The Future of Cell & Gene Therapy Manufacturing Services Market

Growth in the cell & gene therapy manufacturing services market is primarily driven by the high incidence of cancer and other target diseases, increasing investments in pharmaceutical R&D, investments in advanced technologies by CDMOs, and increasing partnerships & agreements between pharmaceutical companies and CDMOs.

However, the high operational costs associated with cell & gene therapy manufacturing are expected to restrain the growth of the cell & gene therapy manufacturing services market to a certain extent. 

The pandemic slowed the economic growth of various countries, including the US, Germany, the UK, India, and China. It also resulted in control measures that impacted operations in life science organizations, such as production and research.  

 The impact varied due to changes in COVID-19 case volumes throughout the year, but the worst effect was seen in April 2020. Trials involving respiratory disease, oncology, ID/anti-infectives, and cardiovascular disease were the worst-hit during this time. 

Most pharmaceutical companies continue to invest heavily in the development of novel drugs and devices.

The pharmaceutical industry, in particular, is R&D-intensive. Pharmaceutical companies invest in R&D to deliver high-quality and innovative products to the market. 

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With the impact of COVID-19, the global pharma R&D growth rate has dropped to 0.3% from 2019–2020. As per report findings, this R&D spend is expected to grow steadily between 2019 and 2026 at a CAGR of 3.2% to reach USD 232.5 billion, slower than the historical CAGR of 4.6% between 2012 and 2019.

The increase in pharmaceutical R&D has resulted in a sharp increase in the number of cell & gene therapy candidates under development. This has made it necessary to outsource manufacturing services to develop cost-effective and efficient cell & gene therapies. 

Currently, there are 1,200 cell & gene therapies in trials worldwide. There are more than 700 investigational cell & gene therapies in clinical development in the US alone. However, manufacturing facilities have not kept up. It has been estimated that hundreds of facilities will be needed to manufacture the treatments that are now in clinical trials. 

Key Market Players

cell & gene therapy manufacturing services

Research Developments Analysis :

1. In 2021, Charles River Laboratories acquired a cell & gene therapy CDMO—Cognate BioServices—to increase its cell and gene therapy manufacturing capabilities.

2. In 2021, Thermo Fisher Scientific acquired Henogen S.A., Novasep's viral vector manufacturing business in Belgium, for approximately USD 859.7 million. This acquisition will increase its presence in the cell & gene therapy manufacturing therapy market.

3. In 2019, Thermo Fisher Scientific acquired Brammer Bio, a company engaged in viral vector manufacturing for gene and cell therapies, for USD 1.7 billion.

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