the treatment of hepatitis is a key restraint, which is impeding growth of the hepatitis drugs market. Moreover, the isolation, production, and ensuring contamination free usage of raw materials is a complex procedure that demands skilled professionals, adding to the overall cost of pharmaceuticals.
Furthermore, factors such as pro-longed development process and approval time of pharmaceutical drugs further impedes the growth of the hepatitis drugs market. For example, the development time of any new drug is around 8–10 years, because of the identification of drugs safety and efficacy, which is required to minimize adverse events.
Hepatitis Drugs Market Competitive Landscape
Dynavax Technologies Corporation, F. Hoffmann-La Roche Ltd., Johnson & Johnson, Merck & Co. Inc., Novartis AG, AbbVie Inc., Gilead Sciences Inc., Mitsubishi Tanabe Pharma Corporation, GlaxoSmithKline plc, and Bristol-Myers Squibb Company are some of the key players in the global hepatitis drugs market.
The global hepatitis therapeutics market size was estimated at USD 19.6 billion in 2016, and is anticipated to grow at a CAGR of 2.7% during the forecast period. Few prominent factors that are expected to boost the market are growing prevalence of viral hepatitis, rise in the number of autoimmune disease, and surge in healthcare expenditures across the globe. In 2015, approximately 1.34 million people died due to this condition globally. This number is significantly high to be compared with the number of deaths caused by HIV and tuberculosis.
However, the number of deaths owing to HIV and tuberculosis are declining, while rate of deaths owing to viral hepatitis is witnessing an upward trend. This condition is the inflammation of liver tissue caused due to excessive alcohol consumption, medication errors, viral infection, autoimmune diseases, toxins, and nonalcoholic steatohepatitis. According to the WHO, nearly 1.4 million people die every year globally due to this disease and approximately 400 million people are infected with at least one form of hepatitis.
This condition is generally classified into two types based on the duration for which the patient suffers. If the condition lasts for less than six months, then it is classified as acute, when the condition persists for more than six months, then it is a case of chronic condition. On the basis of disease type, the hepatitis therapeutics market is segmented into A, B, C, and others.
The others segment covers the market estimates for hepatitis D and E, which occur rarely compared to the other three conditions. HAV spread through intake of contaminated water, food, or through direct contact with an infected person. According to the estimates of WHO, approximately 90% of children in developing economies have been infected with the virus before reaching the 10 years of age owing to poor hygiene & sanitary conditions.
The access to treatments of this disease has been limited to people who have a high income level owing to high drug price, which might act as a restraining factor for this market. The introduction of generic versions of HCV drugs has changed the market dynamics across the world. With more number of people being able to afford the generic versions, the usage rates of its drugs are expected to grow rapidly over the next few years.