Latin America Biopharmaceutical Contract Manufacturing Market

Latin America Biopharmaceutical Contract Manufacturing Market Size (2023 to 2028)

The size of the Latin American biopharmaceutical contract manufacturing market is valued at USD 0.60 billion in 2023 at a CAGR of 8.50% projected growth, which will expand the market to USD 0.90 billion by 2028.

The increasing demand for biopharmaceuticals in the Latin American region is one of the major factors promoting the biopharmaceutical contract manufacturing market growth in this region. Biopharmaceuticals is a biological products manufactured and developed to address the prevention and treatment of various diseases. Recent advancements in biomanufacturing and biotechnology have triggered the growth of innovative technologies capable of addressing the difficulties related to manufacturing biopharmaceuticals. In addition, the YOY rise in the aging population, the growing number of people suffering from chronic diseases, and the availability of greater access to healthcare to the Latin American population are propelling the market growth in this region. According to an article published in the National Centre for Biotechnology Information (NCBI), the danger of infecting with multiple chronic disorders is increasing with age in Brazil. Furthermore, the Latin American market is one of the potential regions for giant pharmaceutical companies as the product costs are lower in this region, and the regulatory environment is favorable, making it not difficult for the market participants to introduce new products.

Previously, the biopharmaceutical market was aimed toward preventive biopharmaceuticals and mass production against infectious diseases. However, the commencement of therapeutic Biopharmaceuticals has altered interest in the field by creating a method for Biopharmaceuticals to be industrialized for various chronic and progressive ailments, which has endorsed the entry of several manufacturers and budding investors who are contending for a market investment in this potential market. Furthermore, the market for contract manufacturing is very progressive due to major vital players preferring CMOs for business outsourcing and expansion.

However, the market is facing several drawbacks, due to which there are expected to be a hindrance to the growth of the market. The obstacles like lack of manufacturing technology experience, misuse of patent sharing information, ease of reverse engineering the medication composition formula, ineffective resource management strategies, and a lack of quality control, large firms are choosing internal production facilities due to a lack of intellectual property regulations are the restraints faced by the market. 

This research report segmented and sub-segmented into the following categories:

By Product Type: 

• Insulin
• Monoclonal Antibodies
• Growth Factors
• Interferons
• Recombinant Proteins
• Vaccines
• Others

By Therapeutic Area: 

• Infectious Disease
• Cardiovascular Disease
• Oncology
• Metabolic Disease
• Respiratory Disorder
• Autoimmune Disease
• Neurology
• Ophthalmology
• Others

By Application: 

• Commercial
• Clinical

By Country: 

• Mexico
• Brazil
• Argentina
• Chile
• Rest of Latin America

In 2022, the Latin American region accounted for a substantial global market share and is estimated to grow at a steady CAGR during the forecast period. Factors such as increasing economies and heavy investment of the local authorities in the healthcare sector drive the Latin American market for biopharmaceutical CMO. In addition, infectious and Respiratory disorders are major therapeutic areas that have seen high growth in this region. As a result, research studies show a large concentration of biopharmaceutical enterprises in Argentina's Buenos Aires and Rosario, Brazil's Belo Horizonte, Sao Paulo, and Rio de Janeiro, Chile's Santiago, and Uruguay's Montevideo. In addition, the Latin American business system allows government involvement in multiple businesses like agriculture, education, etc., including biopharmaceuticals, further promoting the requirement for the biopharmaceutical outsourcing sectors in the region. 

Furthermore, the requirement for small countries like Uruguay and Chile to focus on exporting and outsourcing business to prevent the revenues from depleting requires them to hire the help of professional CMOS to promote the market in the region. Additionally, the prevalence of regulatory problems resulting in the length and quality of services push the market toward assistance with clinical research and drug development processes. The further the enterprises developed their products and processes, the more permissions they sought and the problems they encountered. Emerging businesses typically still need to finish their procedures or products, resulting in no approvals. Additionally, authorizations take longer to get, and the inadequacy of regulations became apparent the more complicated or innovative the product. The lack of proper healthcare systems and an increment in the demand for drug advancements are driving the demand for the market in the region. All these complications faced by the region lead to demand for the market. 

KEY MARKET PLAYERS:

A few of the prominent companies operating in the Latin America biopharmaceutical contract manufacturing market profiled in the report are Lonza Group AG, Baxter Biopharma Solutions, Samsung Biologics Co., Ltd., Fujifilm Diosynth Biotechnologies, Boehringer Ingelheim GmbH, Patheon N.V., Rentschler Biotechnologie GmbH, Biomeva GmbH, Probiogen AG, Cytovance Biologics, Inc., KBI Biopharma, Inc., WuXi Biologics, Abzena Plc, Vetter Pharma International GmbH, Sandoz International GmbH, Catalent, Inc., AbbVie Contract Manufacturing (An AbbVie Company) and Ajinomoto Althea Inc.