Biosimilars market could hit $55 billion by 2020

The global biosimilars market value is expected to reach $20 billion by the end of 2015 and could hit $55 billion by 2020, with growth primarily driven by a promising pipeline in active development and government efforts to reduce health care spending, new research indicates.

According to business intelligence provider GBI Research’s latest CBR Pharma report, biologics currently account for between 17%–20% of the pharmaceutical arena, with a value of nearly $200 billion, and these products may replace 70% of chemical drugs in the next two decades.

Sumith Ladda, an analyst for GBI Research, says the 30% to 50% reduction in biosimilar prices compared with branded biologics could lead to considerable savings in healthcare expenditure.