Oral Solid Dosage Contract Manufacturing Market Analysis

Oral Solid Dosage Contract Manufacturing Market Analysis

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Based on product, the market is segmented into tablets, capsules, powders, granules, and other products. The tablets segment dominated the market is 2023 and accounted for USD 11.6 billion.
 

• Tablets are a popular choice for drug delivery due to their convenience, ease of administration, and patient compliance. They offer precise dosing and can be formulated to release the drug at different rates, providing flexibility for various therapeutic needs.
   
• Moreover, tablets have a longer shelf life compared to other dosage forms, making them suitable for mass production and distribution.
   
• Additionally, the well-established regulatory framework for tablet manufacturing and the availability of efficient production technologies also plays a role in driving the market share of tablets in oral solid dosage contract manufacturing.
   

Based on type, the oral solid dosage contract manufacturing market is segmented into immediate release, delayed release, and controlled release. The controlled release segment dominated the market with 52% of market share in 2023.
 

• Controlled release formulations offer several advantages over conventional formulations, including reduced dosing frequency, improved patient compliance, and minimized side effects.
   
• These formulations are particularly advantageous for drugs with a narrow therapeutic index or those requiring a sustained release profile.
   
• Additionally, the increasing prevalence of chronic diseases, such as cardiovascular diseases, diabetes, and cancer, has led to a growing demand for long-acting formulations that can provide continuous drug release over an extended period. This has further fueled the market growth of the controlled release segment in the market.
   

Based on therapeutic area, the oral solid dosage contract manufacturing market is categorized into oncology, cardiovascular diseases, metabolic disorders, neurological disorders, infectious diseases, gastrointestinal diseases, and other therapeutic areas. The oncology segment dominated the market and predicted to grow at CAGR of 5.4% over the forecast period.
 

• High market share of oncology segment can be attributed to the increasing prevalence of cancer worldwide, which has led to a growing demand for oncology drugs.
   
• Additionally, the complexity of oncology drugs often requires specialized facilities and equipment, hence many pharmaceutical companies prefer to outsource to contract manufacturers with expertise in oncology formulations.
   
• This outsourcing trend, coupled with the rising number of oncology drug approvals and the need for cost-effective manufacturing solutions, thus boosts the market share of the oncology segment in the market.
   

Based on service, the oral solid dosage contract manufacturing market is segmented into drug product development, fill finish product manufacturing, active pharmaceutical ingredients (API) manufacturing, packaging and labelling, and other applications. The drug product development segment held highest market share in 2023 and is anticipated to reach USD 19.6 billion by 2032.
 

• Pharmaceutical companies are increasingly outsourcing their drug development processes to contract manufacturing organizations (CMOs) to reduce costs and accelerate time-to-market.
   
• Additionally, a number of CDMOs offer specialized expertise in drug formulation development, process optimization, and scale-up services, which are essential for bringing new drugs to market efficiently.
   
• Additionally, the growing complexity of drug formulations and the need for specialized manufacturing capabilities, such as controlled-release formulations and combination products, further drives the demand for drug product development services.
   

Based on end-use, the oral solid dosage contract manufacturing market is segmented into large size companies and medium & small size companies. The large size companies segment held highest market share in 2023 and is anticipated to grow at a CAGR of 5.2%.
 

• Large size companies typically have extensive product portfolios and a wide geographic reach, making them major consumers of contract manufacturing services.
   
• Their demand for contract manufacturing services is driven by various factors, including the need for cost-effective production, flexibility in manufacturing capacity, and access to specialized expertise.
   
• Additionally, large companies often leverage contract manufacturing to optimize their production processes, reduce time-to-market, and focus on core competencies, further solidifying their prominent position in the market.
   

North America oral solid dosage contract manufacturing market is anticipated to grow at a CAGR of 5.3% over the forecast years to reach USD 22.2 billion by 2032.
 

• North America commands a high market share in the market, primarily driven by the region's advanced healthcare infrastructure, stringent regulatory framework, and the presence of prominent pharmaceutical companies.
   
• Additionally, the region's well-established contract manufacturing organizations (CMOs) offer a wide range of services, including formulation development, manufacturing, packaging, and distribution, attracting pharmaceutical companies worldwide, thereby driving the regional market growth.
   

U.S. oral solid dosage contract manufacturing market was valued at USD 12.8 billion in 2023.
 

• The country's advanced pharmaceutical infrastructure and regulatory framework ensure high-quality standards, making it an attractive destination for outsourcing oral solid dosage manufacturing.
   
• Additionally, the presence of established pharmaceutical companies and contract manufacturing organizations (CMOs) with expertise in oral solid dosage production further enhances the market's growth.
   
• Moreover, the country's large patient population and healthcare expenditure supports the demand for oral solid medications, further driving the growth of the contract manufacturing market.
   

UK has emerged as a key player in the global market for oral solid dosage contract manufacturing, showcasing high growth potential.
 

• The country boasts a strong pharmaceutical industry supported by a well-established regulatory framework and skilled workforce.
   
• Additionally, UK's strategic location offers easy access to European markets, enhancing its appeal as a manufacturing hub.
   
• Moreover, increasing investments in research and development activities and the presence of leading pharmaceutical companies contribute to the market's growth in the country.
   

China oral solid dosage contract manufacturing market is anticipated to witness lucrative growth between 2024 – 2032.
 

• The country’s robust contract manufacturing infrastructure coupled with a large pool of skilled labor, offering cost-effective solutions for oral solid dosage contract manufacturing, boosts the market growth.
   
• Additionally, China’s favorable regulatory environment and efforts to harmonize regulations with international standards have enhanced its attractiveness for outsourcing pharmaceutical production.
   
• Moreover, the rising demand for generic drugs, especially in emerging markets, further propels the growth of China's oral solid dosage contract manufacturing sector.
   

India oral solid dosage contract manufacturing market is expected to grow significantly over the years.
 

• Cost-effective manufacturing capabilities, a large pool of skilled labor, and favorable regulatory environment accelerates the market growth.
   
• Additionally, robust pharmaceutical industry, coupled with its extensive network of contract manufacturing organizations (CMOs), further enhances its appeal as a preferred outsourcing destination for oral solid dosage production.
   
• Furthermore, as India continues to innovate and invest in technology and infrastructure, its position in the market is expected to strengthen, offering significant growth opportunities for domestic and international pharmaceutical companies.