In magnetic drug targeting (MDT), therapeutic magnetic nanoparticles (MNPs) are injected into blood stream and external magnetic field is then applied to localize them around the malignant tissue. The present study reports the in vitro localization of curcumin-oleic acid loaded iron oxide nanoparticles (CU-OA-IONPs) at the target site inside a micro-capillary (500 × 500 μm² square cross section) in the presence of an externally applied magnetic field produced by a permanent magnet (B_r = 150 mT). Application of magnetic field leads to transportation of CU-OA-IONPs towards the target site and form aggregate of CU-OA-IONPs at the target site adjacent to the magnet. COMSOL simulations were also carried out for the localization of IONPs at the target site inside a micro-capillary to validate the experimental results. A good agreement is observed between the simulation results with that of experimental results for the localization of IONPs at the target site during MDT.