An automated process and apparatus for making a gastro-retentive device (10). The method includes the steps of providing a pouch assembly having an ingredient section within a membrane; folding the membrane to form a folded pouch assembly; inserting the folded pouch assembly into a first capsule section (20a) to form a pouch/first capsule assembly, and inserting the pouch/first capsule assembly into a second capsule section (20b). The process can further include the steps of providing a strip (32) of multiple pouch assemblies (18) and cutting a single pouch assembly from the strip (32). Also provided is an apparatus (38) for carrying out the above method which includes a tooling block (44) having a passageway (62) configured for slidable movement of the pouch assembly (18) therein, and a tooling pocket (60) extending from a top surface of the tooling block to the passageway and which receives the pouch assembly. A ram (86) is provided for pushing the pouch assembly through the tooling pocket into the passageway, wherein the pouch assembly is folded and encapsulated.