Pharmaceutical innovation needs to inject new impetus and vitality, and CRO companies have increased the construction of R&D bases during the year

【Pharmaceutical Network Industry News】In the pharmaceutical industry, R&D is the foundation of enterprise survival and development, and also the source
of enterprise competitiveness.
In recent years, with the rapid development of the biopharmaceutical industry and the release of policies such as centralized procurement and medical insurance fee control, pharmaceutical companies have accelerated the pace of innovation and transformation, bringing development opportunities
to the CRO industry, a pharmaceutical water seller.
However, pharmaceutical innovation needs to inject new impetus and vitality in order to make it possible
for enterprises to achieve sustainable development.
In this context, CRO enterprises have increased the construction of
R&D and production bases.
Pharmaceutical industry (Image source: Pharma Network) CRO companies have built R&D bases during the year Recently, Prosperity Pharmaceutical, a CRO company that is about to be officially listed on the capital market, announced that the company's IPO intends to raise 477 million yuan, of which 387 million yuan will be used for the construction of
preclinical new drug research and development bases.
The company said that the implementation of the preclinical new drug R&D base construction project will help expand the company's existing R&D production capacity, improve the carrying capacity of R&D projects, and enhance R&D service capabilities
.
At the beginning of October, the "New Leading (Chongqing) Biomedical Integration R&D Service Base" project invested and constructed by New Leading Pharmaceutical was completed and put into use in Yongchuan District, with a total investment of 2.
4 billion yuan, and the first phase of the New Leading (Chongqing) Research Branch and the New Leading (Chongqing) MAH Company have been built, and the second phase will build a cell gene therapy CRO company, CDMO base, Chongqing MAH information platform and management center, etc
.
After the completion of the base, it can provide pharmaceutical companies with "one-stop" R&D and production services
for the whole industry chain such as drug project approval, drug registration, clinical CRO, CDMO and MAH.
In August, WuXi AppTec officially held the groundbreaking ceremony of the "Wincomplete Pharma East China R&D Base Project" and the signing ceremony of the "Phase 5 Innovative Drug CRDMO Project", which will rely on WuXi AppTec's integrated, end-to-end enabling platform to invest in cutting-edge instruments and equipment to provide innovative R&D services
to customers around the world 。 The project will become one of the important bases of HeXi Pharmaceutical, introducing more than 3,000 R&D personnel, and at the same time, the company will continue to increase investment in Changzhou National High-tech Zone, build the fifth phase of the innovative drug CRDMO project, and continue to strengthen the R&D and production capacity
from small molecules to oligonucleotides, peptides and various complex chemical conjugated drugs.
In addition, a large number of CRO companies, including Kelleying and Medici, have announced actions or project-related progress
on the construction of R&D and production base projects during the year.
In addition to domestic layout, some powerful CRO companies are also actively deploying overseas bases
.
For example, in July this year, WuXi AppTec, which has been active in many activities, announced that it expects to invest about 9.
73 billion yuan to establish an R&D and production base in Singapore in the next ten years; in February, GenScript Biologics also announced that the company's production and R&D base in Singapore in the Asia-Pacific region was officially put into operation
.
Behind the fact that CRO enterprises have built R&D and production bases, it can be seen that the company is determined to
seize the opportunities of transformation and upgrading of the pharmaceutical industry, continuously improve its competitiveness, and lay out internationalization.
According to the data, the global CRO market size is about $73.
1 billion in 2021, and the CAGR is about 9.
5%
from 2021 to 2024.
Among them, the global clinical CRO market size is about 46.
7 billion US dollars in 2021, and the CAGR is about 10.
0%
from 2021 to 2024.
In China, China's CRO market size is about $10 billion in 2021, with a CAGR of about 30.
3%
from 2021 to 2024.
Among them, the market size of clinical CRO is about 5.
6 billion US dollars in 2021, and the CAGR is about 34.
7%
from 2021 to 2024.
Upstream equipment industry may embrace opportunities In the context of increasing the construction of R&D and production bases, CRO enterprises will also increase
investment in related software and hardware in order to meet the requirements of pharmaceutical companies.
The industry expects that the upstream related pharmaceutical equipment industry may be expected to embrace the opportunity
.
Many pharmaceutical companies have been actively deployed
in the field of CRO.
For example, Dongfulong, which holds 34.
02% of the shares of Shanghai Berhao, is mainly engaged in biological CRO technical service business, and has built biochips, gene sequencing, biomarker screening and verification, gene editing, molecular detection, biological sample analysis and bioinformation technology platforms
。 In July this year, Canaan Technology said in an institutional survey that the company relies on its production process and technical strength to develop a characteristic CRO business combined with pharmaceutical equipment and technology, on the one hand, it can play a synergistic effect with the company's existing businesses such as pharmaceutical equipment and promote the further improvement of the technical level of the existing business; On the other hand, it can establish differentiated business advantages, enhance customers' all-round service capabilities, establish unique market competitiveness, and build an industrial ecology
.
It is worth mentioning that for many years, foreign high-end pharmaceutical equipment suppliers have a clear monopoly
on domestic CRO, CMO/CDMO enterprises and other industries.
The "14th Five-Year Plan" emphasizes "improving the production level of pharmaceutical equipment in China, improving the modernization level of the pharmaceutical industry chain and supply chain, and promoting key enterprises to achieve breakthroughs
in drug design, production technology, high-end excipients, pharmaceutical equipment and other links.
" The industry said that with the release of favorable policies and the continuous improvement of independent research and development level of domestic pharmaceutical machinery enterprises, it is expected that China's pharmaceutical equipment industry will gradually break this situation and accelerate the pace
of import substitution.
Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice
to anyone.