Market Insights - Industry Research Report

Cannabidiol (CBD) Market

Cannabidiol (CBD) Market by Source (Marijuana, Hemp), by Application (Pharmaceuticals, Food, and Beverages, Pet Care, Cosmetics), Geography Analysis and Competitive Landscape: Premium Insights Industry Size, Share, Growth, Research, and Forecast From 2022 to 2030
Market Overview

The global cannabidiol market size was valued at USD 5.61 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 17.5% from 2022 to 2028.

Cannabidiol is extracted from cannabis or hemp, but more specifically from hemp due to its naturally high CBD content. The substance is frequently confused with the same plant’s psychoactive counterpart, tetrahydrocannabinol (THC), extracted. It has many advantages for treating anxiety, preventing seizures, lowering inflammation, and relieving pain. The market is changing more quickly since the cosmetics, food, and pharmaceutical industries use it more frequently. As more people learn about the product’s advantages, the market has enormous growth potential.

COVID-19 Impact Analysis

The market has worsened due to the COVID-19 outbreak and actions taken by various governments, such as social isolation and lockdown. Since January 2020, the revenue generated by the food services industry, as well as other sectors, including the bakery, beverage servings, and dairy, has significantly decreased. In addition, the operators are worried about the cash flow and surviving the storm because the lockdown has affected several table services across the globe. The International Facility Management Association (IMFA) estimates that 84% of in-store activities were impacted by the pandemic in 2020, with food services accounting for a sizeable portion of those operations.

Market Segmentation:

The global Cannabidiol (CBD) Market is segmented based on Source (Marijuana and Hemp), Application (Food & Beverages, Pharmaceuticals, Pet Care, Cosmetics, and Others).

By Source Analysis, the marijuana, segment held the largest Share

The producers are using a large amount of marijuana to produce CBD due to the market’s growing acceptance of serving innovative and refined products. The market domination of marijuana over goods derived from hemp has been facilitated by the drug’s accessibility, particularly in Europe and North America. Additionally, the growing legalization and popularity in developing nations have increased competition between businesses. As customer demand changes throughout different regions, hemp is also gaining popularity.

By Application, the pharmaceuticals segment is expected to be the largest contributor during the forecast period.

One area that consistently concentrates on innovations, development, and research on new and potent pharmaceutical items is the pharmaceutical industry. Due to its extensive benefits, such as its neuroprotective and pain-relieving characteristics, manufacturers have discovered a significant role for CBD in the production of their products. IQVIA Institute for Human Data Science estimates that the value of the global pharmaceutical market was USD 1.2 trillion in 2018. At a CAGR of 4-5%, it was projected to reach USD 1.5 trillion by 2023. Thus, the rapidly growing sector further ensures a huge demand for cannabidiol and its products in the forthcoming years. To address consumer demand for fortified foods, the food and beverage industry is fueling the use of CBD in its manufacturing.

Market Dynamics:
Drivers:
Increasing Government Approvals for CBD Products

Increased approvals for CBD products are a result of the quick development of treatments, medications, and other consumer goods derived from cannabis and its advantageous health effects. The Food and Drug Administration (FDA) of the United States has acknowledged several possible uses for CBD and the possibility of incorporating it into various food and non-food applications. However, the FDA is trying to safeguard public health and enhance the effectiveness of regulatory processes for bringing good goods to market (including cannabidiol acids). As a result, the producers are putting more effort into finding CBD to add to food and other items. Thus, during the projection period, the expansion of the global CBD business would benefit from the increasing dependence on products.

Abundant Utility of CBD in the Pharmaceutical Sector

Globally, the constantly expanding pharmaceutical business is aware of the value and advantages of cannabis and its by-products. One of the main components of cannabis that the pharmaceutical business has used to provide health safety assurance for a variety of illnesses is CBD. It has qualities like being naturally plant-based and a natural substitute for several conventional medicines that are aggressively sold to producers and customers globally. As a result, its use in medications and other medical therapies is being approved by the governments of various regions and nations, which is anticipated to expand and boost these items’ sales and distribution throughout the projection year.

Regional Analysis:
North America is expected to account for the largest market size.

The cannabidiol market share in North America was the highest in 2020. In recent years, nations including the U.S. and Canada have begun to relax their regulations for cannabidiol products, which has improved public acceptability. Consumer demographics are always changing, and manufacturers of food, pharmaceuticals, and cosmetics are already recognizing the benefits of CBD. It is anticipated that the rising demand among various age groups and genders will encourage their spending on goods. Because of the growing customer preference for tobacco-free products, sales of these items, particularly smoking, vaping, and edibles, are booming across Europe. In a few years, North America will likely face intense competition due to the growing demand for such products in the region.

Key Market Players and Competitive Landscape

Some of the major key players operating in the market are Medical Marijuana Inc., (U.S.), Cannoid, LLC, (U.S), Isodiol International Inc. (Canada), ENDOCA, (U.S.), Folium Biosciences (U.S.), Aurora Cannabis Inc. (Canada), Pharmahemp d.o.o (Europe), Elixinol Global (Sydney, Australia), CV Sciences (U.S.), Medterra CBD (U.S.)

This report categorizes the Cannabidiol (CBD) Market as follows,
By Source
  • Marijuana
  • Hemp
By Application
  • Pharmaceuticals
  • Food and Beverages
  • Pet Care
  • Cosmetics
  • Others

Cannabidiol Market Report Scope

Report Attribute

Details

The market size value in 2021

USD 5.61 billion

The revenue forecast in 2028

USD xx billion

Growth rate

CAGR of 17.5% from 2022 to 2028

The base year for estimation

2021

Historical data

2017 – 2021

Forecast period

2022 – 2030

Quantitative units

Revenue in USD million/billion and CAGR from 2022 to 2030

Report Coverage

Revenue forecast, company share, competitive landscape, growth factors, and trends

Segments Covered

Source type, sales type, end-use, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA, Africa

Country Scope

U.S., Canada, Mexico, UK, France, Germany, Spain, Russia, Italy, BENELUX, Nordic Region, Poland, China, Japan, South Korea, India, Australia, Southeast Asia, Taiwan, Brazil, Argentina, Chile, Peru, Colombia, Israel, Turkey, Saudi Arabia, UAE, Egypt, South Africa, The East African Community (EAC), Nigeria

Key Companies Profiled

Medical Marijuana Inc., (U.S.), Cannoid, LLC, (U.S), Isodiol International Inc. (Canada), ENDOCA, (U.S.), Folium Biosciences (U.S.), Aurora Cannabis Inc. (Canada), Pharmahemp d.o.o (Europe), Elixinol Global (Sydney, Australia), CV Sciences (U.S.), Medterra CBD (U.S.)

Customization scope

Free report customization (equivalent to up to 8 analysts’ working days) with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs.

Frequently Asked Questions

The global cannabidiol market size was valued at USD 5.61 billion in 2021
The global cannabidiol CBD market is expected to grow at a compound annual growth rate of 17.5% from 2022 to 2030
Some of the major key players operating in the market are Medical Marijuana Inc., (U.S.), Cannoid, LLC, (U.S), Isodiol International Inc. (Canada), ENDOCA, (U.S.), Folium Biosciences (U.S.), Aurora Cannabis Inc. (Canada) and others.

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