Drug Developers Drawn to Orphan Drugs Market: Financial Incentives Create Rich, Competitive Pipelines

MOUNTAIN VIEW, Calif., March 25, 2014 /PRNewswire/ -- The global orphan drugs market presents plenty of opportunities for new drug development – while there are only 172 approved orphan therapies, over 6,800 orphan diseases exist according to the United States National Institute of Health (NIH). Advancements in drug discovery capabilities coupled with regulatory and financial incentives are helping generate rich, competitive pipelines of breakthrough treatments with true disease modifying properties. Pharmaceutical and biotechnology companies are now rolling out therapies for serious, rare diseases – going beyond palliative care and targeting the underlying pathology to slow down or stop disease progression – as they value the financial and philanthropic rewards this brings.

New analysis from Frost & Sullivan's Product and Pipeline Assessment of the Global Orphan Drugs Market identifies rare cancers as the orphan therapeutic area with the highest level of drug development activity. Other disease areas witnessing considerable drug development activity include blood/lymphatic system diseases, infectious/parasitic diseases, neurological diseases, metabolic diseases, and immunological/inflammatory diseases.

For complimentary access to more information on this research, please visit: http://bit.ly/1lhf4G2.

"In the past, pharmaceutical and biotechnology companies rarely developed new drugs to treat rare diseases due to the low return on investment realized because of the small patient population," said Frost & Sullivan Life Sciences Senior Industry Analyst Debbie Toscano. "Now, drug discovery for orphan diseases is becoming an important element of the business models of numerous small and large pharmaceutical and biotechnology companies looking to strengthen their presence in the global market."

As a result, pharmaceutical and biotechnology companies are introducing orphan drugs that use diverse approaches such as small molecules, antisense, gene therapy, monoclonal antibodies, bi-specific antibodies, peptide therapies, and stem cell therapies. Currently, such therapies command premium prices due to the huge clinical benefits they offer and the lack of alternative treatments for patients. Soon, however, they will have to be sold at competitive prices as the existing level of reimbursement will become untenable due to the anticipated approval and commercialization of several orphan drugs for neglected diseases.

"As drug developers abandon the "blockbuster model" in favor of greater focus on drug development for rare conditions, the global orphan drugs market is becoming increasingly competitive," noted Toscano. "It is imperative that drug developers continually keep a tab of competitors' pipelines since approval and reimbursement of new orphan drugs are highly dependent on the availability of alternative therapies."

Product and Pipeline Assessment of the Global Orphan Drugs Market is part of the Life Sciences (http://www.lifesciences.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Analysis of the Global Biosimilars Market, Analysis of the US Retinal Therapeutics Market, Analysis of the Global Type 2 Diabetes Therapeutics Market, and Global Analysis of MicroRNA Tools and Services Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

Connect with Frost & Sullivan on social media, including Twitter, Facebook, SlideShare and LinkedIn, for the latest news and updates.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

• The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
• The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:     Start the discussion

Join Us:           Join our community

Subscribe:       Newsletter on "the next big thing"

Register:         Gain access to visionary innovation

Product and Pipeline Assessment of the Global Orphan Drugs Market
ND7D-52

Contact:
Jennifer Carson
Corporate Communications – North America
P: 210.247.2450
E: [email protected]

LinkedIn: Transform Health Group

Twitter: @Frost_Sullivan
Facebook: Frost & Sullivan 

http://www.frost.com

SOURCE Frost & Sullivan