Sandoz: Global Generics And Biosimilars Market To Grow At 7% Annual Compound Rate For Next 10 Years

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(RTTNews) - Sandoz Group AG (SDZNY), a Swiss generic and biosimilar medicines maker, Tuesday announced that the global generics and biosimilars market, which is worth more than $200 billion in gross sales, is expected to grow at an annual compound rate of 7% for the next 10 years.

For Sandoz, biosimilars are now its single-biggest growth driver.

Sandoz also said it is on track with its plans for further biosimilar launches, including four in 2025.

The company said it will confirm its strategic roadmap and highlight pipeline catalysts in a presentation at the 43rd Annual J.P. Morgan Healthcare Conference, taking place from January 13 to 16 in San Francisco.

At the presentation, CEO Richard Saynor will highlight several recent additions to the global biosimilar pipeline, which now comprises 28 molecules. He will also reiterate the firm's ambition to become the leader in US biosimilars, with three US launches expected in 2025.

Saynor says, "Generics and biosimilars represent 80% of medicines used by patients worldwide, at 30% of the total cost. That means that, when we deliver on our promises, we create value for all. As we enter our second full year as a standalone company, we will continue to execute our purpose-driven strategy."

According to the firm, the proposed growth in global generics and biosimilars market will be driven by aging populations, higher rates of chronic disease, as well as increasing market adoption as healthcare systems and payors seek to reduce the cost of medicines.

It will also reflect a consistent supply of upcoming losses of exclusivity (LoEs) as patents for reference medicines expire.

From 2029 through 2034, reference medicines worth more than $400 billion in sales are due to lose exclusivity, significantly more than during any comparable timeframe previously.

The company noted that nearly half of this opportunity is in the biosimilar segment, while GLP-1 medicines represent by far the single largest opportunity in the generic space.