SELBYVILLE, Del., – The Organic Hemp Market may register a revenue of more than USD 360 million by 2030, according to a new research report by Global Market Insights Inc.
The growing awareness about the environmental benefits of growing hemp crops is a prominent factor bolstering the organic hemp industry growth. As compared to other crops, hemp uses fewer chemical fertilizers, water, pesticides, and herbicides. It is also emerging as a low-footprint crop, owing to its efficiency at sequestering carbon dioxide from the atmosphere. Based on data from Organic Farmer, one acre of hemp can take in 10-15 tons of carbon dioxide. These eco-friendly benefits of hemp crops will strengthen the market demand.
Direct sales channels to provide lucrative opportunities for industry expansion
On the basis of the distribution channel, the report divides the organic hemp market into direct and indirect segments. Of these, the direct segment is expected to record substantial revenue by 2030. Despite the increasing efforts to ban or regulate hemp-based products, direct sales continue to witness an increase worldwide, the report cites. For example, LFTD Partners Inc. indicated that hemp-based THC producers observed 17,000 direct sales to around 1,000 U.S. retailers, amplifying the segmental growth.
Rising construction activities to boost product demand from the hemp shives segment
Based on product, the organic hemp market is bifurcated into hemp fiber, hemp shives, hemp seed, and hemp dust. The hemp shives segment will depict a CAGR of more than 12% through 2030, given the gradual recovery of the construction sector from COVID-19 disruptions. According to data from Eurostat, in the European Union, construction production rose by 3.9% in January 2022 as compared with December 2021. Since hemp shives are generally combined with lime or mud cement to create strong, environment-friendly building materials, the favorable construction outlook will drive segmental demand.
Europe to become a prominent hub for organic hemp extract producers
From a regional perspective, the Europe organic hemp market is projected to register a revenue of USD 106 million by 2030, which can be credited to the growing number of health-conscious consumers. The prevalence of skin conditions, such as eczema and acne, is also relatively high across the region. Since organic hemp oil can improve dry, itchy skin as well as treat eczema and other skin conditions, their growing incidence will add impetus to the regional market development over the coming years.
Product launch initiatives to define the organic hemp industry landscape
The competitive landscape of the organic hemp market comprises companies such as The Tonik, Bioriginal Food & Science Corp., Organicway Inc., Connoils LLC, Manitoba Harvest Hemp Foods, Linwoods, Qemp Zero Peppermint, Pocono Organics, Lotus Organics+, and Kemin Industries, and others. These companies are emphasizing new product launches and business expansions to strengthen their presence in the market.
(This information is primarily sourced from Global Market Insights Inc. Highly Capitalized has neither approved nor disapproved the contents of this news release. Read our Disclaimer here).