Abstract
D&MD' s Expanding Opportunities in Contract Research and Contract Manufacture of Biotherapeutics/ Biologics market analysis report is a comprehensive compilation of CROs, CMOs and their numerous secondary interconnections. This report traces the funding of the CRO network and highlights failure points along the chain of the biologic' s production including the realization that pharmaceutical productivity decline is most imminent in Phase II failure rates.
Table of Contents
Chapter 1: Executive Summary
Chapter 2: Economics of Outsourcing BioPharmaceuticals/Biologics
- 2.1 Funding of Biomedical Research by the Pharmaceutical Industry and
Federal Government in US
- 2.1.1 Government Funding
- 2.1.1.1 Industry Support
- 2.1.1.2 Distribution of Funds between Basic and Clinical Research
- 2.1.2 R&D Funding for Drug Development in 2006
- 2.1.3 Regulatory Environment
- 2.1.4 Funding for Discovery and Preclinical Innovation of Drugs
- 2.1.5 Failure Analysis of Pharmaceutical Productivity
- 2.1.6 Small/Mid Tier Pharmaceutical Companies
- 2.1.1 Government Funding
- 2.2 CROs Contribution to Drug Discovery, Development, Manufacture and Sale
of BioPharmaceuticals
- 2.2.1 Meta Analysis of the CRO Markets
- 2.2.2 CRO Segment Growth Rates
- 2.3 Outsourcing BioPharmaceutical to Contract Research Organizations
- 2.3.1 Reasons for Outsourcing Clinical Trials to CROs
- 2.3.1.1 Drivers of Outsourcing
- 2.3.1.2 Downward Cost Pressures
- 2.3.1.3 Upward Cost Pressures
- 2.3.1 Reasons for Outsourcing Clinical Trials to CROs
Chapter 3: An FDA Approved Drug Takes 15 Years and Costs Over $1 Billion
- 3.1 CROs-Integral to the Drug Discovery and Development of Biologics
- 3.2 An Overview of Biologics Manufacturing
- 3.2.1 The Drug Discovery and Development (Preclinical) to Clinical FDA Approval Process
- 3.2.2 Phases of Drug Development in the US
- 3.3 Making a Reliable Estimate of Drug Productivity
- 3.3.1 Current Costs to Develop a New Drug
- 3.4 Clinical Trials (Phases I to III) Leading to NDA Submissions, Phase IV
and FDA Approval
- 3.4.1 Tactical, Project, and Strategic Clinical Trial Outsourcing Models
- 3.4.2 Preclinical Market in 2006
- 3.4.2.1 Phase I Clinical Study Market
- 3.4.2.2 Phase II/IIIB Clinical Study Market
- 3.4.2.3 Phase IIIb/IV Clinical Study Market Projection
- 3.4.3 Central Laboratory/Clinical Trial Laboratory Service Market
- 3.4.4 Electronic Data Capture (EDC) and Electronic Health Record (EHR)
- 3.4.4.1 Electronic Data Capture (EDC)
- 3.4.4.2 Electronic Health Records (EHR)
- 3.4.5 Medical Devices Worldwide and US Revenues
- 3.5 Market Drivers for CROs
- 3.5.1 CRO Usage by Sponsor Companies
- 3.5.2 Drivers of CRO Growth
- 3.6 Estimating Clinical Success and Evaluating Clinical Phase Related
Attrition Rates
- 3.6.1 CMOs Can Speed Up Time to Market by 30%
Chapter 4: Large Scale Contract Manufacture in Phase IV
- 4.1 CMOs-A Gateway to Clinical Trials f0r Growing Biotech Companies
- 4.1.1 Case Study of Wyeth' s Over- and Under- Production of BioPharmaceuticals
- 4.2 Biologics Growth Drives the CMO Market
- 4.2.2 Demand for Biotech Products on the Rise
- 4.2.3 The Growth of Pharmaceutical/Biotech Company-based Gross Sales Revenues
- 4.3 Large Number of Branded Drugs Going Off-Patent Likely to Boost Demand for Manufacturing
- 4.4 CMOs Provide Biotech Follow ups for Smaller and Mid Size Biotech and
Pharmaceutical Agencies
- 4.4.1 CMOs Provide the Means to Entry at a Later Stage of the Development Process
- 4.4.2 CMOs Add Value by Increasing the Rate of Manufacturing
- 4.4.3 Self Manufacture Versus Outsourcing to a CMO
- 4.5 Capacity Sharing: Symbiotic Relationships between Bio/Pharmaceutical
Companies and Contract Manufacturers of Therapeutic Antibodies
- 4.5.1 Summary of Market Drivers for CMOs
Chapter 5: Globalized CRO Outsourcing in Asia
- 5.1 India is the Number One Preferred Offshoring Site for CROs
- 5.1.1 CROs are Boosting the Indian Biotech Market and Vice Versa
- 5.1.1.1 Conclusion
- 5.1.1 CROs are Boosting the Indian Biotech Market and Vice Versa
- 5.2 China, Singapore, Malaysia, and South Korea
- 5.2.1 Production Issues in China in 2007 in a Rapidly Growing Generics
Market
- 5.2.1.1 Infrastructure and Local Regulations -the Growing Generics Industry
- 5.2.1.2 Major Biotech Advances in Taiwan
- 5.2.1.3 Singapore' s Strategic Imperative
- 5.2.1.4 South Korea
- 5.2.2 CROs Market Analysis
- 5.2.1 Production Issues in China in 2007 in a Rapidly Growing Generics
Market
Chapter 6: Company Profiles
- AAI Pharmaceutical
- Averion International
- Bioanalytical Systems
- Bio-Imaging Technologies
- Catalyst Pharmaceutical Group
- Charles River Laboratories
- Clinigene (Biocon)
- ClinPro
- Commonwealth Biotechnologies
- Constella Group
- Covalent Group (Encorium Group)
- Covance
- Eurofins Scientific
- ICON Clinical
- Kendle Research
- Lab International & LAB Research (Aleka Pharma)
- Life Science Research
- MDS Pharmaceutical
- Medpace
- Novum Pharmaceutical
- Omnicare CRO Services
- Paragon Biomedical
- Parexel
- Patheon
- PPD
- PRA International (Genstar Capital)
- Pracs Institute
- Quest
- Quintiles Transnational
- SFBC (PharmaNet)
- SIRO Clinpharm (3i Group)
TABLE OF EXHIBITS
- Exhibit 2.1 Pharmaceutical/BioPharmaceutical and NIH Funding 2004 - 2006
- Exhibit 2.2 Domestic Spending for R&D in Biomedical Sector
- Exhibit 2.3 2006 Budget for R&D Funding for Drug Development
- Exhibit 2.4 Current Legislative Acts Initiated in 2007
- Exhibit 2.5 Industry versus Non-Industry Distribution of Funding
- Exhibit 2.6 NME Output Normalized for 2004 $s
- Exhibit 2.7 Division of NMEs Attributed to Small/Mid-Tier Pharmaceutical Companies versus Large Pharmaceutical Companies 2001-2006
- Exhibit 2.8 Current Deal Term by Stage of Development
- Exhibit 2.9 Meta Analyses of Financial Projections for the CRO Market
- Exhibit 2.10 Projected CRO Market Revenues Derived from Global Pharmaceutical Sales
- Exhibit 2.11 Contract Clinical Service Represented as a Fraction of Developmental Budget
- Exhibit 2.12 Shifting Share of Clinical Projects from AMC to Independent Community Based CRO Related Sponsors
- Exhibit 2.13 Annual Increase in the Percent of Outsourced R&D Expenditure
- Exhibit 2.14 Pharmaceutical R&D Spending Growth is Outpaced by the Outsourced R&D Growth
- Exhibit 2.15 Double Digit Growth of CAGR of Developmental Phases
- Exhibit 2.16 Activities Across the Development Process
- Exhibit 2.17 2006 Services Offered by CROs
- Exhibit 3.1 Pharmaceutical Firm Spending by R&D Phase
- Exhibit 3.2 Increasing Numbers of Investigators and Clinical Trial studies
- Exhibit 3.3 Clinical Trial Spending on Various Drug Development Phases
- Exhibit 3.4 Increase in Number of NMEs in Phase II
- Exhibit 3.5 Total 2005 Revenue from Companies with Central Laboratory Services
- Exhibit 3.6 Clinical Trial Laboratory Services Estimated Revenues
- Exhibit 3.7 Clinical Trials Service Providers Market Share
- Exhibit 3.8 Estimated Market Size of EDC Solutions
- Exhibit 3.9 Estimated EHR Market Growth
- Exhibit 3.10 Global and Domestic Medical Device Market to 2009
- Exhibit 3.11 Relating Cost and Speed
- Exhibit 3.12 Overall Costs and Times in the Drug Development Process
- Exhibit 4.1 Companies Having $400 Million Cash Reserve
- Exhibit 4.2 CMO Related Manufacturing Capacity
- Exhibit 4.3 Top 20 Blockbuster Biologic Products (Global) in 2006
- Exhibit 4.4 Worldwide 2006 Sale of Bio/Pharmaceutical Biologics
- Exhibit 4.5 Number of Biotech Drugs in Pipeline
- Exhibit 4.6 Implied Demand For Manufacturing Capacity of Monoclonal Antibodies
- Exhibit 4.7 US Pharmaceutical Sales Under Generic Competition Threat
- Exhibit 4.8 Top 10 Generic Companies 2005 US Revenues
- Exhibit 4.9 Generic Pharmaceutical Market
- Exhibit 4.10 Current Blockbusters that are Expected to be Targeted as Generics
- Exhibit 4.11 Number of Biotechnology Derived Marketed Drugs
- Exhibit 4.12 Number of Biotechnology Derived Marketed Drugs
- Exhibit 4.13 Assumptions Made in an Economical Model
- Exhibit 4.14 Comparison of the CRO Manufacturing versus Self Manufacturing Advantages
- Exhibit 4.15 Cell Culture Manufacturing Capacity of CMOs
- Exhibit 5.1 2003 Survey Conducted Across Six Offshoring Operations
- Exhibit 5.2 Global Clinical Investigation Spread as Demonstrated by Increase in 1572 Filings
- Exhibit 5.3 Clinical Studies Cost Comparison by Country
- Exhibit 5.4 2004 Leading Pharmaceutical Companies in India
- Exhibit 5.5 India' s Biotech Firms
- Exhibit 5.6 Revenue Forecasts for China' s CRO Activities
- Exhibit 5.7 Major Generics being Manufactured in Taiwan
- Exhibit 5.8 Top 5 CROs Increasing Market Share
- Exhibit 5.9 Public CRO Revenues in 2006
- Exhibit 5.10 CAGR Relating to Revenues of Public Traded CROs
- Exhibit 5.11 CRO Sector Metrics










