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A CDMO is a company dedicated to providing drug development and manufacturing services for the pharmaceutical and biotechnology industries. CDMO activities can broadly be divided into four fields: product development, manufacture of active pharmaceutical ingredients (API), manufacture of finished dosage forms (FDF) and pharma packaging.


Contract Pharmaceutical Manufacturing is part of CDMO, refers to accept commissioned from pharmaceutical companies, provide the service about API production, FDF production, packaging.


Pharmaceutical companies are likely to outsource a wide range of manufacturing related activities including – primary and secondary packaging, formulation, active ingredient manufacturing, labeling, clinical supplies, sterilization, manufacturing of chemical intermediates, etc. CDMOs support pharmaceutical companies at all stages of the process of making medicines: by providing services in the research and development stages, by offering support in manufacturing, and by providing formulating and finishing processes.


The market driver is consistent development of blockbuster pharmaceuticals, increasing production outsourcing by pharmaceuticals companies. The increasing outsourcing trend in the pharmaceutical industry demonstrates the success of this business model, as CDMOs are increasingly becoming integral parts of pharmaceutical companies’ value chains.


The growing demand for novel therapies is leading many small & large pharmaceutical companies worldwide to strategically tie-up with many contract development and manufacturing organizations (CDMO) to compress the timelines associated with the drug development process.


Pharmaceutical CMOs operate in North America, Europe and Asia. Some U.S. drug companies began partnering with Indian and Chinese CMOs, because both India and China have highly educated workforces that carry out drug research, development and manufacturing at lower costs than U.S. or European CMOs. Industry observers initially predicted that most pharmaceutical contract manufacturing would eventually be done by Indian and Chinese CMOs.


Global market for Pharmaceutical CDMO (Pharmaceutical Contract Development and Manufacturing Organization) estimated at US$ 139345 million in the year 2023, is projected to reach a revised size of US$ 217203 million by 2029, growing at a CAGR of 7.68% during the forecast period 2023-2029.


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