The global vaccines market size was valued at USD 30.2 billion in 2018 and is expected to grow at a CAGR of 10.2% during the forecast period.
To date, vaccines have majorly contributed to eradicating several severe diseases—smallpox and polio—from the face of the earth. During 1980–90, millions of people died due to smallpox. Moreover, after the introduction of a worldwide End Polio Campaign, the number of polio cases has reduced to 407 in 2013 from 350,000 in 1988, the CDC.
The inception of the very first vaccine has completely revolutionized human life in today’s world. Several medical inventions have saved lives, including rotavirus, pneumococcus, varicella, and human papillomavirus (HPV), which would not have been possible without a vaccine. Since 1990, around 122 million children have been saved from polio and other diseases, the Bill & Melinda Gates Foundation. In the last few years, an increasing number of vaccine-related substance registration has increased steadily, along with an increase in the volume of patents and journals. For instance in 2017, around 150,000 journal articles and 148,000 patent applications were published, by the American Chemical Society.
|Fastest Growing Market||North America|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends|
Emerging trends are contributing progressively for innovation and an increase in investment requirements for R&D and manufacturing. These shifts in the broader infrastructure are increasing innovation in the vaccine industry. Recently, in January 2019, the U.K government funded about USD 13 million to the Coalition for Epidemic Preparedness Innovations (CEPI) to develop vaccines against emerging infectious diseases. For the record, CEPI aims to derail epidemics by speeding up the development of vaccines. Similarly, the UKVN funds around 78 research projects that are developing vaccines against epidemics. Additionally, U.K has invested about USD 157.1 million for the U.K Vaccine Network (UKVN) to develop vaccines for the eradication of 12 pathogens, the GOV.UK. In view of this, several manufacturers are restructuring their businesses towards the vaccine industry for acquiring major market share. Recently, in May 2019, Dynavax Technologies Corporation restructured its business onto vaccines and launched its first-ever commercial product, HEPLISAV-B, a hepatitis B vaccine (Recombinant).
Vaccines are extremely useful when it comes to targeting emerging epidemiology threats like Ebola. Currently, several players are arduously working with the research centers and medical institutes to develop a vaccine for the treatment of the Ebola virus. For instance, the National Institute of Allergy and Infectious Diseases is supporting various vaccines, including Merck’s rVSV-ZEBOV vaccine. Moreover, vaccines can target high-burden diseases (such as HIV and respiratory), which carry high commercial potential. For example, pregnant women make up for a potential population for immunization.
Globally, GlaxoSmithKline, Merck, Pfizer, and Sanofi are major shareholders in the vaccines market. In the last few years, the drug pipeline is grabbing the attention of several emerging-market players. Moreover, ongoing R&D activities of new antigens and novel synthetic (messenger-RNA-based products) are showing potential breakthroughs. Recently, in February 2019, the Coalition for Epidemic Preparedness Innovations (CEPI) funded about USD 34 million to CureVac for the development of RNA Printer prototype. This platform will close the gap in the supply of lipid-nanoparticle (LNP)-formulated mRNA vaccine candidates for Lassa fever, yellow fever, and rabies.
Vaccines have proven to be one of the greatest health achievements in the history of mankind as it has successfully immunized children against diphtheria, tetanus, pertussis, and measles, saving about 2-3 million lives every year, the WHO. In the U.S. alone, these vaccines have prevented over 21 million hospitalizations and 732,000 deaths among children in the last 20 years, the CDC. In the last decade, immunization programs have added new vaccines.
In the developing countries, immunization has worked wonders by averting the deaths of millions of children. Whereas, in the under-developed countries, a number of children are not getting proper immunization; however, the immunization programs are actively working on providing immunization to the remotest location every year. For instance, the Reaching Every District (RED)—launched in 2002—aims to strengthen the immunization delivery at the district level. Similarly, the Pilot project started administrating the malaria vaccine, named ‘RTS,S’ in Ghana, Kenya, and Malawi in 2018. To support the cause, several organizations, including Gavi, the Vaccine Alliance, the Global Fund to Fight AIDS, Tuberculosis and Malaria, and Unitaid have teamed up for eradicating malaria from the face of the earth, and have funded about USD 49.2 million for the first phase of the Pilot program. Additionally, the ministries of health in Ghana, Kenya, and Malawi will implement the Pilot program in coordination with the WHO. These vaccines will be made available through routine immunization programs to the young children living in the selected areas. The first phase of the pilots is expected to be completed by 2020, followed by the second phase in 2022.
North America is dominating the global vaccines market and will continue the same during the forecast period. This can be attributed to the presence of healthcare infrastructure, defined regulatory framework, and favorable reimbursement policies. The healthcare sector is expected to witness significant growth in the region following the heavy investments by the government and several market players. Moreover, the robust healthcare infrastructure and research centers have heavily contributed to saving millions of lives. In the U.S. alone, vaccines have prevented over 21 million hospitalizations and 732,000 deaths among children born in the last 20 years, CDC. Apart from this, technological advancements are boosting the growth of vaccines market in the region. Recently, in October 2018, the U.S. FDA has agreed to consider the application of ‘Dengvaxia’—a first licensed vaccine against dengue by Sanofi Pasteur. The U.S. Virgin Islands, Puerto Rico, and Guam are some of the regions with the highest prevalence of dengue across the U.S.
Europe is second in the global vaccines market. The healthcare services vary as per geographical coverage, population density, and government policies in the region. The anti-vaccine movement—fuelled by social media—has put several lives at risk and can be blamed for measles outbreaks, which affected over 4,000 Italians. To attend to the dire situation, in 2017, Italy made six kinds of vaccines mandatory for the people, the European CDC. On the other hand, the vaccination market is witnessing strong growth in France and Italy due to mandatory vaccination laws set by the government.
Additionally, increasing investments by the market players are adding fuel to the market growth. In 2016, Takeda invested around 100 Million Euros for developing a Dengue Vaccine manufacturing facilitiy in Germany. Similarly, Bavarian Nordic, a biotech company, was funded with USD 33.4 million for accelerating the biotechnological manufacturing processes and technologies for the production of vaccines.
Immunization is one of the most cost-effective public health interventions, averting about 2 to 3 million deaths every year, the WHO. Today, the world is closer to eradicating polio due to immunization. The remaining polio endemic countries in the region include Afghanistan, Nigeria, and Pakistan. Deaths from measlesdeclined by 80% worldwide between 2000-2017, preventing approximately 21.1 million deaths, the UNICEF.org. Moreover, vaccines aid in targeting high burden diseases (tuberculosis and malaria) in low-income markets. They are expensive for low income countries, supply shortages and a lack of trained health workers are also posing challenges in their erradication. In addition to this, unreliable transportation systems and storage facilities are some of the difficult challenges faced by low income countries.
However, umpteen organizations are working towards bridging this gap of supply and demand. For example, Bill & Melinda Gates Foundation supported a partnership between PATH, WHO, the Serum Institute of India, and African governments for the development of an affordable vaccine to prevent meningitis A. Similarly, MenAfriVac is one of the first vaccine designed specifically for Africa. Within a year of its introduction, the meningitis A infection faced a dramatic drop.
We have provided a detailed study of the conjugate vaccines, inactivated, subunit vaccines, live attenuated vaccines, toxoid vaccines, and recombinant vaccines in the report. The conjugate vaccine is expected to hold a major market share during the forecast period as it offers effective immunization. For instance, their immunological memory provides longer immunity. One such conjugative vaccine is PCV that can cure nearly 13 types of pneumococcal bacteria.
Vaccines can be categorized into monovalent and multivalent. Monovalent are designed to combat single diseases like malaria, Ebola, and dengue. Whereas, multivalent is used in the immunization of multiple diseases, including DTP, polio, and hepatitis. The growing prevalence of malaria, Ebola and others are driving the demand for monovalent vaccines. Ebola outbreak with no vaccination available have prompt the healthcare organizations to increase the research and development activities of monovalent vaccines.
Some of the key players in the global vaccines market include