South Korea Oncology Therapeutics Market Analysis

South Korea Oncology Therapeutics Market Analysis Summary

By 2030, the South Korea Oncology Therapeutics Market is anticipated to reach a value of $5.4 Bn from $2.7 Bn in 2022, growing at a CAGR of 9.4% during 2022-30.

South Korea is without a doubt one of the most modern and industrialized countries in the world since it is home to multiple tech titans that drive advancement in a wide range of disciplines. Koreans are keen to learn from a young age, and their country ranks among the top OECD countries in reading literacy, mathematics, and science. South Korea's cancer incidence rates for both males and females remain slightly higher than the OECD average. In 2019, there were 254,718 newly diagnosed cancer cases and 81,203 cancer deaths reported. Lung cancer overtook thyroid cancer as the most common cancer in Korea for the first time. According to the Korean government, thyroid cancer survival rates in Korea are 99.7 %, while breast cancer survival rates are 90.6 %. Furthermore, cancer mortality is steadily reducing, with a 19% decline in 2006 and a 21% decrease in 2008.

In 2021, total health expenditure in South Korea will account for around 8.8 % of the country's GDP. In 2021, global medical expenditure is expected to rise by 7.5 % over the previous year. The government or the public health insurance system funded over 60% of the costs.

Market Dynamics

Market Growth Drivers Analysis

For some of the most common cancer forms, five-year relative survival rates in South Korea are among the best in the world. South Korea is the third most active cancer trial site in the Asia-Pacific region, accounting for 8.6 % of all trials. The South Korean government has implemented new regulatory steps to expedite licencing processes in an effort to boost the country's appeal for clinical trials in general. Furthermore, they are currently granting conditional approvals to oncology medicines in order to accelerate their market launch by around 2-3 years, offering tremendous potential for pharmaceutical businesses. In an effort to reduce out-of-pocket payments, the Korean government boosted health insurance coverage for cancer patients' anti-cancer drugs in 2013.

According to the Bloomberg Innovation Index, the country ranks #1 among the most inventive countries from 2014 to 2019. In terms of giving treatment to patients all over the world, the Korea International Medical Association released a report stating that medical tourism has expanded as a result of the foreign patient legislation statute passed in 2009. This law makes it possible for international patients and their families to get longer-term medical visas, as well as for local hospitals to sell medical tourism to overseas patients. These aspects could boost South Korea Oncology Therapeutics Market.

Market restraints

E-cigarette use has surged, particularly among teenagers, raising public health concerns. The systemic therapy option in South Korea is mostly reliant on pharmacological approval by the Ministry of Food and Drug Safety (MFDS), which is a severe process for any pharmaceutical business, as well as the national insurance reimbursement status. These factors may deter new entrants into the South Korea Oncology Therapeutics Market.

Competitive Landscape

Key Players

• Celltrion: Celltrion is a biopharmaceutical company headquartered in Incheon, South Korea. The company is known for its biosimilar drugs, including biosimilars of Herceptin and Rituxan, which are used in the treatment of breast cancer and non-Hodgkin's lymphoma, respectively
• Green Cross: Green Cross is a South Korean biotechnology company that develops and manufactures therapeutic products for a range of diseases, including cancer. The company has several oncology therapeutics in its pipeline, including an immunotherapy drug for the treatment of solid tumour
• Kolon Life Science: Kolon Life Science is a South Korean pharmaceutical company that specializes in the development and commercialization of biologics and biosimilars
• Hanmi Pharmaceutical: Hanmi Pharmaceutical is a South Korean pharmaceutical company that focuses on the development and commercialization of innovative drugs for a range of diseases, including cancer
• Chong Kun Dang Pharmaceutical: Chong Kun Dang Pharmaceutical is a South Korean pharmaceutical company that develops and manufactures a range of drugs, including oncology therapeutics. The company has several oncology drugs in its pipeline, including a biosimilar of Avastin and a new drug for the treatment of non-small cell lung cancer.

Notable Recent Deals

October 2022: Ono Pharmaceutical announced that The Ministry of Food and Drug Safety (MFDS) in South Korea has approved its Opdivo (nivolumab) Intravenous Infusion (Opdivo), a human anti-human PD-1 monoclonal antibody, for the neoadjuvant treatment of adult patients with resectable non-small cell lung cancer in combination with platinum-doublet chemotherapy. The approval is based on the results of a global multi-centre, randomised, open-label Phase 3 clinical trial that compared Opdivo plus chemotherapy to chemotherapy alone as a neoadjuvant treatment in patients with resectable non-small cell lung cancer (NSCLC).

Healthcare Policies and Reimbursement Scenarios

In South Korea, the guideline and repayment of oncology therapeutics are regulated by the Ministry of Food and Drug Safety (MFDS). As far as repayment, South Korea has a public medical services framework called the National Health Insurance (NHI), which gives inclusion to many clinical therapies, including oncology therapeutics, to all South Korean residents and lawful occupants. Moreover, South Korea has a different program called the High-Cost Disease Management Program (HCDMP), which gives extra monetary help to patients who require costly therapies, including oncology therapeutics. In Korea, the National Health Insurance ("NHI") scheme—a single-payer system run by the National Health Insurance Service ("NHIS") oversees setting drug prices and reimbursement policies. Reduced co-payment rates by 5% instead of 30%–60% were implemented for cancer treatments to lessen the financial burden on patients.