The global rapid medical diagnostic kits market was valued at USD 13.8 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 3.4 percent from 2021 to 2028, elucidates Grand View Research. The market is set to gain momentum owing to the rising need and awareness regarding the rapid medical evaluation of chronic diseases, growing demand for PoC diagnostics, a high influx of portable rapid testing devices in the market, rise in the number of infectious disease cases, and expanding geriatric population base.
The increasing prevalence of multidrug-resistant bacterial infections is set to propel demand. Moreover, the outbreak of COVID-19 has created a significant opportunity for manufacturers to develop rapid diagnostic test supplies. Expanding population, genetic variation in hosts and pathogens, and environmental change are some of the aspects contributing to the increased demand.
Contrastingly, with the advent of advanced technologies, such as lab-based PCR and molecular diagnostics, the demand for rapid diagnostic tests is expected to observe a sluggish growth. Although rapid diagnostic tests have high sensitivity and specificity for detecting malaria, PCR, and molecular diagnostic technologies have proven to be more sensitive. Thus, infectious disease diagnosis has been revolutionized through advanced molecular techniques, such as PCR, which may emerge as a threat to the market.
The low development cost and easy manufacturing of lateral flow assays have led to the expansion of these tests into several rapid testing applications. Expanding application of lateral flow tests in the early detection of COVID-19 has been witnessed recently. For instance, in March 2020, Ozo Life announced the launch of its OZO COVID-19 rapid test kits-a latex-enhanced lateral flow immunoassay, which ensures testing of the SARS-CoV-2 infection with enhanced sensitivity. Moreover, an increase in the public and private partnerships for the development of novel lateral flow tests targeted toward COVID-19 diagnosis is set to propel the segment growth.
North America dominated the market in 2020 with a share of more than 30 percent and is expected to maintain its lead from 2021 to 2028. Numerous diagnostics companies are involved in the development of novel COVID-19 rapid diagnostic tests and are striving to gain approval from the FDA to launch these tests in the US. As early as May 2020, Quidel Corporation received emergency use authorization (EUA) from the FDA for its Sofia 2 SARS Antigen FIA for rapid diagnosis of COVID-19. Asia-Pacific countries are expected to register the highest cumulative growth rate of 5.1 percent from 2021 to 2028. Japan and China both generated robust revenues in 2020 and are expected to maintain this trend in the next 10 years.
The companies are keen on adopting strategic moves targeted toward catering to the needs associated with the management of the COVID-19 pandemic outbreak. In May 2020, Acon Laboratories launched its new SARS-COV-2 IgG/IgM rapid test, a lateral flow immunoassay for the identification of (IgM & IgG) antibodies generated in response to COVID-19. This helped expand the company’s portfolio.