Outsourcing pharma

Though most analysts predict a continuation of double-digit annual growth rates for the high flying pharmaceutical and drug intermediate markets over the next five years, some now warn of a slowdown in sales growth. They say the popular, rosy analysis ignores several signals that the outsourcing trend in pharmaceuticals has reached the end of its run. This year, behind a tiresome chorus of optimism, one hears murmured predictions of difficult conditions ahead for rapidly expanding fine chemical companies. However, optimists say the pharmaceutical companies will step up outsourcing efforts to improve speed to market, reduce development costs, minimize risk and focus on core activities in research and marketing.