Synthetic Biology Market Trends

Growth Drivers

• Elevating Growth in Urbanization – The population movement from rural to urban regions, the concomitant decline in the number of individuals living in rural areas, and the manner in which societies adjust to this transition are also included as a major growth factor. Urbanization is significantly increasing all over the world and is estimated to increase more over the forecast period. Globally, 55% of people lived in cities in the year 2018, and 68% are expected to do so by the year 2050. The urbanization rate is rising as more individuals are showing the tendency of moving to urban areas. As a result, the demand for sustainable and renewable energy sources has been growing, which has increased the usage of synthetic biology for different activities.
• Increasing Healthcare Spending – According to the latest spending data, global healthcare spending has increased over the past two decades, effectively doubling from 8.5% in the year 2000 to USD 8.5 trillion in the year 2019, increasing GDP reached 9.8%. The boom is estimated continue during the forecast period.
• Rising Investments in Synthetic Biology Sector: Governments and private companies are investing heavily in research and development activities in the field of synthetic biology. According to a report, the global synthetic biology industry is expected to attract investments worth nearly USD 17 billion by the year 2025.
• Rising Focus on Renewable Energy: The world is moving towards renewable energy sources, and synthetic biology can be used to create biofuels and other renewable energy sources. The increasing focus on renewable energy is expected to boost the global synthetic biology market. The world has seen a significant increase in renewable energy generation capacity in recent years. As of the end of the year 2020, renewable energy had a total installed capacity of 2,799 GW, which represents an increase of 45% compared to 2015.
• Growth in Research Spending – Growth in the global market during the forecast period can be further attributed to increased investment in research and development activities to continuously find more viable solutions for synthetic biology. Research reports show that global R&D spending has more than tripled in real terms since 2000, rising from about USD 680 billion to more than USD 2.5 trillion in the year 2019.

Challenges

• Ethical concerns: The use of synthetic biology raises ethical concerns about the creation and modification of life forms, the potential misuse of technology, and the impact on society and the environment. This has led to debates and discussions about the regulation and governance of synthetic biology.
• Intellectual property rights
• Regulatory challenges