What Does the Historical and Current Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market Size Trend Indicate?
The pharmaceutical contract development and manufacturing organization (cmo) market has seen considerable growth due to a variety of factors.
• The market size of the pharmaceutical contract development and manufacturing organization (CMO) has seen a robust growth trend in the past few years, and it is predicted to expand from $174.33 billion in 2024 to $186.62 billion in 2025, experiencing a compound annual growth rate (CAGR) of 7.1%.
Factors contributing to this growth during the historic period include burgeoning economic growth in emerging markets, escalated healthcare spending, growth in pharmaceutical research and development (R&D) expenditure, and a rising trend of outsourcing.
What Are the Future Growth Projections for the Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market?
The pharmaceutical contract development and manufacturing organization (cmo) market is expected to maintain its strong growth trajectory in upcoming years.
• There is a predicted surge in the upcoming years for the market size of pharmaceutical contract development and manufacturing organizations (CMO), which is estimated to grow to $260.83 billion in 2029 with a compound annual growth rate (CAGR) of 8.7%.
The market growth projected for this timeframe owes its momentum to higher government backing, improved access to healthcare, amplified investments, and escalations in biopharmaceutical development. The market's future growth path is also marked by several emerging trends such as an intensified emphasis on ecological sustainability, the amalgamation of artificial intelligence and digitization, innovative products promoting resilience, amplified investments, and the rise in strategic alliances and collaborations among market entities.
Which Drivers Are Accelerating Growth In The Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market?
The expansion of the pharmaceutical contract development and manufacturing market is propelled by the rising global demand for medicines. The widespread incidence of diseases and the desire for extended longevity have increased the need for pharmaceuticals, prompting pharmaceutical firms to bolster the production of existing drugs and augment R&D investment for new drug discovery. This encourages pharmaceutical firms to form collaborations with contract manufacturing organizations (CMOs) as an effective strategy for reducing operational expenses, thereby escalating the demand for the pharmaceutical contract development and manufacturing market. Alkermes PLC, a biopharmaceutical company, suggests that pharmaceutical contract manufacturing will become a strategic choice for a broad spectrum of companies, from large to smaller specialty pharmaceutical enterprises, mainly because these companies are seeking ways to reduce costs.
What Are The Major Segments Within The Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market?
The pharmaceutical contract development and manufacturing organization (CMO) market covered in this report is segmented –
1) By Type: Contract Manufacturing Services, Contract Research Services
2) By Research Phase: Preclinical, Phase I, Phase II, Phase III, Phase IV
2) By End User: Big Pharmaceutical Companies, Generic Pharmaceutical Companies, Small And Medium-Sized Pharmaceutical Companies
Subsegments:
1) By Contract Manufacturing Services: Active Pharmaceutical Ingredient (API) Manufacturing, Formulation Development, Finished Dosage Form Manufacturing, Packaging Services, Supply Chain Management
2) By Contract Research Services: Preclinical Research Services, Clinical Trial Management, Regulatory Affairs Consulting, Biostatistics And Data Management, Analytical And Testing Services
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Which Trends Are Expected To Transform The Pharmaceutical Contract Development And Manufacturing Organization (CMO)
Firms within the pharmaceutical contract development and manufacturing market are putting resources into acquisitions and strategic partnerships with other entities in the market. The trend of mergers and acquisitions is being pursued by these pharmaceutical contract development and manufacturing companies to broaden their international market footprint, cater to customer requirements, elevate their production capabilities while retaining cost efficiencies, and access up-to-date technology and novel services. This substantial merger and acquisition activity leads to the consolidation of contract service suppliers. For instance, Pharma Nobis, a US-based contract manufacturing and private label services supplier, purchased Fagron’s U.S. contract manufacturing enterprise in July 2022 for an undisclosed sum. This acquisition will likely enable Pharma Nobis to extend contract manufacturing and private label services to American retail outlets and consumer healthcare firms. Fagron will retain ownership of 20% of the company.
Who Are the Key Players in the Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market?
Major companies operating in the pharmaceutical contract development and manufacturing organization (CMO) market include:
• Lonza Group
• Catalent Inc
• WuXi AppTec Inc.
• Pfizer Inc
• Recipharm AB
• Almac Group
• Aenova Group
• Baxter International Inc
• SGS Life Science Services SA
• Jubilant Pharmova Ltd
• Dishman Pharmaceuticals
• Kemwell Pvt. Ltd.
• Nipro Corp.
• CMIC Group
• Sawai Pharmaceutical Co. Ltd
• IDT Australia Limited
• Aurigene Pharmaceutical Services Limited
• Vetter Pharma International GMBH
• Consort Medical PLC
• Siegfried Holding AG
• Evonik Industries
• NextPharma
• Royal DSM N.V
• HAUPT Pharma AG
• Boehringer Ingelheim International GmbH
• Famar
• OTC-PharmNEUCA
• Farmacol
• Polska Grupa Farmaceutyczna
• Polpharma
• TZMO
• AbbVie Inc
• Merck & Co Inc
• Amgen Inc
• Gilead Sciences Inc
• Regeneron Pharmaceuticals Inc
• Vertex Pharmaceuticals Inc
• Johnson & Johnson
• Eurofarma Laboratórios S.A.
• Ache Laboratórios Farmacêuticos S.A.
• Blanver Farmoquímica e Farmacêutica S.A.
• Prati-Donaduzzi
• União Química Farmacêutica Nacional S.A
• Laboratorios Richmond S.A.C.I.F.
• Bago S.A.
• Elea Laboratories S.A.C.I. y F.
• Gador S.A.
• LIFEPharma
• Neopharm
• Gulf Pharmaceutical Industries JULPHA
• NewBridge Pharmaceuticals Limited
• Aspen Pharmacare Holdings Limited
• Adcock Ingram Holdings Limited
• Pharma-Q (Pty) Ltd
• Vital Health Foods
• EIPICO (Egyptian International Pharmaceutical Industries Company)
• Pharco Pharmaceuticals
What Is The Most Dominant Region In The Pharmaceutical Contract Development And Manufacturing Organization (CMO) Market?
North America was the largest region in the global pharmaceutical contract development and manufacturing market in 2024. The Middle East is expected to be the fastest-growing region in the global pharmaceutical contract development and manufacturing market during the forecast period. The regions covered in the pharmaceutical contract development and manufacturing organization (cmo) market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
