www.biopharminternational.com February 2020 BioPharm International eBook 3
Growth in Biologics Market Inspires
Outsourcing
CDMOs and CMOs will continue to invest in biopharmaceutical
services and facilities as the bio/pharmaceutical industry looks to
biosimilars and personalized medicine.
B
iologics, including cell and gene therapies,
have continued their upward trend in the
pharmaceutical industry in the past few
years. Pharma companies are investing in
these therapies, and FDA has been encour-
aging the development of generic versions of already
established biologics (1). Biologics, however, are costly
to develop and manufacture, causing a variety of
pharmaceutical companies to turn to contract devel-
opment and manufacturing organizations (CDMOs).
In response to this demand, CDMOs are continuing to
invest in biopharmaceutical services and manufactur-
ing facilities.
"The industry is investing in an increasing number
of API biologics (cell, gene, vaccine, and virus therapies),
although this still accounts for a low proportion of CapEx
[capital expenditure] projects in the period 2019–2025
(7%). The use of cell and gene therapies in the market is
not well established, and the required manufacturing
costs and level of expertise are high. CapEx projects
involving API chemical or commercial solid-dose man-
ufacturing as a percentage of total CapEx has decreased
between the period 2016–2018 and 2019–2025," says
GlobalData Analyst Adam Bradbury.
Shiva Khalafpour, vice-president, head of Commercial
Ma m ma l ia n a nd M ic robia l D eve lopme nt a nd
Seventyfour
-
Stock.adobe.com
SUSAN HAIGNEY
Partnerships for Outsourcing Cover Story
