Incorporated into the national strategic plan, clinical gene testing may enter the channel of rapid development
Based on the birth of the first generation DNA sequencing technology in the 1970s, since China independently developed the first domestic second-generation sequencer in 2011, the gene testing industry has developed rapidly. However, due to the relative lack of regulations, the clinical application field of gene testing has made slow progress compared with the scientific research level and consumption level. Even in 2014, China stopped gene testing services. Since 2016, gene testing has been fully incorporated into the national 13th five year plan and 14th five year plan, and clinical gene testing has begun to bloom in the whole biological industry.
At present, clinical gene testing mainly includes the application of prenatal screening, tumor whole cycle screening and diagnosis, genetic disease screening and microbial testing. In view of these areas, China has introduced a series of plans and objectives in recent years, such as reducing the rate of neonatal defects, improving the survival rate of infants under the age of 5 and improving the survival rate of cancer patients, which will directly drive the substantial growth of their demand.
It is expected that Bgi Genomics Co.Ltd(300676) and Berry Genomics Co.Ltd(000710) two domestic head gene testing companies will continue to lead the market of clinical gene testing in China in the future, relying on deep industrial precipitation and technical and resource advantages; Accurate diagnosis and treatment of cancer will become the most capital intensive and competitive field.
The demand for clinical gene testing in China will continue to grow steadily and is expected to increase significantly during the 14th Five Year Plan period
In the next five years, cheetah expects that the market demand for clinical gene testing in China will increase significantly during the 14th Five Year Plan period. Among the four application fields of clinical gene testing, except that the market of microbial testing was significantly expanded due to the outbreak of covid-19 virus, the scale of the other three applications fell slightly. With the effective control of the epidemic situation, the market demand in the field of infectious disease detection will tend to be stable. In the action plans of the 14th five year plan, the strategic objectives of improving the survival rate of cancer patients and infants under the age of 5 and reducing the neonatal birth rate will create a lot of market demand for prenatal screening, full-cycle tumor screening diagnosis and treatment and genetic disease screening.
Leading enterprises will continue to lead the industry, and start-ups will continue to seek breakthroughs in the field of cancer
Independent research and development technology is the most important core competitiveness of clinical gene testing industry. Over the years, two domestic leading enterprises Bgi Genomics Co.Ltd(300676) and Berry Genomics Co.Ltd(000710) have made use of the first mover advantage, accumulated rich resources and experience in the industry and maintained a leading position in various fields. As an immature major national strategic direction, tumor precision therapy is the most capital intensive field. Start-ups will continue to increase the research and development of Pan cancer species and the whole course of the disease, and strive to create brand advantages.
Gene testing service providers will strengthen close cooperation with medical institutions, especially class III hospitals
The demand for clinical gene testing mainly comes from downstream patients. Due to the strictness of industry compliance, midstream service providers must contact terminal patients through authoritative medical institutions. Therefore, it is particularly important to expand cooperation with downstream medical institutions. Through the cooperative enterprise, we will obtain a richer sample size to further improve the scientific research progress and technical level.
