Empty capsules are highly versatile two-piece capsules that can be filled with powders, granules, and liquids for use as supplements, nutraceuticals, and pharmaceuticals. The growing healthcare and pharmaceutical industries have increased the demand for empty capsules globally. Empty capsules offer benefits like easy swallowing, precise dosing, and protection of ingredients from degradation, making them preferable over tablets. The Global empty capsules market is estimated to be valued at US$2.3 Bn in 2024 and is expected to exhibit a CAGR of 7.9% over the forecast period 2023 to 2030.
Key Takeaways
Key players operating in the empty capsules market are ACG Worldwide, Capsugel, Qualicaps Inc., Bright Pharma Caps Inc., Sunil Healthcare Ltd., CapsCanada Corporation, Roxlor LLC, Snail Pharma Industry Co. Ltd., Suheung Co. Ltd., and Medi-Caps Ltd. The growing nutraceuticals industry and increasing consumer preference for capsule supplements present significant growth opportunities in the market. Technological advancements such as softgel encapsulation allow for improved bioavailability and stability of active ingredients.
Market Drivers
The rising geriatric population globally is generating high demand for dietary supplements and medicines in the form of capsules. With age, digestion and absorption capabilities deteriorate, increasing the preference for capsule dosage forms. Furthermore, the ease of swallowing capsules makes them suitable for all age groups. This is a major market driver expected to augment the demand for empty capsules over the forecast period.
Current Challenges in Empty Capsules Market
The empty capsules market has been facing challenges related to rising raw material costs and supply chain disruptions. Gelatin capsules account for the majority demand in the market. However, the costs of gelatin have increased significantly over the past year due to supply constraints and inflationary pressures. Additionally, the COVID-19 pandemic impacted the supply chains globally, especially the supply of raw materials for capsule manufacturing. This led to shortages and long waiting periods for capsules. Addressing these supply issues and managing raw material price volatility remain key challenges for players in the empty capsules market.
SWOT Analysis
Strength: Gelatin capsules have high bioavailability and are easy to swallow. They also allow manipulation of drug release kinetics.
Weakness: Gelatin capsules have specific storage conditions and are incompatible with various active pharmaceutical ingredients. They also face religious and vegetarian concerns.
Opportunity: Growing demand for vegetable-based capsules like hydroxypropyl methylcellulose (HPMC) due to benefits like compatibility with a wide range of APIs and suitability for vegans/vegetarians.
Threats: Stringent regulations associated with capsule manufacturing. Price fluctuations of raw materials also affect profit margins.
Geographical Regions of Concentration
North America currently dominates the empty capsules market, accounting for around 35% of the global value share. This is primarily due to the large pharmaceutical market in the US and presence of many capsule manufacturers. Additionally, the growing preference for convenient dosages and rising generic drug consumption contribute to the leading position of North America.
Fastest Growing Regional Market
Asia Pacific is projected to be the fastest growing regional market for empty capsules during the forecast period. This growth can be attributed to factors like rising healthcare spending, increasing demand for generic drugs, and strengthening presence of pharmaceutical manufacturers in countries like China, India, and South Korea. The growing geriatric population and expanding medical capabilities in Asia Pacific economies are also driving the growth of the regional empty capsules market.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
