Global Industrial Hemp Market – Industry Trends and Forecast to 2031

Industrial Hemp Market Analysis and Size       

There has been increasing demand for biodegradable and renewable natural materials in various consumer products across the globe. The products in the industrial hemp market are considered to be highly eco-friendly, less harmful, and even renewable. Owing to its ecologically friendly character, this has prompted players in a variety of end-use industry verticals to choose goods from the market, which is projected to aid the market growth. The industrial hemp market is projected to show immense growth over the forecast period.

Data Bridge Market Research analyzes that the global industrial hemp market, which was USD 6.74 billion in 2023, would reach up to USD 31.00 billion by 2031 and is expected to undergo a CAGR of 21.02% during the forecast period. The “conventional” accounts for the largest market share in the source segment in the market due to the greater production volumes it offers for commercial use. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include depth expert analysis, patient epidemiology, pipeline analysis, pricing analysis, and regulatory framework.

Report Scope and Market Segmentation

Market Definition

Hemp is a versatile plant belonging to the cannabis sativa species, but it contains negligible amounts of the psychoactive compound THC, unlike its cousin marijuana. Hemp has various industrial uses, including the production of fibers, seeds, and oil. The plant's strong and durable fibers are employed in textiles, ropes, and paper production. Hemp seeds are rich in nutrients and are utilized in food products like oils, protein powder, and snacks. Additionally, hemp can be employed in the construction industry for making eco-friendly building materials. Its fast growth and low environmental impact make hemp a sustainable and valuable resource for a range of industrial applications.

Global Industrial Hemp Market Dynamics

Drivers

• Demand for Sustainable Products

The increasing emphasis on sustainable practices has driven demand for hemp due to its eco-friendly attributes. Hemp cultivation requires fewer pesticides and herbicides compared to traditional crops, reducing environmental impact. As consumers prioritize sustainability, industries seek alternatives like hemp fibers for textiles and hempcrete for construction, contributing to the plant's market growth.

• Expanding Applications

Ongoing research and development efforts have broadened the applications of industrial hemp, making it a versatile resource. Innovations in hemp-based materials, such as bioplastics and sustainable building products, contribute to the plant's appeal across various industries. The continuous exploration of new applications enhances the market's potential, attracting investments and fostering a diverse range of hemp-derived products.

Opportunities

• Diversification of Products

The industrial hemp market offers a prime opportunity for stakeholders to diversify product offerings. Beyond traditional uses like textiles and oils, there's potential for developing innovative hemp-based materials such as biodegradable plastics,  sustainable packaging, and even biofuels. This diversification not only taps into emerging markets but also positions hemp as a versatile and sustainable resource with applications across various industries.

• Investment in Research

Increased investment in research is pivotal for unlocking the full potential of industrial hemp. Research initiatives can focus on improving hemp genetics for enhanced yield and quality, optimizing cultivation techniques, and exploring novel applications such as advanced nanomaterials or pharmaceuticals. This investment not only drives innovation but also establishes a foundation for the long-term growth and competitiveness of the hemp industry in a rapidly evolving market.

Restraints/Challenges

• Regulatory Hurdles

The industrial hemp industry contends with regulatory challenges, varying from strict THC content limits to licensing complexities. Navigating this intricate regulatory landscape poses hurdles for businesses, impacting cultivation, processing, and distribution. Standardizing and streamlining regulations across jurisdictions is crucial to fostering a more predictable and supportive environment for the industry's expansion.

• Market Stigma

Persistent societal stigma associated with hemp's botanical cousin, marijuana, presents a challenge for the industrial hemp market. Despite lacking psychoactive properties, hemp products may face resistance from consumers and investors due to this lingering stigma. Overcoming this challenge requires extensive education campaigns to differentiate hemp from marijuana and highlight its diverse industrial uses, emphasizing its economic and environmental benefits.

This Industrial hemp market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the Industrial hemp market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Global Industrial Hemp Market Scope

The Industrial hemp market is segmented on the basis of type, application, and source. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Type

• Hemp Seed
• Hemp Seed Oil
• CBD Hemp Oil
• Hemp Fiber

Application

• Food
• Textiles
• Beverages
• Personal Care Products
• Pharmaceuticals
• Others

Source

• Conventional
• Organic

Industrial Hemp Market Regional Analysis/Insights

The Industrial hemp market is analyzed and market size insights and trends are provided by country, type, application, and source as referenced above.

The countries covered in the market report are the U.S., Canada, Mexico, Germany, U.K., France, Italy, Spain, Russia, Poland, Switzerland, Netherlands, Hungary, Austria, Norway, Ireland, Turkey, Lithuania, rest of Europe, China, Japan, India, Australia, South Korea, Singapore, Thailand, Malaysia, Indonesia, Philippines, Vietnam, rest of Asia-Pacific, Brazil, Argentina, Peru, rest of South America, South Africa, Saudi Arabia, U.A.E., Israel, Egypt, and rest of Middle East & Africa.

Asia-Pacific is expected to dominate the market due to the booming market for cosmetics and personal care products and the increasing consumption of hemp-based food products and supplements in developing economies within the region.

North America is expected to witness significant growth during the forecast period due to the growing geriatric population, high consumer disposable income levels, and rising concerns related to skin diseases and UV protection within the region.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Healthcare Infrastructure growth Installed base and New Technology Penetration

The Industrial hemp Market also provides you with detailed market analysis for every country growth in healthcare expenditure for capital equipment, installed base of different kind of products for Industrial hemp Market, impact of technology using life line curves and changes in healthcare regulatory scenarios and their impact on the Industrial hemp Market. The data is available for historic period 2010-2020.

Competitive Landscape and Global Industrial Hemp Market Share Analysis

The Industrial hemp market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to Industrial hemp market.

Some of the major players operating in the Industrial hemp market are:

• Nhempco (Canada)
• Ecofibre (Australia)
• Hemp Inc. (U.S.)
• GenCanna (U.S.)
• HempFlax Group B.V., (Netherlands)
• Konoplex (Russia)
• Hemp Oil Canada (Canada)
• Hemp Poland (Poland)
• Dun Agro (Netherlands)
• Colorado Hemp Works (U.S.)
• Canah International (Romania)
• South Hemp Tecno (Italy)
• Plains Industrial Hemp Processing (Canada)
• MH Medical Hemp (Germany)

SKU-53152