Peptide Therapeutics Market Size, Share & Trends Analysis Report By Application, By Type, By Type of Manufacturers, By Route of Administration, By Synthesis Technology, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global peptide therapeutics market size was valued at USD 39.3 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 6.4% from 2022 to 2030. The rising incidence of cancer as well as metabolic disorders such as osteoporosis, obesity, and diabetes will drive the adoption of peptide therapeutics during the forecast period. Due to the sheer growing number of affected pediatric patients and the pervasiveness of target diseases in low-income countries, there is a high demand for efficient and low-cost drugs.

Advanced peptides are now being created and reconfigured as therapeutics for COVID-19. Researchers around the world are looking for compounds that either block the mechanisms involved in Severe acute respiratory infection and replication or treat the conditions resulting from infection. The Food and drug administration updated its description of a biologic on February 21, 2020, to include chemically synthesized polypeptides with more than 40 amino acids but much less than 100 amino acids in size and synthetic peptides with 40 amino acids or even less. As a result, because peptide drugs are being recognized as a potential treatment for COVID-19, COVID-19 may have a positive effect on the market.

As per a study published in Applied Clinical Trials, the COVID-19 global epidemic caused significant interruptions to clinical trial implementation and operation in the U.S. in October 2020, affecting key players across the healthcare sector. As a result of the COVID-19 pandemic, corporate partners, manufacturers, and other organizations that support drug research relocated to distant location working environments, and an approximate 80% of non-COVID-19 experiments were interrupted. As a result, COVID-19 is considered to have a greater influence on the country's non-COVID-19 market for peptide therapeutics during the global epidemic.

The boost is directly related to increased investments in drug discovery. Peptide therapeutics research and development is mainly focused on the development of drugs for oncology, accompanied by infectious diseases, metabolic disorders, and diabetes. One of the factors anticipated to fuel market growth is the existence of a strong product pipeline. Furthermore, advancements in peptide manufacturing processes are expected to aid in the further development of therapeutics.

The market is estimated to witness lucrative growth in the forecast period due to the initiatives undertaken by many companies for investigating the development of new drug candidates. To retain their position in the market, companies engage in extensive R&D initiatives to develop novel drugs exhibiting higher efficiency in the treatment of target diseases. Clinical trials for these drugs have also significantly increased over the past decade. This is also expected to propel growth over the forecast period. For instance, in January 2022, Amgen and Generate Biomedicines declared a research partnership deal to explore and develop protein therapeutics for its five clinical objectives throughout multiple therapeutic areas and modes of delivery.

Moreover, chronic diseases like cancer and diabetes and cardiovascular diseases are the foremost causes of morbidity and mortality worldwide, as per the World Health Organization (WHO). Chronic disease rates have skyrocketed globally, advancing across all regions and affecting all socioeconomic classes. Chronic diseases were estimated to cause 73 percent of all deaths and 60 percent of the global disease burden in 2020. As a result, the rising prevalence of chronic diseases increases the demand for effective therapeutics, which is anticipated to drive the market. However, peptide therapeutics' upheaval, the rising cost of developing drugs, and strict regulatory prerequisites for drug approval are expected to limit the market growth.

Application Insights

In 2021, the metabolic segment dominated the market with a revenue share of over 35.0%. The prevalence of metabolic disorders is rapidly increasing. Sedentism, unhealthy eating habits, and excessive alcohol consumption have all contributed to an increase in the incidence of these disorders. Furthermore, the growing geriatric population susceptible to metabolic disorders is expected to provide a potential growth platform for the market.

Cancer emerged as the second-largest segment in 2021. The significant components responsible for this segment growth are rising cancer prevalence worldwide and increased prescription of peptide therapeutics for cancer treatment. Increased demand for efficient and fast-acting therapeutics is expected to fuel growth during the forecast period. Moreover, increased awareness among healthcare providers and patients about the side effects of chemotherapy and radiation therapy is a primary factor influencing the growth of alternative therapeutics like peptide-based drugs. The aforementioned reason is expected to propel the growth of the cancer segment. Furthermore, the presence of a strong product pipeline is expected to validate progress.

Type Insights

The innovative segment dominated the market in 2021 with a revenue share of over 60.0% owing to the increased R&D investments by large pharmaceutical companies in the discovery and development of new drugs and high prescription rates. The market is divided into generic and innovative segments based on type.

The generic segment is expected to grow at a rapid pace during the forecast period. Rising healthcare spending and increased federal government healthcare spending are expected to drive generic drug adoption. The loss of patents on many branded drugs is also believed to be a key factor driving the generic segment. The loss of a patent is viewed as a significant opportunity for generic players to enter the market with low-cost alternatives to blockbuster drugs. However, in the case of some innovative drugs, brand loyalty may have an impact on segment growth.

Type of Manufacturers Insights

The in-house manufacturing segment held the largest revenue share of over 65.0% in 2021. Most of the key players are involved in developing peptide therapeutics in-house owing to stringent regulations and the high cost of outsourcing. As large pharmaceutical companies have proper infrastructure for large-scale production and advanced technology, these companies prefer in-house manufacturing. 

The outsourcing activities for manufacturing are also estimated to grow during the forecast period due to difficulties in manufacturing therapeutics with high-quality standards. The companies prefer to outsource the Active Pharmaceutical Ingredient (API) from companies having high-end technology and expertise for manufacturing various types of peptides.

Peptide manufacturing is a complex procedure and it requires advanced technologies such as Solid-Phase Peptide Synthesis (SPPS), Liquid-Phase Peptide Synthesis (LPPS), or Hybrid for purification and synthesis of high-quality products, which results in the high cost of manufacturing. Besides, increasing R&D funding and capital investments by key players by entering into strategic agreements are anticipated to result in the market growth in the forecast period.

Route of Administration Insights

The parenteral route of administration dominated the market in 2021 with a revenue share of over 80.0%. This is attributed mainly to the high adoption rate, faster delivery of drugs, and ease of application. The biopharmaceuticals giants are continuously exploring new methods of drug delivery pertinent to peptides. Novel drug delivery technologies are now being assessed for efficacy with engineered molecules having advanced PEGylation in an attempt to improve drug delivery performance and patient compliance through better modes of drug delivery. Patient compliance and acceptability are major advantages of the oral route of drug administration. However, enzymatic degradation that inhibits blood absorption of these drugs holds a major disadvantage.

The pulmonary route is acknowledged for peptide and protein administration owing to the physiological characteristics of the respiratory system. Several proteins and peptides are currently undergoing clinical trials and awaiting approval via pulmonary usage. However, low bioavailability and lower molecular weighing molecules crossing alveolar epithelium causing inflammation are major usage barriers.

Synthesis Technology Insights

The LPPS segment dominated the market with a share of over 45.0% in 2021 owing to the rising demand for pure peptides for the development of efficient therapeutics. However, issues such as higher consumption of time are responsible for shifting consumers’ preferences to faster and more effective methods such as SPPS. 

SPPS lowers the synthesis time and is used in a wide range of production procedures. Moreover, higher efficiency during the synthesis of longer peptides is another driver for the market. Furthermore, associated automation, scalability, and enhanced control over the physicochemical properties of peptides are expected to drive the market over the forecast period.

Hybrid technology is expected to witness lucrative growth in the years to come owing to associated benefits such as compatibility with both liquid-phase synthesis and solid-phase synthesis. Companies are investing in R&D to incorporate the benefits of both LPSS and SPSS and provide a cost-effective and sustainable solution. Hybrid technology is expected to expand at a lucrative CAGR of 8.1% over the forecast period owing to a high adoption rate.

Regional Insights

North America dominated the market in 2021 with a revenue share of over 45.0%. The rise in peptide therapeutics product awareness, rising demand for diagnostics in cancer and other diseases, and the expanding biotechnology industry are key factors contributing to the regional market growth. Increased government R&D spending is also expected to assist peptide therapeutics to maintain their primacy in the forecast period. This region's well-established biopharmaceutical and pharmaceutical industry is a major factor fueling the growth. According to the American Cancer Society, approximately 1.9 million new cancer cases are expected in the U.S. in 2022. Cancer is the second leading cause of death in the country, trailing only heart disease.

This data suggests that peptides will become more prominent in the healthcare business in the U.S. and it will progress through clinical trials. Moreover, the demand for peptide therapeutic approaches is expected to rise as cancer becomes more widespread. The Asia Pacific is anticipated to witness significant growth over the forecast period due to high untapped opportunities, minimal raw material costs, a growing base of companies offering outsourcing services, a thriving biotech industry, and increased R&D investments. The lower cost of raw materials and the patent expiration of blockbuster drugs are anticipated to enhance the generic market in the near future, providing significant growth potential.

Key Companies & Market Share Insights

The development of new products and technological advancements are key strategies undertaken by the companies to gain market position. Moreover, increasing collaborations for undertaking trials of new drugs are estimated to increase competitive rivalry. For instance, in May 2022, Pfizer Inc. and Biohaven Pharmaceutical Holding Company Ltd. revealed a new agreement under which Pfizer will procure Biohaven, the manufacturer of NURTEC ODT, an advanced dual-acting migraine therapy authorized for both acute treatments as well as episodic migraine prevention in adults.

In MAY 2022, Bristol Myers Squibb and LOTTE Corporation stated that LOTTE has decided to acquire Bristol Myers Squibb's East Syracuse, New York-based production plant. The East Syracuse location will house LOTTE's novel biologics CDMO business in the U.S. In February 2022, Amgen and Plexium, Inc. revealed a multi-year research collaboration and license agreement to generate new targeted protein degradation therapeutics for previously difficult drug targets. The multi-year partnership will aid in the development of new molecular glue therapeutics by leveraging Amgen's expertise in developing multispecific molecules.

In May 2021, ISSAR Pharmaceuticals decided to license out its peptide-based novel chemical entities with pre-IND filing and a U.S. Patent for varied unaddressed healthcare demands of the people, attempting to make it accessible and affordable for improved outcomes. Some prominent players in the global peptide therapeutics market include:

• Eli Lilly and Company

• Pfizer, Inc.

• Amgen, Inc.

• Takeda Pharmaceutical Company Limited

• Teva Pharmaceuticals Industries Ltd.

• Lonza Inc.

• Sanofi

• Bristol-Myers Squibb (BMS)

• AstraZeneca PLC

• GlaxoSmithKline plc (GSK)

• Novartis AG

• Novo Nordisk A/S

Peptide Therapeutics Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global peptide therapeutics market report based on application, type, type of manufacturers, route of administration, synthesis technology, and region:

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Cancer

  • Metabolic

  • Cardiovascular Disorder

  • Respiratory

  • GIT

  • Anti-infection

  • Pain

  • Dermatology

  • CNS

  • Renal

  • Others

• Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Generic

  • Innovative

• Type of Manufacturers Outlook (Revenue, USD Million, 2017 - 2030)

  • In-house

  • Outsourced

• Route of Administration Outlook (Revenue, USD Million, 2017 - 2030)

  • Parenteral Route

  • Oral Route

  • Pulmonary

  • Mucosal

  • Others

• Synthesis Technology Outlook (Revenue, USD Million, 2017 - 2030)

  • Solid Phase Peptide Synthesis (SPPS)

  • Liquid Phase Peptide Synthesis (LPPS)

  • Hybrid Technology

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • Japan

    • India

  • Latin America

    • Mexico

    • Brazil

  • MEA

    • South Africa