PUBLISHER: Grand View Research | PRODUCT CODE: 1575127
PUBLISHER: Grand View Research | PRODUCT CODE: 1575127
The global in vitro diagnostics contract manufacturing market size is expected to reach USD 37.45 billion by 2030, according to a new report by Grand View Research, Inc. The market is projected to grow at a CAGR of 10.04% over the forecast period.
The market is anticipated to witness lucrative growth potential owing to rising demand for diagnostic devices, an upsurge in point-of-care diagnostics, advancements in molecular testing, and the increasing prevalence of chronic diseases. Moreover, the growing need for cost-effective manufacturing, technological innovation, and stringent regulatory compliance for diagnostics is expected to drive the market revenue stream. Thus, the increasing trend for outsourcing manufacturing services to CMOs and CDMOs to access specialized expertise, streamline production, and accelerate time-to-market among healthcare companies is boosting overall market growth.
The high cost of in-house IVD manufacturing is a significant driver propelling the market growth. The need for high capital investment in infrastructure, specialized equipment, regulatory compliance, and skilled workforce to develop and scale up IVD production will accelerate market growth. These overhead costs strain resources, reducing profitability and flexibility among several small and medium-scale organizations. Thus, by outsourcing manufacturing services to CMOs & CDMOs, companies can lower manufacturing costs and gain access to innovative technologies exclusive of the need for internal capital investment. Moreover, outsourcing allows faster market entry, enhanced scalability, and better resource optimization and offers a competitive edge in the IVD market.
Furthermore, continuous technological advancements are among the major factors accelerating the market demand, specifically for diagnostic devices and testing solutions. Innovations such as molecular diagnostics, next-generation sequencing (NGS), and automation have enhanced the accuracy, speed, and efficiency of IVD manufacturing processes. These advancements assist manufacturers to meet the increasing demand for personalized medicine, point-of-care diagnostics, and faster disease detection methods. Moreover, the integration of AI-driven technologies and data analytics optimizes production workflows and quality assurance processes, enhancing precision and compliance with regulatory standards. Furthermore, numerous healthcare companies are involved in collaboration with contract manufacturers to access such novel technologies to accelerate time-to-market, reduce operational costs, and enhance product scalability. Thus, the integration of advanced technologies by service providers is estimated to drive market growth in the forthcoming years.