The global industrial hemp market size is estimated in 2019 to be $4.9 billion. From 2021 to 2027, he is projected to reach $18.6 billion by 2027, with a CAGR of 22.4%.
Opportunity Analysis and Industry Forecasts, 2021-2027
Hemp seed or industrial hemp is derived from “Cannabis Sativa” which contains only trace amounts of tetrahydrocannabinol (THC).
Hemp seeds grown specifically for commercial use are used in a variety of products. Hemp seeds are rich in two essential fatty acids, linolenic acid (omega-3) and linoleic acid (omega-6). It is also rich in vitamin B1, vitamin B2, vitamin B6, vitamin D, vitamin E, magnesium, calcium, and potassium.
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Rich Source Of Protein and Fibre
Additionally, while very rare plant foods are a complete source of protein, hemp seeds contain a small amount of protein that can be considered a valuable addition to a vegan diet.
Since humans cannot produce essential fatty acids, hemp seeds are a rich source of linoleic acid (omega-6) and linolenic acid (omega-3), so it makes sense to add hemp seeds to food applications.
Additionally, hemp seeds can be used to make a variety of foods, such as hemp milk, hemp oil, hemp cheese substitutes, and hemp-based protein powders. Seeds are used in food and beverages, further fueling the growth of the industrial hemp market.
As hemp cultivation becomes more legal, growers and research institutes develop new products from industrial hemp. In addition, legalization and increased production of hemp oil could reduce the cost of hemp oil production and reduce the cost of hemp biodiesel.
Biofuels are one of the applications that are expected to have significant growth potential in the coming years. Biofuels are growing in popularity with the continued rise in oil (gasoline and diesel) prices and growing concerns about global warming.
Additionally, cannabis seed extract is used to produce cannabis biodiesel that can be used in any diesel vehicle. Additionally, industrial hemp can be used to produce ethanol, which is currently processed from food crops such as corn and wheat.
This process increases the food production efficiency. Therefore, the development of new products from hemp becomes the current trend in the industrial hemp market.
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Key Findings :
- In terms of type, the hemp oil segment dominated the global market in 2019 and is expected to maintain its dominance throughout the forecast period.
- By application, the personal care products segment contributed the most to the growth of the industrial hemp market in 2019 and is projected to grow at a CAGR of 19.6% from 2021 to 2027.
- In terms of origin, the conventional segment will lead the global demand in 2019 and is expected to maintain its dominance during the industrial hemp market forecast period.
- By region, Asia-Pacific accounted for the highest industrial hemp market share in 2019 and is expected to grow at a CAGR of 20.4%.
