The global hemp seeds market size is expected to rise at a CAGR of 11.1% and reach USD 1,634.6 million by the end of 2027. This is owing to the increasing availability of hemp-based products in most nations. A recent report by Fortune Business Insights titled, “Hemp Seeds Market Size, Share & COVID-19 Impact Analysis, By Form (Whole Hemp Seed, Hulled Hemp Seed, Hemp Seed Oil, and Hemp Protein Powder), Application (Food & Beverage, Personal Care Products, Industrial Products, and Others), and Regional Forecast, 2020 – 2027,” states that the value of this market was USD 710.7 million in the year 2019.
Drivers & Restraints:
Increasing Number of Health Conscious Consumers to Augment Growth
Hemp seeds are derived from the hemp plant, a different variety of the cannabis or marijuana family. They are highly nutritious and rich in minerals, healthy fats, proteins, and others. The increasing awareness about the nutritional properties of these seeds are considered the key factors promoting the global hemp seeds market growth. Besides this, they are also used by patients suffering from chronic diseases for its medicinal properties, thereby accounting to its growth.
On the flipside, most of the nations do not approve the use of hemp seeds or products based on hemp and have imposed complex regulations on the use of industrial hemp. This may hamper the growth rate in the coming years. This, coupled with the current spread of the novel coronavirus is also causing major hindrance to the market in the coming years.
Despite this, the increasing demand from various applications such as personal care products, animal feed, food and beverage, and other industrial products are likely to create lucrative growth opportunities for the market in the coming years.
Food & Beverage Segment Covered Major Shares Due to Rich Nutritional Properties
Among all segments in application type, the food & beverage segment accounted for the highest hemp seeds market share. In 2019, this segment earned 44.52% and emerged dominant on account of its high nutritional properties.
Asia Pacific Held the Largest Share Owing to High Consumption by Developing Nations
Regionally, Asia Pacific earned USD 238.7 million in 2019 and emerged dominant accounting to the increasing demand for personal care products and high demand from emerging nations such as India, Australia, China, and Japan. Furthermore, the legalization of industrial hemp for use in food supplements will also aid in expansion of the market in the coming years.
On the other side, the market in Europe is expected to rise at a CAGR of 12.01% and emerge as the fastest growing region. This is accounting to the increasing consumption of these seeds in food products such as cereals, bars, smoothies, yogurt, and others from nations such as the U.K., Italy, Germany, and Netherlands.
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