Industrial Hemp Market to Exceed USD 7 Billion by 2031 Supported by Favorable Regulations, with North America Holding Over 55% Share, Reports Mordor Intelligence
HYDERABAD, India, April 21, 2026 /PRNewswire/ -- According to Mordor Intelligence, the global industrial hemp market is projected to grow from USD 3.57 billion in 2026, reaching USD 7.95 billion by 2031, reflecting a CAGR of 17.36%. Industry Growth is supported by evolving regulatory frameworks that sustain legality while improving access to hemp-based food, wellness, and construction applications.
In North America, net-zero building initiatives are contributing to increased adoption of hemp-based materials such as hempcrete, while cannabidiol product availability continues to expand through retail and pharmacy channels. In Europe, provisional intake guidelines for cannabidiol are influencing the pace of Novel Food approvals, even as regulatory differences across markets persist. Meanwhile, investment is favoring processors with consistent quality capabilities, while smaller cultivators face ongoing pricing pressures and land-use limitations that may constrain supply expansion.
Industrial Hemp Market Drivers & Key Trends:
Policy Shifts Across Key Markets
Hemp regulations remain uneven across major economies, with some countries easing access while others tighten controls, creating both opportunities and uncertainty for businesses. Companies that can navigate cross-border compliance are better positioned, though inconsistent policies still limit wider investment.
Growing Preference for Plant-Based Consumption
Hemp-derived foods and beverages are gaining traction as consumers shift toward plant-based nutrition, supported by improved product quality and retail expansion. However, awareness gaps still exist, making clear labeling and education essential for broader adoption.
Expansion in Wellness and Retail Channels
Cannabidiol products are becoming more visible in mainstream retail and pharmacy settings, reflecting rising acceptance in wellness routines. Evolving regulations and healthcare involvement could further strengthen their position, though market growth depends on clearer policy direction.
Explore Industrial Hemp Market In-Depth Insights and Regional Perspectives, Including Localized Editions such as the Japan Market: https://www.mordorintelligence.com/ja/industry-reports/industrial-hemp-market?utm_source=prnewswire
Himanshu Vasisht, Senior Research Manager, Mordor Intelligence, says, "The industrial hemp market shows measured expansion as regulatory clarity improves and end-use applications diversify across textiles, construction, and wellness products. Mordor Intelligence applies structured data validation and consistent cross-market analysis, providing a reliable perspective for evaluating opportunities in a developing regulatory environment."
Industrial Hemp Industry Segmentation Insights:
By Type
- Hemp Seed
- Hemp Seed Oil
- Cannabidiol (CBD) Hemp Oil
- Hemp Protein
- Hemp Extract (without CBD)
By Application
- Food & Beverages
- Healthcare Supplements
- Other Applications (Personal Care, Textile, Construction, Animal Feed, etc.)
By Geography
- Asia-Pacific
- North America
- Europe
- South America
- Middle East and Africa
For a full breakdown of precast concrete market size, segmentation data, and competitive intelligence, access the details of the Mordor Intelligence report: https://www.mordorintelligence.com/industry-reports/industrial-hemp-market?utm_source=prnewswire
Industrial Hemp Industry Trends by Region
North America remains the leading market, supported by stable demand for high-quality hemp varieties and strong processing infrastructure, even as overall cultivation fluctuates. Canada continues to balance fiber and grain production while supplying international markets, whereas slower regulatory progress in Mexico is limiting large-scale expansion.
Across Europe, countries are focusing on fiber production to meet sustainability goals, with growing demand from construction and food sectors. However, differing cannabidiol regulations across the region are creating inconsistencies that affect product availability and investment decisions.
Asia-Pacific is emerging as a high-growth region, driven by large-scale cultivation and expanding wellness channels, although restrictions on cannabidiol in some countries and limited processing capacity in others continue to pose challenges.
- 33 Supply LLC
- Bedrocan
- Bulk Hemp Warehouse LLC
- Canopy Growth Corporation
- CANWAY Holdings Ltd.
- Charlotte's Web, Inc
- Colorado Breeders Depot
- Cornbread Hemp
- Ecofibre
- Entoura Pty Ltd
- Fresh Hemp Foods Ltd
- GenCanna
- Hemp Acres USA
- HempFlax Group BV
- Ilesol Pharmaceuticals doo
- International Flavors & Fragrances Inc.
- Manitoba Harvest Hemp Foods
- Nutiva LLC
- PharmaCielo
- Puricon
- Robertet SA
- Signature Products GmbH
- Silver Lion Farms
- True Terpenes
- Victory Hemp Foods
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