The Future of Biologics Contract Manufacturing

All points lead directly to the positive future of biologics contract manufacturing. While a large part of the industry will be going to change particularly in the manufacturing of mammalian expression systems (which experts project will reach a yearly growth of about 14% starting 2011 up to 2018) and also the growing interest on similar by generics companies. Both of these trends are expected to have a great impact on the industry.

What about the capacity?

Biologics Contract Manufacturing organizations first came into the picture during the 1990s, they have undergone several changes and also challenges, not least of all is the industry capacity to produce the needed demand. Despite the birth pains (think of the amount of capital that venture capitalists have to put out in the arena of CMO, recombinant protein production, Antibody Conjugate, etc.), the technology has changed since then and now allows CMOs to more or less expect the outcome of any venture.

In the short term, the capacity is still capable of meeting the demand but in the next seven to 10 years, experts project a deficit in the supply and therein lies the opportunity for CMOs. Instead of thinking the market is already saturated, it makes more sense now to increase spending on improving their services and equipment. Just consider that more and more pharma companies are outsourcing their Biologics Contract Manufacturing needs to qualified partners (In 2011, this demand expanded to 15%).

More intense competition

And once the supply shrinks even further, expect the competition to become even more cutthroat. Even today, some clients have forayed into the Asian CMOs which is like opening a can of worms since a number of them do not meet the standards set by their Western counterparts even if admittedly dollar-per-dollar value they cost less when it comes to manufacturing mammalian expression systems.

Meager resources

There's also the question of the resources shrinking even more, particularly with the financial crisis affecting Europe and the United States still reeling from the effects of the economic crunch a few years back which severely affected the capacity of multinational biopharmaceutical companies to venture into innovative drugs for recombinant protein production without second guessing their decisions.

Of course, what may seem like a lost cause for one is an opportunity for another and the scant resources drive home the point that CMOs are necessary particularly in fill and finish or downstream or upstream processing, which have the greatest potentials for increased activities.

Good Win Bio is an experienced Content writer and publisher for Business Development. Visit at http://www.goodwinbio.com/ to know more about Monoclonal Antibody Production and Cell Line Development.

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