Healthcare CMO Market: Asia Pacific to Propel the Market at 17.80% CAGR By 2019

Transparency Market Research Report Added “Healthcare CMO Market (Service – Pharmaceutical Contract Manufacturing Services (Active Pharmaceutical Ingredients (API) Manufacturing, Final Dosage Form (FDF) Manufacturing, and Packaging) and Medical Device Contract Manufacturing Services (Outsourcing Design, Device Manufacturing (Material Process Services, Electronic Manufacturing Services, and Finished Products), and Final Goods Assembly)” to its database.

Global Healthcare CMO Market: Overview

A majority of medical devices and pharmaceutical manufacturing companies around the world are gradually outsourcing their production activities to contract manufacturers to achieve cost efficiency and focus on their core competencies. Through this, the companies are aiming to capitalize on specific expertise in a given business category, which may not be available in house. The trend is thus expected to bolster opportunities for the global healthcare contract manufacturing outsourcing (CMO) market.

The report studies the global healthcare CMO market based on services and its regional segments. By service, the market is bifurcated into medical device CMO services and pharmaceutical CMO services. Of these, the pharmaceutical CMO services segment led the market with a share of 55.4% in 2012.

It presents a holistic overview of the global healthcare CMO market, covering drivers and restraints affecting its trajectory and various market segments. The report is aimed at providing better perspective about the global healthcare CMO market to the stakeholders hence it studies in detail the various factors affecting its growth across the key segments. Besides this, it identifies lucrative opportunities across key regional segments.

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Global Healthcare CMO Market: Trends and Opportunities

Contract manufacturing outsourcing involves certain manufacturing activities that were previously executed by the producers. Despite being an emerging trend, the technology has taken over the healthcare industry by storm, with leading players outsourcing their manufacturing activities to contract manufacturers with an intent of reducing cost incurred on production without compromising on the product quality. The practice also helps these companies capitalize on the expertise of contract manufacturers, while concentrating on their core activities at the same time.

As per the report, the market is considerably gaining from the presence of a skilled workforce at a lower cost in emerging economies, encouraged by which healthcare companies are outsourcing certain manufacturing activities. Therefore, efforts taken by pharmaceutical and medical devices companies to restructure their manufacturing processes alongside other activities involved in the production of medical devices have strengthened the global contract manufacturing market in the healthcare industry.

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