Pharmaceutical Contract Development And Manufacturing Market Size, Share, Industry Trends and Forecast to 2030

Market Size & CAGR of Pharmaceutical Contract Development And Manufacturing Market in 2021

The global pharmaceutical contract development and manufacturing market is projected to reach a value of USD 146.38 billion by the end of 2021, with a Compound Annual Growth Rate (CAGR) of 7.2% during the forecast period from 2021 to 2026. The increasing demand for outsourcing services in the pharmaceutical industry, along with the growing emphasis on research and development activities, is driving the market's growth.

COVID-19 Impact on the Pharmaceutical Contract Development And Manufacturing Market

The COVID-19 pandemic has had a significant impact on the pharmaceutical contract development and manufacturing market. The disruptions caused by the pandemic led to challenges in the supply chain, manufacturing delays, and regulatory constraints. However, the market also witnessed increased demand for contract manufacturing services to support the production of COVID-19 vaccines and treatments.

Pharmaceutical Contract Development And Manufacturing Dynamics

The pharmaceutical contract development and manufacturing industry is experiencing rapid growth due to the increasing complexity of drug development processes, the need for specialized expertise, and cost-effective manufacturing solutions. Market players are focusing on expanding their service offerings, enhancing their capabilities, and adopting advanced technologies to meet the evolving needs of the pharmaceutical sector.

Segments and Related Analysis

Contract Development Services

The contract development services segment accounted for the largest market share in the pharmaceutical contract development and manufacturing market in 2021. This segment includes services such as formulation development, analytical services, process development, and regulatory support.

Contract Manufacturing Services

The contract manufacturing services segment is expected to grow at a significant rate during the forecast period. This segment involves the manufacturing of pharmaceutical products on a contractual basis, including small molecules, biologics, and active pharmaceutical ingredients.

By Region Analysis

North America

North America dominated the pharmaceutical contract development and manufacturing market in 2021, attributed to the presence of key market players, advanced infrastructure, and favorable regulatory environment. The region is expected to maintain its leading position throughout the forecast period.

Europe

Europe is projected to witness substantial growth in the pharmaceutical contract development and manufacturing market due to the increasing investment in research and development activities, collaborations between industry players, and rising demand for innovative drug formulations.

Asia Pacific

The Asia Pacific region is expected to register the highest CAGR during the forecast period, driven by the expanding pharmaceutical industry, growing outsourcing activities, and favorable government initiatives to support contract manufacturing services.

Key Market Players and Competitive Landscape

Some of the key players in the pharmaceutical contract development and manufacturing market include Lonza Group, Catalent Inc., Thermo Fisher Scientific Inc., Recipharm AB, and Patheon Inc. These companies are focusing on strategic collaborations, acquisitions, and technological advancements to strengthen their market presence and expand their service offerings.

Recent Happenings in the Pharmaceutical Contract Development And Manufacturing Market

- In August 2021, Lonza Group announced the acquisition of a new manufacturing facility to expand its contract development and manufacturing services in North America.

- In September 2021, Thermo Fisher Scientific Inc. launched a new service offering for small molecule drug development to cater to the growing demand for contract development services.

- In November 2021, Recipharm AB entered into a partnership with a pharmaceutical company to provide contract manufacturing services for a novel biologic drug formulation.

- In January 2022, Catalent Inc. announced the expansion of its fill-finish manufacturing capabilities to meet the increasing demand for sterile injectable drug products.