India CDMO Market - Industry Analysis, Size, Share, Growth, Trends, and Forecast 2032 - By Product, Technology, Grade, Application, End-user, Country

India’s contract development and manufacturing organization (CDMO) market is undergoing a transformative expansion, emerging as a key global hub for pharmaceutical outsourcing. Renowned for its cost-effective manufacturing, robust infrastructure, and a skilled workforce, India offers unmatched value to pharmaceutical companies looking for comprehensive drug development and manufacturing services. The country’s favorable regulatory environment, stronghold in generic drug manufacturing, and expanding capabilities in biologics and advanced therapeutics are driving sustained growth in the CDMO Analysis.

Market Insights

According to the latest industry analysis, the India CDMO market is projected to grow at a CAGR of 12.06% during the forecast period from 2025 to 2032. The market is expected to increase from US$ 26.75 Bn in 2025 to US$ 59.35 Bn by 2032. The rising prominence of India in the global pharmaceutical supply chain is driven by its commitment to regulatory compliance, expanding service offerings, and competitive production costs. India’s leadership in generics and biosimilars manufacturing continues to attract international clients seeking high-quality and affordable therapeutic solutions.

Market Drivers

One of the most significant drivers of the India CDMO market is its cost efficiency. India provides one of the most economical solutions for pharmaceutical outsourcing, thanks to lower labor costs, operational expenses, and robust manufacturing infrastructure. This affordability does not come at the expense of quality; rather, Indian CDMOs have consistently adhered to global standards, maintaining compliance with the USFDA, EMA, and other international regulatory bodies.

Another pivotal growth factor is the rising global demand for generic drugs and biosimilars. As patents for blockbuster drugs expire, pharmaceutical companies are increasingly turning to Indian CDMOs to supply affordable alternatives. India has a well-established track record in the development and manufacturing of Active Pharmaceutical Ingredients (APIs) and Finished Dosage Forms (FDFs), particularly for small molecules. This expertise is now being extended to complex biologics and biosimilars, further broadening the country’s value proposition in pharmaceutical outsourcing.

Business Opportunity

India presents substantial business opportunities in the CDMO space, particularly with the global trend of increasing outsourcing by pharmaceutical giants. Companies are increasingly seeking partners who can provide end-to-end services, from drug discovery and preclinical development to large-scale manufacturing and packaging. India, with its extensive technical capabilities and evolving regulatory ecosystem, is perfectly positioned to meet these needs.

The expansion of biologics, biosimilars, and vaccines segments presents additional growth avenues. Indian CDMOs are making strategic investments in advanced biologic production technologies and facilities, particularly in viral vectors, monoclonal antibodies, and therapeutic proteins. These advancements are expected to place India on a stronger footing in high-complexity segments over the coming years.

Region Analysis

India’s regional pharmaceutical hubs such as Hyderabad, Bengaluru, Mumbai, and Ahmedabad are playing a vital role in shaping the country’s CDMO ecosystem. Hyderabad, known for its Genome Valley biotech cluster, continues to attract significant investments in biologics and biosimilars manufacturing. Bengaluru is recognized for its R&D focus, especially in contract development services, while Mumbai and Ahmedabad continue to lead in large-scale API and FDF manufacturing.

The concentration of world-class pharmaceutical companies, state-of-the-art infrastructure, and government-supported biotech parks in these regions supports the rapid growth of CDMO activities. State-level policy support and incentives also contribute to regional competitiveness, enabling India to cater to international demand with high-quality and scalable manufacturing services.

Key Players

India's CDMO market is shaped by the presence of established industry leaders as well as agile emerging companies. Notable players dominating the Analysis include:

• Piramal Pharma Solutions
• Syngene International
• Dr. Reddy’s Laboratories
• Divi’s Laboratories
• Lupin Limited
• Sun Pharmaceutical Industries Ltd.
• Aurobindo Pharma
• Jubilant Pharmova
• Glenmark Pharmaceuticals
• Capsule Pharma
• Laurus Labs
• Strides Pharma Science
• Aurigene Pharmaceutical

These companies leverage their strengths in cost-effective manufacturing, regulatory compliance, and end-to-end service offerings to serve clients across North America, Europe, and other global markets. Strategic expansions, partnerships, and investments in biologics and advanced therapies are helping these players diversify their portfolios and extend their international presence.

Recent Industry Developments

Several recent developments have further highlighted India’s rising role in the global CDMO sector. In June 2024, Lupin announced the launch of Lupin Manufacturing Solutions (LMS), a strategic entry into the CDMO segment. The newly formed subsidiary will focus on contract development and manufacturing, under the leadership of Abdelaziz Toumi.

In May 2023, Aurigene Pharmaceutical Services, part of Dr. Reddy’s Laboratories, declared a US$ 40 million investment in a new facility for the production of therapeutic proteins, antibodies, and viral vectors in Genome Valley, Hyderabad. These developments signify the sector’s growing maturity and commitment to expanding into biologics and high-value therapeutics.

Market Challenges

Despite its advantages, the India CDMO market faces a few challenges. Infrastructure and technology gaps, particularly in the biologics and advanced therapeutics segment, can hinder India’s growth potential. While the country excels in small molecule production, it still lags in specialized facilities and high-end equipment needed for complex biologic drugs.

Indian CDMOs need to invest significantly in upgrading infrastructure, acquiring new technologies, and building specialized talent pools to compete globally in these emerging segments. Bridging this gap is essential to maintaining competitiveness and fulfilling the increasing global demand for complex therapies.

India CDMO Market Segmentation

By Service Type

• Contract Development Services
• Preclinical Development
• Clinical Development
• Analytical and Bioanalytical Services
• Contract Manufacturing Services
• Active Pharmaceutical Ingredients (APIs) Manufacturing
• Finished Dosage Forms (FDFs) Manufacturing
• Biologics Manufacturing
• Packaging

By Product Type

• Small Molecules
• Biologics
• Biosimilars
• Vaccines
• Others

By Scale of Operation

• Commercial Scale
• Clinical Scale

By Therapeutic Area

• Oncology
• Cardiovascular Diseases
• Infectious Diseases
• Central Nervous System (CNS) Disorders
• Others

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