+1-518-618-1030 866 - 552 - 3453 USA-Canada Toll Free
Published Date: 2014-06-11Number of Pages: 123

Healthcare CMO Market (Service - Pharmaceutical Contract Manufacturing Services (Active Pharmaceutical Ingredients (API) Manufacturing, Final Dosage Form (FDF) Manufacturing, and Packaging) and Medical Device Contract Manufacturing Services (Outsourcing Design, Device Manufacturing (Material Process Services, Electronic Manufacturing Services, and Finished Products), and Final Goods Assembly) - Global Industry Analysis, Size, Share, Trends, Growth and Forecast 2013 - 2019

In the global pharmaceutical and biotechnology industry, outsourcing market represents one of the fastest growing markets and contract manufacturing of pharmaceutical and medical devices occupies a significant portion in the overall outsourcing market. In the past, pharmaceutical and medical device industry has maintained a low level of outsourcing due to several concerns such as product quality, delay in delivery, regulatory compliance and intellectual property protection rights. However, in recent years, outsourcing strategy has become more striking, as the pharmaceutical and medical device companies are looking for various strategic options to reduce cost, improve product portfolio, reduce the time to market and improve efficiencies. Along with these, economic burden, increased financial crisis and technological advances are the other factors that have compelled pharmaceutical, biotechnology and life science companies to outsource their manufacturing processes in order to achieve their cost benefits and save time. 
 
The global healthcare CMO market is segmented into pharmaceutical contract manufacturing services and medical devices contract manufacturing services. Further, the pharmaceutical contract manufacturing services segment is classified as API (active pharmaceutical ingredients) manufacturing, FDF (final dosage formulations) manufacturing and packaging. Among these, contract FDF manufacturing segment is expected to experience a healthy growth rate during the forecast period of 2013 to 2019, due to the rise demand for generic drugs and increasing R&D investment by life sciences companies. In addition, rise in number of blockbuster drugs going off-patent and increased adoption of novel technologies are further boosting the growth of this market. Similarly, medical devices contract manufacturing services segment is further categorized into design outsourcing, device manufacturing and final goods assembly. Among these afore-mentioned services, the market for medical device contract manufacturing accounted for largest market share (87.7%) in 2012 and is expected to grow at an attractive growth rate during the forecast period of 2013 to 2019.
 
Geographically, North America constituted the largest market in the global healthcare CMO market in 2012; however, Asia-Pacific is predicted to foresee the highest growth rate of 17.8% from 2013 to 2019. This growth has been attributed to favorable government regulations, improved intellectual property protection rights and increased adoption of novel technologies. In addition, tax benefits, low labor costs and other overheads and availability of skilled professionals at a very low cost compared to developed nations would trigger the growth of this market in Asia-Pacific region.
 
The major players of this market are Boehringer Ingelheim GmbH, Catalent Pharma Solutions, Inc., DSM, Fareva, Lonza Group, Patheon, Inc., Piramal Healthcare, Accellent, Symmetry Medical, Inc., Greatbatch, Inc., Memry Corporation, Teleflex MedOEM, Admedes Schuessler and Donatelle.

Global Healthcare CMO Market: Overview

A majority of medical devices and pharmaceutical manufacturing companies around the world are gradually outsourcing their production activities to contract manufacturers to achieve cost efficiency and focus on their core competencies. Through this, the companies are aiming to capitalize on specific expertise in a given business category, which may not be available in house. The trend is thus expected to bolster opportunities for the global healthcare contract manufacturing outsourcing (CMO) market. 

The report studies the global healthcare CMO market based on services and its regional segments. By service, the market is bifurcated into medical device CMO services and pharmaceutical CMO services. Of these, the pharmaceutical CMO services segment led the market with a share of 55.4% in 2012. 

It presents a holistic overview of the global healthcare CMO market, covering drivers and restraints affecting its trajectory and various market segments. The report is aimed at providing better perspective about the global healthcare CMO market to the stakeholders hence it studies in detail the various factors affecting its growth across the key segments. Besides this, it identifies lucrative opportunities across key regional segments. 

Global Healthcare CMO Market: Trends and Opportunities 

Contract manufacturing outsourcing involves certain manufacturing activities that were previously executed by the producers. Despite being an emerging trend, the technology has taken over the healthcare industry by storm, with leading players outsourcing their manufacturing activities to contract manufacturers with an intent of reducing cost incurred on production without compromising on the product quality. The practice also helps these companies capitalize on the expertise of contract manufacturers, while concentrating on their core activities at the same time.

As per the report, the market is considerably gaining from the presence of a skilled workforce at a lower cost in emerging economies, encouraged by which healthcare companies are outsourcing certain manufacturing activities. Therefore, efforts taken by pharmaceutical and medical devices companies to restructure their manufacturing processes alongside other activities involved in the production of medical devices have strengthened the global contract manufacturing market in the healthcare industry. 

Global Healthcare CMO Market: Regional Outlook 

Regionally, Europe, North America, Asia Pacific, and Rest of the World constitute the key segments in the global healthcare CMO market. Of these, the dominance was enjoyed by North America as it occupied overall the largest share in 2012. However, the healthcare CMO market is expected to record highest growth in Asia Pacific at a CAGR of 17.80% between 2013 and 2019. 

The implementation of favorable government regulations and amendments in intellectual property protection right are the chief drivers that will boost the Asia Pacific healthcare CMO market on a legislative front. Besides these, the market is also expected to gain from the rising uptake of novel technologies in the region. Labor cost in Asia Pacific is considerably low, which during the forecast period is likely to aid the expansion of the healthcare CMO market in the region. 

Global Healthcare CMO Market: Vendor Landscape 

Piramal Healthcare, Symmetry Medical Inc., Fareva, Greatbatch Inc., Patheon Inc., Boehringer Ingelheim GmbH, Accellent Inc., Lonza Group, Catalent Pharma Solutions Inc., and DSM are some of the major companies operating in the global healthcare CMO market. Their solutions and services they offer are recognized and widely acknowledged as the most prominent ones around the world. The report therefore presents a detailed assessment of marketing strategies they adopted over the years and the impact of the same on the overall market. It includes a detailed profiles of these companies and conducts SWOT analysis to study their strengths and weaknesses and present insight into opportunities and threats that these companies may witness in the forecast period. 

The global healthcare CMO market is segmented into: 

By Service Type 

  • Pharmaceutical Contract Manufacturing Services
  • Active Pharmaceutical Ingredients (API) Manufacturing
  • Final Dosage Form (FDF) Manufacturing
  • Packaging 
  • Medical Device Contract Manufacturing Services
  • Outsourcing Design
  • Device Manufacturing (Material Process Services, Electronic Manufacturing Services, and Finished Products)
  • Final Goods Assembly 

Geographies analyzed under this research report include 

  • North America
  • Europe
  • Asia Pacific
  • Middle East and Africa 

This report gives you access to decisive data such as:

  • Market growth drivers
  • Factors limiting market growth
  • Current market trends
  • Market structure
  • Market projections for the coming years 

Key highlights of this report 

  • Overview of key market forces propelling and restraining market growth
  • Up-to-date analyses of market trends and technological improvements
  • Pin-point analyses of market competition dynamics to offer you a competitive edge
  • An analysis of strategies of major competitors
  • An array of graphics and SWOT analysis of major industry segments
  • Detailed analyses of industry trends
  • A well-defined technological growth map with an impact-analysis
  • Offers a clear understanding of the competitive landscape and key product segments


 
 
Back To Top