Contract Research and Manufacturing Services (CRAMS) Market Report 2025

The contract research and manufacturing services (CRAMS) market size has grown strongly in recent years. It will grow from $143.71 billion in 2024 to $157.07 billion in 2025 at a compound annual growth rate (CAGR) of 9.3%. The growth in the historic period can be attributed to increasing outsourcing trend, rising complexity in drug development, strategic focus on core competencies, regulatory pressures, globalization of pharmaceutical industry.

The contract research and manufacturing services (CRAMS) market size is expected to see rapid growth in the next few years. It will grow to $237.88 billion in 2029 at a compound annual growth rate (CAGR) of 10.9%. The growth in the forecast period can be attributed to increasing drug development pipelines, focus on time and cost efficiency, advancements in biopharmaceuticals, customization of services. Major trends in the forecast period include shift towards integrated services, technological advancements in manufacturing, increased demand for contract manufacturing, flexible business models, focus on sustainable and green practices.

The growing aging population suffering from various chronic diseases is anticipated to positively influence the growth of the contract research and manufacturing services (CRAMS) market during the forecast period. The global aging demographic is expanding rapidly and is projected to continue this trend over the coming years. With the increase in the elderly population, the prevalence of chronic conditions such as cancer, diabetes, Alzheimer’s, and arthritis is also expected to rise, leading to an increased demand for various drugs and medications. Consequently, this will drive the need for contract research and manufacturing services. For instance, in September 2023, the Australian Bureau of Statistics, a national statistical agency in Australia, reported that the country's population, which stood at 26 million in 2022, is projected to grow to between 34.3 million and 45.9 million by 2071. Furthermore, the current median age of 38.5 years is expected to increase to between 43.8 and 47.6 years. Therefore, the rising aging population is set to propel the growth of the CRAMS market.

The expansion of drug pipelines is anticipated to drive the growth of the contract research and manufacturing services (CRAMS) market in the projected timeframe. Drug pipeline denotes the assortment of drug candidates a company is developing or testing at a specific time. CRAMS play a pivotal role in drug pipeline progression by offering specialized support in identifying and validating potential drug targets through methods such as computational modeling and high-throughput screening. For example, as per a June 2023 report from Canada.ca, a government website based in Canada, around 9,000 new medications were undergoing clinical trials in 2022, marking an increase from less than 8,500 the previous year. Consequently, the surge in drug pipelines is a key driver behind the expansion of the contract research and manufacturing services (CRAMS) market.

Artificial intelligence (AI) is being increasingly adopted in the contract research and manufacturing services (CRAMS) market to enhance its competitive edge. AI, a branch of computer science focused on simulating human behavior in machines, offers the capability to predict maintenance needs, thereby reducing costly downtime and bolstering the healthcare system. For example, in June 2024, Medidata, a technology company based in the U.S., introduced the Medidata Clinical Data Studio. This platform specializes in integrating and managing clinical trial data from diverse sources to enhance the efficiency and accuracy of clinical research. It leverages AI to streamline data review and reconciliation processes, enabling research teams to identify potential data issues and safety signals more effectively. The platform offers a comprehensive workspace for data integration, transformation, and management, empowering users to implement robust risk-based quality management strategies and gain access to real-time insights.

Leading firms in the contract research and manufacturing services (CRAMS) sector are increasingly forming strategic partnerships to fortify their market positions. These alliances in CRAMS drive operational efficiency, cost minimization, and expedited product development, fostering mutual success in drug research and manufacturing. For example, in February 2022, Moderna Inc., a US-based pharmaceutical and biotechnology company, and Thermo Fisher Scientific Inc., a US-based supplier of analytical instruments, unveiled a 15-year strategic collaboration pact. This agreement aims to facilitate dedicated large-scale manufacturing of Spikevax®, Moderna’s COVID-19 vaccine, and other mRNA medicines in its developmental pipeline within the U.S. Building on their longstanding partnership, Thermo Fisher will continue to support Moderna's development pipeline through clinical research and contract manufacturing services. This expanded partnership seeks to optimize the production and global distribution of innovative mRNA medicines.

In October 2023, Sterling Pharma Solutions, a UK-based contract development and manufacturing organization, acquired NewChem Technologies Ltd. for an undisclosed sum. This acquisition is intended to bolster Sterling Pharma Solutions' ability to address complex process chemistry challenges and position the company as the preferred partner for small molecule services within the pharmaceutical industry. NewChem Technologies Ltd. is a UK-based contract research organization.

Major companies operating in the contract research and manufacturing services (CRAMS) market include Lonza Group, Catalent Inc., WuXi AppTec, Boehringer Ingelheim, Charles River Laboratories, Jubilant Life Sciences, PRA Health Sciences, Syngene International Ltd., Samsung Biologics, Evotec AG, AMRI (Albany Molecular Research Inc.), Parexel International Corporation, ICON plc, IQVIA Holdings Inc., PPD (Pharmaceutical Product Development), Recipharm AB, Curia Global, Inc., Cambrex Corporation, Labcorp Drug Development, CordenPharma, Medpace Holdings, Inc., FAMAR Health Care Services, Rentschler Biopharma SE, PCI Pharma Services, Dishman Carbogen Amcis Ltd., Thermo Fisher Scientific Inc., ProPharma Group, Longevity Biotech Inc., Siegfried AG.

North America was the largest region in the contract research and manufacturing services (CRAMS) market in 2024. Asia-Pacific region is expected to grow at a faster pace in the forecast period. The regions covered in the contract research and manufacturing services (crams) market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the contract research and manufacturing services (crams) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Contract Research and Manufacturing Services (CRAMS) involve outsourcing product development and research to businesses offering cost-effective solutions, wherein the parent firm does not produce the item themselves.

Contract research and manufacturing services (CRAMS) encompass two primary service categories: manufacturing and research. Manufacturing services involve outsourcing drug development processes to specialized organizations within the pharmaceutical or biotechnology sectors on a contractual basis. These contract manufacturing organizations oversee the entire development lifecycle, from clinical trials through to drug commercialization. On the other hand, research services involve outsourcing various research-related tasks, such as clinical trial data management, database design and maintenance, data validation, medicine and disease coding, project management, quality and metric reporting, safety and efficacy summaries, statistical analysis planning and reporting, all conducted on a contractual basis. CRAMS are utilized by pharmaceutical and biotechnology firms, medical device companies, and academic institutions.

The contract research and manufacturing services (CRAMS) market research report is one of a series of new reports that provides contract research and manufacturing services (CRAMS) market statistics, including contract research and manufacturing services (CRAMS) industry global market size, regional shares, competitors with a contract research and manufacturing services (CRAMS) market share, detailed contract research and manufacturing services (CRAMS) market segments, market trends and opportunities, and any further data you may need to thrive in the contract research and manufacturing services (CRAMS) industry. This contract research and manufacturing services (CRAMS) market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The contract research and manufacturing services (CRAMS) market includes revenues earned by entities by minimizing cost and focusing on more functional areas. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 3-5 business days.