Global empty capsule market size was valued at USD 1,970 million in 2017 and is expected to grow at a CAGR of 7.4% during the forecast period, 2019–2026.
Capsule is a technique used to enclose medicines in a relatively stable shell that can be consumed orally. Today, the market is witnessing increasing demand for nutrition supplements in the form of capsules and its growing popularity among the geriartic population. Gereiartic population is at a high risk of developing chronic diseases such as diabetes and cardiovascular diseases, which further increases their dependency on medications. Global geriatric population is expected to rise from 12% in 2015 to 22% by 2050. Moreover, low rate of medication adherence causes nearly 125,000 deaths and imposes USD 290 million medical costs annually.
Growing adoption of dietary supplements in the form of capsules among the consumers is boooting the demand for capsules. For example, in the U.S. alone, the consumption of dietary supplements has increased by 10% from 2009 to 2018 and approximately 78% of the Americans have perceived nutritional supplements as trustworthy in terms of its effect, CRN Consumer Survey on Dietary Supplements.
|Market Size||USD 1,970 million in 2017|
|Fastest Growing Market||Middle East and Africa|
|Largest Market||North America|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends|
Geographically, the global empty capsule market is segmented into North America, Asia Pacific, Europe, Middle East and Africa, and Latin America.
North America is domianting the global market on account of technologically advanced healthcare system and its support to the development of novel pharmaceutical therapeutics in the region. Moreover, the U.S. witnesses the highest sales of pharmaceutical products. For instance, the U.S. pharmaceutical industry was accounted for over USD 333 billion in 2016, ITA Pharmaceuticals Top Markets Report. Moreover, in the U.S., the observed success rates for drug development in phase I, phase II, phase III are 75%, 50%, and 59% respectively. To address the growing needs of pharma and nutraceutical industry, manufacturers of empty capsules are focusing on increasing their production capacities. For instance, in February 2018, CapsCanada announced to invest USD 28 million to expand its production capacity by 50% to meet the rising demand for empty capsules.
MEA is in the nascent phase of the market growth. However, increasing investments in the healthcare, growing adoption of dietary supplements, and rising disposable income are expected to change the current market dynamics in the years to come. Various initiatives being undertaken to support the growth of pharmaceutical industry in this region. For instance, in 2017, the UAE announced the plans to become a global pharmaceutical hub by 2021.
Global empty capsule market is segmented by product type, application, end users, and region.
By product type, the global empty capsule market is segmented into gelatine and non-gelatine capsules. Gelatine capsules segment was the major contributor to the global market in 2018. This can be attributed to increasing demand for gelatine empty capsules in the pharmaceutical and nutraceutical industry. Moreover, gelatine capsules has been used for years in the pharmaceutical industry for various drug formulations, without any critical health issues been reported. In addition, the adoption of gelatine capsules is higher in the U.S., the U.K, and Australia. India manufactures around 120 billion tons of gelatin each year, PHD Chamber of Commerce & Industry.
By application, the empty capsule market has been segmented into antibiotic and antibacterial drugs, vitamins and dietary supplements, antacid and antiflatulent preparations, antianemic preparations, anti-inflammatory and anti-rheumatic drugs, cardiac therapy drugs, and cough and cold preparations. Currently, the antibiotic and antibacterial drugs segment is leading the empty capsule market. Growing prevalence of lower respiratory tract infections, tuberculosis, and diarrhoeal diseases is driving the demand for antibiotics. For instance, in 2016, lower respiratory infections caused 3 million deaths globally.
By end user, the empty capsule market is segmented into pharmaceutical, nutraceutical and cosmetics. The pharmaceutical industry is dominating the market as a result of shifting trend towards capsule dosage forms among the consumers. Moreover, pharmaceutical manufacturers are more likely to prefer capsules to save overall manufacuring cost and increase profit margins. However, the nutraceutical industry segment is expected to witness growt at the fastest CAGR during the assessment period.