Difference between Third Party Manufacturing And Contract Manufacturing.


This is ———– from Gorakhpur, Uttar Pradesh, I read your pages, Its very helpful for every one who want to start.

Dear Sir actually I also want to start a my own pharma marketing company with four brands. I have contacted to some manufacturer for product. But I am not aware with the required things which is mandatory to start a pharma marketing company. Their is lots of question in my mind which not only disturbing me also it creating a big confusion in my mind.

  1. A big question is that what is main difference between Third Party Manufacturing & Contract Manufacturing.
  2. If I have to start a marketing company so to whom should I choose (Third Party Manufacturing Or Contract Manufacturing)
  3. Is it necessary to register a company before starting a marketing base company. If yes so what should i do first.
  4. If i am starting with four product should i register my brand name (patient copy).
  5. Which types of license is required to start a marketing company.

It is extremely request to you Please help me for these question.


1. Difference Between Third Party manufacturer and Contract Manufacture :

Practically there is no major difference in both terms. These could be used for in place of each other. There is theoretical difference in both terminology. Third Party Manufacturing term is used when a company get manufactured product with own brand name at a particular quantity timely from a manufacturing company e.g. 1000 box order as one time requirement.

Whereas Contract Manufacturing term is used when a company get manufactured product its own brands and make a contract with manufacturing company for supplying a particular quantity of its brand at regular basis e.g. 10000 boxes per month basis or 100000 boxes in a year or 1000 boxes per week like this.

In third party manufacturing, there is no time compulsion to deliver the goods whereas contract manufacturing has delivery time compulsion.
Mostly small companies work at the basis of third party manufacturing whereas medium size and big companies work at contract manufacturing basis.

Related: Difference between Third Party manufacturing and Loan License manufacturing

2. Third Party Manufacturing will be better option for you. Read in detail about Third Party manufacturing here

3. You need to register your company. Read how to register company by clicking here

4. If you have enough budget then you go for trade mark registration in starting. otherwise you can register your brand name later.

5. For starting Pharma marketing company, you will require:

  • Company Registration 
  • Wholesale Drug License Number 
  • GST number  

Hope above information is helpful to you…

For any correction, error, comment, query and suggestion, mail us at pharmafranchiseehelp@gmail.com

  1. This is ……………. from kolkata

    Sir, i am planning to start a new pharmaceutical marketing company and i have a question, i already have a wholesale drug license in the ……..name so can i continue with the same license or i have to accuire a new drug license

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