When discussing the size of the pharmaceutical market, it is essential to differentiate between value (revenue) and volume (number of doses). While branded, specialty drugs drive the revenue-based valuation, the sheer scale of the industry, particularly in terms of patient access and daily treatments, is underpinned by the massive generic and biosimilar markets. Generic drugs, which are chemically identical, less expensive versions of branded small molecules, account for a substantial majority of prescriptions dispensed globally, often exceeding 85% of volume in established healthcare systems.

This dichotomy means the total Pharmaceutical Sector Scale is enormous in terms of production and distribution logistics, even if the revenue generated by generic drugs is significantly lower than that of their branded counterparts. Biosimilars, the comparable versions of complex biologic drugs, represent the next frontier in this volume-driven scale. As key biologic patents expire through the mid-2020s, the biosimilar market is projected to skyrocket, providing enormous cost savings to healthcare systems while simultaneously increasing patient access to critical therapies.

The rise of biosimilars is an important factor affecting the overall revenue size. While they introduce competition and lower the cost of established biologics, they also expand the market by making expensive treatments accessible to wider patient populations, thereby increasing total dispensed volume. For example, the market for biosimilars targeting major autoimmune diseases and oncology treatments is expected to double in value between 2024 and 2029, a clear indicator of both volume growth and cost management success.

Ultimately, the size of the pharmaceutical sector is a measure of both high-value innovation and broad-based accessibility. Generic and biosimilar manufacturers play a crucial role in maintaining global health standards by ensuring affordable and widespread access to essential medicines. Their immense manufacturing footprint and global distribution networks contribute significantly to the physical and logistical scale of the industry, ensuring that while branded drugs secure the premium revenues, generics and biosimilars fulfill the fundamental, high-volume healthcare needs of the world’s population.