CROs grow strong in China's landscape, CMOs not far behind

17 February 2010 02:52  [Source: ICIS news]

SAN FRANCISCO (ICIS news)--The contract research organization (CRO) market has become the strongest growing segment in China’s pharmaceutical landscape, while not far behind the contract manufacturing organization (CMO) market gestates, said a China industry official on Tuesday.

“CROs right now are the hottest segment in the Chinese pharmaceutical outsourcing industry, and the reason is obvious: China has an abundant supply of high quality yet low cost chemists,” said Minghua Lu, CEO of eChinaChem, a US-based integrated media company for the Chinese chemical, pharmaceutical and life science industries.

Lu spoke at a day-long event at Informex USA focused on business opportunities in China.

In addition to its home-based pool of qualified chemists, many others are returning to China from overseas, particularly US and Europe, to set up their own companies in China. Yet, although China’s CRO is fast growing, it is still relatively small in the global market, Lu noted.

Some leading Chinese CROs that have been very successful so far include Wuxi AppTec, Shanghai ChemPartner, Sundia MediTech, and Hutchinson MediPharma.

Meanwhile, CMOs are in the infancy stage, still emerging onto the Chinese market: “CMOs perhaps could be the next wave of growth in China’s pharmaceutical outsourcing industry. The reason is simple: right now many of the CROs started maybe five or seven years ago are evolving into CMO projects,” said Lu.

To discuss issues facing the chemical industry go to ICIS connect

By: Feliza Mirasol
+1 713 525 2653

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly