Softgel Capsules Market Research, 2032
Softgel capsules are a specialized type of oral dosage form encapsulated in a soft gelatin shell, which holds liquid or semi-liquid content. These capsules are widely used in the pharmaceutical, nutraceutical, and cosmetics industries due to their ease of swallowing, better bioavailability, and ability to mask unpleasant tastes or odors.
Market Value Projections and Insights
- The global softgel capsules market size was valued at $4.4 billion in 2021, and it is projected to reach $7.5 billion by 2031, growing at a CAGR of 5.4% from 2022 to 2031.
- By type, the gelatin softgel capsules segment dominated the market share in 2021 and is anticipated to maintain its dominance over the forecast period.
- By application, health supplements were the leading application segment in 2021 and are expected to drive softgel capsules market demand.
- By distribution channel, pharmacies and drug stores held the largest share in the distribution channel in 2021, further contributing to the growth of the market.
- Region-wise, North America generated the largest revenue share in 2021, however, Asia-Pacific is anticipated to grow at the highest CAGR during the forecast period.
The softgel capsules market is experiencing notable growth, driven by increased consumer preference for easy-to-swallow, fast-acting, and tasteless dosage forms. This trend is particularly prominent in the nutraceuticals sector, where supplements like fish oil and multivitamins are often encapsulated in softgels. Additionally, rising demand for enhanced bioavailability of drugs is pushing pharmaceutical companies to adopt softgel formulations, as they allow better absorption of poorly soluble drugs.
However, the softgel capsules market faces challenges such as high production costs and regulatory scrutiny around gelatin sourcing, especially with the growing demand for plant-based alternatives. For example, vegetarian and vegan consumers are increasingly seeking non-gelatin capsules made from materials like tapioca starch, which presents both a challenge and an opportunity for manufacturers.
The softgel capsules market opportunities lie in expanding the use of softgels in over-the-counter (OTC) medications, and the development of innovative, plant-based softgel capsules to cater to shifting consumer preferences. Companies like Catalent and Capsugel are key players in driving innovation in this space.
Industry Highlights
- The demand for softgel capsules in the pharmaceutical sector is primarily driven by their ability to enhance the solubility and bioavailability of poorly soluble drugs.
- The rising health consciousness among consumers is driving the demand for softgel-based dietary supplements, including vitamins, minerals, and omega-3 supplements.
- The cosmetics industry is also utilizing softgel capsules for delivering skin care formulations.
- Pharmacies and drug stores have emerged as the dominant distribution channel, offering easy access to softgel capsules.
- North America remains the leading regional softgel capsules market due to its advanced healthcare infrastructure and high consumer demand for dietary supplements.
Softgel capsules have long been valued for their convenience, effectiveness, and enhanced bioavailability, making them a preferred choice for both consumers and manufacturers. Some softgel products can be highly valuable in the market, particularly those offering premium formulations, unique delivery systems, or specialized health benefits. These capsules can command high demand due to their effectiveness and ease of use, making them a sought-after option in pharmaceutical and supplement industries. Softgel capsules that mark important innovations or milestones in drug delivery technology, such as the introduction of non-gelatin variants, are especially prized by consumers and manufacturers alike. Many people associate softgel capsules with improved wellness experiences, recalling their smooth consumption and better absorption, which fosters trust and loyalty toward this dosage form.
Key Areas Covered in the Report
- Softgel capsules are widely recognized for their ease of consumption, bioavailability, and enhanced stability of active ingredients.
- The softgel capsules market faces competition from other drug delivery formats, such as tablets, liquid suspensions, and chewable forms.
- The rise of non-gelatin softgel capsules has brought diversity and innovation, catering to the growing demand for plant-based or vegetarian alternatives.
- Health supplements and pharmaceutical applications continue to drive the popularity of softgel capsules, contributing to their enduring softgel capsules market presence.
Softgel capsules are in competition with alternative drug delivery formats such as tablets, chewable gummies, liquid suspensions, and other advanced delivery systems. As consumer demand for health supplements and pharmaceuticals increases, so does the demand for innovative, convenient formats that offer improved efficacy and user experience. The rise of plant-based and vegan lifestyles has spurred growth in the development of non-gelatin softgel capsules, providing an alternative to traditional gelatin-based capsules and addressing a key consumer need. This trend reflects a larger shift toward more natural, sustainable, and ethical products across the health and wellness industry.
Pharmaceutical companies are investing heavily in advanced formulations using softgel capsules to improve drug absorption and stability, further driving demand. Health supplements in softgel form, especially those containing essential vitamins, omega-3, and CBD oil, are gaining popularity due to their ease of ingestion and faster absorption, giving them an edge over other formats. Additionally, as consumers increasingly prioritize self-care and preventative health, the softgel capsules market for softgel health supplements continues to grow.
The rising demand for online health product platforms and pharmacies is giving consumers more access to softgel capsules, helping to accelerate their adoption. Pharmacies and drug stores, both physical and online, play a significant role in the distribution of softgel products, offering a variety of formulations to meet consumer needs across the pharmaceutical and health supplement sectors. As the softgel capsules market continues to evolve, innovations in softgel technology and formulations are expected to offer new opportunities for both pharmaceutical and nutraceutical applications.
Topics discussed in the report
- Analysis of softgel capsules market trends, drivers, and opportunities across key segments.
- Competitive landscape and strategic initiatives of key market players.
- Regional analysis highlighting the dominance of North America in the global market.
- Insights into the role of non-gelatin softgels in the future of the industry.
- Growth prospects for health supplements as a key application area for softgel capsules.
Segment Overview
The softgel capsules market is segmented into type, application, distribution channel, and region. By type, the market is categorized into gelatin softgel capsules and non-gelatin softgel capsules. On the basis of application, the market is segregated into pharmaceuticals, health supplements, and cosmetics. By distribution channel, the market is classified into supermarkets & hypermarkets, pharmacies & drug stores, and online providers. By region, the softgel capsules market is divided into North America (the U.S., Canada, and Mexico), Europe (UK, Germany, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia, and rest of Asia-Pacific), and LAMEA (Brazil, Saudi Arabia, South Africa, and the Rest of LAMEA).
Gelatin softgel capsules held the largest softgel capsules market share in 2021 due to their versatility and cost-effectiveness. However, the rising popularity of plant-based alternatives is driving the growth of non-gelatin capsules. In addition, The health supplements segment accounted for the largest share in 2021, driven by the growing demand for dietary supplements across the globe. Further, Pharmacies and drug stores dominated the distribution channel in 2021, attributed to the convenience and trust associated with these outlets for consumers purchasing health-related products.
Comparative Matrix of Key Segments
Parameters | Gelatin Capsule | Non-Gelatin Capsules |
Market Share | Largest share due to traditional applications in various nutritional as well as pharmaceutical purpose and availability of gelatin softgel capsule in the market by various key players. | Growing rapidly with digital platforms |
Distribution Channels | Pharmacies, health stores, supermarkets | Online platforms, specialty health stores |
Challenges | Concerns over animal origin, competition from alternatives | Higher production costs, limited availability |
Key Players | Catalent, Aenova Group, Procaps Group | Captek Softgel International, Robinson Pharma |
Regional Dynamics and Competition
The softgel capsules market is experiencing significant growth across various regions due to the increasing consumer demand for nutraceuticals, pharmaceuticals, and dietary supplements. North America holds a dominant position in the market, driven by high consumer awareness of health and wellness products, alongside a strong presence of key pharmaceutical manufacturers. The U.S., in particular, is a major contributor due to the aging population and rising demand for supplements aimed at preventing chronic diseases.
In Europe, stringent regulations around drug formulations have prompted the development of high-quality softgel capsules, especially in countries like Germany and the U.K. Furthermore, the Asia-Pacific region presents lucrative opportunities, with countries like India, China, and Japan leading the charge. The growing population, rising healthcare awareness, and increasing disposable income in these nations are contributing to the regional demand. Additionally, advancements in capsule manufacturing technologies and the expansion of contract manufacturing organizations (CMOs) in these regions are further driving softgel capsules market growth.
Emerging economies in Latin America and the Middle East also show promising potential, fueled by the increasing penetration of pharmaceutical products and the expansion of healthcare infrastructure. Overall, the global trend indicates a robust demand for softgel capsules, particularly in health-conscious markets.
Some of the major players analyzed in this report are Aenova Group, Best Formulations, Inc., Captek Softgel International, Inc., Catalant, Inc., DCC Plc. (Eurocaps), Procaps Groups, Robinson Pharma, Inc., Lyfe Group (Caps Canada), Sirio Pharma Co. (Ayanda), and Thermofisher Scientific, Inc. (Patheon).
Softgel Capsules Market News Release
- In January 2022, Procaps Group (PROC) acquired the 1st U.S.-based softgel production facility and pharmaceutical R&D center.
- In October 2021, Aenova Group, a global contract manufacturer and developer for the pharmaceutical and healthcare industries, developed probiotic softgel capsules, designed to support wellbeing through the gut flora. The capsules, which contain living bacteria or yeasts, are designed to combine the advantages of the soft gelatin formulation technology with the health benefits of probiotics.
- In August 2021, Catalent, Inc. announced the acquisition of Bettera Holdings, LLC, a prominent manufacturer in the nutritional supplements market, which strengthened catalant’s softgel product portfolio and broadened manufacturing capabilities.
- In February 2021, Catalent, the leading global provider of advanced delivery technologies, development, and manufacturing solutions for drugs, biologics, cell and gene therapies, and consumer health products, announced the launch of its CosmoPod Duo softgel capsule technology for the delivery of topical skin treatments.
- In November 2020, Aenova Group launched new chewable VegaGels with algae-based omega-3 in multiple colors and flavors.
- In October 2020, Catalent, Inc, expanded its manufacturing capacity of gelatin capsule by investing US$ 93 million in its capsules and health ingredients (CHI) division. The investment led the catalant to expand its overall production capacity of capsules within CHI's Capsugel portfolio by manufacturing 30 billion capsules annually.
- In October 2020, Catalent, the leading global provider of advanced delivery technologies, development, and manufacturing solutions for drugs, biologics, cell and gene therapies, and consumer health products, announced the launch of OptiGel DR technology for the formulation and manufacture of delayed/enteric release softgels.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the softgel capsules market segments, current trends, estimations, and dynamics of the softgel capsules market analysis from 2021 to 2031 to identify the prevailing softgel capsules market opportunities.
- The softgel capsules market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the softgel capsules market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global softgel capsules market trends, key players, market segments, application areas, and market growth strategies.
Softgel Capsules Market Report Highlights
| Aspects | Details |
 Market Size By 2031 | USD 7.5 billion |
 Growth Rate | CAGR of 5.4% |
 Forecast period | 2021 - 2031 |
 Report Pages | 265 |
 By Type |
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 By Application |
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 By Distribution Channel |
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 By Region |
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 Key Market Players | Procaps Groups, Lyfe Group (Caps Canada), Thermofisher Scientific, Inc (Patheon), Robinson Pharma, Inc., Aenova Group, Catalant, Inc., DCC Plc. (Eurocaps), Captek Softgel International, Inc., Best Formulations, Inc., Sirio Pharma Co. (Ayanda) |
Analyst Review
The adoption of softgel capsules is expected to increase due to rise in number of self-directed consumers and upsurge in awareness about softgel health supplements in developing countries.
Increase in R&D activities to develop softgel capsules and rise in consumer awareness related to preventative healthcare are projected to supplement the market growth. Major advantages associated with the enteric softgel are higher bioavailability, better clinical outcome, and ease of use, which supplement the market growth.
North America is expected to remain dominant during the forecast period, due to surge in use of softgel capsules. This is attributed to rise in healthcare awareness, ease of product accessibility, and higher adoption of omega-3 supplements. In addition, Asia-Pacific and LAMEA are expected to offer lucrative opportunities to the key players, due to surge in awareness toward preventative healthcare and rise in use of health supplements.
A softgel or soft gelatin capsule is a solid capsule (outer shell) surrounding a liquid or semi-solid center (inner fill).
Gelatin capsules segment is the most influencing segment in softgel capsules market which is attributed to increase in usage of gelatin to produce capsules, due to its physicochemical, biological, and mechanical properties.
The base year is 2021 in softgel capsules market.
The major factor that fuels the growth of the softgel capsules market are rise in number of health-conscious people as well as growth in innovations in the pharmaceutical industry.
The market value of softgel capsules market in 2031 is $2,212.6 million.
Top companies such as, Aenova Group, Captek Softgel International, Inc., Catalant, Inc., DCC Plc. (Eurocaps), Procaps Groups, Robinson Pharma, Inc., Lyfe Group (Caps Canada), and Thermofisher Scientific, Inc. (Patheon). held a high market position in 2021. These key players held a high market postion owing to the strong geographical foothold in different regions.
The total market value of softgel capsules market is $1,311.38 million in 2021.
The forecast period for softgel capsules market is 2022 to 2031
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