Hyaluronic Acid (HA) Viscosupplementation Market to Show Strongest Growth, According to Millennium Research Group

December 28, 2011—Toronto—According to Millennium Research Group (MRG), the global authority on medical technology market intelligence, the US market for orthopedic biomaterials will grow at an average of just under seven percent per year, to total approximately $4 billion by 2016.

While the number of procedures using orthopedic biomaterials will grow significantly through 2016, lower reimbursement rates from insurers will limit average selling prices. In addition, Medtronic Spinal & Biologic’s INFUSE, still the highest revenue product in 2011, faces challenges associated with negative reports on off-label use in the cervical spine, which made up a significant portion of the product’s use. This will have a continued negative effect on the market as a whole.

“Larger companies involved in the orthopedic biomaterials space and the US healthcare market at large, have struggled to find ways to extend their growth organically because of the economic challenges,” said MRG Analyst Mashkur Reza.  “As a result, some of these companies, such as Sanofi, have looked at merger and acquisition strategies to enter growing segments, while others, such as Johnson & Johnson, continue to use merger and acquisition strategies to complement its product portfolio in segments it competes in. Both of these are legitimate strategies to foster additional growth.”

In addition to a continued rise in procedure volumes, the market will see increased demand for premium-priced products seen as having favorable properties. These include second-generation synthetics, such as Vitoss BA, and orthopedic stem cell products, such as Osteocel, within the bone graft substitutes market; along with 1-injection treatments in the HA viscosupplementation market, such as Synvisc-One.  The HA viscosupplementation market will show the strongest growth through 2016, as rising awareness coupled with the 2012 launch of two 1-injection products (Seikagaku’s Gel-One and Anika Therapeutics’ Monovisc) will strengthen demand for these premium-priced products.

Millennium Research Group’s US Markets for Orthopedic Biomaterials 2012 report includes procedure, unit, average selling price and revenue information, along with market drivers and limiters and competitive landscape for bone graft substitutes, hyaluronic acid viscosupplementation, machined-bone interbody devices, cell concentration systems and knee cartilage repairs.