The Total Addressable Market (TAM) for bioreactors was valued at USD 2.65 billion in 2022. It is estimated to reach USD 6.46 billion by 2031, growing at a CAGR of 10.4% during the forecast period (2023–2031).
Bioreactors are specially designed containers that are used to grow organisms under user-controlled environments. Bioreactors support the growth of cells (mammalian, bacterial, yeast) with an active environment and features that help control, regulate, and monitor the culture environment.
The main drivers of the current growth of the bioreactor market are the expansion of pharmaceutical bioreactor use and bioreactor technology. Bioreactors are utilized to provide a controlled environment in terms of pH, temperature, nutrient supply, and shear stress for any cells or cellular constructs contained within them. Bioreactors have been utilized in numerous sectors of industry and research. They have proven to be indispensable medicines in treating autoimmunity, cancer, asthma, and organ rejection. Thus, the growth of bioreactors in the pharmaceutical industry is the primary factor driving market expansion.
The world has been burdened with the growing incidence of chronic diseases affecting millions. As per the National Cancer Institute, in 2020, approximately 1.8 million cancer cases were diagnosed in the US. The organization also reports about 442.4 cases of cancer per 100,000 individuals annually. Diabetes is another leading illness that affects 34.2 million people from different age groups, which corresponds to 10.5% of the US population. Chronic allergy, asthma, anxiety, cardiovascular diseases, and neuropathy are among the prime illnesses that affect major chunks of the global population. Thus, due to such high prevalence, there has been a surge in demand for biologic and biosimilar drugs. The key pharmaceutical players across the globe have scaled up production volumes to keep up with the market demands. Further, the emergence of new startups that are working on biosimilars accelerates the market growth.
The increasing presence of international and domestic pharmaceutical and biopharmaceutical companies in emerging nations is a major factor driving market demand. For example, in April 2020, Lupin and Dr. Reddy, India's leading pharmaceutical companies, had their pharmaceutical manufacturing facilities cleared by the US Food and Drug Administration (USFDA). Serum Institute and Bharat Biotech increased their COVID-19 vaccine production capacity and installed bioreactors in 2020. In response to the rise in pharmaceutical and biopharmaceutical production, government authorities in these nations are concentrating on good manufacturing practices and validated laboratory procedures. Implementing regulatory measures to prohibit the import and distribution of drugs that are contaminated or impure as a result of bioprocessing are anticipated to increase the demand for cost-effective systems in these nations.
The global bioreactors market is segmented based on product type, molecule, cell type, and end-user.
Based on product type, the market is segmented into single-use and reusable.
The reusable bioreactors segment dominates the market on account of its advantages, such as flexibility in usage for different molecule production, cost-efficiency, and increased yield has promoted substantial growth. Moreover, technological advancements are projected to drive the adoption rate of reusable bioreactors in the coming years. On the other hand, the single-use bioreactor segment is expected to grow with the highest CAGR as it helps reduce the need for cleaning, promotes higher sterilization, and reduces the risk of cross-contamination.
Based on the molecule, the market is segmented into monoclonal antibodies, vaccines, recombinant proteins, stem cells, and others.
The vaccine segment holds the largest market share in terms of revenue generation, owing to the ever-growing demand for therapeutics for chronic diseases. As the prevalence of infectious diseases increases, the demand for vaccines is projected to exhibit significant growth in the bioreactors market. For instance, since its origin in December 2019, the coronavirus outbreak has caused havoc in the global healthcare network. The market demand for vaccines addressing the same has been sky-high, further boosting the vaccine development processes that build direct usage for bioreactors. Moreover, rising healthcare expenditure by the government to support research and drug discovery drives market growth.
Based on cell type, the market is segmented into mammalian cells, bacterial cells, and yeast cells.
The segment for yeast cells is anticipated to grow at a significant rate during the forecast period. Yeasts are the most widely used microorganisms in the production of a diverse array of products. They are the subject of research and development initiatives aimed at maximizing their potential applications. One of the most prevalent applications of yeast cells is in producing fermented and protein-based products. Due to their high productivity and cell density, flocculation bioreactors are gaining popularity in the water management, pharmaceutical, and food and beverage industries. These reactors are primarily employed in manufacturing processes that require efficient yeast flocculation management.
Based on end-user, the market is segmented into contract research organizations, biopharmaceutical companies, research labs, and CMOs (Contract Manufacturing Organizations).
Contract manufacturing organizations (CMOs) are anticipated to hold a sizeable portion of the bioreactors industry. CMOs are an emerging trend for outsourcing product development in the healthcare industry. These companies allow manufacturers to establish a strong presence in developing economies. Additionally, CMOs aid organizations that lack a solid infrastructure and technical expertise. Due to the increasing demand for outsourcing, CMOs are accelerating the adoption of bioreactors to achieve cost-effectiveness, contributing to the industry's development.
The global bioreactors market is divided into four regions: North America, Europe, Asia Pacific, and LAMEA.
North America dominates the bioreactors market. The region’s bioreactors market is largely driven by the presence of key market players that are constantly investing in research and development activities concerning drugs and vaccines. Also, regional governments are actively supporting biologics production and providing funds for the same. Biopharmaceutical and biotechnology sectors have flourished in North America over the past two decades. Due to ongoing research on gene therapy, monoclonal antibodies, and stem cells, the number of bioreactors in use has increased dramatically. The rising cases of chronic and infectious diseases in the region have surged the demand for therapeutics and bioreactors. In addition, factors such as the expanding market for personalized medicines and the growing demand for single-use bioreactors among biopharmaceutical companies will contribute to the market's growth. The United States dominates the North American market because of pharmaceutical and high-tech product manufacturers' multimillion-dollar investments to expand their manufacturing capacities.
Asia-Pacific's bioreactors market is witnessing significant growth on account of the surging expenditure of biopharmaceutical startups and governments in the field of bioreactors. For instance, umpteen research and startup grants are offered by the Indian Department of Science and the Department of Biotechnology, such as the BIG grant and NIDHI Prayas Grant. Additionally, the region witnesses heavy investments from global leaders, such as Merck, Thermo Fischer, Agilent, and Eppendorf, due to favorable policies and the availability of cheap labor in emerging economies, such as India and China.
Europe is expected to show substantial growth over the forecast period. The adoption of next-generation bioreactors has expanded rapidly in European nations, especially in the pharmaceutical sector. The presence of numerous biotechnology businesses in the area presents profitable opportunities for developers of bioprocessing equipment. Increasing efforts to develop and manufacture large quantities of new therapeutics, monoclonal antibodies, vaccines, and stem cells will consolidate the region's promising bioreactor demand. To ensure the quality and safety of medicines, the European Commission (EC) has proposed a new patient-centered pharmaceutical strategy for its member states. Similarly, as part of the new EU Health Emergency Response Authority, the European Commission is encouraging investment in the coordination of research, development, and production of novel antibiotics. This is anticipated to increase demand for bioreactors used to manufacture vaccines and pharmaceuticals, as well as drive revenue growth in the region's market.
The expanding economy, rising demand for biopharmaceuticals, and rising purchasing power are driving the expansion of the LAMEA market. The market is expected to continue to expand due to its enormous growth potential. Increasing demand for effective therapeutic drugs and vaccines contributes to an increase in the number of research and development activities, which will create a demand for advanced bioreactors to prevent cross-contamination and achieve a higher yield. In addition to influencing the availability of bioreactors in these facilities, the expansion of biopharmaceutical manufacturing capacities to meet rising demand has an effect on the supply of bioreactors. In the coming years, the expanding presence of global biopharma manufacturers in LAMEA nations will stimulate the growth of the bioreactors market.
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