Global Pharmaceuticals Contract Development & Manufacturing Market (2021-2026) by Service, End-user, Geography and the Impact of COVID-19 with Ansoff Analysis, Infogence Competitive Quadrant

The Pharmaceutical Market is changing very rapidly. Emerging global markets and pricing pressures are responsible for the transformation of these companies. In such a scenario, providers to the pharmaceutical industries such as contract developers and manufacturers need to transform to sustain in the market and match the competitiveness of the marketplace. Distinguished offerings to the customers are the only way to grow the business. Those that can fill this gap by taking benefit of the transformative nature of the industry can only emerge as market leaders.

One of the reasons for the increase in the pharmaceutical contract development and manufacturing industry is the growth of developing biotech. Most of the companies are continuously involved in the development of complex drug compounds to address a specific disease. Most of the companies lack the infrastructure required for formulation, clinical, and regulatory agency submission. Commonly, the final decision for these companies is to sell to a big player in the pharma or a biotech market. A partnership with a pharmaceutical contract manufacturer can provide another viable option. By working cooperatively, an emergent biotech company, an established donor company, and a pharmaceutical contract manufacturer can move a product into the global markets.

The Global Pharmaceutical Contract Development & Manufacturing Market is estimated to be USD 107.2 Bn in 2021 and is expected to reach USD 152.6 Bn by 2026 growing at a CAGR of 7.3%.

The increasing level of mergers and acquisition activities are resulting in the consolidation of the contract service providers. The growth of the Pharmaceutical Contract Development and Manufacturing Market is driven by the increasing demand for generics across the globe. The increasing investment in pharmaceutical R&D by the companies pushes the growth of the market upwards.

The pharmaceutical contract development and manufacturing market are hindered by the inadequate capacity utilization of manufacturing facilities by the companies. The poor-capacity utilization of the manufacturing unit is caused due to the inefficiency of different sub-processes involved in the production process, which further results in low production. The low production is responsible for decreased revenue, thus affecting the overall pharmaceutical contract development and manufacturing market.

Dynamic changes witnessed in this sector, coupled with severe pressure over the profit margins, are anticipated to restrain growth. Stringent and complex Government regulatory requirements are also attributive to slow progress.

Market Dynamics

Drivers

• Growing Demand for Generics
• Increasing Investments in Pharmaceutical R&D
• Investments in Advanced Manufacturing Technologies by CDMOS

Restraints

• The increasing lead time and logistics costs
• Strict Governmental Regulations Needed for the Approval of drugs

Opportunities

• Increasing Demand for Biological therapies
• Growing Focus on Specialty Medicines
• Growth in the Nuclear Medicine Sector
• Increasing Demand for Cell and Gene therapies

Challenges

• Managing Costs and Astutely Investing in Technology

Segments Covered
Based on the Service, API manufacturing services dominated the market as a result of the rising demand for High Potency Active Pharmaceutical Ingredients (HPAPI). Market players are engaged in the development of large scale manufacturing facilities on the pilot as well as commercial scale. Parenteral/injectable manufacturing services are also expected to grow significantly due to the increasing need for high levels of expertise, increasing number of sterile formulations, and growing drug development activity.

Based on end-users, the Big Pharma end-user segment is accounted for the largest share of the market. The growth of big pharma is attributed to the emergence of new medicines and therapy forms, pricing pressure, pipeline challenges, and increasing opportunities in the emerging markets.

Based on Region, North America is anticipated to have a large market share and is expected to grow significantly during the forecast period. The Asia Pacific is also expected to grow at a surplus rate due to the rise in the number of companies outsourcing the projects in this region's developing economies. Heavy investments by Asian CMOs are expected for exponential progress.

The Global Contract Development & Manufacturing Market is segmented based on Service, End User, and Geography.

Global Contract Development & Manufacturing Market, By Service

• Introduction
• Pharmaceutical Manufacturing Services
• Pharmaceutical API Manufacturing Services
• Pharmaceutical FDF Manufacturing Services
• Parenteral/Injectable Manufacturing Services
• Tablet Manufacturing Services
• Capsule Manufacturing Services
• Oral Liquid Manufacturing Services
• Other Formulations
• Drug Development Services
• Biologics Manufacturing Services
• Biologics API Manufacturing Services
• Biologics FDF Manufacturing Services

Global Contract Development & Manufacturing Market, By End User

• Introduction
• Big Pharma
• Small & Mid-Size Pharma
• Generic Pharmaceutical Companies
• Other End Users

Global Contract Development & Manufacturing Market, By Geography

• Introduction
• North America
• South America
• Europe
• Asia Pacific
• The Middle East and Africa

Company Profiles

Some of the companies covered in this report are Thermo Fisher Scientific Inc., Catalent, Inc., Lonza Group Ltd, Recipharm AB, Vetter Pharma International GmbH, Famar Health Care Services, Abbvie Inc., Aenova Group, Consort Medical Plc, and others.

Competitive Quadrant

The report includes a Competitive Quadrant, a proprietary tool to analyze and evaluate the position of companies based on their Industry Position score and Market Performance. The tool uses various factors for categorizing the players into four categories. Some of these factors considered for analysis are financial performance over the last 3 years, growth strategies, innovation score, new product launches, investments, growth in market share, etc.

• Lions: Represents companies with a strong foothold in the market, with the highest market share, large investments in technologies, new products.
• Bulls: Companies that are medium in size competing with their USPs, growing companies with proven market share.
• Rabbits: Small companies but growing rapidly, constantly improving their offerings in the market
• Tortoise: Companies which are slow in growth, having a long legacy, and stable or negative in performance

Why buy this report?

• The report offers a comprehensive evaluation of the Global Pharmaceutical Contract Development & Manufacturing Market.
• The report includes in-depth qualitative analysis, verifiable data from authentic sources, and projections about market size. The projections are calculated using proven research methodologies.
• The report has been compiled through extensive primary and secondary research. The primary research is done through interviews, surveys, and observation of renowned personnel in the industry.
• The report includes in-depth market analysis using Porter’s 5 force model and the Ansoff Matrix. The impact of Covid-19 on the market is also featured in the report.
• The report also contains the competitive analysis using Competitive Quadrant, the analyst's proprietary competitive positioning tool.

Report Highlights:

• A complete analysis of the market including parent industry
• Important market dynamics and trends
• Market segmentation
• Historical, current, and projected size of the market based on value and volume
• Market shares and strategies of key players
• Recommendations to companies for strengthening their foothold in the market