Third-Party Manufacturing

Third-party manufacturing, often referred to as contract manufacturing, is a widely adopted business model in the pharmaceutical industry. It involves a company outsourcing the production of its products to a specialized manufacturer rather than producing them in-house. This approach allows pharmaceutical companies to focus on other aspects of their business, such as research and development, marketing, and distribution, while leveraging the manufacturing capabilities of experienced partners.

In simple terms, third-party manufacturing is when a company gets its products manufactured under its own brand name by another company that has the required production facilities and certifications. This model has become increasingly popular among both established pharmaceutical brands and emerging companies because of its numerous advantages.