Contract Pharmaceutical Manufacturing, Research, and Packaging

Report Highlights

• Worldwide revenue for contract manufacture of prescription drugs (dosage forms) for 2004 was $11.1 billion, which is projected to increase at a compound annual growth rate (CAGR) of 9.4%, reaching $22.5 billion by the end of 2011.
• Contract manufacture of over-the-counter and nutritional products worldwide is projected to reach $108.8 billion by 2011 increasing at a CAGR of 8.1%. Contract research revenues are projected to reach $24.3 billion by 2011, increasing from $17.3 billion in 2006 at a CAGR of 7.0%.
• Contract manufacturing in the bulk drug market had worldwide revenue of about $13.5 billion in 2004.

INTRODUCTION

BCC's goal in conducting this study is to provide an overview of the current and future characteristics of the global market for contract manufacturing, research, and packaging in the pharmaceutical business. The key objective is to present a comprehensive analysis of the current market and its future direction in the pharmaceutical outsourcing industry with the emphasis on contract manufacturing.

This report explores present and future strategies within the contract manufacturing, research, and packaging pharmaceutical industry. Definitions, needs, requirements, and the advantages and disadvantages of outsourcing are discussed. The study also includes market forecasts and a discussion of the market leaders in the industry. Risks involved, regulatory requirements, and technologies involved are crucial components of this market outlook.

Influential market scenarios such as the need for contract manufacturing, research, selection of contractors, etc. have been included, along with a detailed analysis of the pharmaceutical/biopharmaceutical contract manufacturing, research, and packaging industry structure. Revenues are broken down by the bulk as well as by dosage forms of solid, liquid, and semisolid. Sales figures are estimated for the 5-year period from 2006 through 2011.

Over-the-counter (OTC), nutritional, and drug delivery products are discussed separately in this report. Contract research and contract packaging are also discussed separately

SCOPE OF STUDY

This report contains:

• The current market status for contract manufacturing, research, and packaging and forecasts for growth through 2011
• Discussion of the advantages and disadvantages of outsourcing
• Technological issues including the latest trends and developments
• Descriptions of each market's need for outsourcing, risks and regulatory environment.
• A break down of revenues by the bulk as well as by the dosage forms of solid, liquid and semisolid.

METHODOLOGY

BCC conducted a comprehensive literature search, which included technical newsletters and journals, and many other sources. Data were collected through interviews and correspondence with various analytical/chemical/pharmaceutical and contracting experts. Projections were based on estimates such as the current number of end users, potential end users, mergers and acquisitions, and market trends.

INFORMATION SOURCES

Many companies within the industry were surveyed to obtain data for this study. Included were manufacturers and end users of pharmaceuticals through contract manufacturing/research. Data were gathered from various industry sources. BCC spoke with officials and physicians within the industry, consulted newsletters, company literature, product literature, and a host of technical articles, journals, indexes, and abstracts. Exhaustive investigations of databases by key terminology were completed. In addition, data were compiled from current financial, trade, and government sources.

ABOUT THE AUTHOR

Shalini Shahani holds a master's degree in pharmaceutical chemistry. Among the research topics she has covered are studies on compounds of potential pharmaceutical interest from ibuprofen and 2-naphthyl acetic acid. Shahani was awarded a Gold Medal by the Prime Minister of India for her work and has worked with top companies in India and in the U.S. Some of her other reports with BCC are Reagents of Chromatography; Spectroscopy, an Enduring Market; Advanced Drug Delivery Systems; Orthopedic Drugs, Implants and Devices; Imaging Reagents; Regulatory Industry; and Dynamic Sera, Media and Reagents Used in Biotechnology.