Industrial Hemp Market Size, Share & Trends Analysis Report By Application (Animal Care, Textiles, Food & Beverages), By Product (Seeds, Fiber, Shivs), By Region (North America, Asia Pacific), And Segment Forecasts, 2024 - 2030

Research Methodology

A three-pronged approach was followed for deducing the industrial hemp market estimates and forecasts. The process has three steps: information procurement, analysis, and validation. The whole process is cyclical, and steps repeat until the estimates are validated. The three steps are explained in detail below:

Information procurement: Information procurement is one of the most extensive and important stages in our research process, and quality data is critical for accurate analysis. We followed a multi-channel data collection process for industrial hemp market to gather the most reliable and current information possible.

• We buy access to paid databases such as Hoover’s and Factiva for company financials, industry information, white papers, industry journals, SME journals, and more.
• We tap into Grand View’s proprietary database of data points and insights from active and archived monitoring and reporting.
• We conduct primary research with industry experts through questionnaires and one-on-one phone interviews.
• We pull from reliable secondary sources such as white papers and government statistics, published by organizations like WHO, NGOs, World Bank, etc., Key Opinion Leaders (KoL) publications, company filings, investor documents, and more.
• We purchase and review investor analyst reports, broker reports, academic commentary, government quotes, and wealth management publications for insightful third-party perspectives.

Analysis: We mine the data collected to establish baselines for forecasting, identify trends and opportunities, gain insight into consumer demographics and drivers, and so much more. We utilized different methods of industrial hemp market data depending on the type of information we’re trying to uncover in our research.

• Market Research Efforts: Bottom-up Approach for estimating and forecasting demand size and opportunity, top-down Approach for new product forecasting and penetration, and combined approach of both Bottom-up and Top-down for full coverage analysis.

• Value-Chain-Based Sizing & Forecasting: Supply-side estimates for understanding potential revenue through competitive benchmarking, forecasting, and penetration modeling.

• Demand-side estimates for identifying parent and ancillary markets, segment modeling, and heuristic forecasting.

• Qualitative Functional Deployment (QFD) Modelling for market share assessment.

Market formulation and validation: We mine the data collected to establish baselines for forecasting, identify trends and opportunities, gain insight into consumer demographics and drivers, and so much more. We utilize different methods of data analysis depending on the type of information we’re trying to uncover in our research.

• Market Formulation: This step involves the finalization of market numbers. This step on an internal level is designed to manage outputs from the Data Analysis step.

• Data Normalization: The final market estimates and forecasts are then aligned and sent to industry experts, in-panel quality control managers for validation.

• This step also entails the finalization of the report scope and data representation pattern.

• Validation: The process entails multiple levels of validation. All these steps run in parallel, and the study is forwarded for publishing only if all three levels render validated results.

Industrial Hemp Market Categorization:

The industrial hemp market was categorized into three segments, namely product (Seeds, Fiber, Shivs), application (Animal Care, Textiles, Automotive, Furniture, Food & Beverages, Paper, Construction Materials, Personal Care), and region (North America, Europe, Asia Pacific, Central & South America, and Middle East & Africa)

Segment Market Methodology:

The industrial hemp market was segmented into product, application, and regions. The demand at a segment level was deduced using a funnel method. Concepts like the TAM, SAM, SOM, etc., were put into practice to understand the demand. We at GVR deploy three methods to deduce market estimates and determine forecasts. These methods are explained below:

Market research approaches: Bottom-up

• Demand estimation of each product across countries/regions summed up to from the total market.

• Variable analysis for demand forecast.

• Demand estimation via analyzing paid database, and company financials either via annual reports or paid database.

• Primary interviews for data revalidation and insight collection.

Market research approaches: Top-down

• Used extensively for new product forecasting or analyzing penetration levels.

• Tool used invoice product flow and penetration models Use of regression multi-variant analysis for forecasting Involves extensive use of paid and public databases.

• Primary interviews and vendor-based primary research for variable impact analysis.

Market research approaches: Combined

• This is the most common method. We apply concepts from both the top-down and bottom-up approaches to arrive at a viable conclusion.

Regional Market Methodology:

The industrial hemp market was analyzed at a regional level. The globe was divided into North America, Europe, Asia Pacific, Central & South America, and Middle East & Africa, keeping in focus variables like consumption patterns, export-import regulations, consumer expectations, etc. These regions were further divided into nine countries, namely, the U.S.; Canada; Germany; the UK; France; China; India; Japan; Brazil.

All three above-mentioned market research methodologies were applied to arrive at regional-level conclusions. The regions were then summed up to form the global market.

Industrial hemp market companies & financials:

The industrial hemp market was analyzed via companies operating in the sector. Analyzing these companies and cross-referencing them to the demand equation helped us validate our assumptions and conclusions. Key market players analyzed include:

• Parkland Industrial Hemp Growers Cooperative Ltd. (PIHG) - Parkland Industrial Hemp Growers Cooperative Ltd. was established in 1999 and is headquartered in Dauphin, Canada. It was established by a group of Parkland farmers to network and share information on agronomy and handling of hemp, along with ideas on equipment modification, and to identify potential markets for industrial hemp. The company was incorporated as a New Generation Cooperative, which allows it to partner with private investors. The company has engaged in research and development activities to develop a suitable agronomy for hemp. In 2002, it started a breeding program and efficiently adapted advanced equipment to handle the crop with minimal difficulties. The company produces 9 varieties of industrial hemp that vary from dual-purpose to grain-only and fiber-only applications. These industrial hemp varieties include Alyssa, Angie, Canda, Debbie, and Joey, among others. The company also provides certified seeds to growers through breeding programs and ships products across Canada and the U.S. The company supplies hemp grain to processors, food distributors, and formulators through production contracts.

• CBD Biotechnology Co., Ltd - CBD Biotechnology Co., located in British Colombia, Canada, produces industrial hemp with low tetrahydrocannabinol (THC) and high cannabidiol (CBD) content. The company extracts CBD from hemp plant through the standardized cold CO2 extraction method and supplies pure product to its customers. It develops hemp plants organically, avoiding pesticides and heavy metals. The company is involved in the research, development, and distribution of hemp-based health products. The stalk of hemp plants produced by the company contains one of the most potent natural fibers, which was initially used for ropes, clothing, and fishing nets. CBD oil produced by the company is used in the treatment of various diseases including Alzheimer's, arthritis, asthma, autism, and cancer, diabetes, and Parkinson's, among others. In addition to the medical applications of hemp, the company also produces hemp-based food and beverage products. It distributes various hemp products through its official websites, Tmall, Taobao, and multi-level direct selling systems.   

• Botanical Genetics, LLC - Botanical Genetics, LLC is a wholly owned subsidiary of 22nd Century Group, Inc., a plant biotechnology company, that develops various technologies related to tobacco and cannabis plants. The company operates with Canadian cannabis Research Company Anandia Labs, Inc. and significant U.S. universities for research purposes, which gives it a competitive advantage in the development of industrial hemp and medical marijuana. Furthermore, the company collaborates with hemp breeders to produce and supply new industrial hemp varieties. The company offers various hemp products such as cosmetics, foods, nutritional supplements, fabrics & textiles, yarns, paper, construction materials, and insulation. The company is seeking third parties interested in licensing its cannabinoid biosynthetic enzyme genes for use in yeast or other non-plant systems. It is also involved in various projects, including Zero THC Hemp, new cannabinoid profiles for novel medicines, hemp varieties optimized for local climates and conditions, hemp varieties optimized for agronomic traits, producing cannabinoids in other systems, and industrial hemp for phytoremediation, among many others.

• Marijuana Company of America Inc. - Marijuana Company of America Inc. was founded in 2015 by Don Steinberg and Charles Larsen and is headquartered in Southern California, U.S. The company provides a unique approach to the legal cannabis and hemp industries. Its subsidiary hempSMART offers hemp-derived, non-THC cannabinoidbased products across the country. The company, along with Global Hemp Group (GHG), produces hemp in northeast New Brunswick. The company invests in several complementary businesses to develop a diverse portfolio of subsidiaries and joint ventures such as hempSMART, Bougainville, Brunswick, and Moneytrac. It is a publicly-traded company on the OTC market under the symbol MOCA. The vertically integrated business model of the company provides its customers with premium-quality ingredients.

• HempMeds Brasil - HempMeds Brasil is a subsidiary of Medical Marijuana, Inc. which is a publicly traded company in the U.S. The company provides the Brazilian medical community with legal medicinal cannabis products. In 2014, the company’s Real Scientific Hemp Oil (RSHO) became the first cannabis product legally imported into Latin America, when Brazil approved its use. In 2017, the company received authorization from the Brazilian government for doctors to offer a prescription for RSHO to patients. The hemp CBD oil product was targeted for the treatment of multiple sclerosis. The company produces three cannabis products approved for import into Brazil as a prescription for multiple conditions including Parkinson’s, epilepsy, chronic pain, psoriasis, cancer, Alzheimer’s, migraine, and ALS, among others. The company distributes its products across countries such as the U.S., Brazil, Mexico, Paraguay, and other countries in the Americas. The company supported the establishment of the National Association of Users of Cannabidiol (ANUC) to provide patients greater access to medical cannabis products and is involved in spreading awareness related to the products among consumers.

• Terra Tech Corp. - Terra Tech Corp was incorporated on July 22, 2008 in Nevada under the name Private Secretary, Inc. and subsequently changed its name on January 27, 2012. It is a cannabis-focused agricultural company headquartered in California, U.S. The company offers sustainable solutions for medical cannabis production, extraction, distribution, plant science research and development, food production, and closed environment agriculture (CEA). The company is involved in cultivating and providing the highest-quality medical cannabis, along with other agricultural products such as leafy greens and herbs grown using classic Dutch hydroponic farming methods. The company operates with seven wholly owned subsidiaries, including GrowOp Technology, Black Oak, Edible Garden, Blüm San Leandro, IVXX LLC, IVXX Inc., and EG Transportation. The company operates 11 acres of cultivation and extraction facilities in Nevada and California. The company owns 9 permits in CA and NV and works with a significant focus on geographic expansion.

• American Cannabis Company, Inc. - American Cannabis Company, Inc. was founded in 2013 by Corey Hollister and Ellis Smith and is headquartered in Colorado, U.S. The company offers end-to-end solutions to the cannabis industry and a developed portfolio of branded products including patented Satchel, SoHum Living Soils, cultivation cubes, and high-density cultivation systems. The company uses True Living Organics (TLO) and lean manufacturing principles to optimize cannabis production at its Medical Cannabis Center in Colorado. It uses geoponics methodology developed to optimize the genetic potential of the cannabis plant through soil-based cultivation. Furthermore, the company offers clients the most innovative technologies to reduce cost and create high-quality products with high efficiency. It also provides its products and services across all 50 states of the U.S

• HempFlax B.V. - HempFlax B.V. was founded in 1993 by Ben Dronkers and is headquartered in Oude Pekela, Netherlands. The company grew industrial hemp fiber over 2,500 hectares in 2017 and is expected to cultivate 3,500 hectares by 2020. The company has achieved synergy between various branches to create a sustainable and innovative business environment in the field of industrial hemp to satisfy the rising demand for high-quality products. The company cultivates industrial hemp in the Netherlands, Germany, and Romania, with its factories located in Oude Pekela, Netherlands, and Alba lulia, Romania. It is involved in contract farming with crop farmers to obtain fresh natural hemp fiber. Industrial hemp is used in construction, industrial applications, animal care, nutraceuticals, and horticulture, among other applications. The company is involved in the ongoing developments and improvements of its products for use in all these aforementioned industries. It also offers high-tech equipment for hemp harvesting and processing to develop efficient production lines.

• Industrial Hemp Manufacturing, LLC - Industrial Hemp Manufacturing, LLC is a wholly owned subsidiary of Hemp, Inc. and provides a wide variety of plant fibers including hemp, kenaf, flax, and jute. The company was founded by Bruce Perlowin and is headquartered in North Carolina, U.S. The company operates with fiber treatment technology to make plant fibers water-repellent, fire-retardant, absorptive, or incredibly soft. The company also provides customized cut fibers, carded open fibers, treated fibers, textiles, non-woven mats, woven mats, and other natural fiber products. The company also manufactures automotive plastic composites made with plant fibers that are as strong as fiberglass and 30% lighter. The company manufactures hemp fiber products that are used for oil well drilling loss circulation materials (LCM), spill absorbents, and blast fibers for making plastic composites widely used by significant oil, water, and gas companies. It also manufactures SpillSuck, which is a superabsorbent biodegradable material made from the core of the kenaf and hemp plant. This product is used for oil and chemical spill cleanup in industrial as well as commercial and residential setups.

• American Hemp - American Hemp is a supplier of industrial hemp crop and is headquartered in North Carolina, U.S. The company offers raw and processed hemp fibers to manufacturers for applications in bast fibers such as textiles, building materials, biocomposites, and paper, hurd products such as hempcrete, animal bedding, and briquettes, and seeds, grains, and stalks. The company is involved in the research and development programs to continuously improve hemp products and materials to produce environmentally viable products in the U.S. and across the globe. The company offers processed hemp material separated and converted into long hemp bast fibers, short fibers, hurd, and dust. Hemp fine provided by the company comprises dust particles that arise from the separation of the fiber from the hurd and has alternative applications such as in clean burning energy. The company works with farmers and has developed strong local, regional, and global supply chain management networks.

Value chain-based sizing & forecasting

Supply Side Estimates

• Company revenue estimation via referring to annual reports, investor presentations, and Hoover’s.

• Segment revenue determination via variable analysis and penetration modeling.

• Competitive benchmarking to identify market leaders and their collective revenue shares.

• Forecasting via analyzing commercialization rates, pipelines, market initiatives, distribution networks, etc.

Demand side estimates

• Identifying parent markets and ancillary markets

• Segment penetration analysis to obtain pertinent

• revenue/volume

• Heuristic forecasting with the help of subject matter experts

• Forecasting via variable analysis

Industrial Hemp Market Report Objectives:

• Understanding market dynamics (in terms of drivers, restraints, & opportunities) in the countries.

• Understanding trends & variables in the individual countries & their impact on growth and using analytical tools to provide high-level insights into the market dynamics and the associated growth pattern.

• Understanding market estimates and forecasts (with the base year as 2023, historic information from 2018 to 2022, and forecast from 2024 to 2030). Regional estimates & forecasts for each category are available and are summed up to form the global market estimates.

Industrial Hemp Market Report Assumptions:

• The report provides market value for the base year 2023 and a yearly forecast till 2030 in terms of revenue/volume or both. The market for each of the segment outlooks has been provided on region & country basis for the above-mentioned forecast period.

• The key industry dynamics, major technological trends, and application markets are evaluated to understand their impact on the demand for the forecast period. The growth rates were estimated using correlation, regression, and time-series analysis.

• We have used the bottom-up approach for market sizing, analyzing key regional markets, dynamics, & trends for various products and end-users. The total market has been estimated by integrating the country markets.

• All market estimates and forecasts have been validated through primary interviews with the key industry participants.

• Inflation has not been accounted for to estimate and forecast the market.

• Numbers may not add up due to rounding off.

• Europe consists of EU-8, Central & Eastern Europe, along with the Commonwealth of Independent States (CIS).

• Asia Pacific includes South Asia, East Asia, Southeast Asia, and Oceania (Australia & New Zealand).

• Latin America includes Central American countries and the South American continent

• Middle East includes Western Asia (as assigned by the UN Statistics Division) and the African continent.

Primary Research

GVR strives to procure the latest and unique information for reports directly from industry experts, which gives it a competitive edge. Quality is of utmost importance to us, therefore every year we focus on increasing our experts’ panel. Primary interviews are one of the critical steps in identifying recent market trends and scenarios. This process enables us to justify and validate our market estimates and forecasts to our clients. With more than 8,000 reports in our database, we have connected with some key opinion leaders across various domains, including healthcare, technology, consumer goods, and the chemical sector. Our process starts with identifying the right platform for a particular type of report, i.e., emails, LinkedIn, seminars, or telephonic conversation, as every report is unique and requires a differentiated approach.

We send out questionnaires to different experts from various regions/ countries, which is dependent on the following factors:

• Report/Market scope: If the market study is global, we send questionnaires to industry experts across various regions, including North America, Europe, Asia Pacific, Latin America, and MEA.

• Market Penetration: If the market is driven by technological advancements, population density, disease prevalence, or other factors, we identify experts and send out questionnaires based on region or country dominance.

The time to start receiving responses from industry experts varies based on how niche or well-penetrated the market is. Our reports include a detailed chapter on the KoL opinion section, which helps our clients understand the perspective of experts already in the market space.