InsightAce Analytic Pvt. Ltd. has released a market assessment report on the global Small Molecule Innovator CDMO Market. The report predicts that the market is estimated to reach over USD 76.50 billion by 2031, exhibiting a compound annual growth rate (CAGR) of 6.1% during the forecast period.
A Contract Development and Manufacturing Organization (CDMO) is a company that provides contract drug development and manufacturing services. They offer specialized expertise, infrastructure, and resources to support various stages of drug development on behalf of pharmaceutical firms or inventors. While the market for small-molecule medications continues to grow, there is also an increasing demand for biopharmaceuticals and biologics.
Some CDMOs have expanded their offerings to include both small molecule and biologics development, which has influenced the competitive landscape. The development of the small molecule innovator CDMO market is being driven by an increase in cancer cases, the need for improved oncology diagnosis, and research and development (R&D) in this field. Cancer is the leading cause of death globally, with an expected 10 million deaths in 2020. The growing burden of cancer is expected to spur the demand for novel cancer drugs and drive market growth.
The report highlights several prominent players in the Small Molecule Innovator CDMO Market, including Piramal Pharma Solutions, CordenPharma International, Wuxi AppTec, Cambrex Corporation, Recipharm AB, Pantheon (Thermo Fisher Scientific), Lonza, Catalent Inc., Siegfried Holding AG, Boehringer Ingelheim, and Labcorp Drug Development.
The drivers of the Small Molecule Innovator CDMO Market include the expanding demand for small-molecule medicines for the effective treatment of various diseases and disorders. Additionally, the trend of outsourcing medication development and manufacturing to save costs and gain access to specialized knowledge is contributing to market growth. The need for innovative and efficient medication research and manufacturing processes is also driving the industry.
However, the pharmaceutical sector faces challenges in meeting high regulatory and quality standards. CDMOs must comply with numerous health authorities and regulatory agencies, and noncompliance can lead to project delays or risks. Capacity limitations and longer lead times can also pose challenges for CDMOs.
Regionally, the North America Small Molecule Innovator CDMO Market is expected to register a significant market share and grow at a high CAGR in the near future. North America has a well-developed healthcare system and numerous pharmaceutical companies, driving the demand for small-molecule medications. The Asia Pacific region is also projected to experience growth due to technological advancements, reduced service costs, and the availability of trained labor.
In June 2022, Lonza opened a new facility in Bend, Oregon, dedicated to clinical phase development and production. This facility aims to produce bioavailability-enhancing spray-dried dispersion (SDD) final dosage forms and drug product intermediates.
The Small Molecule Innovator CDMO Market is segmented based on product (small molecule API, small molecule drug product), stage type (preclinical, clinical, commercial), customer type (pharmaceutical, biotechnology), therapeutic area (cardiovascular disease, oncology, respiratory disorders, neurology, metabolic disorders, infectious disease, others), and region (North America, Europe, Asia-Pacific, Latin America, Middle East & Africa).
In conclusion, the Small Molecule Innovator CDMO Market is expected to see significant growth in the coming years, driven by the increasing demand for small-molecule medicines and the outsourcing of medication development and manufacturing. Compliance with regulatory standards and capacity limitations are some of the challenges that the industry will face. North America and Asia Pacific are emerging as key regions for market growth.
– InsightAce Analytic Pvt. Ltd.