Gastroretentive Drug Delivery Systems Outsourcing Market Size and Share

Gastroretentive Drug Delivery Systems Outsourcing Market (2025 - 2030)
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Gastroretentive Drug Delivery Systems Outsourcing Market Analysis by Mordor Intelligence

The gastroretentive drug delivery systems outsourcing market size stood at USD 1.39 billion in 2025 and is forecast to reach USD 2.01 billion by 2030, advancing at a 5.20% CAGR. This rise reflects a transition from volume-driven expansion to value creation led by technology, notably AI-guided formulation design and hybrid retention mechanisms. Patent-expiration risk on blockbuster molecules is steering large pharmaceutical companies toward lifecycle-management programs that rely on gastric-retentive formats to preserve exclusivity. At the same time, biotechnology firms view these platforms as a gateway to unlock oral administration for peptides and proteins, reshaping therapeutic economics. Regional performance diverges: North America captures 38.9% 2024 revenue through deep CDMO networks and favorable regulation, while Asia-Pacific is scaling fastest at a 12.4% CAGR as domestic innovators close capability gaps.

Key Report Takeaways

  • By service type, Formulation & Pre-formulation held 38.2% of gastroretentive drug delivery systems outsourcing market share in 2024; Clinical-Trial Manufacturing is projected to grow at 12.8% CAGR to 2030.  
  • By dosage-form approach, Floating Systems led with 42.5% share of the gastroretentive drug delivery systems outsourcing market size in 2024, whereas Dual-Mechanism/Hybrid platforms are set to expand at 14.6% CAGR through 2030.  
  • By drug-molecule type, Small-Molecule APIs commanded 46.1% of 2024 revenue, but Peptides & Proteins exhibit the highest 13.9% CAGR outlook.  
  • By end user, Large Pharmaceutical companies accounted for 54.6% of 2024 demand, while Biotechnology Firms show a 12.3% CAGR and represent the fastest-growing customer base.  
  • By geography, North America led with 38.9% revenue share in 2024; Asia Pacific is forecast to post a 12.4% CAGR from 2025-2030. 

Segment Analysis

By Service Type: Formulation Services Drive Early-Stage Innovation

Early-stage formulation and pre-formulation accounted for 38.2% of 2024 revenue, underscoring their pivotal role in defining downstream manufacturing strategy. The gastroretentive drug delivery systems outsourcing market size for this service group is projected to advance steadily as sponsors leverage AI-guided polymer selection to reduce bench iterations. Rising complexity of peptide payloads heightens demand for sophisticated excipient screening, stimulating outsourcing to CDMOs with niche know-how.  

Clinical-Trial Manufacturing, though smaller in absolute value, shows a 12.8% CAGR as precision-dosage trials multiply. Sponsors increasingly execute adaptive designs that require small, staggered batch production, favoring facilities with flexible containment and rapid changeover capabilities. Analytical & Quality Testing grows in lockstep with regulatory scrutiny, while Process Development & Scale-Up providers refine geometrics and buoyancy profiles for commercial batches.

Gastroretentive Drug Delivery Systems Outsourcing Market: Market Share by Service Type
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By Dosage-Form Approach: Hybrid Systems Reshape Technology Landscape

Floating tablets maintained 42.5% of 2024 revenue owing to proven design rules and lower regulatory friction. Yet dual-mechanism hybrids, integrating buoyancy with muco-adhesion or expandable matrices, are rising at a 14.6% CAGR, capturing unmet clinical niches that need extended release beyond 12 hours. This surge distributes adoption across cardiometabolic and anti-infective therapies, widening the gastroretentive drug delivery systems outsourcing market footprint.  

Muco-adhesive systems serve localized gastric disorders by anchoring actives at the mucosal interface, while swellable formats meet high-dose requirements through volume expansion. High-density tablets remain a niche for geriatric use where motility is reduced. Manufacturers seek 3-D printed architectures to combine these mechanisms, foreshadowing next-generation adaptive release devices.

By Drug-Molecule Type: Peptide Delivery Transforms Market Dynamics

Small-molecule APIs still dominate value with 46.1% share, primarily as reformulated blockbusters nearing patent loss. The gastroretentive drug delivery systems outsourcing market share for peptides & proteins is small today but expanding rapidly: a 13.9% CAGR reflects a pipeline shift in endocrine and rare-disease indications. Successes in protecting GLP-1 analogs inside buoyant enteric microspheres validate commercial potential.  

Antibiotics leverage local gastric targeting to eradicate H. pylori with lower systemic exposure, while narrow-absorption-window cardiovascular agents gain therapeutic windows through extended residence. Other high-value molecules—including oncology and immunology biologics—are entering preclinical programs that aim to marry oral convenience with controlled exposure profiles.

Gastroretentive Drug Delivery Systems Outsourcing Market: Market Share by Drug-Molecule Type
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By End-User: Biotechnology Firms Accelerate Innovation Adoption

Large Pharmaceutical companies represented 54.6% of 2024 orders, concentrating on lifecycle defense of legacy franchises. The gastroretentive drug delivery systems outsourcing market size attached to biotechnology firms, however, is expanding fastest; their 12.3% CAGR aligns with a surge in orally dosed biologic trials. The gastroretentive drug delivery systems outsourcing industry is, therefore, witnessing a power shift toward emergent innovators that co-develop delivery technology and novel modalities.  

Specialty pharma players target niche indications with premium pricing, and generics manufacturers position for complex-generic opportunities as first-generation patents lapse. Academic institutes feed early-stage breakthroughs—such as MIT’s pulsatile depot—into commercial pipelines via licensing, deepening collaboration networks.

Geography Analysis

North America generated 38.9% of 2024 revenue thanks to established clinical infrastructure and strict yet predictable FDA pathways. Investments such as Eli Lilly’s USD 50 billion multi-site expansion and Novo Nordisk’s USD 4.1 billion fill-finish plant underscore commitment to localized, resilient supply chains. The gastroretentive drug delivery systems outsourcing market benefits from adjacent AI and 3-D printing clusters that accelerate formulation cycles.

Asia-Pacific is the fastest mover at a 12.4% CAGR through 2030, fueled by contract research hubs in India and regulatory modernization in China. Economies of scale in polymer production and a growing domestic biotech scene make the region a pivotal outsourcing destination. Regional governments are harmonizing standards with ICH guidelines, easing entry barriers and magnifying the gastroretentive drug delivery systems outsourcing market presence across APAC.

Europe remains technologically mature, channeling investment into high-value biologics and sustainability-focused manufacturing such as Sanofi’s EUR 1.3 billion insulin site. EMA guidance on modified release provides clarity, but environmental regulations spur adoption of greener polymers and solventless processes. South America and Middle East & Africa show nascent yet improving uptake, primarily via multinational pharma tenders and local generics that license older gastric retentive designs.

Gastroretentive Drug Delivery Systems Outsourcing Market CAGR (%), Growth Rate by Region
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Competitive Landscape

The gastroretentive drug delivery systems outsourcing market exhibits moderate consolidation: the top five CDMOs and formulation specialists collectively hold roughly 55% revenue, reflecting significant but not prohibitive barriers to entry. Novo Nordisk’s USD 16.5 billion acquisition of Catalent in 2025 illustrates the strategic imperative to internalize advanced delivery capabilities.  

Firms now compete on AI-enabled formulation suites, regulatory depth across multiple jurisdictions, and hybrid-mechanism patent portfolios. Material innovation—such as cellulose-nanocrystal microspheres from the University of Arkansas—feeds proprietary platforms that anchor client relationships.[3]Eindhoven University of Technology, “New Method Enables Gradual Release of Protein Drugs into the Body,” phys.org

White-space opportunities center on personalized medicine, oral biologics, and combination regimens within a single retentive shell. Entrants leverage modular 3-D printing and cloud-linked in-silico tools to sidestep large capital expenditure, gradually lowering concentration and intensifying rivalry.

Gastroretentive Drug Delivery Systems Outsourcing Industry Leaders

  1. Catalent

  2. Lonza

  3. Thermo Fisher Inc. (Patheon)

  4. Recipharm

  5. Evonik Health Care

  6. *Disclaimer: Major Players sorted in no particular order
Gastroretentive Drug Delivery Systems Outsourcing Market
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Recent Industry Developments

  • March 2025: LGM Pharma invested USD 6 million to expand U.S. capacity in advanced gastric retentive formulations.
  • December 2024: Lonza activated new capsule plants in India and China to meet modified-release demand.
  • April 2024: Amneal Pharmaceuticals secured a grant to create an extended-release pyridostigmine gastric retentive tablet.

Table of Contents for Gastroretentive Drug Delivery Systems Outsourcing Industry Report

1. Introduction

  • 1.1 Study Assumptions & Market Definition
  • 1.2 Scope of the Study

2. Research Methodology

3. Executive Summary

4. Market Landscape

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Demand For Oral Bioavailability Enhancement
    • 4.2.2 Patent-Cliff Lifecycle Management Initiatives
    • 4.2.3 Rising Prevalence Of Gastric Disorders (GERD, H. Pylori)
    • 4.2.4 Shift Toward Oral Delivery Of Peptides & Proteins
    • 4.2.5 3-D Printing Enabling Personalised GRDDS Prototypes
    • 4.2.6 AI-Led In-Silico Formulation Screening Lowering Outsourcing Barriers
  • 4.3 Market Restraints
    • 4.3.1 High Inter-Patient Gastric-Physiology Variability
    • 4.3.2 Complex, Country-Specific Controlled-Release Regulations
    • 4.3.3 Weak IVIVC Models For Next-Gen GRDDS
    • 4.3.4 Supply Bottlenecks For Speciality Low-Density Polymers
  • 4.4 Supply Chain Analysis
  • 4.5 Regulatory Landscape
  • 4.6 Technological Outlook
  • 4.7 Porter's Five Forces Analysis
    • 4.7.1 Bargaining Power of Suppliers
    • 4.7.2 Bargaining Power of Buyers
    • 4.7.3 Threat of New Entrants
    • 4.7.4 Threat of Substitutes
    • 4.7.5 Competitive Rivalry

5. Market Size & Growth Forecasts (Value)

  • 5.1 By Service Type
    • 5.1.1 Formulation & Pre-formulation Services
    • 5.1.2 Analytical & Quality Testing
    • 5.1.3 Process Development & Scale-Up
    • 5.1.4 Clinical-Trial Manufacturing
    • 5.1.5 Commercial Manufacturing
  • 5.2 By Dosage-Form Approach
    • 5.2.1 Floating Systems
    • 5.2.2 Muco-adhesive Systems
    • 5.2.3 Expandable / Swellable Systems
    • 5.2.4 High-Density Systems
    • 5.2.5 Dual-Mechanism / Hybrid Systems
  • 5.3 By Drug-Molecule Type
    • 5.3.1 Small-Molecule APIs
    • 5.3.2 Peptides & Proteins
    • 5.3.3 Antibiotics
    • 5.3.4 Narrow Absorption-Window Drugs
    • 5.3.5 Other High-Value Molecules
  • 5.4 By End-User
    • 5.4.1 Large Pharmaceutical Companies
    • 5.4.2 Specialty Pharma
    • 5.4.3 Biotechnology Firms
    • 5.4.4 Generics Manufacturers
    • 5.4.5 Academic & Research Institutes
  • 5.5 By Geography
    • 5.5.1 North America
    • 5.5.1.1 United States
    • 5.5.1.2 Canada
    • 5.5.1.3 Mexico
    • 5.5.2 Europe
    • 5.5.2.1 Germany
    • 5.5.2.2 United Kingdom
    • 5.5.2.3 France
    • 5.5.2.4 Italy
    • 5.5.2.5 Spain
    • 5.5.2.6 Rest of Europe
    • 5.5.3 Asia Pacific
    • 5.5.3.1 China
    • 5.5.3.2 Japan
    • 5.5.3.3 India
    • 5.5.3.4 South Korea
    • 5.5.3.5 Australia
    • 5.5.3.6 Rest of Asia Pacific
    • 5.5.4 Middle East & Africa
    • 5.5.4.1 GCC
    • 5.5.4.2 South Africa
    • 5.5.4.3 Rest of Middle East & Africa
    • 5.5.5 South America
    • 5.5.5.1 Brazil
    • 5.5.5.2 Argentina
    • 5.5.5.3 Rest of South America

6. Competitive Landscape

  • 6.1 Market Concentration
  • 6.2 Market Share Analysis
  • 6.3 Company Profiles {(includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products & Services, and Recent Developments)}
    • 6.3.1 Catalent
    • 6.3.2 Lonza
    • 6.3.3 Thermo Fisher Scientific (Patheon)
    • 6.3.4 Recipharm
    • 6.3.5 Evonik Health Care
    • 6.3.6 Aenova
    • 6.3.7 Jubilant Pharmova (CDMO)
    • 6.3.8 Curia
    • 6.3.9 Cambrex
    • 6.3.10 Alcami
    • 6.3.11 PCI Pharma Services
    • 6.3.12 Quotient Sciences
    • 6.3.13 SGS Life Sciences
    • 6.3.14 NextPharma
    • 6.3.15 Fareva
    • 6.3.16 Siegfried
    • 6.3.17 Ajinomoto Bio-Pharma
    • 6.3.18 Aragen Life Sciences
    • 6.3.19 CoreRx
    • 6.3.20 Capsugel (now Lonza)

7. Market Opportunities & Future Outlook

  • 7.1 White-space & Unmet-Need Assessment
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Global Gastroretentive Drug Delivery Systems Outsourcing Market Report Scope

By Service Type
Formulation & Pre-formulation Services
Analytical & Quality Testing
Process Development & Scale-Up
Clinical-Trial Manufacturing
Commercial Manufacturing
By Dosage-Form Approach
Floating Systems
Muco-adhesive Systems
Expandable / Swellable Systems
High-Density Systems
Dual-Mechanism / Hybrid Systems
By Drug-Molecule Type
Small-Molecule APIs
Peptides & Proteins
Antibiotics
Narrow Absorption-Window Drugs
Other High-Value Molecules
By End-User
Large Pharmaceutical Companies
Specialty Pharma
Biotechnology Firms
Generics Manufacturers
Academic & Research Institutes
By Geography
North America United States
Canada
Mexico
Europe Germany
United Kingdom
France
Italy
Spain
Rest of Europe
Asia Pacific China
Japan
India
South Korea
Australia
Rest of Asia Pacific
Middle East & Africa GCC
South Africa
Rest of Middle East & Africa
South America Brazil
Argentina
Rest of South America
By Service Type Formulation & Pre-formulation Services
Analytical & Quality Testing
Process Development & Scale-Up
Clinical-Trial Manufacturing
Commercial Manufacturing
By Dosage-Form Approach Floating Systems
Muco-adhesive Systems
Expandable / Swellable Systems
High-Density Systems
Dual-Mechanism / Hybrid Systems
By Drug-Molecule Type Small-Molecule APIs
Peptides & Proteins
Antibiotics
Narrow Absorption-Window Drugs
Other High-Value Molecules
By End-User Large Pharmaceutical Companies
Specialty Pharma
Biotechnology Firms
Generics Manufacturers
Academic & Research Institutes
By Geography North America United States
Canada
Mexico
Europe Germany
United Kingdom
France
Italy
Spain
Rest of Europe
Asia Pacific China
Japan
India
South Korea
Australia
Rest of Asia Pacific
Middle East & Africa GCC
South Africa
Rest of Middle East & Africa
South America Brazil
Argentina
Rest of South America
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Key Questions Answered in the Report

What is the current value of the gastroretentive drug delivery systems outsourcing market?

It was valued at USD 1.39 billion in 2025 and is forecast to reach USD 2.01 billion by 2030.

Which region is growing fastest for gastric retentive technologies?

Asia-Pacific is expanding at a 12.4% CAGR due to rising CDMO capacity and regulatory reforms.

Which dosage-form approach is expected to lead future growth?

Dual-Mechanism/Hybrid systems are forecast to grow at 14.6% CAGR through 2030.

Why are biotechnology firms investing in gastric retentive platforms?

They aim to enable oral delivery of peptides and proteins, improving patient compliance and unlocking new revenue.

What is the main hurdle in global commercialization of GRDDS?

Differing country-specific controlled-release regulations that prolong development timelines and raise costs.

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