The global sales of peptide therapeutics is estimated to be worth USD 42.1 billion in 2024 and anticipated to reach a value of USD 117.4 billion by 2034. Sales are projected to grow at a CAGR of 10.8% over the forecast period between 2024 and 2034. The revenue generated by peptide therapeutics in 2023 was USD 38.0 billion.
Peptide therapeutics are appearing as a revolutionary force in today's world of medicine. Their small quantities are effective and selective, possess a better safety profile than the traditional small-molecule medicines, making them a very novel tool to deal with different medical challenges that traditional drugs are not able to address efficiently.
This versatility has led to the design and clinical testing of a variety of natural and modified peptides within many therapeutic areas, including oncology, metobolics, and infectious diseases. As research develops, the demand for peptide-based therapies has become high because they provide a targeted treatment format with less side effects compared to conventional pharmaceuticals.
Global Peptide Therapeutics Industry Assessment
| Attributes | Key Insights |
|---|---|
| Historical Size, 2023 | USD 38.0 billion |
| Estimated Size, 2024 | USD 42.1 billion |
| Projected Size, 2034 | USD 117.4 billion |
| Value-based CAGR (2024 to 2034) | 10.8% |
However, the development of peptide therapeutics highlights the imperative need to develop novel production methods. Conventional processes generate numerous chemical waste, raising issues linked to sustainability in pharmaceutical manufacturing.
In response to this need, incorporation of green chemistry principles into peptide synthesis has become a focus. Through environmentally friendly processes, decreasing waste generation and the use of less energy, green chemistry is a sustainable route that harmonizes with the growing global emphasis on environmental protection.
These innovations are of utmost importance as they allow for the large-scale production of specialty active pharmaceutical ingredients (APIs) with a lowered environmental footprint.
While beneficial for the environment, the shift to sustainability fits industry objectives to be effective and cost-efficient, leading to the attraction of peptide therapeutics.
As pharmaceutical companies increase their attention on sustainability alongside innovation, peptide synthesis, via the incorporation of green chemistry principles, is set to become one of the vital pillars that drive the development of next-generation drugs.
This illustrates the combined transforming potential of peptides and sustainable manufacturing solutions, marking growth in the application of substances in the pharmaceutical industry and a new era of therapeutic and environmental advancements.
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The global peptide therapeutics market's compound annual growth rate (CAGR) for the first half of 2023 and 2024 is compared in the table below. This analysis provides important insights into the performance of the industry by highlighting significant shifts and trends in revenue generation.
The first half (H1) is the period from January to June, and the second half (H2) is July to December. In the first half (H1) of the decade from 2023 to 2033, the business is predicted to surge at a CAGR of 4.6%, followed by a slightly lower growth rate of 4.2% in the second half (H2) of the same decade.
| Particular | Value CAGR |
|---|---|
| H1 | 4.6% (2023 to 2033) |
| H2 | 4.2% (2023 to 2033) |
| H1 | 10.8% (2024 to 2034) |
| H2 | 3.1% (2024 to 2034) |
Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to decrease slightly to 10.8% in the first half and remain relatively moderate at 3.1% in the second half. In the first half (H1) the industry witnessed a decrease of 110 BPS while in the second half (H2), the industry witnessed a decrease of 110 BPS.
Cancer Prevalence Driving the Peptide Therapeutics Market
The escalating global prevalence of cancer is a major driving force behind the growth of the peptide therapeutics market. In 2022, the World Health Organization (WHO) reported approximately 20 million new cancer cases and 9.7 million cancer-related deaths worldwide.
This alarming increase in cancer incidence emphasizes the pressing need for advanced and effective treatment options to address the growing burden of this life-threatening disease.
However, in recent times, the peptide-based therapies have been a significant promise in the treatment of cancer. While compared to other treatment modalities, they can target the cancer cells without blemishing the healthy tissues.
Less side effects tend to manifest with peptide therapy compared with standard treatments. Increased acceptance of the benefits rendered by such highly specified and efficient therapy has been borne out by the rise in cancer incidences worldwide.
There is also the opportunity for increased utilization of peptide therapy, as people are beginning to see these novel cancer treatment options. With ever-increasing cancer prevalence, the advancements in peptide-based therapies are poised to grow significantly, thus entrenching this segment in the arena of global anti-cancer ever fought.
Rising Trend in Precision Medicine with Superior Target Specificity and Safety is boosting the industry growth
Peptide medicines are transformational trend in the pharmaceutical market. These carry many advantages compared to small molecules, giving them great scope across multiple therapeutic areas, thereby exhibiting growing demand for personalized medicine.
The advantage with peptides would be enhanced specificity and potency toward targets, typically residing in the low micromolar or even nanomolar range with respect to their EC50 values. Such pronounced selectivity lowers off-target interactions and hence chances of undesirable side effects, which are hugely favored, compared to conventional small-molecule drugs.
The structural promiscuity of peptides, associated with the great deal of variation of side chains, gives the broad prospect of potential targets, allowing developing therapies for difficult or unprocessable diseases.
Also, the metabolic profile of peptides support the development of pharmaceuticals unlike small molecules, they don't yield toxic metabolites while interacting with the CYP family of metabolic enzymes. This results in lower chances of drug-drug interactions, which enhances their safety profile especially in complicated treatment regimens.
A rising stream of R&D work on peptide drugs is witnessing a boost in the market, coupled with the unique contributions they can make to bridge in some huge unmet medical needs.
As regulatory approvals and clinical progresses continue to soar, peptides are slowly growing as a natural base for the third-wave therapeutics. This trend speaks volumes for the ability of peptides to transform drug development by providing highly effective, safer, and targeted treatment alternatives to meet the demands of modern medicine.
Strategy to Enable the Oral Administration of Peptide Drugs to Reveal the Opportunity in the Market
The development of co-formulation strategies with permeation enhancers presents a transformative opportunity for the peptide therapeutics market, particularly in addressing the challenges of oral administration.
While the peptide is a very effective candidate, the limitations occur due to an increased susceptibility to enzymatic degradation and poor bioavailability via the oral route of drug delivery. These limitations could be dealt with more effectively, in turn providing better means of delivery-options to the patients.
Permeation enhancers can improve the bioavailability of the drugs. For instance, the absorption of peptides through the gastrointestinal tract can occur either by short-lived modulation of epithelial tight junctions or inhibition of enzymes degrading these peptides.
Therefore, this approach leads to enhancing the systemic availability of peptide drugs as well as their therapeutic action. The combination products are now being explored in preclinical and clinical studies showing good potential to overcome the challenges in administering peptides orally.
This opportunity relates well to the growing need for non-invasive therapeutic options for chronic conditions, where long-term adherence is critical. If peptide drugs can be developed for this indication, their operational niches could significantly contribute to compliance and would span the wide expanse that delivery of therapies employs.
The co-formulation development along with the further inoculation of the permeation enhancer may yet stand as a cornerstone strategy for growth of the peptide therapeutics market- as formulation technology advances and regulatory approval further unfolds.
Enzymatic Degradation and Limited Oral Bioavailability Restrict Market Growth
A major challenge facing the peptide therapeutics market is peptide metabolism, offering it a few restrictions. Naturally occurring peptides are very susceptible to enzymatic degradation and rapid excretion, so they tend to be less stable and have short half-lives in the body.
Such a property greatly inhibited their efficiency in oral administration, considering they are broken down in the gastrointestinal tract before entering the systematic circulation. Peptide drugs are hence mostly delivered via the parenteral route by means of intravenous or subcutaneous injections. This invasive way of delivery is likely to impose barriers toward patient compliance.
Such a dependency on parenteral administration undermines the accessibility and other conveniences surrounding peptide therapeutics, especially for chronic conditions that require frequent dosing.
Although parenteral delivery substitutes are, admittedly, guaranteed methods of validating the therapeutic efficacy of peptides, this nonetheless reiterates one vital limitation against the widespread acceptance of peptide drugs.
Some of the latest innovations aimed at successfully bringing around alternatives in their route of administration-Pautionary, pulmonary, or transdermal-delivery-designed to improve patient compliance, and favoring convenience, have encountered many technical and regulatory obstacles that hamper their commercialization.
Overcoming such a hurdle concerning oral administration actually remains a major drawback to the growth of the peptide therapeutics market.
Principal Consultant
The global peptide therapeutics industry recorded a CAGR of 2.9% during the historical period between 2019 and 2023. The growth of peptide therapeutics industry was positive as it reached a value of USD 117.4 billion in 2034 from USD 42.1 billion in 2024.
The development of the peptide therapeutics market has remarkable economic and mechanistic growth since research and their paradigm shift, approved by increasing volumes of appropriate regulatory authorities justifies this improvement.
According to available data, between 2016 and 2022, the FDA approved 26 peptide-based drugs, which represented a single-digit share of about 3% to the 315 new drug approvals granted during these years. This upward shift shows the growing importance attributed to peptides as a promising class of therapeutics.
Furthermore, over 200 of these peptides have entered clinical trials, while approximately 600 are still in the preclinical stage, giving evidence to the robustness of this industry pipeline, showing ongoing novel investigations and investments.
With an ever-increasing number of literature publications and patents offered over the last few decades, the growing interest in peptide therapeutics has been authenticated through the appearance of many pertinent reviews, consolidating both knowledge and advances within this field.
With this wide range of wider indications for which the peptide therapeutics market is all set for significant expansion, peptides have made inroads into the treatment processes of microbial infections, cancers, obesity, and other complex diseases.
Their versatility bridges the gap between the use of systems in novel drug delivery approaches, such as cell-targeting platforms or cell-penetrating peptides. All these applications seem to promise improved ways for the treatment of anti-cancer, antibacterial, and antiviral actions, simply making peptides indispensable next-generation weapons against crimes of such nature.
Basically, the whole tale portrays an interesting conjunction between history and future potential for peptide therapeutics. The continuing innovations at the level of synthesis and sustaining its manufacture might go a long way toward further helping to quicken the pace at which this market rises.
The rising demand for safer, more targeted, and effective therapies will add the increasingly central role of peptide-based drugs in the changing landscape of medicine. Such trends give confidence of a very bright future for peptide therapeutics, based on their applicability in a wider range of therapy and more aptness to modern-day evolving healthcare needs.
Tier 1 companies are the industry leaders with a market share of 46.3% of the global industry. Their strong financial resources, extensive R&D investments, and robust distribution networks allow them to dominate the market. Prominent companies within tier 1 include Eli Lilly and Company, AstraZeneca plc Merck & Co. Inc and Teva Pharmaceutical Industries Ltd.
Tier 2 companies are relatively smaller as compared with tier 1 players. The tier 2 companies hold a market share of 28.5% worldwide. Limited financial resources and regional focus influence their positioning, but innovation and agility drive their competitive edge in specialized areas. Key companies under this category include Ipsen S.A, Novo Nordisk A/S, and others
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The market analysis for peptide therapeutics in various nations is covered in the section below. An analysis of important nations in North America, Latin America, East Asia, South Asia & Pacific, Western Europe, Eastern Europe, and Middle East and Africa (MEA) has been mentioned below.
It is projected that the United States will maintain its leading position in North America through 2034, with CAGR of 3.2%. By 2034, India is expected to experience a CAGR of 9.9% in the Asia Pacific region.
| Countries | Value CAGR (2024 to 2034) |
|---|---|
| United States | 3.2% |
| Germany | 3.3% |
| France | 5.1% |
| United Kingdom | 3.7% |
| China | 8.7% |
| India | 9.9% |
United States is anticipated to show a CAGR of 3.2% between 2024 and 2034. The American Cancer Society estimated that there would be more than 1.9 million new cancer cases diagnosed in the United States in 2022.
Cancer has remained the second leading cause of death after heart diseases. This appalling incidence emphasizes, with bubbling prominence, the growing relevance of peptide-based therapies for the USA healthcare platform. Peptides are gaining momentum in clinical trials where applicability in oncology is concerned, mostly for their specificity and safety.
The rising incidence of chronic diseases, along with strong research undertakings in the medical sector, is pushing the use of peptide therapeutics. Growth in the demand for peptide therapies is expected to be energized in light of the healthcare industry's emphasis on personalized medicine, establishing the USA as a leading country in the peptide therapeutics market.
Germany’s peptide therapeutics market is poised to exhibit a CAGR of 3.3% between 2024 and 2034. The Germany holds highest market share in European market.
Germany’s peptide therapeutics market is booming due to the excellent healthcare systems, expensive peptide drugs, and favorable reimbursement policies. Such an environment favors adopting novel therapies to enhance access for patients and higher profitability for manufacturers.
In addition, the impending patent expiry of multiple blockbuster peptide drugs alongside the declining raw material costs lay groundwork for a soaring generic peptide market. This trend is projected to give rise to more affordable and reasonable peptide therapies, fuelling the market growth.
Germany supports pharmaceutical innovation, and the other favorable aspects that ensure that the peptide-based drugs make it to the market include a favorable regulatory environment.
With the increasing demand for so-called cheap alternatives, the generic segment is set to grow fast, presenting a great opportunity to pharmaceutical companies. Germany's strategic focus on innovation along with affordability ensures its continued leadership in the peptide therapeutics market.
China is anticipated to show a CAGR of 8.7% between 2024 and 2034. China’s peptide therapeutics market is on the path to achieve splendid growth on an immense impetus of rising knowledge regarding solid chronic diseases countered by peptide applications such as cancer, diabetes, and cardiovascular disorders.
Government backing for healthcare innovation, along with growing investment in biomedical research, is another market factor working in favor of peptide therapeutics.
A radiating burden of chronic diseases within the country demands highly targeted and effective treatment options. Peptides are definitely getting attention for precision and safety and are emerging as promising candidates. Increased public awareness through educational outreach and cross-sector initiatives between academia and industry are anticipated to drive the uptake of peptide therapies.
In addition, the sprightly manufacturing capacities of the country’s pharmaceutical sector, coupled with the introduction of reforms to ameliorate regulatory bottlenecks, are providing a strong base for local companies to develop and commercialize peptide-based therapies.
Alongside these factors, rising expectations of an advanced healthcare solution from the growing middle-class populace place China as an important growth market in the peptide therapeutics space.
The section contains information about the leading segments in the industry. Based on the application, the cancer segment is expected to account for 25.3% of the global share in 2024.
| Application | Cancer |
|---|---|
| Value Share (2024) | 25.3% |
The moisture-retentive dressing segment is projected to be a dominating segment in terms of revenue, accounting for almost 25.3% of the market share in 2024.
Cancer is the largest segment in the peptide therapeutics market with the why the latter is witnessing a rising rate of increase in oncology. Peptides have very high target specificity and potency, giving them capabilities for effective tumor targeting with a lesser effect from non-targeted areas.
Moreover, the ability of peptides to modulate protein-protein interactions, which is critical in cancer development, makes them very suitable for targeted therapies. Further improvements in peptide engineering focusing on stabilization of the peptides and another approach of coupling peptides with drugs to increase their therapeutic usefulness do boost their numbers.
Coupled with rising investments into research and recent USA FDA approvals of peptide therapeutics for treating cancers, these factors drive the market during this timeframe. This alludes that cancer applications will be the leading application in the peptide therapeutics market.
| Route of Administration | Parenteral Route of Administration |
|---|---|
| Value Share (2024) | 58.6% |
The type 1 skin tear segment will dominate the industry in terms of revenue, accounting for almost 58.6% of the market share in 2024.
In the peptide therapeutics market, parenteral administration remains the main mode of administration because of inherent limitations with peptides, namely poor oral bioavailability and susceptibility to enzymatic degradation when ingested.
Other means of parenteral administration include intravenous, subcutaneous, and intramuscular routes, allowing rapid and complete delivery of peptides while bypassing the barriers imposed by the digestive system. This method enables either the maintenance of stability of peptides, which are often fragile molecules, or the maintenance of their efficacy.
Further, progress in such injectable formulations as sustained-release systems and prefilled syringes also facilitates patient convenience and compliance. Peptides will continue to address certain significant therapeutic needs, and hence, the established reliability of parenteral administration holds its lead in this market.
The peptide therapeutics market is highly competitive, with numerous manufacturers striving to innovate and enhance their product offerings. Leading producers are focusing on international expansion to boost revenue and establish a broader sales presence in developing markets.
This is often achieved through acquisitions of regional players. Key strategies adopted by manufacturers include partnerships, agreements, product launches, sponsorship of research initiatives, and strategic collaborations, all aimed at strengthening their market position and driving sales.
Recent Industry Developments in Peptide Therapeutics Market:
In terms of application, the industry is divided into cancer, cardiovascular diseases, central nervous systems, metabolic disorders, infections, hematological disorders, gastrointestinal disorders, dermatology, respiratory disorders, acromegaly, and other applications.
In terms of route of administration, the industry is segregated into parenteral route of administration, mucosal route of administration, oral route of administration, and transdermal of route administration.
In terms of drug type, the industry is divided into branded drugs, generic/biosimilar drugs.
Key countries of North America, Latin America, East Asia, South Asia & Pacific, Western Europe, Eastern Europe and Middle East and Africa (MEA) have been covered in the report.
The global peptide therapeutics industry is projected to witness CAGR of 10.8% between 2024 and 2034.
The global peptide therapeutics industry stood at USD 38.0 billion in 2023.
The global peptide therapeutics industry is anticipated to reach USD 117.4 billion by 2034 end.
China is expected to show a CAGR of 10.8% in the assessment period.
The key players operating in the global peptide therapeutics industry Eli Lilly and Company, Ipsen S.A, Novo Nordisk A/S, AstraZeneca plc Merck & Co. Inc, Teva Pharmaceutical Industries Ltd.
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