Microbial Fermentation Technology Market (By Application: Antibiotics, Vaccines; By End-user: Biopharmaceutical Companies) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

The global microbial fermentation technology market size was estimated at USD 33.38 billion in 2023 and it is expected to surpass around USD 58.77 billion by 2033, poised to grow at a CAGR of 5.82% from 2024 to 2033.

Key Pointers

• Asia Pacific led the  market with the largest market share of 46% in 2023. 
• By Application, the antibiotics segment captured the largest market share of 33% in 2023.
• By End-user, the The CMOs and CDMOs segment captured the maximum market share of 43% in 2023.

Microbial Fermentation Technology Market Overview

Microbial fermentation technology has emerged as a pivotal force driving innovation across various industries, from pharmaceuticals to food and beverages. This dynamic process harnesses the metabolic activities of microorganisms to produce a diverse array of valuable products. 

Microbial Fermentation Technology Market Growth Factors

The growth of the microbial fermentation technology market is propelled by an increasing demand for sustainable production methods has led industries to embrace microbial fermentation due to its eco-friendly nature and minimal waste generation. Secondly, the expanding biopharmaceutical sector relies heavily on microbial fermentation for the production of therapeutic proteins and vaccines, driving significant market growth. Additionally, advancements in genetic engineering have revolutionized microbial fermentation processes, enhancing productivity and enabling the production of high-value compounds. Moreover, the rising adoption of precision fermentation, facilitated by synthetic biology and data-driven approaches, is contributing to market expansion by allowing precise control over microbial metabolism. 

Report Scope of the Microbial Fermentation Technology Market

Microbial Fermentation Technology Market Trends:

• Increased Demand for Sustainable Production Methods: Industries are increasingly adopting microbial fermentation due to its eco-friendly nature and minimal waste generation, aligning with the growing preference for sustainable manufacturing processes.
• Expansion in Biopharmaceuticals: The biopharmaceutical sector is witnessing rapid growth, driving the demand for microbial fermentation technology. This technology plays a pivotal role in producing therapeutic proteins, vaccines, and other biologics.
• Advancements in Genetic Engineering: Innovations in genetic engineering techniques have revolutionized microbial fermentation processes. Engineered microorganisms with enhanced productivity and tailored properties are enabling more efficient fermentation processes.
• Rising Adoption of Precision Fermentation: Precision fermentation, enabled by synthetic biology and data-driven approaches, is gaining traction across industries. This technology allows precise control over microbial metabolism, leading to the production of high-value compounds with specific properties.

Application Insights

The antibiotics segment captured the largest market share of 33% in 2023 and is expected to witness the fastest growth throughout the forecast period. The dominance of the segment can be attributed to the high demand for antibiotics across the globe, the increasing focus on microbial metabolite research, and the introduction of new antibiotics in the market. Microbial fermentation plays a crucial role in the development of antibiotics. For instance, several studies have stated that out of all discovered antibiotics 70-80% are produced from a single genus of bacteria.

At the same time, owing to the COVID-19 pandemic, the urgent need for the development of a vaccine against the SARS-CoV-2 virus resulted in the high usage of fermentation technology in research and development. For instance, in a study published in March 2021, a team of researchers used bacterial fermentation technology for the large-scale and inexpensive production of the COVID-19 vaccine. Such advancements are anticipated to increase the use of microbial fermentation in the coming years.

End-user Insights

The CMOs and CDMOs segment dominated the market and accounted for the highest share of 43% in 2023. CMOs and CDMOs are rapidly becoming the favorable option for biotherapeutics manufacturers because most of the innovation in the bioprocess space is achieved by smaller firms that have a capacity constraint, lack of trained professionals, and resources for the commercialization of these products. Also, the constantly growing clinical pipeline of biologics is another contributing factor expected to increase this segment’s growth.

Outsourcing to contract manufacturing/research service providers can provide a faster market product penetration due to the competitive expertise and experience. Thermo Fisher Scientific and Lonza are a few of the many companies that provide contract services due to their commercial-scale production capabilities and wide geographical presence. According to an article published in March 2020, approximately 35% of the process is outsourced with traditional biologics and more than 65% of the manufacturing process for advanced therapies is outsourced.

Regional Insights

Asia Pacific dominated the market and accounted for the highest revenue share of 46% in 2023. This is due to the recognition of Asian countries as a hub for biopharmaceutical outsourcing. Asian companies, including domestic players and international giants, are estimated to build about 50% of the new bioprocessing facilities across the globe. For instance, several bioprocessing facilities are expected to be constructed in China to meet domestic demand. The confluence of the above-mentioned factors would increase the demand for microbial fermentation technology in the region.

On the other hand, North America is expected to witness significant growth in the coming years. This can be attributed to the growing engagement of companies in research and product development in biologics coupled with the presence of a substantial number of contract development organizations in the region. The strong regulatory framework is another key factor in shaping the North America market. The U.S. FDA continues to make attempts to improve guidelines regarding the promotion, development, approval, and legal practice surrounding biopharmaceutical products.

The U.S. is the key revenue contributor in the North America region. The evolving landscape of the manufacturing of biologics is a major driving factor for the U.S. market. In addition, increasing funding for biopharmaceutical research and development as well as the adoption of highly innovative manufacturing technologies for GMP manufacturing have contributed to market growth.

Fermentation Technology Market Key Companies

• Biocon Ltd.
• BioVectra Inc.
• Danone UK
• F. Hoffmann-La Roche AG
• Koninklijke DSM NV
• Lonza
• Novozymes A/S
• TerraVia Holdings, Inc.
• BIOZEEN

Fermentation Technology Market Report Segmentation

By Application

• Antibiotics
• Probiotics Supplements
• Monoclonal Antibodies
• Recombinant Proteins
• Biosimilars
• Vaccines
• Enzymes
• Small Molecules
• Others

By End-user

• Bio-Pharmaceutical Companies
• Contract Research Organizations (CROs)
• CMOs & CDMOs
• Academic & Research Institutes

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa