Industrial Hemp Market By Product Type (Hemp Seeds, Hemp Fiber, Hemp Oil, Hemp Protein, Hemp CBD), By Application (Food & Beverages, Textiles, Construction & Building Materials, Personal Care & Cosmetics, Pharmaceuticals, Paper & Pulp, Biofuel, Animal Feed), and By Region; Global Insights & Forecast (2024 - 2030)

As per Intent Market Research, the Industrial Hemp Market was valued at USD 7.5 Billion in 2024-e and will surpass USD 14.6 Billion by 2030; growing at a CAGR of 11.7% during 2025-2030.

The industrial hemp market is witnessing significant growth due to the versatile nature of hemp and its wide array of applications across various industries. Hemp, a sustainable and eco-friendly crop, is being increasingly used in food and beverages, textiles, personal care products, pharmaceuticals, and construction materials. As global awareness regarding environmental sustainability rises, the demand for hemp-based products is expected to continue expanding, driven by its ability to offer alternative solutions to traditional materials and products that often have a larger environmental footprint. Hemp's potential in contributing to sustainable agriculture, waste reduction, and renewable energy also makes it a highly sought-after resource for a variety of industrial sectors.

Key drivers in the market include increasing consumer preference for natural and organic products, the growing demand for plant-based foods, and innovations in hemp-based biofuels and pharmaceuticals. Additionally, the legalization of hemp cultivation in many regions has created favorable conditions for market expansion, encouraging both large-scale farming and small-scale operations. As the industrial hemp market diversifies and matures, new applications are emerging, positioning hemp as a crucial component in the transition to a more sustainable and eco-conscious global economy.

Hemp CBD is Fastest Growing Segment

Hemp CBD (cannabidiol) is the fastest growing product type within the industrial hemp market, fueled by the increasing consumer interest in its potential therapeutic benefits. CBD, derived from hemp plants, has garnered widespread attention due to its non-psychoactive properties and potential to aid in the management of various health conditions such as anxiety, pain, and sleep disorders. The growing acceptance and demand for CBD-based products, including oils, tinctures, edibles, and cosmetics, have positioned hemp CBD as a key driver in the market.

The rise in wellness and health-conscious consumer behavior, along with regulatory changes allowing the sale of hemp-derived CBD products in many regions, has contributed to the rapid expansion of this segment. In addition, ongoing research into the medicinal properties of CBD and its potential applications in pharmaceuticals is likely to further fuel market growth. With consumers increasingly seeking natural alternatives to pharmaceuticals, hemp CBD is poised to remain a dominant force within the industrial hemp market for the foreseeable future.

Hemp Seeds Lead in Food & Beverage Applications

Hemp seeds are the most widely used hemp product in the food and beverage industry, owing to their rich nutritional profile and growing popularity as a superfood. Packed with essential fatty acids, proteins, fiber, and a variety of vitamins and minerals, hemp seeds offer numerous health benefits, including improved heart health, better digestion, and enhanced skin health. As consumer demand for plant-based and organic foods rises, hemp seeds are being incorporated into a wide variety of food products, such as smoothies, protein bars, granola, baked goods, and dairy alternatives.

The growing trend toward plant-based diets and sustainable food options has been a key factor in driving the popularity of hemp seeds in the food and beverage sector. Furthermore, as more consumers turn to natural, clean-label foods, hemp seeds are being recognized for their minimal environmental impact compared to traditional agricultural products. The increasing availability of hemp-based food products in mainstream supermarkets and health food stores is expected to continue propelling the growth of this segment, as more people embrace hemp seeds for their nutritional and health benefits.

North America Leads the Industrial Hemp Market

North America, particularly the United States and Canada, holds the largest market share in the industrial hemp sector. The legalization of hemp cultivation in these countries has significantly boosted market growth, creating a robust foundation for hemp-based industries. In the U.S., the 2018 Farm Bill legalized the cultivation of hemp, providing an impetus for increased investment and research in hemp farming, processing, and product development. Canada has long been a leader in hemp cultivation, and its well-established hemp industry continues to serve as a model for other regions.

The North American market benefits from a supportive regulatory environment, with many states in the U.S. actively promoting hemp farming and processing. The growing demand for hemp-based products in the food, personal care, and wellness sectors, alongside an increasing interest in sustainable and eco-friendly products, has fueled the rapid expansion of the industrial hemp market in the region. Furthermore, the proximity to major hemp cultivation areas, advanced processing technologies, and a strong distribution network are expected to continue driving the dominance of North America in the global industrial hemp market.

Competitive Landscape and Key Players

The industrial hemp market is highly competitive, with key players focusing on innovation, sustainable practices, and product diversification to gain a competitive edge. Leading companies in the market include The Green Organic Dutchman Holdings Ltd., Hemp Inc., Charlotte’s Web Holdings, Inc., and Canopy Growth Corporation. These companies are involved in various aspects of the hemp supply chain, including farming, processing, and the production of hemp-derived products.

In recent years, strategic partnerships, mergers, and acquisitions have been common in the industrial hemp space as companies look to expand their product portfolios and market reach. Research and development efforts are focused on improving hemp processing methods, enhancing product quality, and exploring new applications for hemp in emerging industries. As the market matures, regulatory compliance, transparency, and sustainability will continue to be key factors for success. The increasing interest in hemp-based solutions across diverse sectors, combined with the growing consumer shift toward organic and natural products, will likely fuel continued competition and innovation in the industrial hemp market.

Recent Developments:

• Tilray, Inc. expanded its hemp product offerings by introducing a new line of hemp-derived CBD products for wellness and personal care applications.
• Canopy Growth Corporation entered the European market with a new line of industrial hemp-based textiles aimed at the fashion and home goods industries.
• Charlotte's Web Holdings, Inc. launched a new hemp-based food product line, including hemp protein and oil, catering to the health-conscious consumer market.
• Aurora Cannabis Inc. partnered with a leading agricultural company to scale hemp production for its expanding biofuel and pharmaceuticals sectors.
• Cronos Group announced the acquisition of a hemp processing facility to increase its capacity to produce hemp CBD products for both the wellness and pharmaceutical markets.

List of Leading Companies:

• HempFlax Group
• Tilray, Inc.
• Canopy Growth Corporation
• Aurora Cannabis Inc.
• Cronos Group
• Charlotte's Web Holdings, Inc.
• The Green Organic Dutchman
• Sundial Growers Inc.
• US Hemp Wholesale
• HempCo. Food and Fiber Inc.
• HempFusion Wellness Inc.
• GenCanna Global Inc.
• Industrial Hemp Manufacturing
• HempMeds
• Ecofibre Limited

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