Global Formulation Development Outsourcing Market Size 2024, Forecast To 2033

6 Mar, 2024

The formulation development outsourcing market has experienced strong growth, advancing from $27.49 billion in 2023 to $30.17 billion in 2024, indicating a compound annual growth rate (CAGR) of 9.7% during the historic period. This growth is associated with factors such as cost efficiency, a focus on core competencies, regulatory compliance, accelerated drug development, and access to specialized expertise. Moving forward, the formulation development outsourcing market is poised for continued strong growth, projecting an increase to $43.64 billion in 2028, sustaining a CAGR of 9.7%. The forecasted period is anticipated to witness robust growth driven by factors such as the increased complexity of drug molecules, strategic partnerships, the rise of R&D costs, innovations in biopharmaceuticals, and flexible capacity. Notable trends in the forecast period encompass the integration of continuous manufacturing processes, outsourcing for modified-release formulations, collaborations for specialized drug delivery systems, the utilization of regulatory expertise in outsourced services, and the application of artificial intelligence (AI) in formulation design.

Global Formulation Development Outsourcing Market Key Driver

Growing chronic diseases are expected to propel the growth of the formulation development outsourcing market going forward. Chronic diseases are conditions that last for a year or longer, require continued medical care, and restrict daily activities. Developing effective formulations and therapies to manage and treat these conditions requires specialized expertise and resources. Formulation development outsourcing engages outside experts or specialized businesses to manage the research, development, and optimization of drug formulations to treat chronic diseases. For instance, in September 2022, according to the World Health Organization, a Switzerland-based intergovernmental organization, chronic diseases affect the lives of 41 million people every year, accounting for 74% of all deaths globally. Additionally, according to the Australian Institute of Health and Welfare, in 2020–21, 11.6 million Australians, or 47% of the population, had one or more chronic illnesses. Therefore, the growing number of chronic diseases is driving the growth of the formulation development outsourcing market. In 2023, the formulation development outsourcing market reached $P billion and is anticipated to grow to $Q billion by 2024. By 2028, the market is forecasted to be valued at $R billion.

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Global Formulation Development Outsourcing Market Segments

The formulation development outsourcing market covered in this report is segmented –
1) By Service: Preformulation, Formulation Development
2) By Therapeutic Area: Oncology, Infectious Disease, Neurology, Hematology, Respiratory, Cardiovascular, Dermatology, Other Therapeutics
3) By Formulation: Oral, Injectable, Topical, Other Formulations
4) By End-User: Pharmaceutical Industries, Research And Academic Development
By Geography:The regions covered in the formulation development outsourcing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain North America was the largest region in the global formulation development outsourcing market in 2023. The regions covered in the formulation development outsourcing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

Major Formulation Development Outsourcing Industry Players

Syngene International Ltd., Aizant Drug Research Solutions Private Limited., Catalent Inc., Intertek Group plc, Recipharm AB, SGS S.A., Lonza Group AG, Eurofins Scientific SE, Laboratory Corporation of America Holdings, Charles River Laboratories International Inc., Emergent Biosolutions Inc., IRISYS LLC, Piramal Pharma Limited., Biocon Limited., Dr Reddy's Laboratories Ltd., Quotient Sciences Ltd., Almac Group, Patheon, Evonik Industries AG, Metrics Contract Services, Aenova Group, Fareva Group, Vetter Pharma International GmbH, Aesica Pharmaceuticals, WuXi AppTec, Formosa Laboratories Inc., Aptuit LLC, ProPharma Group, Laurus Labs Limited, Petrofly

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Formulation Development Outsourcing Market Overview

Formulation development outsourcing refers to the practice of hiring external experts or organizations to handle the process of formulating and developing a product. This outsourcing arrangement allows companies to leverage the specialized knowledge, resources, and expertise of external parties to develop or improve the formulation of their products.

Formulation Development Outsourcing Global Market Report 2023 provides data on the global formulation development outsourcing market such as market size, growth forecasts, segments and geographies, competitive landscape including leading competitors’ revenues, profiles and market shares. The formulation development outsourcing market report identifies opportunities and strategies based on market trends and leading competitors’ approaches.