The empty capsules market has witnessed significant growth in recent years owing to the increasing demand for nutraceuticals and dietary supplements. Empty capsules are two-piece or four-piece shells made up of gelatin used for encapsulating active ingredients in pharmaceuticals and nutraceutical products. They provide numerous advantages over other formulations including ease of swallowing, accurate dosing, and protection of actives from environmental degradation. Rising health consciousness among consumers and growing preference for dietary supplements to fulfill the daily nutrient requirements have boosted the demand for empty capsules.
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 demand for empty capsules has been steadily growing backed by the increasing adoption of capsule dosage forms as an ideal delivery format for various applications. The empty capsules market is also driven by the expanding nutraceutical industry and rising consumption of dietary supplements and functional foods globally.
Geographically, the Americas dominate the empty capsules market owing to the established pharmaceutical industry and presence of leading capsule manufacturers. However, the Asia Pacific region is expected to witness the highest growth during the forecast period owing to growing pharmaceuticals and nutraceuticals production as well as increasing health expenditure in developing countries such as China and India.
Market Drivers
The rapidly growing nutraceutical industry is a major driver supplementing the growth of the empty capsules market. Expanding consumer awareness regarding health benefits of nutraceuticals and nutritional supplements has boosted the demand for functional food and dietary capsules significantly. This has prompted many pharmaceutical companies to develop capsule-based formulations in the nutraceutical segment. Rising health consciousness and shifting preferences towards preventive healthcare are some other key factors expected to fuel the growth of the empty capsules market over the coming years.
Impact of Geopolitical Situation on Empty Capsules Market Growth
The empty capsules market is facing challenges due to the ongoing geopolitical uncertainties and tensions across various regions. Rising conflicts and sanctions have disrupted supply chains while increasing raw material costs. Manufacturers are facing difficulties in procuring essential excipients and polymers from sanction-hit countries. This is negatively impacting production volumes and margins. In the long run, over-dependence on a few regions for raw materials can threaten the stability of supply. To manage risks, companies need to diversify their sourcing bases, develop alternative supply routes, and support local manufacturing where possible. This allows building resilience against regional political tensions and economic volatility. Investing in automated production facilities also helps boost output flexibility and insulates against disruptions. Looking ahead, establishing manufacturing hubs across strategic global locations with favorable trade policies and stability can help serve demand reliably across continents. Networking with regional partners aids knowledge sharing and collaboration to overcome challenges. Overall, a diversified and adaptable business model is critical for the empty capsules industry to navigate the current geopolitical environment.
Fastest Growing Region for Empty Capsules Market
The Asia Pacific region, led by China and India, is poised to be the fastest growing regional market for empty capsules during the forecast period till 2030. This growth can be attributed to the increasing incomes, healthcare spending, and generic drug manufacturing capabilities in these countries. Rapid economic expansion coupled with a large patient pool makes Asia Pacific highly attractive for pharmaceutical firms. Further, presence of international as well as local empty capsule makers exploring business opportunities through joint ventures, partnerships and acquisition is propelling regional market expansion. Governments’ push for improving access to affordable medicines is also driving volume consumption of low-cost capsules across Asia. With global manufacturers increasingly shifting focus towards the region, the Asia Pacific empty capsules market is projected to attract significant investments and witness double-digit growth over the next decade. Its low manufacturing costs provide a competitive edge in serving both domestic and export demands.
