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Outsourcing in Drug Discovery: The Contract Research Organization (CRO) Market, 4th Edition

Kalorama Information's Outsourcing in Drug Discovery offers unparalleled discussion of the drug discovery outsourcing market. It presents viewpoints from both customers and suppliers. Segments, size, and growth of the market are presented. The trend toward the increased use of offshore suppliers is covered in detail. The report also provides profiles of 22 suppliers, representative of those active in this market.

Segments covered in this report include:

  • Chemistry Services
    • Building Blocks
    • Compound Synthesis
    • Libraries
    • Process Research
    • Other Services

  • Biology Services
    • Protein Expression
    • Structural Analysis
    • Target Validation
    • Pathways Analysis
    • Other Services

  • Screening Services
    • Assay Development
    • Primary Screening
    • Secondary Screening

  • Lead Optimization
    • Early ADMET
    • Analogues Creation
    • Computational Support
    • Other services

In addition to market data and forecasts, the report covers issues such as:

  • What factors should a client consider when deciding whether to do a project in-house or outsource it?
  • Is it in the client's best interest to seek a domestic outsourcing partner, or go with an overseas supplier?
  • How does the client select the CRO that is best for him?
  • What are the best practices when working with a CRO?
  • How do you measure his effectiveness?
  • How do you avoid problems with your CRO?
  • How do you maximize benefits?

This report looks offshore at outsourcing suppliers based in three major areas: India, China, and Eastern Europe. The relative advantages each country provides are contrasted with some of their limitations. The report asses which projects are moving to which suppliers and why.


Eastern European Offshoring One of Many Trends in Drug Discovery

New York, June 11, 2010—Russia, Hungary and Ukraine are among the nations seeing investment from pharmaceutical companies as they reduce costs and find experts in drug discovery activities, according to healthcare market research publisher Kalorama Information. According to its report, Outsourcing in Drug Discovery: The Contract Research Organization (CRO) Market, 4th Edition, a major trend that continues to gain momentum is the use of outsourcing partners in Eastern Europe, one of several trends that is driving the global drug discovery market to $7.2 billion in 2009, up 15% from $6.3 billion in 2008.

“It is not only large pharmaceutical and biopharmaceutical companies that are moving their outsourcing offshore, but smaller biopharmaceutical companies are following this trend as well,” said Bruce Carlson, publisher of Kalorama Information. “Increasingly, we are seeing that these moves are being made not only to realize cost savings, but also to take advantage of knowledge in these countries.”

To keep pace with the Chinese and Indian competition, many CROs in the former Soviet bloc have culled together their most experienced chemists and are providing services which include preparing custom libraries, advancing screening hits into families of leads, and designing libraries that target important biomolecules, such as kinases and ion channels. Many also offer, or are planning to offer in the near future, in vitro biological screening of the chemical libraries they build. The drug discovery CRO landscape in Eastern Europe is still highly fragmented, with a large number of private companies competing. The leaders are US-Russian-integrated CROs ChemBridge and Chemical Diversity. Other successful competitors in the region are Asinex and Enamine. Major CROs operating in Russia and Ukraine also have facilities in North America.

CROs in Russia and Ukraine emerged as the Soviet bloc dissolved in the early 1990s. After the breakup, scientific funding plunged, and many highly experienced and highly educated chemists essentially found themselves out of work. Today, funding for academic research in Russia and Ukraine remains limited, leaving a pool of highly trained chemists in search of employment. This situation has driven entrepreneurial academics to establish contract businesses, which operate primarily in Moscow and Kiev, although a few exist in other cities as well.

New York-based drug discovery CRO Albany Molecular Research Inc. (AMRI) acquired ComGenex, a drug discovery services firm located in Budapest, Hungary in 2007. Renamed AMRI Hungary, the company integrates innovative, early stage drug discovery technologies, including proprietary methods in the area of library synthesis, compound collections and lead discovery. In the future, AMRI Hungary plans to expand its capabilities in medicinal chemistry and SAR development.

These developments, as well as a complete long-term market forecast and discussion of the US, Indian and Chinese drug discovery outsourcing market, are included in Kalorama Information’s Outsourcing in Drug Discovery: The Contract Research Organization (CRO) Market, 4th Edition.

About Kalorama Information

Kalorama Information supplies the latest in independent market research in the life sciences, as well as a full range of custom research services.

  • Executive Summary
    • OVERVIEW
    • SCOPE AND METHODOLOGY
    • INTRODUCTION
      • Pharmaceutical Industry Challenges
    • THE DRUG DISCOVERY PROCESS
      • Accelerating the Drug Discovery Process
      • Bottlenecks Within the Drug Discovery Process
    • OUTSOURCING TO INCREASE EFFICIENCY
    • OUTSOURCING DRUG DISCOVERY
      • The Outsourcing Decision
      • Developing an Outsourcing Plan
    • CONTRACT RESEARCH ORGANIZATIONS
      • Strategic Versus Tactical Outsourcing Model
      • Effective Communication is Essential
      • Mitigating the Challenges of Protecting IP Rights
    • OFFSHORING CONTRACT DRUG DISCOVERY
      • Factors to Consider in Offshore Outsourcing
      • Benefits of Global Outsourcing
      • Concerns about Global Outsourcing
    • OUTSOURCING TO CHINA
      • Chinese Contract Research Organizations
      • FDA Offices in China
    • OUTSOURCING TO INDIA
      • Indian Contract Reserch Orgnizations
      • FDA Offices in India
    • OUTSOURCING TO EASTERN EUROPE
    • DRUG DISCOVERY OUTSOURCING MARKET
      • Current Market and Forecast
      • Market analysis by Segment
  • Introduction To Outsourcing Drug Discovery
    • Number of NME Approved in Decline While R&D Spending Rising
      • Table Global Pharmaceutical R&D Spending, 2002 through 2012 (US millons)
    • Ramping up the Pipelines
    • FACTORS TO CONSIDER IN OFFSHORE OUTSOURCING
      • Benefits of Global Outsourcing
      • Access to talent and technologies
      • Compress timeline
      • Increase Production
      • Concerns about Global Outsourcing
      • Confidential Information and Trade Secrets
      • Fraud and Corruption
      • Meeting Regulatory Compliance Demands
      • Long distance
      • Introduction
      • Choosing the Right CRO
      • Experience is Paramount
      • Facility Standards
      • Excellent Track Record
      • Contract Pharma's Outsourcing Survey
    • GLOBAL OUTSOURCING
      • Table Selection of Global Drug Discovery Outsourcing Collaborations
  • The Drug Discovery Process
    • INTRODUCTION
      • Drug Discovery Stages
      • Target Identification
      • Target Validation
      • High Throughput Screening
      • Lead Optimization
    • ACCELERATING THE DRUG DISCOVERY PROCESS
      • Technologies Utilized in Drug Discovery
      • Combinatorial Chemistry
      • Bioinformatics/Pharmacogenomics
      • ADME/Tox Screening
      • High Throughput Screening
      • Computational Modeling and Bioinformatics
    • OUTSOURCING TO INCREASE EFFICIENCY
    • OUTSOURCING TO ACCESS NOVEL TECHNOLOGIES
      • Bioinformatics
      • Lab-on-a-chip: Microfluidics in Drug Discovery
  • Outsourcing Trends
    • OVERVIEW
    • CONTRACT RESEARCH ORGANIZATIONS
      • Introduction
      • Role of a CRO
      • Strategic Versus Tactical Outsourcing Model
      • The Tactical Model
      • The Strategic Model
      • Mitigating the Challenges of Protecting IP Rights
    • OFFSHORING CONTRACT DRUG DISCOVERY
      • Introduction
      • Center of Gravity for the Pharmaceutical Industry Shifting from West to East
      • Evolution of Contract Drug Discovery in Asia
    • OUTSOURCING TO CHINA
      • Introduction
      • Multi-National Pharmaceutical Companies Establish Drug Discovery Facilities in China
      • Chinese Contract Research Organizations
      • WuXi AppTec China's Largest CRO
      • First Chinese CRO Alliance
        • Table A Selection Chinese Drug Discovery CROs
      • FDA Offices in China
      • China's Management of Counterfeit Pharmaceuticals and IP Rights and Laws
      • IP Rights Enforcement System
    • OUTSOURCING TO INDIA
      • Introduction
      • AstraZeneca Sets up Drug Discovery Facility in Bangalore
      • Drug Discovery Services in India
        • Table A Selection Indian Drug Discovery CROs
      • India's Handling of IP Rights and Laws
      • Patent Filing Considerations
      • Limitations on Patentability
      • Compulsory Licenses
      • FDA Offices in India
    • OUTSOURCING TO EASTERN EUROPE
      • Introduction
      • Russian and Ukraine CROs
        • Table A Selection of Major CROs Operating in Russia and the Ukraine
  • Drug Discovery Outsourcing Market
    • Unfavorable Global Economic Market Conditions
    • Current Market and Forecast
      • Table Global Drug Discovery Outsourcing Market, 2005-2015
      • Table Contract Drug Discovery Services, by Market Segment, 2005-2015
    • Contract Drug Discovery Competitors
      • Table A Selection of Drug Discovery Contractors, By Market Segment
      • Table A Selection of Recent Major Acquisitions in Drug Discovery
    • MARKET ANALYSIS BY SEGMENT
      • Chemistry Services Market
        • Table Chemistry Services Market: Revenues, Annual Growth, and Share of Outsourced Drug Discovery Market, 2005-2015
        • Table Chemistry Market Revenue by: Building Blocks, Compound Synthesis, Libraries, Process Research, and Other Services, 2009
      • Biology Services Market
        • Table Biology Services Market: Revenues, Annual Growth, and Share of Outsourced Drug Discovery Market, 2005-2015
        • Table Biology Market Revenue by: Protein Expression, Structural Analysis, Target Validation, Pathways Analysis, and Other Service, 2009
      • High Throughput Screening Services Market
        • Table Screening Services Market: Revenues, Annual Growth, and Share of Outsourced Drug Discovery Market, 2005-2015
        • Table Screening Services Market: Assay Development, Primary Screening, Secondary Screening, 2009
      • Lead Optimization Services Market
        • Table Lead Optimization Services Market: Revenues, Annual Growth, and Share of Outsourced Drug Discovery Market, 2005-2015
        • Table Lead Optimization Services Market: Early ADMET/Tox, Create Analogues,Computational Support, and Other Services, 2009
        • Table Global Expansion of Drug Discovery Services East and West
  • Competitor Profiles
    • ALBANY MOLECULAR RESEARCH, INC.
      • History and Lines of Business
      • Drug Discovery Services
      • Financial Information
    • ARGENTA DISCOVERY, LTD.
      • History and Lines Business
      • Drug Discovery Services
      • Biology
      • Chemistry
    • ASINEX LTD.
      • History and Lines of Business
      • Drug Discovery Services
    • BIODURO, INC.
      • History and Lines of Business
      • Drug Discovery Services
      • Chemistry Services
      • Biology Services
    • BIOFOCUS DPI
      • History and Lines of Business
      • Drug Discovery Services
      • Integrated drug discovery
      • ADME/PK
      • Target discovery
      • Assay development & screening
      • Additional drug discovery services include:
    • CALIPER LIFE SCIENCES
      • History and Lines of Business
      • Drug Discovery Services
      • Financial Information
    • CHARLES RIVER LABORATORIES, INC.
    • History and Lines of Business
      • Drug Discovery Services
      • Financial Information
    • CHEMBRIDGE CORP.
      • History and Background
      • Drug Discovery Services
    • CHEMICAL DIVERSITY INC.
      • History and Lines of Business
      • Drug Discovery Services
      • Lead Optimization Services
      • High throughput Services
      • Biologically Annotated Libraries
      • Focused Diversity
    • EMERALD BIOSTRUCTURES
      • History and Lines of Business
      • Drug Discovery Services
      • Gene to Structure
      • Fragment Screening
    • ENAMINE LTD.
      • History and Lines of Business
      • Drug Discovery Services
      • Screening Compounds
      • Screening Compounds From REAL Database(R)
      • Lead Optimization
      • Discovery Chemistry and Custom Synthesis
      • Research
    • EVOTEC OAI
      • History and Lines of Business
      • Drug Discovery Services
      • Assay Development Services
      • High throughput Screening
      • Medicinal Chemistry Services
      • Compound Library Services
      • Financial Information
    • GVK Biosciences Private Limited
      • History and Lines of Business
      • Drug Discovery Services
      • Bioinformatics
      • Chemoinformatics
      • Structural Biology
      • Biology Services
    • GENSCRIPT USA INC.
      • History and Lines of Business
      • Drug Delivery Services
      • Bio-Reagent Center
      • Bio-Assay Center
      • Lead Optimization Center
      • Antibody Drug Development
      • hERG testing for drug candidates
      • Bioprocess Services
    • HUTCHISON MEDIPHARMA LTD.
      • History and Lines of Business
      • Drug Discovery Services
      • Discovery Chemistry
      • Discovery Biology
      • Discovery Pharmacology
      • Drug Metabolism and Pharmacokinetics (DMPK)
    • JUBILANT BIOSYS LTD.
      • History and Lines of Business
      • Drug Discovery Services
      • Discovery Informatics
      • Discovery Research
      • Drug Development
      • IT Services
    • LIGAND PHARMACEUTICALS, INC.
      • History and Lines of Business
      • Drug Discovery Services
    • PHARMARON INC.
      • History and Lines of Business
      • Drug Discovery Services
    • RICERCA BIOSCIENCES, LLC
      • History and Lines of Business
      • Drug Discovery Services
    • SCYNEXIS, INC.
      • History and Lines Business
      • Drug Discovery Services
      • Medicinal Chemistry
      • Custom Synthesis
      • High Throughput Purification & Analysis
      • ADMET & Bioanalytical Services
      • Bioanalytical Capabilities
      • Data Management And Collaboration
    • SHANGHAI CHEMPARTNER CO.,LTD.
      • History and Lines of Business
      • Drug Discovery Services
      • Discovery Chemistry
      • Library Generation
      • Analytical Chemistry
      • Medicinal Chemistry
      • ADME Studies
      • Natural Product Chemistry
      • Computational Chemistry And Drug Design
    • SHANGHAI MEDICILON INC.
      • History and Lines of Business
      • Drug Discovery Services
      • Custom Chemical Synthesis
      • Pharmacokinetics
      • Metabolism Services
      • Other Biological Services
    • TCG LIFESCIENCES LTD.
      • History and Lines of Business
      • Drug Development Services
    • WUXI APPTEC CO. LTD.
      • History and Lines of Buisness
      • Drug Discovery Services
      • Discovery Chemistry Services
      • Analytical Services
      • Biological Services
      • Financial Information

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