Biotechnology & Pharmaceutical Services Outsourcing Market Size, Share & Trends Analysis Report By Service (Consulting, Auditing And Assessment, Regulatory Affairs), By End Use (Pharma, Biotech), And Segment Forecasts, 2021 - 2028
New York, Dec. 03, 2021 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "Biotechnology & Pharmaceutical Services Outsourcing Market Size, Share & Trends Analysis Report By Service, By End Use And Segment Forecasts, 2021 - 2028" - https://www.reportlinker.com/p06187937/?utm_source=GNW
Biotechnology & Pharmaceutical Services Outsourcing Market Growth & Trends
The global biotechnology and pharmaceutical services outsourcing market size is expected to reach USD 99.4 billion by 2028. It is expected to expand at a CAGR of 5.8% from 2021 to 2028. The high demand for biologics along with small molecules has led to the expansion of service portfolios of Contract Manufacturing Organizations (CMOs)/Contract Research Organizations (CROs) for biotechnology and pharmaceutical production. Small pharma/ biotech companies are facing challenges, such as lack of substantial expertise and expensive capability while performing in-house development, manufacturing, regulatory affairs, product maintenance, product design and development, product testing and validation, and training and education. This, in turn, has created lucrative opportunities for the growth of CMOs and CROs. Contract services are growing and becoming strategic, targeted, and planned. These factors are expected to play a pivotal role in enhancing the share of CMOs/CROs in the overall market.
Growing pricing pressure, regulatory challenges, and patent expiration have led to shrinking margins in the biotech and pharmaceutical industry.Contract services are considered a “strategic competitive weapon” among the companies as these services help overcome these issues.
These services offer cost saving to their clients as choosing sustainable suppliers could lead to reduced costs in the long run.They also help save time utilized in the operations and management of a production and research facility.
Contract research and manufacturing allow low-cost product development and manufacturing of a product.Furthermore, outsourcing services assist in overcoming trade barriers and facilitate the entry of firms into the foreign market.
Owing to these advantages, several firms choose to outsource services rather than investing capital in production equipment and hiring skilled labor.
The coronavirus outbreak is having a considerable impact on biotechnology and pharmaceutical third-party service providers as well as clinical trials, resulting in trial delay, suspensions, and terminations.The global crisis has laid emphasis on the need for virtual trials and leveraging technology and software solutions.
Increasing adoption of machine learning-based platforms, artificial intelligence, automation in drug manufacturing, and innovative trial designs is projected to transform the CRO and CMO landscape in the coming years. Biopharmaceutical and pharmaceutical investments in novel and innovative therapies, for instance, regenerative medicine, are driving the R&D activities, together with drug development services.
The biologics industry has grown substantially in recent years to include novel product types including nanobodies, rDNA, synthetic vaccines, fusion proteins, soluble receptors, immunoconjugates, and immunotherapeutics.Owing to the revolutionization of disease therapy through biologics, this sector has also provided many opportunities to explore hybrid structures that combine biologics with well-defined chemical entities.
The significant growth of biologics is expected to drive the demand for outsourcing of biologics development and manufacturing.
Biotechnology & Pharmaceutical Services Outsourcing Market Report Highlights
• Based on service, the consulting segment dominated the market with a revenue share of more than 15.0% in 2020. Biotechnology and pharmaceutical companies are increasingly opting for consulting services owing to an increase in the number of fraudulent cases, discrepancies in intellectual property rights, and a rise in technological innovations
• The other service segment, which includes contract manufacturing, product upgrade, and IT consulting, is expected to expand at the highest CAGR of 6.8% over the forecast period owing to the increasing focus on generic and biosimilar in developing regions
• Based on end-use, the pharma segment is expected to expand at the highest CAGR over the forecast period as the pharmaceutical companies outsource internal activities at a larger scale due to the rising pricing pressure, increasing competition, and the growth of the generics in the industry
• North America dominated the market in 2020 with a revenue share of over 50.0% due to the presence of a large number of biotechnology and pharmaceutical companies and the quality of services offered by the CROs and CMOs in the region
• Asia Pacific is anticipated to register the highest CAGR over the forecast period owing to the improved regulatory frameworks, the high scope for cost savings, the presence of cheap labor, skilled personnel, and rapid growth of the biotechnology and pharmaceutical industry in the region
Read the full report: https://www.reportlinker.com/p06187937/?utm_source=GNW
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