The global industrial hemp market could reach $13.03 billion by 2026, representing a growth rate of 13.7 percent, according to a new report from analytics firm Reports and Data.
The researchers suggest there will be increased demand for high-quality cosmetics, health food products, and protein supplements following “an increase in the level of disposable income” and population growth – much of which can be produced by hemp.
#Cannabidiol (CBD) Market – What are the main factors that contributing towards industry growth? Read: https://t.co/Vmzb29vxsa Top Key Players: @CV_Sciences, @isodiolintlinc, @MedMarijuana, @Aurora_MMJ And Others #Medical_Devices #Medical #Medical_services pic.twitter.com/uyRqVeqIl3
— Reports and Data (@reportsanddata) May 7, 2019
According to the report published this month, hemp seeds used in foods and beverages comprised 45 percent of hemp’s market in 2018, while textiles made up 20 percent of the market share. Reports and Data anticipates hemp seeds will experience a 13.4 percent compound annual growth rate through 2026 and expect textiles will grow at almost the same pace, 13.2 percent.
The Asia-Pacific market will grow at 14.2 percent through 2026 – a higher rate than the rest of the world, the report says.
The researchers note all of the industrial applications for hemp, including biofuels and building materials, will help drive the industry and credits the passage of the Farm Bill in the U.S. last year which removed cannabis from the federal drug schedule.
In February, New Frontier Data released their Global State of Hemp report that found global retail hemp sales reached $3.74 billion last year – a compound annual growth rate of 15 percent – and project it will be worth $5.73 billion by 2020.
Get daily cannabis business news updates. Subscribe