The Global Softgel Capsules Market size is expected to reach $6.8 billion by 2030, rising at a market growth of 5.8% CAGR during the forecast period. In the year 2022, the market attained a volume of 651.1 million units, experiencing a growth of 7.0% (2019-2022).
Because of their vast populations, nations like China, India, and Japan are anticipated to have a significant increase in the market for softgel capsule raw materials. Therefore, the Asia Pacific region would account for more than 25% share of the market. The pharmaceutical sector in this region is also expected to expand because of growing health concerns, rising incomes, and improved government initiatives. When combined, these elements support the market's expansion in the Asia Pacific region. Numerous multinational pharmaceutical companies are expanding their operations or setting up new ones in the Asia Pacific region due to the region's low manufacturing costs and enormous growth potential. Some of the factors impacting the market are growing health and wellness awareness among consumers, rising preference for ingredients sourced naturally, and negative environmental impact of softgel manufacturing.
Consumers are increasingly proactive in seeking solutions to enhance their overall well-being, which aligns with the attributes and benefits of softgel capsules. The preference for softgels is largely attributed to their ease of consumption and improved bioavailability. As consumers become more informed about the importance of nutrition and supplementation, they seek products that are not only effective but also convenient to incorporate into their daily routines. Softgel capsules address this need by offering a dosage form that is easy to swallow, ensuring that individuals are more likely to adhere to their supplement regimens. Additionally, the demand for natural ingredients has been driven by consumers' growing concerns about their health. The belief among consumers that natural ingredients have a positive effect on health has led to a rise in the demand for products containing natural ingredients. Manufacturers are now more cautious about the ingredients they use in their products as a result of ingredient labeling. Frequent ingestion of artificial ingredients has been associated with foodborne illnesses, allergic reactions in sensitive individuals, and cancer. Because of this, there is a growing need for natural ingredients. Growing dietary supplement demand, the popularity of vegetarian and vegan diets, and the advancement of softgel capsule manufacturing technologies are some of the factors driving up demand for naturally sourced ingredients. These factors are expected to spur market expansion among consumers and the patient population.
However, the environmental concern in the market arises from the livestock industry, which is a significant source of gelatin. Livestock farming has a substantial ecological footprint, including land use, water consumption, and greenhouse gas emissions. The environment may be contaminated by the use of solvents and other chemicals during the gelatin production process, which can also produce waste products. Traditional liming-based gelatin production is labor-intensive and produces a large amount of wastewater and land pollution. 10% of waste is released during the gelatin production process; this waste is not hydrolyzed at the 600C production temperature. In the upcoming years, the detrimental effects of the disposal of softgel manufacturing waste on the environment are probably going to impede market expansion.
Based on type, the market is bifurcated into gelatin and non-gelatin. The gelatin segment garnered the highest revenue share in the market in 2022. The gelatin shell of softgel capsules can enhance the bioavailability of certain drugs or nutrients. It helps to protect sensitive ingredients from degradation in the digestive tract, ensuring that the body absorbs a higher percentage of the active compound. Manufacturers can easily customize the size, shape, and color of gelatin softgel capsules to meet specific branding and product differentiation requirements, allowing for a unique and recognizable product appearance. Gelatin is derived from animal collagen and is considered biodegradable, making it an environmentally friendly choice for capsule production.
On the basis of distribution channel, the market is divided into pharmacies & drug stores, supermarkets & hypermarkets, and online providers. The pharmacies & drug stores segment acquired the largest revenue share in the market in 2022. Pharmacies and drug stores are regulated and licensed to sell pharmaceutical products. This means that the softgels available in these establishments are of high quality and meet safety standards. In such stores, pharmacists and healthcare professionals are readily available to provide advice and guidance on choosing the right softgels for specific health needs. They can offer recommendations based on an individual's health condition, existing medications, and dietary requirements. These are easily accessible, with numerous locations in urban and suburban areas. This convenience makes it simple for individuals to purchase softgels as part of their regular shopping routine.
By application, the market is segmented into pharmaceuticals, nutraceutical & dietary supplements, and cosmetics. The pharmaceuticals segment witnessed a remarkable growth rate in the market in 2022. The liquid or semi-liquid content in softgels can enhance the bioavailability of certain drugs, allowing for faster and more effective absorption in the body. This can be vital in pharmaceutical formulations where drug efficacy is a primary concern. Pharmaceutical softgel capsules can be customized in size and color, allowing for branding and product differentiation, which can be crucial in pharmaceutical marketing. The encapsulation of pharmaceutical ingredients in softgel capsules can extend their shelf life by protecting them from degradation, ensuring that medications remain effective for extended periods.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 4.4 Billion |
| Market size forecast in 2030 | USD 6.8 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 5.8% from 2023 to 2030 |
| Number of Pages | 337 |
| Number of Table | 670 |
| Quantitative Data | Volume in Units, Revenue in USD Billion, and CAGR from 2019 to 2030 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling |
| Segments covered | Type, Distribution Channel, Application, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Egypt, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region acquired the highest revenue share in the market in 2022. Softgel capsules are used in a broad spectrum of products, including vitamins, minerals, dietary supplements, over-the-counter medications, and prescription drugs. The diverse range of applications contributes to their high demand in North America. North American consumers are increasingly seeking products that contain sensitive or reactive ingredients, and softgel capsules offer excellent protection against moisture, air, and light, which can degrade these substances.
Free Valuable Insights: The Global Softgel Capsules Market size to reach USD 6.8 Billion by 2030
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Gelita AG, Darling Ingredients, Inc., Nitta Gelatin, Inc., SAS Gelatines Weishardt, Lapi Gelatine S.p.a (Lapi Group), Captek Softgel International, Inc., Thermo Fisher Scientific, Inc., EuroCaps (DCC Plc), Lonza Group AG (Capsugel), and Procaps Group.
By Type(Volume, Million Units, USD Billion, 2019-2030)
By Application (Volume, Million Units, USD Billion, 2019-2030)
By Distribution Channel (Volume, Million Units, USD Billion, 2019-2030)
By Geography (Volume, Million Units, USD Billion, 2019-2030)
This Market size is expected to reach $6.8 billion by 2030.
Growing health and wellness awareness among consumers are driving the Market in coming years, however, Negative environmental impact of softgel manufacturing restraints the growth of the Market.
Gelita AG, Darling Ingredients, Inc., Nitta Gelatin, Inc., SAS Gelatines Weishardt, Lapi Gelatine S.p.a (Lapi Group), Captek Softgel International, Inc., Thermo Fisher Scientific, Inc., EuroCaps (DCC Plc), Lonza Group AG (Capsugel), and Procaps Group.
In the year 2022, the market attained a volume of 651.1 million units, experiencing a growth of 7.0% (2019-2022).
The Nutraceuticals & Dietary Supplements segment is leading the Market by Application in 2022 thereby achieving a market value of $3 billion by 2030.
The North America region dominated the Market by Region in 2022 and would continue to be a dominant market till 2030; thereby, achieving a market value of $2.6 Billion by 2030.
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