DUBLIN--(BUSINESS WIRE)--The "Industrial Hemp Market by Type (Hemp Seed, Hemp Seed Oil, Hemp Fiber, and CBD Hemp Oil), Application (Food, Beverages, Personal Care Products, Textiles, and Pharmaceuticals), Source (Organic and Conventional), and Region - Global Forecast to 2025" report has been added to ResearchAndMarkets.com's offering.
The global industrial hemp market is projected to grow from USD 4.6 billion in 2019 to USD 26.6 billion by 2025, recording a CAGR of 34%.
Increasing legalization in the cultivation of industrial hemp and functional properties of hemp seed and hemp seed oil are projected to drive the growth of the industrial hemp market
The industrial hemp market is driven by factors such as increasing legalization in the cultivation of industrial hemp, functional properties of hemp seed and hemp seed oil, and their increased use in different food applications, and an increasing number of chronic diseases.
Hemp fiber segment dominates the industrial hemp market throughout the forecasted period
Hemp fiber is used majorly in the textile and pulp & paper industry, due to its long and strong fibers as compared to cotton. Furthermore, being a renewable source material, its application has been increasing in many diverse industries such as construction, animal bedding, agriculture, furniture, and automobile. Additionally, its usage to obtain biofuels and bioplastics has been expected to increase its demand in the coming years.
The organic segment is projected to grow at a higher growth rate during the forecast period
Organic hemp is grown under the strict regulations and guidelines provided by organic certification bodies. Organically certified hemp ensures the consumers that it is produced under strict guidelines and does not contain any pesticides and fertilizers residues. Organic hemp is used majorly in food, beverages, and pharmaceuticals products. Mostly, certified organic hemp seeds are preferred by consumers as they believe that certified hemp seeds have better safety and quality. The growing trust towards the organically cultivated hemp products is projected to drive the demand for organic hemp products significantly.
The Asia Pacific holds the largest market share in 2018
Asia Pacific accounted for the largest market share in 2018. This dominance is attributed to the extensive production and consumption of hemp fiber in the textile and paper industry. Furthermore, due to the booming market for cosmetics and personal care products in the Asia Pacific region and legalization of industrial hemp in food supplements is estimated to drive the market growth.
Competitive Landscape
The industrial hemp market comprises major players such as Hempco (Canada), Ecofibre (Australia), Hemp Inc. (US), GenCanna (US), HempFlax BV (Netherlands), Konoplex Group (Russia), Hemp Oil Canada (Canada), BAFA (Germany), Hemp Poland (Poland), Dun Agro (Netherlands), Colorado Hemp Works (US), Canah International (Romania), South Hemp Tecno (Italy), Plains Industrial Hemp Processing (Canada), and MH Medical Hemp (Germany). The study includes an in-depth competitive analysis of these players in the industrial hemp market, with their company profiles, recent developments, and the key market strategies.
Market Dynamics
Drivers
- Increasing Legalization in the Cultivation of Industrial Hemp
- Functional Properties of Hemp Seed and Hemp Seed Oil, and Their Increased Use in Different Food Applications
- Increasing Number of Chronic Diseases
Restraints
- Complex Regulatory Structure for the Usage of Industrial Hemp
Opportunity
- New Product Developments From Industrial Hemp
Challenges
- Lack of Viable Availability of Seeds for the Cultivation of Industrial Hemp
- Lack of Processing Facilities and Planting & Harvesting Equipment
Companies Mentioned
- BAFA
- Canah International
- Colorado Hemp Works
- Dun Agro
- Ecofibre
- Gencanna
- Hemp Inc.
- Hemp Oil Canada
- Hemp Poland
- Hempco
- Hempflax B.V.
- Konoplex Group
- MH Medical Hemp
- Plains Industrial Hemp Processing
- South Hemp Tecno
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