By The popularity of CBD and other hemp-derived compounds continues to soar in sales. A new report predicts the CBD market will exceed $36 billion by 2033.
According to Market.us, the world Cannabidiol market size It was valued at $7.6 billion in 2023 and is projected to reach approximately $36.6 billion by 2033. It is expected to have the highest compound annual growth rate (CAGR) of 17.5% during the period 2024-2033.
“The cannabidiol (CBD) industry is experiencing impressive growth due to several key factors,” market.us announced. press release. “Legalization and regulatory changes have removed barriers and made it possible to grow and sell hemp-derived CBD products. As awareness of the potential health benefits of CBD grows, so too does consumer awareness. Contributing to the increased demand for CBD products. Research-backed medical acceptance of CBD’s therapeutic properties has further fueled its adoption. The industry’s diverse products range from oils to edibles. caters to different consumer preferences and facilitates market expansion. Ease of access through various distribution channels and retail outlets plays a key role in making CBD products widely available. I am fulfilling my goal.”
In addition to legal changes, changing perceptions of CBD have also increased its popularity.
“Additionally, the CBD industry is benefiting from an influx of investment that supports research, development and marketing efforts. Changing attitudes towards cannabis and globalization of the market are expanding opportunities on a global scale. Industry response has increased consumer confidence through the establishment of standards and certifications. Despite growth, challenges such as regulatory uncertainty and quality control issues remain, impacting the trajectory of the industry. Continued developments in regulations and market trends will continue to shape the future of the CBD industry.
The report provides six key points to succinctly summarize their predictions.
- Market Growth: The global cannabidiol (CBD) market is expected to reach USD 7.6 billion in 2023 and surge to approximately USD 36.6 billion by 2033, with an impressive CAGR of 17.5% from 2024 to 2033 grow in
- Product Type: CBD oil is the most dominant product type, accounting for more than 30% market share, primarily due to its effectiveness in managing chronic pain.
- Source: Hemp accounts for over 63.2% of the market and is the most profitable segment. This is due to the fact that hemp contains high concentrations of CBD and very low concentrations of THC (tetrahydrocannabinol). THC (tetrahydrocannabinol) is the psychoactive compound that causes the “high.” It has something to do with marijuana.
- Sales Type: B2B holds the largest market share (55.1%) as B2B transactions typically involve a larger number of products or services compared to B2C. Furthermore, as the demand for CBD as a raw material is expected to increase, this field is also expected to grow in the future.
- End uses: Pharmaceuticals account for more than 37.2% of the market and the most profitable segment due to CBD’s neuroprotective and analgesic properties.
- Regional advantage: North America leads the market, holding a 60% market share, with emerging demand also seen in Europe and Asia Pacific.
North America is the world’s largest CBD market, accounting for 72.1% market share during the forecast period. This is primarily due to the loosening of regulations on CBD products in countries such as the United States and Canada. Consumer preferences continue to evolve in areas such as food, medicine, and more, but this situation could soon change as North America’s dominance may soon be challenged by Europe, the report said. The book points out.
The Asia-Pacific region, including China, Japan, and India, is seeing significant growth in the CBD market, in part due to recent legal reforms. The report states that the growing demand for CBD products and continued changes in legal status and acceptance present significant opportunities.
The hemp sector has emerged as the most profitable CBD-related market, with a robust 63.2% share of the global CBD market as of 2023.
A complete copy of the report can be downloaded as a PDF. here.
Coordination with other reports
The hemp and CBD markets generally overlap, and other reports predict that hemp sales will increase as well, partly due to the influence of CBD.
A similar prediction was made in the December 2022 report. in “Global Cannabis Market by TypeA rapid increase in hemp products is predicted, according to a Research and Markets report that analyzes hemp’s many uses as textiles, food, construction materials, and more.
The report predicts a compound annual growth rate (CAGR) of 21.6% for this industry over the next five years, as many other countries have legalized industrial hemp or will do so in the near future. This suggests that this percentage will rise further.
The increase in sales is correlated, considering that over 60% of CBD products are derived from hemp.
