What Lies Ahead for the Pharmaceutical Analytical Testing...
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What Lies Ahead for the Pharmaceutical Analytical Testing Outsourcing Market?

By Pharma Tech Outlook | Monday, September 28, 2020

The pharmaceutical analytical testing market is growing exponentially and is expected to increase more in the coming years.

Fremont, CA: The global pharmaceutical analytical testing outsourcing market size is predicted to reach USD 11.4 billion by 2027, according to a report registering a CAGR of 8.3 percent over the forecast period. The increasing pipelines for biological candidates, rising demand for added analytical details on drugs, and process development by regulatory agencies are augmenting the market growth. Top 10 Pharma Outsourcing Solution Companies In APAC - 2020

Analytical testing offers real-time product quality control, optimizes and monitors processes, characterizes biosimilars and biologics, and enhances productivity. One of the key reasons for outsourcing analytical testing services is to benefit from the skilled and experienced professionals and access expensive analytical equipment that is not available in-house.

An increase in the development of biologics is also creating a demand for analytical testing services. In the past three decades, biologics have secured the center stage in discovering and developing drugs. Moreover, there is a massive demand to define higher-order biological structures. The requirement for a better product characterization and comparability studies, particularly for biosimilars, further resulted in the drug companies outsourcing these services.

A patent cliff, especially for small molecules in the pharmaceutical industry, leads to a decline in revenue, thereby affecting the profits. Soon, various best-selling biologics would come towards the end of patent life, like Humira. Thus, drug innovators are under constant pressure to bring new products through the pipeline at a faster rate. Developing advanced analytical testing to assess and monitor these products' quality attributes requires a broader set of equipment and expertise, which is beyond the internal capacity of pharma companies. This would subsequently lead to increased instances of outsourcing pharmaceutical analytical testing services.

Further key findings are:

• The outsourcing of clinical bioanalytical testing services emerged as the largest segment in 2019, with a share of around 79 percent owing to the increasing number of clinical trials.

• The extractable and leachable services segment is expected to witness a significant growth rate owing to an increasing number of vendors offering these services at competitive prices.

• North America engulfed the global market with a share of 54.2 percent in 2019 as the region is one of the top manufacturing hubs of highly reliable, complex, and high-end pharmaceuticals.

See also: Top 10 Endoscopy Solution Companies - 2020

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