Multiple Sclerosis Drugs Market

Market Overview

The global multiple sclerosis drugs market size was valued at USD 24.54 billion in 2022. It is projected to reach USD 34.03 billion by 2031, growing with a CAGR of 3.7% during the forecast period (2023–2031).

Multiple sclerosis (MS) is a chronic, autoimmune, and inflammatory disorder that affects the CNS and the communication between different parts of the body and the brain, resulting in various symptoms, including vision loss, pain, fatigue, and impaired coordination. Globally, the prevalence of MS is rising at a concerning rate. As per the National Multiple Sclerosis Society, around 2.3 million people are suffering from MS across the globe, and the number is expected to surge in the years to come, increasing the demand for innovative MS drug discovery with enhanced efficacy and reduced adverse effects. Furthermore, reimbursement plays a vital role in the growth of the market, as MS drugs are expensive. Without reimbursement, the treatment may become unaffordable for most MS patients across the globe.

Market Dynamics

What are the Factors Driving the Market Expansion?

Upsurge in R&D and Rising Government Initiatives

Rapid advancement in the healthcare sector, a rising number of promising pipeline drug development projects, and unmet needs pertaining to MS are some of the factors driving the market growth. Several governments and non-governmental entities, such as the National Multiple Sclerosis Society, the Multiple Sclerosis Association of America, the Multiple Sclerosis Foundation, UCSF Health, and the European Multiple Sclerosis Platform, are actively working to raise awareness regarding MS and are funding R&D activities for the development of novel drugs. Thereby, advances in the pharmaceutical sector, increasing government funding, and rising investment in the healthcare and medical industry are fueling the market growth.

Robust Product Pipeline and Increasing FDA Approvals

In the last few years, the FDA has been approving a range of disease-modifying therapies to treat different types of MS. Recently; the FDA approved Fingolimod (Gilenya) to treat pediatric multiple sclerosis and Glatiramer Acetate Injections (Glatopa) to reduce the frequency of relapses. For instance, a recent phase III clinical trial revealed that Siponimod, a potential multiple sclerosis drug, might reduce the relapse rate amongst patients suffering from secondary progressive MS. Also, the findings from a recent phase II clinical trial suggested that ibudilast may potentially restrict the development of disability in patients with MS. The companies operating in the MS drugs market are focusing their efforts on gaining approval from the FDA for their newly developed drugs. For instance, Biogen is developing Diroximel fumarate, which is in phase III of the clinical trials. Likewise, Novartis is developing Ofatumumab, which is also in Phase III. Additionally, other pharmaceutical firms, such as Roche, Eisai, Pfizer Inc., and Apitope, are developing drugs for MS. Hence, pipeline drugs for MS will foster market growth in the coming years.

What are the Factors Restraining the Market Growth?

High Costs of Drugs

Despite greater government initiatives and various treatment alternatives for multiple sclerosis, drug prices continue to pose a substantial barrier to market expansion. Due to the high cost of the medications, it is inefficient to meet the needs of affected populations. Disease-modifying therapies are regarded as a highly successful form of treatment. A considerable increase in out-of-pocket costs for these medicines, however, leads to decreased adherence and inappropriate disease management. According to the National Multiple Sclerosis Society, MS drug costs are gradually increasing. It is projected that this consistent increase in MS treatment expenses will limit the number of MS patients opting for treatment.

Segmental Analysis

The global multiple sclerosis drugs market can be segmented based on drug class, route of administration, and distribution channels.

By Drug Class Analysis

On the basis of drug class, the market is segmented into immunomodulators, immunosuppressants, interferons, and others.

The immunomodulators segment is dominating the global multiple sclerosis drugs market and is predicted to lead the market during the forecast period. Immunomodulators are used for the treatment of relapsing forms of MS. It aids in slowing the progression of physical disability and reducing the occurrence of clinical exacerbations. Moreover, the availability of advanced treatment options, novel product launches, rising R&D investments, ongoing clinical trials, and mounting demand for drugs are driving segmental growth. Interferon beta-1b was the first immunomodulator approved by the U.S. FDA. It helped to decrease the frequency of clinical exacerbations. Moreover, key players, such as Novartis, Biogen, Sanofi, Teva Pharmaceuticals, etc., are actively working to develop immunomodulators that are more effective in reducing the risks associated with the disease.

By Route of Administration Analysis

By route of administration, the market is segmented into oral, injectable, and infusions.

The injectable segment is considered the fastest-growing segment during the forecast period. The growth can be attributed to active government support, global market approvals, ease of administration, and an increased level of safety. With the need for more convenient drug-delivery methods, the injectable is gaining huge popularity for unit dose medication to reduce drug waste and upsurge the product life span. Some available injections for the treatment of MS include Avonex, Betaseron, Copaxone, Extavia, and Glatopa.

By Distribution Channels Analysis

Based on distribution channels, the market is segmented into hospital pharmacies, retail pharmacies, and online pharmacies.

The hospital pharmacy segment is predicted to dominate the market for the duration of the forecast period because of favorable health reimbursement and growing government efforts to establish government hospital pharmacies.

Regional Analysis

In terms of region, the global multiple sclerosis drugs market is divided into North America, Europe, Asia Pacific, and LAMEA.

North America is leading the global multiple sclerosis drugs market. The rising number of hospitalization procedures, increasing prevalence of MS, expanding healthcare infrastructure, and surging healthcare expenditure in the U.S. and Canada are driving the market growth. The rising concentration of pharmaceutical companies in R&D activities for developing novel drugs for treating MS is driving the market growth. As per the Institute for Clinical and Economic Review (ICER), the U.S. spends around USD 28,000 million annually for the treatment of MS. The reimbursement programs in the U.S. and Canada are raising the adoption of the treatment. According to the National Multiple Sclerosis Society, around 291 per 100,000 people in Canada are suffering from MS. Whereas, in the U.S., 450,000 people are suffering from MS. Additionally, the National Multiple Sclerosis Society (NMSS) and Multiple Sclerosis Association of America (MSAA), are actively engaged in educating people regarding the symptoms and advanced treatments for MS. Similarly, the leading players are actively working in the field to attend to the existence of strong unmet needs in the clinical segment and the rising demand for highly effective and rapidly acting medications. The U.S. is the biggest market for firms such as Biogen, Novartis AG, and Sanofi SA, further boosting the market growth.

Europe is predicted to be the second in the global multiple sclerosis drugs market on account of the increasing prevalence of MS. As per the European Multiple Sclerosis Platform (EMSP), over 600,000 people are living with MS in Europe. The market is driven by rising government support, increasing healthcare expenditure on MS, surging investments in R&D of MS drugs and clinical studies, and rising awareness regarding advanced treatment options. The United Kingdom is anticipated to hold a sizeable proportion of the multiple sclerosis medicine market over the projection period. The growing elderly population, rising healthcare expenditures, and increasing research and development activities contribute to market expansion. On the other hand, rising nations in the region, such as France, Italy, and Spain, are anticipated to grow at a promising rate during the forecast period. 

In Asia Pacific, the multiple sclerosis drugs market is majorly driven by a large pool of patients suffering from MS in China and Japan, the launch and approval of new products, and growing investments by leading market players. The governments are actively working to develop the healthcare infrastructure and are increasing their healthcare expenditure for the same. Additionally, leading players in the region are engaging in agreements with local drug manufacturers to develop technologically advanced products. Moreover, the well-improved distribution network in pharma-emerging nations is also supporting the regional market.

The Middle East and Africa are expected to witness sluggish growth in the multiple sclerosis drugs market. In Africa, lack of knowledge regarding the treatment options for MS, the high cost of drugs, and less development in medical facilities are the factors hampering the market growth. However, the increasing prevalence of MS will create lucrative opportunities for the market in the years to come. The Middle East North Africa Committee for Research and Treatment in Multiple Sclerosis (MENACTRIMS) is actively working to provide education regarding the symptoms, treatment, and effects of MS. Due to the increasing incidence of the disease in Latin America, the government has been compelled to develop preventative measures in the form of guidelines and recommendations. In addition, government agencies are undertaking several public awareness efforts to educate patients about the various possible treatment alternatives. In addition, as per capita health expenditures increase, product demand will increase, increasing the growth of the Latin American market for multiple sclerosis drugs. However, the high cost of multiple sclerosis treatments would have a negative impact on the growth rate of multiple sclerosis drugs over the projection period.

Recent Developments

• June 2021- The European Commission authorized Aubagio (teriflunomide) for the treatment of relapsing-remitting multiple sclerosis in children ages 10 to 17. The approval confirms Aubagio as the first oral medication for multiple sclerosis in children and adolescents in the European Union.
• March 2021- Janssen Pharmaceutical announced that the U.S. Food and Drug Administration (FDA) approved PONVORY (ponesimod) for the treatment of relapsing types of multiple sclerosis in adults.

Multiple Sclerosis Drugs Market Segmentation

By Drug Class

• Immunomodulators
• Immunosuppressants
• Interferons
• Others

By Route of Administration

• Oral
• Injectables
• Infusions

By Distribution Channel

• Hospital Pharmacy
• Retail Pharmacy
• Online Stores

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA