The global Plasma Fractionation market is profitable, both for existing players as well as new entrants. The market is highly competitive with all the players competing to gain a higher market share. Intense competition, rapid advances in Plasma Fractionation technology, and regulations are key factors that confront the market growth. A substantial level of rivalry is observed among the existing manufacturers in the market. Our analysis revealed that market players had adopted different strategies and innovative research and development techniques to expand their business and secure their position in the global Plasma Fractionation market. In recent years, strategic movements by major players included approvals, which have been used as market penetration strategies and a means to reduce competition. The key players profiled in the global Plasma Fractionation analysis are CSL, Grifols Therapeutics, Baxter International Inc., Mitsubishi Tanabe, Kedrion S.p.A, and Takeda Pharmaceutical Company Limited and many more. The industry is characterized by the presence of several small-scale industrial producers with obsolete production technologies and limited capacity, especially in developing nations, which has lent a significant advantage to new industry participants with better processing technologies.
Increased Investment by Major Players in Effective Treatment – For instance, CSL Behring & Takeda Pharmaceutical Company Ltd. collaborated with Biotest, BPL, LFB, and Octapharma to develop an effective plasma-derived drug for the treatment of COVID-19.
Europe and North America and are leading regions in geography size for plasma fractionation. This is mainly because majority of plasma is collected in over 450 collection centers in the U.S. and Europe. Large amounts of plasma products are exported from the U.S. and Europe to countries in Asia Pacific, South America, Middle East and Africa. The three dominating plasma fractionation companies in the world are CSL Behring, Grifols Therapeutics and Baxter Bioscience with a 75% of the market -roughly 25% or 10 million liters of yearly fractionation capacity for each one. These companies have a large product portfolio, a robust product pipeline, and an established global presence. The fractionation capacity of these three transnational players alone accounts for 30 million liters of plasma with an estimated capacity close to 40 million liters in 2024. A second tier of companies, including Octapharma, Kedrion, and Biotest account for a further 8 million liters of plasma fractionation capacity. Other companies such as BPL, Mitsubishi Tanabe, CBOP, RAAS, Hualan Bio and Sanquin also operate into the plasma fractionation business.
Key Players:
In 2021, CSL emerged as a dominant player in the plasma fractionation market, with a market share of 30-35%. The company has established a global presence by investing in capacity expansion, opening new centers, and maintaining a presence in over 35 countries with more than 230 plasma collection centres. CSL has also invested heavily in R&D to develop innovative biotherapies, with more than 1,700 employees dedicated to R&D activities. However, the company's involvement in legal proceedings and declining liquidity ratio could impede its growth, along with government regulations and unfavorable currency exchange rates.
Grifols accounted for a share of 15-20% of the plasma fractionation market in 2021, focusing on research, product innovation, expanding plasma collection centers, and increasing capacity. The company invests heavily in R&D and partners with research institutes to develop advanced plasma-derived products to fight rare diseases.
Shire accounted for a share of 11-16% of the plasma fractionation market in 2021, with expertise in medical devices, pharmaceuticals, and biotechnology. Takeda's acquisition of Shire helped the company gain a competitive edge in the market. BioLife, a part of Takeda, is a global plasma collection network that collects high-quality plasma.
Octapharma AG accounted for 8-12% of the plasma fractionation market in 2021, investing in research to advance existing products and investigate new therapeutic uses of human protein products derived from human blood plasma and human cell lines. The company focuses on organic and inorganic growth strategies and has received several approvals from various regulatory bodies.
Kedrion accounted for 2-5% of the plasma fractionation market in 2021, with a robust presence in around 100 countries across Asia, Europe, North America, and South America. The company strategically focuses on collaborations and agreements and collaborates with various hemophilia institutes to provide sustainable access to hemophilia treatment.
The global market for Plasma Fractionation is moderately competitive, owing to the presence of large regional and domestic players in different countries. Emphasis is given on the merger, expansion, acquisition, and partnership of the companies along with new product development as strategic approaches adopted by the leading companies to boost their brand presence among consumers.
Plasma fractionation is a critical process used to separate and purify various proteins and other components from plasma, which is the liquid portion of blood. The global plasma fractionation market has witnessed significant growth over the years, driven by factors such as an increase in the prevalence of chronic diseases, a growing aging population, and advancements in technology.
One major growth strategy in the global plasma fractionation market is the expansion of product portfolios. Key players in the market are continually investing in research and development to develop new and innovative products that meet the increasing demand for plasma-derived products. For instance, in recent years, there has been a surge in demand for immunoglobulin products due to their use in the treatment of various immunodeficiency disorders. As a result, several companies are investing in developing new immunoglobulin products to meet the growing demand.
Another growth strategy is the expansion of manufacturing capacities. The growing demand for plasma-derived products has resulted in an increased need for manufacturing facilities. Key players in the market are investing in building new manufacturing facilities and expanding existing ones to meet the growing demand. For example, in 2019, CSL Behring has announced plans for a 185-million-euro ($203 million) expansion in Marburg, Germany, where the global biotech already has its largest research and production facility. The expansion, expected to be completed in 2023, will support production of the company’s treatments for hereditary angioedema (HAE), a rare disease that causes dangerous swelling episodes.
Furthermore, mergers and acquisitions are also major growth strategies in the global plasma fractionation market. Companies are increasingly acquiring other companies to expand their product portfolios, gain access to new markets, and improve their competitive positions. For example, in 2021, Takeda Pharmaceutical acquired the plasma-derived therapy portfolio from Kamada Ltd. to strengthen its immunoglobulin portfolio.
In conclusion, the global plasma fractionation market is expected to continue to grow, driven by an increasing demand for plasma-derived products. Companies are expected to focus on expanding their product portfolios, expanding manufacturing capacities, and engaging in mergers and acquisitions to drive growth in the market.
For instance,
October 2022- Grifols inaugurated a new albumin purification and filling plant at its global manufacturing and supply hub in Dublin, Ireland.September 2022- CSL Behring K.K. received manufacturing and marketing approval from the Ministry of Health, Labour and Welfare of Japan for Berinert S.C. Injection 2000, a lyophilized human C1-esterase inhibitor concentrate for subcutaneous (SC) injection in plasma derivative, for the prevention of acute hereditary angioedema (HAE) attack.April 2020- Grifols launched 3- ml vial for Hyper RAB which is rabies immune globulin in the plasma fractionation market to help in the treatment of rabies cases across the world.March 2022- Grifols (Spain) received European approvals for XEMBIFY, a 20% subcutaneous immunoglobulin (SCIG)January 2022- Permira, a global investment firm, announced that it will be acquiring Kedrion and merging the company with BPL.August 2021- CSL (Australia) Received FDA approval for the new BERINERT [Cl Esterase inhibitor, Human (Intravenous)] Administration Kit for improved patient convenience.May 2022- in Douglas County, Colorado, Terumo Blood and Cell Technologies opened its newest production facility. The company's purpose of contributing to society via healthcare and serving more patients is aligned with the state-of-the-art production facility, which cost USD 250 million.
The 170,000-square-foot facility will produce single-use collection sets for the recent FDA-approved Rika Plasma Donation System to provide source plasma collections to clients (Rika).September 2019- Biopharma, a Ukraine based company which is specialized for the production plasma-based, recombinant and other drugs, launched a new plant for plasma fractionation in Bila Tserkva, Ukraine. The company offers a unique plasma fractionation technology which allows the plasma components of the blood to be processed for the extraction of life-saving drugs and the company is equipped with GMP — certified equipments and facilities. The launch of the company has put Ukraine almost on the same page as that of USA, Austria, and Germany. In the facility, production of blood products like Albumin, Bioven and Immunoglobulin is expected to help treat diseases caused due to immunodeficiency.
June 2019- Egypt initiated a project for the setup of the blood plasma fractionations and processing plant in the country in order to establish labs for the plasmapheresis.March 2021- according to the WHO Model List of essential medicines includes several plasma-derived medicinal products (PDMPs), identifying them as drugs thought to be the most efficient and secure for addressing the most essential requirements in a health system and provide the best guidelines on increased supply of PDMPs in low & middle-income countries.April 2020- to create a viable plasma-derived medication for treating COVID-19, CSL Behring & Takeda Pharmaceutical Company Ltd. collaborated with Biotest, BPL, LFB, and Octapharma.April 2019- under a long-term initiative to support people with hemophilia, Grifols International SA, a supplier of plasma-derived therapeutics, provided blood clotting factor medications (100 million international units) for the treatment of hemophilic patients.January 2022 - Octapharma AG announced that the European Union (EU) expanded the indication for cutaquig, a human immunoglobulin, administered subcutaneously. The expansion would provide more flexible treatment options to patients with acquired immune deficiencies.
January 2022 - Permira announced a partnership with the Marucci family and FSI, the existing shareholders of Kedrion S.p.A., to jointly acquire and combine Kedrion and Bio Products Laboratory (BPL). The two companies' partnership would create a global player for medicines derived from human plasma to treat life-threatening and rare conditions. January 2022- Kedrion S.p.A. and LFB formed an industrial cooperation agreement to increase the availability of immunoglobulins for patients in France. Following the agreement, immunoglobulins manufactured by Kedrion S.p.A will be imported by LFB in France and distributed among hospitals in this region along with their own immunoglobulins. January 2022- Bio Products Laboratory Ltd. announced that the National Medical Products Administration (NMPA) for China granted the company a license to market ALBUMINEX 25% in China. June 2021- LFB Plasma announced the acquisition of ImmunoTek Bio Center. The acquisition of the plasma collection center will ensure a steady and reliable supply of plasma in the U.S.December 2021- Grifols, S.A., through its Subsidiary company Grifols Canada Therapeutics Inc., acquired all the shares of Prometic Plasma Resources Inc.April 2021- CSL Plasma and Terumo Blood and Cell Technologies announced a collaboration to develop and deliver a new plasma collection platform at the U.S.
CSL Plasma Collection Centers.
Threat of New Entrants
The plasma fractionation industry requires significant investment in research and development, manufacturing, and regulatory compliance. This high barrier to entry limits the threat of new entrants. In addition, there are few new sources of plasma that can compete with existing suppliers, which further reduces the threat of new entrants. Moreover, the plasma fractionation industry is dominated by a few large players that have economies of scale and established relationships with suppliers and customers. These factors create significant advantages for existing companies and make it difficult for new entrants to gain a foothold in the market. Another factor that reduces the threat of new entrants is the limited availability of plasma sources. Plasma is primarily obtained from human donors, and there are relatively few new sources of plasma that can compete with existing suppliers. This means that existing companies have an advantage in terms of securing a reliable and consistent supply of plasma, which is critical for manufacturing plasma-derived products.
Hence, the threat of new entrants in the Global Plasma Fractionation Market is expected to be high.
Bargaining Power of Suppliers
The bargaining power of suppliers in the plasma fractionation industry is significant due to the limited number of suppliers of high-quality plasma. Plasma is the primary input for the industry, and the quality of the plasma has a direct impact on the quality of the final products.
The limited number of plasma suppliers gives these suppliers significant bargaining power over plasma fractionation companies. Suppliers can use this power to negotiate higher prices for their plasma or to set strict quality standards for the plasma they provide.
However, plasma fractionation companies can mitigate the bargaining power of suppliers in several ways. One approach is to form long-term relationships with suppliers. By establishing long-term relationships, plasma fractionation companies can gain greater control over their supply chain and build trust with suppliers. This can lead to more favorable pricing and quality terms over time. Another approach is for plasma fractionation companies to invest in plasma collection centers. By doing so, they can increase their control over the supply of plasma and reduce their dependence on external suppliers. This approach can also help plasma fractionation companies to ensure the quality of the plasma they use in their manufacturing processes.
Finally, plasma fractionation companies can consider acquiring suppliers. By acquiring suppliers, plasma fractionation companies can gain greater control over the supply of plasma and reduce their dependence on external suppliers. This approach can also help to ensure the quality of the plasma used in the manufacturing process and provide a more stable supply of plasma over time.
Overall, while the bargaining power of suppliers in the plasma fractionation industry is significant, plasma fractionation companies can mitigate this power by forming long-term relationships with suppliers, investing in plasma collection centers, or acquiring suppliers. These approaches can help to ensure a stable supply of high-quality plasma at favorable pricing and quality terms.
Hence, the bargaining power of suppliers in the Global Plasma Fractionation Market is expected to be low.
Threat of Substitutes
The threat of substitutes in the plasma fractionation industry is relatively low due to the limited number of substitutes available for plasma-derived products, particularly for patients with rare diseases. However, advances in gene therapy and other biotechnologies may create substitutes for some plasma fractionation products in the future.
The success of these new technologies will determine the extent of the threat posed by substitutes to the plasma fractionation industry. If these new technologies are successful, they may create viable substitutes for some plasma-derived products, particularly those used to treat rare diseases. This could reduce the demand for some plasma fractionation products and potentially impact the profitability of plasma fractionation companies.
The cost and effectiveness of substitutes will also play a significant role in determining the threat they pose to the plasma fractionation industry. If substitutes are more cost-effective and equally or more effective than existing plasma-derived products, they may gain market share and reduce the demand for plasma fractionation products.
However, it is worth noting that the development and commercialization of new technologies can be a lengthy and challenging process, particularly in the highly regulated healthcare industry. Additionally, plasma fractionation companies have significant expertise in manufacturing and distributing plasma-derived products, and this expertise could help them to adapt to new technologies and maintain their market position.
Overall, while the threat of substitutes to the plasma fractionation industry is currently low, advances in gene therapy and other biotechnologies may create viable substitutes for some plasma-derived products in the future. The extent of this threat will depend on the success of these new technologies and the cost and effectiveness of substitutes compared to existing plasma fractionation products.
Hence, the threat of substitutes in the Global Plasma Fractionation Market is expected to be moderate.
Bargaining Power of Buyers
The bargaining power of buyers in the plasma fractionation industry is significant due to the large volume of products they purchase and the importance of these products in patient care. Hospitals, clinics, and other healthcare providers that buy plasma fractionation products have significant negotiating power over plasma fractionation companies.
However, the specialized nature of plasma fractionation products and the limited number of suppliers somewhat limit the bargaining power of buyers. Plasma fractionation products are highly specialized, and many of them are used to treat rare diseases. As a result, buyers may have limited options when it comes to sourcing these products, which can reduce their bargaining power. The limited number of suppliers in the plasma fractionation industry also limits the bargaining power of buyers. There are only a few companies that specialize in plasma fractionation, which can make it difficult for buyers to find alternative suppliers.
Despite these limitations, buyers still have significant bargaining power in the plasma fractionation industry. To mitigate the bargaining power of buyers, plasma fractionation companies may offer volume discounts or other incentives to encourage buyers to purchase their products. Additionally, plasma fractionation companies may invest in research and development to create new products that can differentiate them from competitors and give them more negotiating power with buyers.
Overall, while the bargaining power of buyers in the plasma fractionation industry is significant, the specialized nature of plasma fractionation products and the limited number of suppliers somewhat limit the bargaining power of buyers. Plasma fractionation companies can mitigate this power by offering incentives to buyers and investing in research and development to create new products that differentiate them from competitors.
Hence, the bargaining power of buyers in the Global Plasma Fractionation Market is expected to be high.
Intensity of Rivalry
The plasma fractionation industry is dominated by a small number of large companies, which creates intense rivalry among competitors. The key areas of competition among plasma fractionation companies include product development, pricing, and marketing. In product development, companies strive to create new and innovative plasma-derived products to meet the needs of patients with rare diseases and other medical conditions. This can be a costly and time-consuming process, but it is necessary to remain competitive in the industry.
Pricing is another area of intense competition in the plasma fractionation industry. Companies must balance the need to generate revenue with the need to make their products affordable for patients and healthcare providers. Pricing decisions can have a significant impact on market share and profitability.
Marketing is also a critical area of competition in the plasma fractionation industry. Companies must differentiate themselves from competitors and promote their products to healthcare providers and patients. Effective marketing can help to build brand awareness and increase market share.
Despite the intense rivalry among existing competitors, the high barriers to entry and the specialized nature of the industry limit the number of competitors and the intensity of competition to some extent. The significant investment required for research and development, manufacturing, and regulatory compliance makes it difficult for new entrants to enter the industry. The specialized nature of the plasma fractionation products also limits the number of companies that can effectively compete in the industry.
Overall, while the plasma fractionation industry is characterized by intense rivalry among existing competitors, the high barriers to entry and the specialized nature of the industry limit the number of competitors and the intensity of competition to some extent. Companies must continue to invest in product development, pricing, and marketing to remain competitive in the industry.
Hence, the intensity of rivalry in the Global Plasma Fractionation Market is expected to be moderate.
