CDMO is a must to meet biologic medicine demand: Samsung Biologics VP

Kevin Sharp [Provided by Samsung Biologics]

Samsung Biologics has doubled down on contract development and manufacturing services for the market, projecting that demand will exceed supply in biological medicines from 2026.

Biopharmaceutical companies should decide right now whether to make greenfield investments for their own factory or collaborate with a CDMO to secure mid- to long-term supply, said Kevin Sharp, vice president of Global Sales Strategic Operations at Samsung Biologics, during a meeting with industry representatives on Tuesday.

He advised partnering with a CDMO rather than adding premises, given that R&D and facility construction costs are high.

Outsourcing to CDMO partners has the advantage of accessing a strong supply chain, production experts, and fast execution, he said. In a survey, 57 percent of respondents said they would execute an outsourcing budget for the next 12 months and this means the market is increasingly opting for CDMO partnership for safer supply and lower cost, Sharp explained.

He advised that two major indicators should be considered when selecting a CDMO. First, the necessary conditions include the capacity to handle the production, relationship with the regulatory body, quality, and protection of trade secrets. Flexibility, price competitiveness, and quick execution can be considered as additional conditions according to each company’s business strategy.

Samsung Biologics has built a diversified supply chain by fast responding to growing market demand. The company’s fourth plant in Songdo has a total capacity of 240,000 liters, of which 60,000 liters are ready for availability, said the executive, adding that the company will increase supply capacity in a timely manner.

By Shin Yoo-kyung and Minu Kim