The global demand for Contract Manufacturing Organizations (CDMO) is expected to benefit from the outbreak of the Coronavirus pandemic. The contract manufacturing company segment is anticipated to open up lucrative business growth opportunities. The global CMO market is expected to hit US$241.3 billion in 2024, with a compound annual growth rate (CAGR) of 9.80 percent from 2020 to 2024.
The contract manufacturing sector in Europe is nearing potential, with expansion plans aplenty. Boehringer opened the first phase of the US$ 77 million facilities which includes a single-use bioreactor that can handle up to 2000 liters of clinical supplies or industrial output. Also, Rentschler, which is looking to expand internationally, added a new facility to its Laupheim, Germany, location two years ago to increase capacity.
In Europe's biopharmaceutical contract manufacturing industry, the biologics segment had the largest market share in 2020. The contract manufacturing of biologics has seen a big uptick. This is due to difficulties in producing large-scale biologics on a small scale in-house. Sanofi, for example, has hired Boehringer Ingelheim to produce its biologics pipeline. Many organizations are turning to CMOs to expedite the development process and reduce production costs. These markets demonstrate and witness growth at a significant rate in Europe region.