Remicade Biosimilars Market is Estimated to Witness High Growth

Author : Sneha Biswal | Published On : 18 Jan 2024

Remicade biosimilars are biopharmaceutical drugs that are highly similar to the reference biological drugs Humira and Remicade. They provide an affordable alternative for the treatment of various autoimmune diseases such as Crohn's disease, ulcerative colitis, rheumatoid arthritis, etc. The global biosimilars market has gained significant traction in the past few years owing to cost savings achieved through biosimilars as compared to the reference biologics.

Market Opportunity

Cost Savings Associated with Biosimilars

The cost of reference biologics is substantially high, sometimes exceeding over US$ 20,000 annually. However, biosimilars are priced 20-30% lower than the reference biologics presenting significant cost savings opportunities for the patients, healthcare systems and government agencies. For instance, Remsima, a biosimilar of Remicade was launched in 2015 and priced ~30% lower. Such cost savings associated with biosimilars is estimated to boost their adoption rates globally thereby driving the growth of the Remicade biosimilars market.

Porter's Analysis

Threat of new entrants: The biologics market requires huge R&D investments and dealing with patent protections make market entry challenging for new companies. However, loss of exclusivity of Remicade and viable profit margins may attract new biosimilar players.

Bargaining power of buyers: Large buyers like governments and private insurers have significant bargaining power to negotiate lower prices from manufacturers due to availability of viable substitutes and increasing price competition in the market.

Bargaining power of suppliers: A few biotech companies have specialized expertise in developing biosimilars, giving them some power in negotiations. However, easy entry of new players can counterbalance this supplier power over the long run.

Threat of new substitutes: Availability of many monoclonal antibody biosimilars to treat various autoimmune diseases increases the potential for substitutes. However, brand loyalty and physician familiarity with Remicade provide some protection against substitution.

Competitive rivalry: Intense as biosimilar developers compete on price and marketing to gain market share after patent expiration of Remicade. Companies fight to be the preferred interchangeable product.

SWOT Analysis

Strengths: Proven safety and efficacy profile of Remicade's reference drug aids acceptance of biosimilars. Loss of exclusivity enables significantly lower prices.

Weaknesses: Unfamiliarity of physicians with biosimilars and perceived lower quality can reduce uptake compared to reference product initially. High marketing investments needed to gain market share.

Opportunities: Increased accessibility of biologics treatment and cost savings for governments and patients if reference drug price falls with competition. Emerging markets yet to see biologics could drive future demand.

Threats: Uncertainty around long term safety and immunogenicity profile vs reference product may slow large scale adoption. Changes in regulations can impact launch and commercialization plans.

Key Takeaways

The Global Remicade Biosimilars Market Growth is expected to witness high driven by patent expiration of the reference drug and increasing uptake in new regions.

Regional analysis: Europe accounts for the largest share currently due to established biosimilar policies in countries like Germany and the U.K. driving substitution. However, the U.S. market is projected to grow rapidly through 2030 as existing biosimilars gain adoption and new entrants capture market share after the patent expiration of Remicade.

Key players operating in the Remicade biosimilars market are Celltrion, Samsung Bioepis, Dr. Reddy's Laboratories, and Amgen. Celltrion's Remsima was the first Remicade biosimilar approved in both the U.S. and Europe.

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https://www.ukwebwire.com/remicade-biosimilars-market-size-and-trends-analysis/