Global Surrogacy Market Grows at a Staggering CAGR of 6.25%

Surrogacy is a type of assisted reproduction in which the intended parents work with a surrogate to carry the embryo to term. Surrogacy makes use of both traditional and assisted reproductive technologies. Traditional techniques use the surrogate's eggs, making her the biological mother of the child. During gestation, the surrogate has no biological relationship to the fetus. As most altruistic surrogacy arrangements involve close relatives of the intended parents, a surrogate is not compensated monetarily. The industry consists of both charitable and commercial endeavors. Moreover, commercial practice is restricted in the majority of nations around the world. Market Dynamics The Increasing Prevalence of Infertility Worldwide Drives the Market The increasing prevalence of infertility is one of the primary forces driving the surrogacy market. According to a report by the World Health Organization (WHO), one in four couples in developing nations experiences infertility. Additionally, 60–80 million couples worldwide suffer from infertility each year, with 15–20 million (25%) residing in India alone. In addition, lifestyle choices such as smoking have an effect on the fertility rates of both men and women. For example, the pregnancy rate among women who smoke is significantly lower. In addition to stress, diet, alcohol consumption, and obesity, additional lifestyle factors affect fertility rates. Various diseases, including sexually transmitted diseases (STDs) and fertility-related diseases, also contribute to the rise in infertility rates. Therefore, future infertility rate growth is anticipated to stimulate market growth. Booming Fertility Tourism gives an Opportunity for Exponential Growth Fertility tourism, also referred to as reproductive tourism, is the practice of traveling abroad to receive fertility treatments. The primary causes of fertility tourism are legal restrictions, stringent regulations, the inaccessibility of fertility procedures in the home country, lower costs, and technological advancements in fertility tourism destinations. Different countries have varying fertility tourism regulations. Recently, Costa Rica lifted a 16-year ban on in vitro fertilization. The United States is the most popular destination for those seeking egg donation with a gestational carrier, particularly California, which is regarded as a surrogacy-friendly state. Due to the higher quality of assisted reproductive technology (ART) and regulations permitting same-sex and single parents to use IVF and surrogacy to start a family, the country is in high demand for surrogacy. The United States has joined Cyprus and Greece as the preferred destination for Turkish patients seeking fertility care. It is anticipated that fertility tourism will increase the utilization of fertility services, particularly in emerging markets such as Asia-Pacific and LAMEA, creating lucrative opportunities for future market expansion. Regional Analysis North America region is the highest contributor to the market and is anticipated to grow at a CAGR of 6.3% during the forecast period. The United States dominated the majority of the market, and this is anticipated to continue during the forecast period. Since state laws, not federal ones, govern surrogacy in the United States, each state has developed its own surrogacy-related regulations, ranging from no regulations at all to stricter regulations. As a result, there are numerous locations in the United States where surrogacy can be performed in a manner that is acceptable to the intended parents. In addition, Mexico has recently become an attractive surrogacy destination due to its relatively inexpensive medical services compared to those of other countries. Europe is anticipated to witness dynamic growth in the Surrogacy market, with a CAGR of 6.1% during the forecast period. The European surrogacy market is driven by the availability of surrogacy and favorable government policies regarding in vitro fertilization. EU member states are free to enact their own medical laws, according to the European Society of Human Reproduction and Embryology, because patients in Europe are free to move for treatment. In Europe, the laws governing surrogacy also vary. While commercial surrogacy is prohibited in the United Kingdom, altruistic surrogacy is permitted. Additionally, surrogacy is prohibited in Italy, Spain, France, and Germany. According to the European Society of Human Reproduction and Embryology, infertility affects over 25 million people in the European Union. Consequently, it is anticipated that a significant increase in infertility-related issues among couples who are not yet ready to have children will fuel market growth in the coming years. Asia-Pacific is anticipated to witness a significant CAGR of 5.2% in the surrogacy market during the forecast period. Gestational surrogacy adoption, fertility treatments, and the rise of fertility tourism all contribute to the expansion of the surrogacy market. The rise in the number of infertile couples worldwide is a major factor in the expansion of the surrogacy market. IVF therapy is a type of assisted reproductive technology used to treat infertility. According to the World Health Organization (WHO), one in six couples worldwide experiences infertility problems. The Asia-Pacific region has the greatest potential and offers the most lucrative opportunities for the expansion of the surrogacy market. Extremely low fertility rates in Asia-Pacific nations are the most significant factor driving the market growth. The LAMEA region is anticipated to witness a moderate CAGR of 6.2% in the global surrogacy market during the forecast period. Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay, and Venezuela have witnessed a rise in the transnational phenomenon of families employing surrogate mothers for commercial and altruistic purposes. To protect surrogates, intended parents and the offspring they carry, modifications to the law, regulations, and policies are necessary. These developments have not quickly addressed the difficulties associated with surrogacy arrangements, particularly in the region's low- and middle-income nations. The development of surrogacy and infertility treatments in this area has been constrained by the presence of stringent regulations. In certain countries, such as Saudi Arabia, surrogacy is prohibited. Moreover, according to the United Nations fertility report, Brazil and Chile had the lowest fertility rates in the region, which increases the demand for surrogacy in the region. Key Highlights The global surrogacy market was valued at USD 175.79 million in 2022. It is projected to reach USD 303.35 million by 2031, growing at a CAGR of 6.25% during the forecast period (2023-2031).  Based on type, the global surrogacy market is bifurcated into gestational surrogacy and traditional surrogacy. The gestational surrogacy segment is the highest contributor to the market and is anticipated to grow at a CAGR of 6.13% during the forecast period. Based on technology, the global surrogacy market is bifurcated into IVF with ICSI, IVF without ICSI, and intrauterine insemination. The IVF with ICSI segment is the highest contributor to the market and is anticipated to grow at a CAGR of 6.2% during the forecast period. North America region is the highest contributor to the market and is anticipated to grow at a CAGR of 6.3% during the forecast period. Competitive Analysis: The global surrogacy market's major key players are New Hope Fertility Center, IVI RMA Global, NOVA IVI Fertility, Clinic Scanfert, Bourn Hall Fertility Clinic, Houston Fertility Center, Extraordinary Conceptions, Oasis Center, Care Fertility Group Ovation Fertility, and Growing Generations LLC. Market News: In October 2022, IVI RMA Global applied artificial intelligence to select sperm with improved success rates of reproductive treatments. In August 2022, Oasis Center of India raised USD 50 million from Kedaara Capital. Global Surrogacy Market: Segmentation By Type Gestational Surrogacy Traditional Surrogacy By Technology IVF with ICSI IVF without ICSI Intrauterine Insemination By Regions North America Europe Asia-Pacific LAMEA