Latin America Pharmaceutical Contract Manufacturing & Research Services Market Size, Share & Trends Analysis Report By Service (Manufacturing, Research), By Country, And Segment Forecast, 2022 - 2030

Latin America Pharmaceutical Contract Manufacturing & Research Services Market Size, Share & Trends Analysis Report By Service (Manufacturing, Research), By Country, And Segment Forecast, 2022 - 2030

Latin America Pharmaceutical Contract Manufacturing & Research Services Market Growth & Trends

The Latin America pharmaceutical contract manufacturing & research services market size is expected to reach USD 40.3 billion by 2030, according to a new report by Grand View Research, Inc. The market is expected to register a CAGR of 7.5% from 2022 to 2030. The low cost of drug registration in Latin American countries and the economic growth are the key factors contributing to progress in this region. Moreover, factors such as the growing demand for generics, rising investments in R&D, the growing geriatric population, and the increasing burden of chronic diseases are responsible for market growth. The outbreak of COVID-19 has boosted the market growth as companies have increased investments in R&D and manufacturing to develop vaccines and drugs against the COVID-19.

During the coronavirus outburst, the supply chains of biopharmaceutical companies remained robust and were largely unaffected worldwide. Similarly, contract manufacturers are observing a rise in demand for the production facilities which will be used in the COVID-19 vaccine and therapeutics. Thus, the future holds numerous growth opportunities in the market for pharmaceutical contract manufacturing & research service in Latin America.

For instance, in December 2021, under an agreement between Samsung Biologics and AstraZeneca, to manufacture Evusheld, which is an amalgamation of binary antibodies in development for the potential treatment of COVID-19. These factors are promoting the demand for CMOs and CROs in Latin American countries. The initiatives to decrease the commodity prices are expected to improve the region’s economic growth thereby boosting the revenue generation in the outsourcing market for pharmaceutical development.

Latin America Pharmaceutical Contract Manufacturing & Research Services Market Report Highlights

• The manufacturing segment captured the largest share of about 66.3% in 2021, owing to the extensive range of services offered by the pharmaceutical CMOs for manufacturing drugs
• The API/bulk drug development services segment has held a dominant share in 2021, as pharmaceutical companies are making high investments in enhancing the API production capacity
• The inclination of pharmaceutical manufacturers to focus on core competencies rather than R&D is expected to boost the demand for contract research organizations in the region
• Government initiatives to ensure GMP compliance is expected to improve the demand for CMOs among the small and medium-sized pharma companies in the region