Neuland Laboratories is accelerating its peptide manufacturing expansion to meet rising customer demand, with the first of four planned commercial manufacturing modules now operational.

The newly commissioned Module 1 has a total reactor capacity of 7,000 litres, comprising 750 litres of solid-phase peptide synthesis (SPPS) and 6,250 litres of liquid-phase peptide synthesis (LPPS). The facility can support customer programmes ranging from small-scale development to multikilogram production of complete peptide APIs, including complex and long-chain peptides, as well as commercial-scale crude peptide manufacturing.

With the foundational infrastructure for Module 2 already in place, Neuland plans to commence work ahead of the original schedule once customer requirements are finalised. The company is working closely with customers to determine the configuration, instrumentation and capacity for the expanded facility.

Neuland has invested $30 million in Module 1, while Module 2 is planned to offer up to 18,000 litres of total reactor capacity, including three 5,000-litre LPPS reactors, a 1,000- or 2,000-litre SPPS reactor and smaller reactors of up to 1,000 litres.

The company said demand for peptide manufacturing is expanding beyond obesity and metabolic diseases, with oncology emerging as a key area of early-stage development. Neuland expects increasing demand from biotech companies seeking outsourced peptide development and commercial manufacturing capabilities.

Neuland CEO and MD Saharsh Davuluri said the company aims to build sufficient capacity to meet customer requirements over the next decade while strengthening strategic partnerships with leading pharmaceutical and biotechnology companies.

Module 1 is supported by a team of nearly 212 peptide specialists. The expansion comes amid strong growth in Neuland’s CDMO business, with revenues rising 116% in the latest quarter, driven primarily by higher commercial contracts and an increasing number of clinical projects.