Korean gastroesophageal reflux treatment market reached $748.5mn in 2022

HK Inno N Corp.’s GERD treatment K-CAB [Photo provided by HK Inno N]

The South Korean gastroesophageal reflux disease (GERD) treatment market is growing fast on rising demand, exceeding 1 trillion won ($748.5 million) for the first time last year on the surge of such patients as Western diet and lifestyle have become prevalent in the country.

According to pharmaceutical data tracker UBIST Analytics on Thursday, the GERD treatment market in Korea was about 1.16 trillion won in 2022, up 55 percent from 749.7 billion won in 2021. This rise comes as the number of patients with abdominal visceral obesity increased with the spread of Western diet and lifestyle. A visceral obesity increases intra-abdominal pressure and easily gives rise to stomach acid refluxes. The number of GERD patients has recently jumped to 20 percent of the entire population from a mere 4 percent to 5 percent 20 years ago.

The most sold product for GERD treatment in Korea is K-CAB of HK Inno N Corp. Sales of K-CAB reached 132 billion won last year on the back of its strength that allows intakes before or after meals and combined use with other drugs. It has achieved annual sales exceeding 100 billion won, fastest among new drugs.

The runner-ups are Hanmi Pharmaceutical Co.’s Esomezol and Daewoong Pharmaceutical Co.’s Fexuclue. Esomezol was developed early on about 15 years ago and has been growing steadily in overseas markets, including the U.S., with its medical efficacy. Fexuclue drove success with a nine-hour half-life, the longest among all treatments available, that helps with effective control of gastric acid secretion at night.

Just five years ago, the proton pump inhibitor (PPI) therapy that suppresses gastric acid secretion was the only treatment available in the domestic market. Esomezol is a good example of a PPI. But the market was divided by the PPI and a new potassium-competitive acid blocker (P-CAB) with the launch of K-CAB in 2019 and Fexuclue in 2022. Latecomer P-CAB is recognized as an upgraded treatment that has improved from the PPI. The P-CAB takes less time for the effect to kick in. It relieves symptoms in 10 minutes to 30 minutes of the intake while the PPI requires several hours.

According to UBIST Analytics, HK Inno N is leading the market with a 17 percent market share, followed by Hanmi Pharmaceutical with 6.9 percent, Daewoong Pharmaceutical with 5.5 percent, Il Yang Pharmaceutical Co. that produces Noltec Tab with 4.6 percent, and AstraZeneca PCL that produces Nexium with 3.8 percent. Companies are competing hard for the second player position.

The companies are planning to focus on differentiation strategies to stay ahead in the competition as the market has high growth potential. HK Inno N launched a 25-milligram low-dose product early this year for patients who need to take the drug for a long time. It is also pushing for diversifying dosage forms to offer the option of an injection instead of pills.

“We are pursuing plans to use K-CAB for other diseases, such as by administering it in combination with non-steroidal anti-inflammatory drugs (NSAIDs),” said an unnamed official from HK Inno N. “The combination therapy is in a phase 3 clinical trial.”

Hanmi Pharmaceutical, meanwhile, is continuing its efforts to overcome PPI limitations. Esomezol currently comes in three products and seven different unit doses. It has expanded the portfolio to offer a PPI that allows patients to take it regardless of time and see effect within a few tens of minutes.

Daewoong Pharmaceutical plans to conclude negotiations with major tertiary general hospitals to expand the number of prescribing institutions by next month. The company also plans to accelerate research on follow-up indications to grow annual sales of Fexuclue to 100 billion won. It will also accelerate its moves to widen presence in overseas markets.

According to IQVIA, the global GERD drug market has grown annually to 21 trillion won in 2022 from 16 trillion won in 2021. Fexuclue, which gained approval in three countries including Chile, will be launched starting with the Philippines this year.