SAN JOSE, Calif.--(BUSINESS WIRE)--The biopharmaceutical contract manufacturing market will reach $6.3 billion this year, a 12% increase from prior year. As pharmaceutical and biotechnology companies continue to increase their spending for outsourced services, the demand for biopharmaceutical contract manufacturing will grow 9% annually over the next five years. In response to higher demand, many biopharmaceutical contract manufacturing organizations (“CMOs”) are adding new capacity. Total contract production capacity will increase 25% over the next two years.
In HighTech Business Decisions’ recently published industry study “Biopharmaceutical Contract Manufacturing 2020: New Demand and Expanded Services,” CMOs expect the industry to grow at double-digit rates over the next three years. The demand for production services supporting cell and gene therapies will grow at a faster pace than the overall industry growth rate.
William Downey, president of HighTech Business Decisions, explains, “We extensively interviewed 54 executives at both pharmaceutical and biotechnology companies and CMOs worldwide. In a reverse from the past, industry capacity has increased faster than demand. This resulted in slightly lower overall industry capacity utilization rates. Over the next few years, CMOs will continue to invest in capacity and technologies to meet future demand.”
Detailed analysis of the biopharmaceutical contract manufacturing market and practices is documented in HighTech Business Decisions’ latest report. This 700-page report with 260 summary data tables and charts provides in-depth analysis of the factors affecting the biopharmaceutical contract manufacturing industry including: product demand, batch and tank size requirements, CMO selection and perceived leadership, next-generation process trends, changes in outsourced spending, capacity forecasts, and much more.
About HighTech Business Decisions
HighTech Business Decisions is a market research and consulting firm specializing in biopharmaceutical contract manufacturing. The company has been producing in-depth public reports and customized market analysis for 24 years. Visit us at www.HighTechDecisions.com