Shriya Bhatkhande 

Historically, in the early days of bioprocessing, the use of outsourcing to a contract manufacturer had been considered a less-than-optimal way to build a biopharmaceutical company. However, as attention has shifted toward improving efficiency, this has changed. The biopharmaceutical industry has increased its reliance on contract manufacturers over the past decade for a variety of reasons.

One of the factors increasing the demand for contract development and manufacturing organizations (CDMOs) and greater outsourcing is the industry’s focus on productivity and efficiency. Some operations and bioprocessing activities can simply be done more effectively by organizations that specialize in those operations. As the industry has become more complex, with increasingly advanced technologies, such as cell and gene therapies, in some cases, the need for the skills available from specialized CDMOs is indispensable. According to the 19th
Annual Report and Survey of Biopharmaceutical Manufacturing Capacity and Production by BioPlan Associates in 2022 (1), 65% of biomanufacturers today outsource at least some of their bioprocessing. This compares with only 42% outsourcing in 2006.The trend over the past 17 years has been very consistent—each year fewer facilities are relying solely on their in-house capabilities.And over the next five years, this trend will continue, with 79% of respondents indicating they plan to outsource at least some of their operations by 2027 (1).

Read this article in the Bio/Pharma Outsourcing Innovation 2023 eBook

Shriya Bhatkhande is a research associate at BioPlan Associates.

When referring to this article, please cite it as S. Bhatkhande, " Biopharmaceutical Manufacturing Growth," 

Pharmaceutical Technology's Bio/Pharma Outsourcing Innovation

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