Pharmaceutical Analytical Testing Outsourcing Market Size, Share & Growth Report 2032

Pharmaceutical Analytical Testing Outsourcing Market: Industry Perspective

The global pharmaceutical analytical testing outsourcing market size was worth around USD 8.32 billion in 2023 and is predicted to grow to around USD 17.27 billion by 2032 with a compound annual growth rate (CAGR) of roughly 8.57% between 2024 and 2032.

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The report covers forecasts and analyses for the pharmaceutical analytical testing outsourcing market on a global and regional level. The study provides historical data from 2018 to 2022 and forecasts from 2024 to 2032 based on revenue (USD Billion). The study includes drivers and restraints for the pharmaceutical analytical testing outsourcing market and their impact on the demand over the forecast period. Additionally, the report consists of the study of opportunities available in the pharmaceutical analytical testing outsourcing market on a global as well as regional level.

To give the users of this report a comprehensive view of the pharmaceutical analytical testing outsourcing market we have included a competitive landscape and analysis of Porter’s Five Forces model for the market. The study encompasses a market attractiveness analysis, wherein all segments are benchmarked based on their market size, growth rate, and general attractiveness.

The report provides a company market share analysis to give a broader overview of the key players in the pharmaceutical analytical testing outsourcing market. In addition, the report also covers key strategic developments of the market including acquisitions & mergers, new product launches, agreements, partnerships, collaborations & joint ventures, research & development, and regional expansion of major participants involved in the pharmaceutical analytical testing outsourcing market on a global and regional basis.

Pharmaceutical Analytical Testing Outsourcing Market: Dynamics

Analytical testing is an important part of the quality management system for pharmaceutical and biopharmaceutical manufacturers. The process is a crucial step in the drug manufacturing process. Analytical testing can be used for the identification, and purification of compounds and impurities, characterization of active pharmaceutical ingredients, stability testing, method development, and validation, etc. Outsourcing of pharmaceutical and biopharmaceutical product analytical testing is gaining momentum as a result of the increasing need to speed up the overall product development and commercialization process along with an increasing number of pipeline products, the need to reduce overall cost, and faster regulatory approvals.

The pharmaceutical analytical testing outsourcing market is majorly driven by an increasing focus on biopharmaceutical and biosimilar testing, growth in new biopharmaceutical development, and increasing adoption of outsourcing activities. Other factors such as increasing investments, growing demand for biosimilar and other new pharmaceutical therapeutics, increasing registrations for clinical trials, and entry of new contract organizations have widely influenced the growth of the pharmaceutical analytical testing outsourcing market. However, regulatory audits and quality approvals may hamper the growth of this market.

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Pharmaceutical Analytical Testing Outsourcing Market: Segmentation Analysis

The study provides a crucial view on pharmaceutical analytical testing outsourcing by segmenting the market based on product type, solution type, end user and region. All the segments of the pharmaceutical analytical testing outsourcing market have been analyzed based on present and future trends and the market is estimated from 2024 to 2032.

Based on product market is segmented into raw materials, active pharmaceutical ingredients and finished products. The active pharmaceutical ingredient product segment is expected to grow at the highest CAGR over the forecast period. This growth is attributed to increasing demand for biosimilars, monoclonal antibodies, generic drugs, etc. for treating various chronic disorders.

Based on services, the global pharmaceutical analytical testing outsourcing market is bifurcated into method development & validation, bioanalytical testing, stability testing, and others. the bioanalytical testing segment is further sub-categorized into nonclinical and clinical. The stability testing segment is further split into stability indicating method validation, drug substance, photostability testing, accelerated stability testing, and others. The method development & validation segment is further split into impurity method, technical consulting, extractable & reachable, and others. The bioanalytical testing segment accounted for the largest market share in 2023 and the clinical bioanalytical testing segment is expected to grow at the highest CAGR over the forecast period. The stability testing segment is projected to witness the highest growth rate over the forecast period.

Pharmaceutical Analytical Testing Outsourcing Market: Report Scope

Pharmaceutical Analytical Testing Outsourcing Market: Regional Analysis

North America dominated the global pharmaceutical analytical testing outsourcing market in 2023. The strong presence of major biopharmaceutical manufacturers, favorable government support, and increasing research and development of new chemical entities (NCEs), biosimilars, therapeutic peptides, and monoclonal antibodies have contributed to the large market share in North America.

Europe held the second largest revenue share in 2023 owing to the availability of ample funds for R&D, growing investments by major players, the presence of developed infrastructure for R&D, etc. Asia Pacific is projected to register the highest CAGR over the forecast period. The presence of major contract research organizations in developed pharmaceutical generics markets in emerging countries like China and India is expected to contribute to high growth over the forecast period.

Pharmaceutical Analytical Testing Outsourcing Market: Competitive Analysis

The global pharmaceutical analytical testing outsourcing market is dominated by players like:

• Intertek Group PLC
• SGS SA
• Toxikon, Inc.
• Exova Group PLC
• Pharmaceutical Product Development, LLC
• Eurofins Scientific
• Charles River Laboratories International, Inc.
• Pace Analytical Services, LLC
• West Pharmaceutical Services, Inc.
• Boston Analytical, Inc.

The report segments of the global pharmaceutical analytical testing outsourcing market as follows:

Global Pharmaceutical Analytical Testing Outsourcing Market: By Product Type

• Raw Materials
• Active Pharmaceutical Ingredients
• Finished Products

Global Pharmaceutical Analytical Testing Outsourcing Market: By Services

• Bioanalytical Testing
  • Clinical
  • Non Clinical
• Method Development & Validation
  • Extractable & Leachable
  • Impurity Method
  • Technical Consulting
  • Others
• Stability Testing
  • Drug Substance
  • Stability Indicating Method Validation
  • Accelerated Stability Testing
  • Photostability Testing
  • Others
• Others

Global Pharmaceutical Analytical Testing Outsourcing Market: By Region

• North America
  • U.S.
• Europe
  • UK
  • France
  • Germany
• Asia Pacific
  • China
  • Japan
  • India
• Latin America
  • Brazil
• Middle East and Africa