Benefits of Pharmaceutical Contract Manufacturing

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Pharmaceutical contract manufacturing is the process of outsourcing the work of manufacturing medication such as pills, tablets, and capsules for consumption to a third party. It may also entail drug development processes and even regulatory support to help with the lengthy approval needed for a drug to be released on the market.

Pharmaceutical contract manufacturers give support for the manufacture and design of pharmaceuticals. These contract manufacturers normally provide quality backed and extremely secure pharmaceuticals at affordable prices. Most of the contract manufacturers help their customers in the production, finance, marketing, distribution and program management of pharmaceuticals. Many pharmaceutical companies seek the help of contract manufacturers to produce a product economically and within a certain period of approved time frame. Contract manufacturers usually work together with these pharmaceutical companies to produce the best products.

The main pharmaceutical contract manufacturing capabilities include solid dose tablets, capsules, and oral liquid production. Clinical supplies manufacturing, process development, stability testing programs, analytical method development and validation, technical transfer, process scale-up and validation, unit dose blister packaging with barcoding and regulatory consultation are the other functions of pharmaceuticals contract manufacturing. Many pharmaceuticals contract manufacturers deal with the manufacturing and development of sterile liquids and lyophilized products in solid, semisolid and liquid dosage forms. A few contract manufacturers also assist with formulation and development, secondary packaging, production scale-up, primary and secondary production, and regulatory consultation.

Pharmaceuticals contract manufacturing lessens the time and cost of production thus they provide a service extending capacity for pharmaceutical and biotechnology companies. Pharmaceuticals contract manufacturing is the high quality and economical alternative to small and medium-sized biotech and diagnostic companies. Contract manufacturers usually serve as partners for the smaller and virtual organizations to provide services that require too much time and substantial financial resources. The larger pharmaceutical companies can also reduce their cost of production by outsourcing to contract manufacturers who have more experience and resources.

How To Find A Pharmaceutical Contract Manufacturing Laboratory?

Visiting tradeshow conferences that occur all throughout the year are the best way to find a pharmaceutical contract manufacturing laboratory because most of the ones that are equipped to handle your projects will be in attendance as well.

A tradeshow consists of hundreds of booths, some 10x10, some 20x20, and some are even bigger than that. Each pharmaceutical contract manufacturing company will likely have a sales representative present along with a number of scientists that are readily available to answer any questions you may have about their company and about the services they can provide to your specific projects. There are at least 10 or more big tradeshows per year that are held across the world that you should plan to attend, depending on the type of pharmaceuticals you're interested in manufacturing, whether it be biopharmaceuticals, pharmaceuticals or nutraceuticals.


Contract manufacturing requires clear deliverables to keep the project focused and to manage it efficiently. Pharmaceutical contract manufacturers need to communicate with their clients when technical issues occur immediately. Since the main feature of pharmaceutical contract manufacturing is the quality of products, contract manufacturers must know all the needs of the customer.

Advantages of Pharmaceutical Contract Manufacturing

Contract manufacturing organizations (CMO) provide various manufacturing services to the pharmaceutical and biotechnology industries from the stage of drug development to the full-scale production. These organizations can be hired for the manufacturing of small quantity of materials for R&D purposes, then larger amount for the clinical studies and finally for the full-scale production.
Contract manufacturing majorly includes the manufacturing of solid and liquid dosage forms as well as the injectable. However, the growing and upcoming usage of generic drugs and complex pharmaceutical products has seen many of these organizations produce active pharmaceutical ingredient (API) for their clients also. Some of the advantages of pharmaceutical contract manufacturing are discussed below:
1. Cost-effectiveness
Development of a new drug requires a huge initial investment and comprehensive research. After making a huge investment in R&D, more investment is required for setting up a manufacturing facility. A CMO, on the other hand, has an already established expertise and infrastructure to produce the drug at much cheaper rates. A company can save on labor costs such as wages, training and fringe benefits through contract manufacturing.
2. Advanced Skills
Due to the exponential rise in the pharmaceutical industry, use of advanced technologies and skills for manufacturing has become imperative. To bring a new drug to the market quickly at the lowest possible cost requires huge investments in the manufacturing process. Even the biggest pharmaceutical companies find it hard to have such expertise and resources.
CMOs have already established expertise and facilities to manufacture at full scale. They have strong ties with the raw material suppliers and have incorporated various efficiency methods to manufacture at the lowest possible operational cost.
3. Quality Assurance
CMOs have pre-established quality checks in place that have been refined over the years. They have been manufacturing in compliance with various standards used in different countries and have specific systems in place to control the quality of the end product. Pharmaceutical contract manufacturing helps the companies to make use of such quality control techniques to ensure compliance with different quality standards around the world.
4. Global Presence
Through CMOs, a pharmaceutical company can enter into new markets at minimal financial risks. There is no need for local investment in the areas of the capital, time and executive talent. In some cases, the CMO might also take care of marketing & sales for its clients. Entering into new markets through joint ventures and FDI exposes a company to financial and political risks. A CMO can help such companies in minimizing these kinds of risks.
To produce a drug, different kinds of resources are needed. A company may not find all of these resources in its own country and can outsource such manufacturing process to a country where these resources are readily available.
In conclusion, there's a great deal of importance put on pharmaceutical manufacturing, but without the expertise of pharmaceutical management and the proper distribution of the drugs, the industry would never be able to function as effectively as it does. Pharmaceutical management will ensure that there is a reliable availability of medicines and drugs within the public health services.