Microencapsulation Market Size To Reach $25.19 Billion By 2030

Microencapsulation Market Growth & Trends

The global microencapsulation market size is expected to reach USD 25.19 billion by 2030, registering a CAGR of 10.5% from 2025 to 2030, according to a new report by Grand View Research, Inc. The market growth is anticipated to be driven by the rising demand for flavors, fragrances, essential oils, minerals, vitamins, enzymes and bioactive compounds in food and beverage products specifically in emerging economies.

The introduction of new fibers by the global market players is expected to rise the demand for microencapsulation over the forecast period. For instance, a composite fiber called Crabyon from chitosan that Pozzi Electra had created is well-known for its therapeutic capabilities. In addition, Solvay launched Emana a polyamide 6.6 yarn containing bioactive mineral crystals in its polymer matrix. A specialty yarn Nilit breeze manufactured by Nilit was designed for summer season, to create soft-touch, with a unique cooling effect. These cosmetotextiles are expected to drive the market growth over the projected period.

The presence of manufacturing bases in the U.S. of pharmaceuticals, food & beverages, home & personal care such as Johnson & Johnson, Pfizer and Merck & Co. and Cargill are expected to augment the demand for novel drug delivery systems, efficient drug development and food additives, which in turn is expected to fuel the technology’s growth over the forecast period.

An efficient method for regulating the release characteristics of active substances that increases the usefulness of cosmetotextiles is called as the microencapsulation technology. The growing trend in enhancing beauty through health means is driving the demand for microencapsulated phase change materials for special functionalities such as perfuming, cleansing, changing appearance, refreshing, relaxing, and protection.

Microencapsulation manufacturers are seeking collaborations, mergers, and acquisitions to develop advanced and innovative solutions. In addition, manufacturers are also adopting several strategies like new product development, and geographical expansion, to enhance their market penetration and cater to end-use industries. For instance, Capsulae signed a partnership with Ecomeris, a French R&D centered company, involved in microencapsulation technologies. Through these technologies and commercial partnership, companies are aiming at developing microencapsulation technologies and formulations to provide bio-based innovative solutions. The partnership is expected to meet the expectation of their customers and accelerate their development in the areas of agriculture, food, environment, detergents, cosmetics, and animal health.

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Microencapsulation Market Report Highlights

• The spray technology segment led the market and accounted for the largest revenue share of 33.9% in 2024. The emulsion technology is expected to grow at a CAGR of 10.7% over the forecast period.

• The polymer coating material dominated the global microencapsulation industry and accounted for the largest revenue share of 28.3% in 2024, primarily driven by the premium quality of this coating material.

• The pharmaceutical and healthcare application segment held the dominant position in the market, with the highest revenue share of 65.4% in 2024. The food and beverage application segment is expected to grow at a CAGR of 12.4% over the forecast period.

• The Asia Pacific microencapsulation market is expected to grow at a CAGR of 11.8%, over the forecast period.

Microencapsulation Market Segmentation

Grand View Research has segmented global microencapsulation market report based on technology, coating material, application, and region

Microencapsulation Technology Outlook (Revenue, USD Million, 2018 - 2030)

• Coating

• Emulsion

• Spray technologies

• Dripping

• Others

Microencapsulation Coating Material Outlook (Revenue, USD Million, 2018 - 2030)

• Carbohydrates

• Gums & Resins

• Lipids

• Polymers

• Proteins

Microencapsulation Application Outlook (Revenue, USD Million, 2018 - 2030)

• Pharmaceutical & Healthcare products

• Home & Personal Care

• Food & Beverages

• Agrochemicals

• Construction

• Textile

• Others

Microencapsulation Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

  • Italy

  • Spain

  • Russia

• Asia Pacific

  • China

  • India

  • Japan

  • Australia

  • South Korea

  • Malaysia

• Latin America

  • Brazil

  • Argentina

  • Chile

• Middle East and Africa

  • South Africa

List of Key Players of Microencapsulation Market

• LycoRed Group

• BASF SE

• Balchem

• Encapsys LLC

• AVEKA Group

• Reed Pacific Pty Ltd.

• Microtek Laboratories, Inc.

• TasteTech Ltd.

• GAT Microencapsulation GmbH

• Ronald T. Dodge Co.

• Evonik Industries AG

• Inno Bio Limited

• Bayer AG

• Dow