As for the lighting, you could go to a high frequency illuminator, or an LED. I think that some improvements can be made to the processing though.
I would do some processing, then threshold this picture. You don't want to perform any functions that change the shape or size of the pixels, only their contrast levels. If you could post a file of an actual image from your camera, not a screenshot, that would be most helpful.
Also, if you want to increase your speed, you should put all of your Image Acquisition functions on the outside of your loop, except for the Grab Acquire. Put the initialization and setup functions to the left, and the close on the right. Be sure to use the Stop button, because if you abort, the Close function won't execu
te.