Softgel Manufacturing Equipment Market Outlook
The global softgel manufacturing equipment market size was valued at USD 203.8 Mn in 2021 and is projected to reach USD 487.9 Mn by 2030, expanding at a CAGR of 10.2% during the forecast period.
Softgel manufacturing equipment refers to the machinery and tools used in the production of softgel capsules. Softgel capsules are a popular oral dosage form used in the pharmaceutical, nutraceutical, and cosmetic industries to deliver various active ingredients such as vitamins, minerals, herbal extracts, and oils.
Softgel capsules are characterized by their gelatin or non-animal-based polymer shell, which is filled with a liquid or semi-solid formulation. The softgel manufacturing equipment market is majorly used due the increasing demand for softgel capsules in the pharmaceutical and nutraceutical industries. Softgel capsules offer several advantages, such as improved bioavailability, enhanced stability, and ease of consumption.
Softgel Manufacturing Equipment Market Macro-economic Factors
The demand for softgel capsules is directly related to the overall healthcare expenditure in a region. As countries increase their spending on healthcare, the demand for pharmaceuticals and nutraceuticals also increases, driving the demand for softgel capsules and the equipment used to manufacture them.
The regulatory environment for softgel capsules varies across different regions and countries. Manufacturers of softgel capsules must comply with various regulations related to safety, efficacy, and quality. Changes in regulations can impact the demand for softgel manufacturing equipment as manufacturers may need to upgrade their equipment to meet new requirements.
Softgel Manufacturing Equipment Market Dynamics
Increasing focus on soft gel capsules by Pharmaceutical Industry
Increasing focus on soft gel capsules by the pharmaceutical industry is projected to fuel the market during the forecast period. Gelatin means stiff and is a white, dry powder used in a wide range of food and pharmaceutical applications, and has been around for generations.
Gelatin is the perfect component for soft gels because it dissolves in the human body at body temperature for customers. The gelatin in the soft gels makes it easier for consumers to swallow while safeguarding the priceless active ingredients inside the capsule from oxygen, light, moisture, and dust.
Furthermore, customers also value how the size and color of the capsules, makes it easier for them to recognize the specific medicine or nutrition within. In the present drug discovery process, it is estimated that more than 40% of novel chemical entities (NCEs) have subpar biopharmaceutical characteristics, such as inadequate water solubility and permeability.
The development of orally accessible dose forms and the oral absorption of the chemicals are both significantly hampered by these less-than-ideal qualities. For the oral delivery of weakly water-soluble chemicals such as BCS class II or class IV, there is considerable interest in the development of soft gel capsule dosage forms.
As a result, the pharmaceutical companies are more focused on manufacturing soft gel capsules due its several advantages such as distributing a liquid matrix that is intended to increase the oral bioavailability and solubilize a poorly soluble chemical
Growing usage of soft gel encapsulation machines in the supplement industry
The growing usage of soft gel encapsulation machines in supplement industry is expected to boost the market in the coming years. Due to the hectic working schedules and unhealthy lifestyle people have no time to eat natural, healthy meals or take care of their nutrition.
However, practically everyone in today's society is aware of the dangers of an unhealthy and obese body. All of these elements have boosted the supplement sector as individuals are benefiting by completing their nutritional needs in less time without putting their health at danger because of soft gel supplement capsules.
Soft gel capsules have a number of benefits, such as ease of swallowing, increased bioavailability, odor and taste masking, better absorption, and excellent atmospheric stability. Traditional capsules now have more features due to improvements in manufacturing technology and the introduction of new materials, such as controlled drug release, tamper-evident packaging, and formulation choice of potent APIS due to reduced stomach pH degradation, appealing aesthetics, and longer shelf life.
Moreover, nutrients such as vitamin A, vitamin D, and vitamin C are available in the form of colorful, soft gel chewable capsules. Furthermore, the global market for dietary supplements is estimated to produce over USD 308 billion by 2028. Thus, all these factors are boosting the demand for soft gel encapsulation machines in supplement industry.
The initial investment in the production of soft gel is expensive. The factors of the investment can be taken into consideration while examining equipment possibilities. When buying or upgrading equipment, there may be a significant up-front cost, but the more expensive item typically has better quality and performance.
It's crucial to be aware that many suppliers don't sell equipment with lifespan in mind when wanting to save money or take advantage of immediate savings. Instead, they offer inferior machinery to organizations that cannot afford the initial investment in high-quality manufacturing equipment.
Additionally, the cost of the soft gel manufacturing equipment can reach up to USD 1,20,000, making it unaffordable for small-scale businesses to invest. However, equipment that is long-lasting and simultaneously optimizes the entire encapsulation process is absolutely instrumental. Thus, these factors are expected to hamper the market growth in the coming years.
Complexities of soft gel manufacturing
It is difficult to operate a machine, which is complicated and an expert and knowledgeable professional is required to supervise the operation of the soft gel manufacturing equipment. Making two-piece hard capsules or tablets is very different from manufacturing soft gels.
As a result, there are various factors that a producer of soft gels should take into account such as having the proper equipment that fulfills the requirements for the production process. Additionally, training and experience are required for employees.
After an educational training, employees are expected to be prepared with the skills and information needed to handle any issue they may encounter. Furthermore, a complete soft gel production line should typically include rooms for encapsulation, gelatin melting, medicine, service tank, drying, tray, inspection, and packing. Thus, all these complex factors in manufacturing soft gel are expected to restrain the market growth in the coming years.
Technological advancement of soft gel manufacturing equipment
The need for advanced soft gel manufacturing equipment has risen as a result of ongoing improvements in capsule-making methods. The market for these machines is anticipated to expand due to the urgent requirement for more automatic soft gel manufacturing equipment for large-scale soft gel manufacture.
For instance, soft gel manufacturing equipment manufactured by SaintyCo, the Aprila SG250 Large Scale Soft Gelatin Encapsulation Machine is a cGMP-compliant piece of equipment. Its reliable and cutting-edge control system guarantees a rapid, accurate, and consistent encapsulation process.
The equipment has the capacity up to 163,200Softgel/hour depending on size/shape. On the other hand, Catalent announced the launch of the OptiGel® DR technology in 2020, which enables the formulation and production of delayed/enteric release soft gels. It is possible to make soft gel capsules without the need for a separate capsule coating phase by using gelatin and pectin, a polysaccharide produced naturally.
Increasing demand for soft gel manufacturing equipment in medical marijuana industry
Increasing demand for soft gel manufacturing equipment in medical marijuana industry is anticipated to offer a lucrative opportunity for market in the coming years. When it comes to soft gel manufacturing equipment, the marijuana manufacturing sector is one of the industries gains more than the pharmaceutical industry.
Marijuana is used for the treatment of people with chronic illnesses such as Alzheimer's, epilepsy, and malignancies. In 2022, it is anticipated that the medicinal cannabis market is expected to generate USD 10.75 million.
In terms of global comparison, the US is projected to create the highest amount of revenue amounting to USD 9,591.00 Mn in 2022. Moreover, Federal legislation in the US forbids the use of Cannabis sativa whole plants or any of its derivatives for any reason. However, Federal law allows for the lawful use of CBD extracted from hemp plants with less than 0.3% THC. Thus, all these factors are stimulating the demand for soft gel manufacturing equipment in medical marijuana industry.
Scope of Softgel Manufacturing Equipment Market Report
The report on the global Softgel Manufacturing Equipment Market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Softgel Manufacturing Equipment Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast
By Type (Soft Capsule Encapsulation Machines, Soft Capsule Drying Systems, and Other Auxiliary Devices)
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered
Changsung Softgel System Ltd., TECHNOPHAR, SKY Softgel Co., Ltd., SaintyCo, GIC Engineering, Inc., KAMATA MACHINE CO., LTD｜KAMATA CO., LTD, BOCHANG CO., LTD, ARBES Pvt. Ltd, United Pharmatek USA, Softgel Pharma
Softgel Manufacturing Equipment Market Segment Insights
The global Softgel Manufacturing Equipment Market is segmented on the basis of type, and regions.
Type Segment Analysis
In terms of Type, Softgel Manufacturing Equipment Market is segmented into Soft Capsule Encapsulation Machines, Soft Capsule Drying Systems, and Other Auxiliary Devices. Soft Capsule Encapsulation Machines segment is expected to dominate the market in 2021, owing to increased automation, improved precision and accuracy, and faster production speeds. There has also been a trend towards multi-functional machines that can handle different types of formulations and produce different sizes and shapes of softgel capsules.
Key Benefits for Industry Participants & Stakeholders
- In-depth Analysis of the global Softgel Manufacturing Equipment Market
- Historical, Current, and Projected Market Size in terms of Value and Volume
- Potential & Niche Segments and Regions Exhibiting Promising Growth Covered
- Industry Drivers, Restraints, and Opportunities Covered in the Study
- Recent Industry Trends and Developments
- Competitive Landscape & Strategies of Key Players
- Neutral Perspective on Global Softgel Manufacturing Equipment Market
- Soft Capsule Encapsulation Machines
- Soft Capsule Drying Systems
- Other Auxiliary Devices
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
- Changsung Softgel System Ltd.
- SKY Softgel Co., Ltd.
- GIC Engineering, Inc.
- KAMATA MACHINE CO., LTD｜KAMATA CO., LTD
- BOCHANG CO., LTD
- ARBES Pvt. Ltd
- United Pharmatek USA
- Softgel Pharma
Top players in the market include Changsung Softgel System Ltd., TECHNOPHAR, SKY Softgel Co., Ltd., SaintyCo, GIC Engineering, Inc., KAMATA MACHINE CO., LTD｜KAMATA CO., LTD, BOCHANG CO., LTD, ARBES Pvt. Ltd, United Pharmatek USA, and Softgel Pharma.These companies are considered key manufacturers of softgel manufacturing equipment based on their revenue, product offerings, regional presence, and supply chain management system.
The players are adopting key strategies such as acquisition, collaborations, and geographical expansion where potential opportunities for Softgel Manufacturing Equipment Market.