Industrial Hemp Ingredients Market Expected to Reach $19B by 2028

Growing awareness of hemp's benefits — and more countries legalizing its cultivation — will help the market grow in coming years.

Workers at MERJ farms unload hemp plants, Bristol, Tenn., Oct. 10, 2019.
Workers at MERJ farms unload hemp plants, Bristol, Tenn., Oct. 10, 2019.
David Crigger/Bristol Herald Courier via AP, File

Newark, N.J. -- Per a report published by Fior Markets, the global Industrial hemp ingredients market is expected to grow from $5 billion in 2020 and reach $19 billion by 2028, growing at a CAGR of 22% during the forecast period 2021-2028.

Hemp is a plant that is used for both medicinal and recreational purposes. Hemp also aids in the reduction of pain by modifying pain-sensing processes in the brain. It may also help to avoid chronic pain disorders like arthritis, migraines, fibromyalgia, and endometriosis. It can also help with cancer therapy side effects such as appetite loss. Furthermore, physicians recommend synthetic hemp to cure the following psychiatric and neurological health conditions: nausea, multiple sclerosis, post-traumatic stress disorder (PTSD), seizures, Parkinson's disease, and Tourette syndrome, due to hemp's impact on the limbic system. In order to cultivate hemp plants more successfully, the hemp industry continues to have significant advances in terms of production and machinery. Farmers would be able to triple the amount of industrial hemp planting and harvest owing to advances in production and machinery.

Industrial hemp, commonly known as hemp, is a cultivar of the Cannabis sativa plant that is grown for commercial purposes only. Hemp also known as cannabis, is a psychoactive substance derived from hemp plants. Industrial hemp is a low-cost, quick-growing, and environmentally sustainable product. It's still one of the most adaptable and long-lasting crops on the planet. Organic hemp may also be turned into a variety of consumer goods, such as fibre, paper, apparel, and textiles. Organic hemp can also be made into a variety of consumer goods, such as fibre, paper, clothing, textiles, insulation, paint, biodegradable plastics, food, biofuel, and animal feed.

Growing legalization of industrial hemp cultivation in many countries, rising awareness of the benefits of hemp seed and hemp seed oil, the use of hemp in various food applications, and the rising number of chronic diseases are all factors driving the global Industrial Hemp market forward. Because of its accessibility, consumers are increasingly choosing industrial hemp, which will fuel the global industrial hemp market's development. Various growth opportunities are being created in the industry as a result of continuous technical advances and the widening of product offerings. The development of industrial hemp is likely to be hampered by an increasing array of diverse regulatory systems related to its use.

Key players operating in global industrial hemp ingredients market include South Hemp, Hempco Food and Fiber Inc., Plains Industrial Hemp Processing Ltd., Ecofibre, Hemp Inc., GenCanna, HempFlax Group B.V., The Konoplex Group, MH medical hemp and Hempro International GmbH & Co. KG. To gain a significant market share in the global industrial hemp ingredients market, the key players are now focusing on adopting strategies such as product innovations, joint venture, recent developments, collaborations, mergers & acquisitions, and partnership. GenCanna Global Inc. and Ecofibres are some of the key manufacturers operating in industrial hemp ingredients  market.

  • Ecofibres acquired a portfolio of manufacturing companies in 2020, which would benefit the hemp facemask supply chain. Ecofibre Limited, a maker of hemp-derived CBD, textiles, composites, and food goods based in Australia, has acquired a $42 million portfolio in North Carolina to finance the Hemp Black facemask and gaiter line.
  • A strategic refining and distribution deal between GenCanna Global Inc. and Specialty Oil Extractors was announced in 2019. This arrangement aims to increase GenCanna's industry processing capability while also providing necessary flexibility for farmers across Kentucky.

Hemp fiber segment dominated the market and held the largest market share of 20.9% in the year 2020

On the basis of type, the global industrial hemp ingredients market is segmented into hemp seed, hemp oil, hemp fiber and others. Hemp fiber segment dominated the market and held the largest market share of 20.9% in the year 2020. Hemp fiber is now widely used in a variety of industries, including animal bedding, clothing, agriculture, and automobiles, resulting in a major rise in demand.

Personal care products segment dominated the market and held the largest market share of 24.5% in the year 2020

On the basis of application, the global industrial hemp ingredients market is segmented into food and beverages, textiles, personal care products, pharmaceuticals and others. Personal care products have the highest market share of about 24.5 % in 2020, and this is expected to continue throughout the prediction period. Increased use of industrial hemp in a range of items, such as face cream, glow oil, face mask, hand wash, body wash, protector cream, and lip balm, is expected to boost the industrial hemp market.

Conventional care segment dominated the market and held the largest market share of 64.6% in the year 2020

On the basis of application, the global Industrial hemp ingredients market is segmented into conventional and organic. The conventional category accounted for about 64.6 % of the industrial hemp ingredients market share in 2020, according to application. This is due to a rise in industrial market demand for production of items that can be produced with hemp.

On the basis of geography, the global industrial hemp ingredients market is classified into North America, Europe, Asia-Pacific, Middle East & Africa, and South America. The Asia Pacific area is expected to dominate the industrial hemp market during the forecast period, owing to increased usage and production of hemp fiber in the textile and paper industries. APAC's market is also being boosted by the legalization of industrial hemp in nutritional supplements. In contrast, the European region is expected to grow at a faster rate due to increased use of hemp seeds as a result of its increased use in various food products such as yogurt, cereals, bars, and smoothies, especially in economies like Germany and the Netherlands.

Fior Markets is a futuristic market intelligence company, helping customers flourish their business strategies and make better decisions using actionable intelligence. Browse the full report at https://www.fiormarkets.com/report/industrial-hemp-ingredients-market-by-type-hemp-oil-419490.html

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