Market Overview:
The global cannabidiol (CBD) market size was USD 7.59 billion in 2023 and is projected to grow from USD 11.16 billion in 2024 to USD 202.45 billion in 2032 at a CAGR of 43.66% during the forecast period 2024-2032.
This information is published by Fortune Business Insights, in a report, titled “Cannabidiol (CBD) Market, 2024-2032.” The report further mentions that the market stood at USD 7.59 billion in 2023. Factors such as the increasing product approvals by the FDA and concerned government agencies and the growing demand for CBD amongst the health and fitness enthusiasts will bode well for the growth of the market. For instance, according to a report by the Harvard Health Institute in 2018, CBD can be extensively adopted to provide relief from health issues such as anxiety, insomnia, etc.
Market Segmentation:
On the basis of source, the market is bifurcated into marijuana and hemp. Furthermore, based on application, the market is segregated into food & beverages, pharmaceuticals, pet care, cosmetics, and others.
On the basis of application, the pharmaceuticals segment is expected to hold the largest global cannabidiol market share during the forecast period. This is owing to the constant focus on developing innovative medical products across the pharmaceutical industry worldwide.
Lastly, based on region, the market is categorized into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.
What does the Report Provide?
The global market report provides a comprehensive analysis of various factors influencing growth, including key drivers and restraints. It offers regional insights that highlight the contributions of different areas to market expansion. The report also examines the competitive landscape, detailing the strategies of leading companies, such as new product launches, partnerships, and collaborations, which further stimulate market growth. The research methodology includes PORTER’s Five Forces Analysis and PESTEL analysis to uncover current trends and industry developments expected to drive market growth from 2024 to 2032. Our thoroughly revised reports equip companies with detailed information about the current market scenario, enabling them to adopt effective strategies accordingly.
Source: https://www.fortunebusinessinsights.com/cannabidiol-cbd-market-103215
DRIVING FACTORS:
Increasing FDA Approvals for CBD Products to Promote Market Growth
Prominent market players are concentrating on launching innovative and advanced products to meet the high consumer demand for CBD. The growing use of CBD in the production of medicines and consumer products is creating lucrative opportunities for the market. Furthermore, increasing government approvals for various CBD products are anticipated to support market growth. Additionally, manufacturers' proactive efforts to incorporate CBD into a wide range of food products are expected to drive the growth of the global cannabidiol market during the forecast period.
REGIONAL INSIGHTS
North America – The region stood at USD 7.59 billion in 2023 and is anticipated to hold the highest position in the market in the forthcoming years. This is attributable to the favourable government policies that enable the commercialization of cannabidiol products in countries such as the U.S. and Canada.
Europe – The market in the region is anticipated to showcase exponential growth backed by the rising sales of CBD products such as vaping, smoking, and edibles in the region between 2024 and 2032.
Global Cannabidiol (CBD) Oil Market Dynamics
Drivers
Growing Acceptance of Medicinal Uses
As more people recognize the potential health benefits of CBD, such as managing anxiety and pain, the global CBD oil market is growing. Consumers are increasingly looking for natural remedies.
Legalization and Regulatory Changes
Changes in laws and regulations around CBD are greatly boosting market growth. As more regions legalize and regulate CBD products, businesses have new opportunities to invest and operate. This highlights how policy changes are driving the expansion of the global CBD oil market.
Opportunities
Expansion into Mainstream Retail
CBD products could become more popular and accessible if they were sold in regular stores instead of just specialty shops. This move would allow more people to buy them easily, showing the market's potential to grow and reach a wider audience.
Innovation and Product Diversification
Constantly coming up with new ways to develop CBD products, such as different methods of using them and new formulations, opens up exciting opportunities for the market to grow. These innovations can make products stand out and meet changing consumer preferences, helping the global CBD oil market expand.
Restraints/Challenges
Quality Control and Labeling Issues
Making sure CBD products are high-quality and accurately labeled is very important. If products are poorly labeled or of low quality, consumers might lose trust, hurting the market. This highlights the need for strict quality control and clear labeling standards.
Competition among CBD Manufacturers
As the CBD market keeps growing, competition between manufacturers and retailers is getting tougher. New companies find it hard to establish themselves and gain market share. This means they need to stand out and position themselves strategically to succeed in a crowded market.
COMPETITIVE LANDSCAPE
Major Companies Focus on Partnerships to Brighten Their Market Prospects
The global CBD market is highly competitive, with leading companies partnering with others to expand their product offerings and increase sales. Major companies are also working to stay relevant by merging with or acquiring other businesses, expanding their facilities, and collaborating. These strategies are expected to help the market grow in the coming years.
Industry Development:
February 2024 - Jublee CBD, a global company that produces personal care products, introduced several CBD skincare lines, including body butters and bath salts.
List of the Companies Profiled in the Global Market:
Medical Marijuana Inc. (California, U.S.)
Cannoid, LLC (Colorado, U.S)
Isodiol International Inc. (Vancouver, Canada)
ENDOCA (Chicago, U.S.)
Folium Biosciences (Texas, U.S.)
Nuleaf Naturals Llc. (Colorado, U.S)
Pharmahemp d.o.o (Slovenia, Europe)
Elixinol Global (Sydney, Australia)
CV Sciences (California, U.S.)
Medterra CBD (California, U.S.)