Latin America Pharmaceutical Contract Manufacturing & Research Services Market Size, Share, Report 2023-2032
The Latin America pharmaceutical contract manufacturing & research services market was surpassed at USD 22.55 billion in 2022 and is expected to hit around USD 46.22 billion by 2032, growing at a CAGR of 7.44% from 2023 to 2032.
Key Pointers
Report Scope of the Latin America Pharmaceutical Contract Manufacturing & Research Services Market
| Report Coverage | Details |
| Market Size in 2022 | USD 22.55 billion |
| Revenue Forecast by 2032 | USD 46.22 billion |
| Growth rate from 2023 to 2032 | CAGR of 7.44% |
| Base Year | 2022 |
| Forecast Period | 2023 to 2032 |
| Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
| Companies Covered | Boehringer Ingelheim International GmbH; Fresenius Kabi AG; Unither Pharmaceuticals; Lonza; Pfizer Inc.; Charles River Laboratories; Laboratory Corporation of America Holdings; IQVIA, Inc.; Recipharm AB; AbbVie, Inc.; Catalent, Inc.; West Pharmaceutical Services, Inc |
Drug shortfall, tighter budgets, rising competition, patent expiration, and insufficient resources are some of the major factors boosting market growth. The time- and cost-saving benefits associated with the implementation of outsourcing are contributing to market growth. The key players are consistently capitalizing on technology, infrastructure, and personnel to gain a bigger share of the outsourcing revenue. Mexico has implemented a comprehensive regulatory framework to govern pharmaceutical contract manufacturing and research services.
The Federal Commission for Protection against Sanitary Risks (COFEPRIS) is the primary regulatory authority responsible for overseeing these activities. Intellectual property protection is a crucial aspect of the regulatory framework. Mexico has implemented intellectual property laws in line with international standards to safeguard innovations in the pharmaceutical industry. The Industrial Property Law and the Patent Law provide legal protections and incentives for research and development. Furthermore, import and export regulations, overseen by COFEPRIS and the Mexican Tax Administration Services (SAT), ensure compliance with customs procedures, licensing, and documentation requirements for the smooth flow of materials, products, and samples.
Biopharmaceutical manufacturing is recognized as a leading sector in terms of growth potential. Many healthcare entities believe that this sector would be one of the top 10 revenue generators in the coming years. Moreover, the market players are making continuous efforts for the development of this sector to meet the increasing demand for bio-based pharmaceuticals, which, in turn, is anticipated to result in a surge of CMOs for biopharmaceutical production. This healthy growth of biopharmaceuticals has resulted in the development of a large service pipeline. Understanding the cost-effectiveness associated with contract manufacturing, many firms have begun to outsource parts of their biopharmaceutical manufacturing to contract manufacturers.
Furthermore, in-house R&D at biopharmaceutical majors is no longer the sole source of successful innovation in the industry, with novel molecules discovered by small- to mid-capital companies before being acquired by established players. As a consequence, CROs have increasingly begun to highlight contract wins with such smaller biotech entities as an important driver of sustainability in volumes. Latin American companies are enhancing their market presence by putting efforts into the modification and expansion of domestic specialty manufacturing facilities as well as focusing on worldwide partnerships. On the other hand, the expansion of international and well-established companies, such as Thermo Fisher Scientific Inc. (PPD) and IQVIA, Inc., in countries like Brazil, Mexico, Argentina, and Chile is expected to fuel market growth in the region. These countries are perceived to have great potential for pharmaceutical development.
Services Insights
The manufacturing segment dominated the industry with a revenue share of 67% in 2022. Based on services, the market is segmented into manufacturing and research. Contract manufacturing services comprise the solutions and facilities for the manufacture of API/bulk drugs, advanced drug delivery formulations, packaging, and finished dose formulations. These services accounted for the largest share in 2022, in terms of revenue generation, as a large number of global companies are seeking the outsourcing of therapeutic development from the production of drug substances (APIs) to finished drug products due to limited capacity and lack of expertise.
The contract research services segment is anticipated to register the fastest growth rate of 7.55% during the forecast period. One of the major factors driving the growth of this segment includes the clinical testing cost requirement that has skyrocketed in the past few years, and the overall cost is anticipated to increase by a few billion dollars every year. Consequentially, this compels pharmaceutical companies to outsource the clinical research aspects of drug development.
Latin America Pharmaceutical Contract Manufacturing & Research Services Market Segmentations:
By Services
Chapter 1. Introduction
1.1.Research Objective
1.2.Scope of the Study
1.3.Definition
Chapter 2. Research Methodology
2.1.Research Approach
2.2.Data Sources
2.3.Assumptions & Limitations
Chapter 3. Executive Summary
3.1.Market Snapshot
Chapter 4. Market Variables and Scope
4.1.Introduction
4.2.Market Classification and Scope
4.3.Industry Value Chain Analysis
4.3.1. Raw Material Procurement Analysis
4.3.2. Sales and Distribution Channel Analysis
4.3.3. Downstream Buyer Analysis
Chapter 5.COVID 19 Impact on Latin America Pharmaceutical Contract Manufacturing & Research Services Market
5.1. COVID-19 Landscape: Latin America Pharmaceutical Contract Manufacturing & Research Services Industry Impact
5.2. COVID 19 - Impact Assessment for the Industry
5.3. COVID 19 Impact: Major Government Policy
5.4.Market Trends and Opportunities in the COVID-19 Landscape
Chapter 6. Market Dynamics Analysis and Trends
6.1.Market Dynamics
6.1.1. Market Drivers
6.1.2. Market Restraints
6.1.3. Market Opportunities
6.2.Porter’s Five Forces Analysis
6.2.1. Bargaining power of suppliers
6.2.2. Bargaining power of buyers
6.2.3. Threat of substitute
6.2.4. Threat of new entrants
6.2.5. Degree of competition
Chapter 7. Competitive Landscape
7.1.1. Company Market Share/Positioning Analysis
7.1.2. Key Strategies Adopted by Players
7.1.3. Vendor Landscape
7.1.3.1.List of Suppliers
7.1.3.2.List of Buyers
Chapter 8. Latin America Pharmaceutical Contract Manufacturing & Research Services Market, By Services
8.1.Latin America Pharmaceutical Contract Manufacturing & Research Services Market, by Services Type, 2023-2032
8.1.1. Manufacturing
8.1.1.1.Market Revenue and Forecast (2020-2032)
8.1.2. Research
8.1.2.1.Market Revenue and Forecast (2020-2032)
Chapter 9. Latin America Pharmaceutical Contract Manufacturing & Research Services Market, Regional Estimates and Trend Forecast
9.1. Latin America
9.1.1. Market Revenue and Forecast, by Services (2020-2032)
Chapter 10.Company Profiles
10.1. Boehringer Ingelheim International GmbH
10.1.1.Company Overview
10.1.2.Product Offerings
10.1.3.Financial Performance
10.1.4.Recent Initiatives
10.2. Fresenius Kabi AG
10.2.1.Company Overview
10.2.2.Product Offerings
10.2.3.Financial Performance
10.2.4.Recent Initiatives
10.3. Unither Pharmaceuticals
10.3.1.Company Overview
10.3.2.Product Offerings
10.3.3.Financial Performance
10.3.4.Recent Initiatives
10.4. Lonza
10.4.1.Company Overview
10.4.2.Product Offerings
10.4.3.Financial Performance
10.4.4.Recent Initiatives
10.5. Pfizer Inc.
10.5.1.Company Overview
10.5.2.Product Offerings
10.5.3.Financial Performance
10.5.4.Recent Initiatives
10.6. Charles River Laboratories
10.6.1.Company Overview
10.6.2.Product Offerings
10.6.3.Financial Performance
10.6.4.Recent Initiatives
10.7. Laboratory Corporation of America Holdings
10.7.1.Company Overview
10.7.2.Product Offerings
10.7.3.Financial Performance
10.7.4.Recent Initiatives
10.8. IQVIA, Inc.
10.8.1.Company Overview
10.8.2.Product Offerings
10.8.3.Financial Performance
10.8.4.Recent Initiatives
10.9. Recipharm AB
10.9.1.Company Overview
10.9.2.Product Offerings
10.9.3.Financial Performance
10.9.4.Recent Initiatives
10.10. AbbVie, Inc.
10.10.1. Company Overview
10.10.2. Product Offerings
10.10.3. Financial Performance
10.10.4. Recent Initiatives
Chapter 11.Research Methodology
11.1.Primary Research
11.2.Secondary Research
11.3.Assumptions
Chapter 12.Appendix
12.1. About Us
12.2. Glossary of Terms
Cross-segment Market Size and Analysis for
Mentioned Segments
Additional Company Profiles (Upto 5 With No Cost)
Additional Countries (Apart From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers