New Delhi
India’s contract development and manufacturing organization (CDMO) sector is witnessing a major transformation in hiring patterns, with demand for artificial intelligence (AI)-related skills rising sharply over the past two years, according to a new report released on Thursday.
The report by HR solutions provider CIEL HR revealed that AI-linked skill demand in the sector surged by 178% between 2023 and 2025. During the same period, overall hiring in the sector increased by 52 per cent, highlighting rapid expansion and growing technological integration across pharmaceutical manufacturing and research operations.
According to the findings, AI-related demand accounted for 17.2 per cent of hiring requirements in 2025, compared to just 6.2 per cent two years ago. Technology and digital functions recorded the highest AI demand at nearly 38 per cent.
The report noted that AI adoption is no longer limited to conventional technology roles. Companies are increasingly seeking AI-enabled talent in critical functions such as research and development (R&D), quality control, analytics and manufacturing operations.
Hiring trends indicate that the sector is moving away from labor- intensive expansion toward capability-driven growth focused on automation, efficiency and precision. While manufacturing and operations continued to represent the largest hiring segment with around 1,820 roles in 2025, these functions posted the slowest annual growth rate of about 8 per cent.
The study also highlighted a growing shortage of AI-skilled professionals in high-value scientific and operational roles. Demand for AI capabilities in research and development has risen to 24 per cent, but the available talent pool with such expertise remains below 1 per cent, creating a major execution challenge for the industry.
Aditya Narayana Mishra, Managing Director and CEO of CIEL HR, said the CDMO sector is entering a new phase where competitive advantage will increasingly depend on integrating AI across every layer of operations.
“AI is becoming central to how research is accelerated, manufacturing is optimized and client commitments are delivered,” he stated.
The report further observed that among nearly 1.44 lakh manufacturing professionals, only about 0.8 per cent currently possess AI-related skills. In commercial functions, AI capability stands at just 0.1 per cent among approximately 1.19 lakh professionals. Meanwhile, data and analytics roles showed a relatively higher AI skill penetration of around 15 per cent.