Global Cannabidiol Market Research Report: Forecast (2024-2030)

Market Definition

The cannabis plant naturally contains a substance called cannabidiol, or CBD. It is a member of the cannabinoid class of substances that interact with the body's endocannabinoid system (ECS). The flowers, leaves, and stalks of the cannabis plant are used to extract CBD; hemp varieties with low THC content are the main source. Various extraction techniques, such as solvent extraction, ethanol extraction, and CO2 extraction, can be used to acquire it. The potential medicinal benefits of CBD have drawn a lot of interest recently, and its impact on a range of medical disorders has been investigated.

Market Insights & Analysis: Global Cannabidiol (CBD) Market (2024-30):

The Global Cannabidiol (CBD) Market size was valued at around USD 22.7 billion in 2023 and is projected to grow at a CAGR of around 19.21% during the forecast period, i.e., 2024-30. The growing inclination of consumers toward natural and plant-based products is a primary factor propelling the growth of the Global Cannabidiol (CBD) Market. This trend is indicative of a larger movement in consumer behavior toward sustainable, healthier lifestyle options as well as a rising knowledge of the possible advantages of compounds derived from plants for well-being and health.

Furthermore, customers who value well-being and are looking for all-encompassing methods of health management connect with CBD's natural and plant-based qualities. CBD is well known for its possible medicinal effects, which include the capacity to reduce pain, reduce inflammation, encourage relaxation, and enhance the quality of sleep, among other advantages. Customers are turning to CBD as a natural cure to enhance their overall wellness regimen as they become more proactive about controlling their health and well-being.

Moreover, in the Cannabidiol (CBD) Industry, product innovation and differentiation are being propelled by the advent of functional CBD products. Businesses are spending money on R&D to create novel formulations and blends that combine the therapeutic benefits of CBD with other complementary components. Companies that prioritize innovation are better able to draw in new customers, stand out from the competition, and increase their market share. Furthermore, by meeting certain consumer demands and catering to niche markets, functional CBD products help businesses build enduring relationships with their clients and increase brand loyalty. Thus, the increasing popularity of functional CBD products is anticipated to boost the size & volume of the Global Cannabidiol (CBD) Market during the forecast period.

Additionally, the lack of standardized testing and quality control standards makes it difficult to oversee the market and comply with regulations. Standardized testing techniques are lacking in many countries, making it difficult for regulatory authorities to ensure compliance with quality standards and set clear recommendations. The fragmented and unpredictable operating environment that these regulatory uncertainties create for CBD companies discourages new entrants and stifles investment in the industry. There is a chance that inferior and tainted CBD products will proliferate in the market in the absence of strong regulatory frameworks and efficient enforcement measures, endangering consumer safety and damaging the reputation of the whole industry.

Global Cannabidiol (CBD) Market Driver:

Increasing Consumer Preference for Natural & Plant-Based Products – The need for natural and plant-based goods is growing, which is one of the main factors propelling the Global CBD Market. Growing health and wellness consciousness has led to a noticeable shift in customer preferences toward products that are thought to be natural, organic, and minimally processed. Since CBD is regarded as a natural botanical extract, it fits in nicely with this trend.

Consumer interest in CBD has also increased as a result of the legalization and de-stigmatization of cannabis and products derived from hemp. Customers are more open to investigating CBD products for a range of health and wellness requirements as regulatory obstacles have loosened in many areas. Therefore, this tendency is anticipated to continue to be a major driver of market growth in the coming years as regulatory environments change and knowledge of CBD's potential advantages increases.

Global Cannabidiol (CBD) Market Challenge:

Lack of Standardized Testing & Quality Control Measures to Impede Market Growth – It is crucial to ensure the safety, strength, and purity of CBD products as the market for them continues to grow. Significant obstacles, meanwhile, are presented by the lack of industry-wide testing procedures and quality control standards. Variability in lab procedures, testing strategies, and accreditation procedures might result in inconsistent product quality. Consumer confidence is weakened by this lack of standards, which also makes regulatory inspection and enforcement more difficult.

The absence of comprehensive testing and quality control protocols may increase the likelihood of tainted or incorrectly labeled items reaching the market, endangering the well-being and security of consumers. To tackle this issue, industry participants, authorities, and legislators must work together to create thorough testing guidelines, certification schemes, and quality control procedures that support openness, reliability, and customer confidence in the CBD industry.

Global Cannabidiol (CBD) Market Trend:

Functional CBD Products Gaining Traction – As customers look for focused solutions for a range of health and wellness issues, such as stress management, pain reduction, sleep support, immune support, and skincare, functional CBD products are becoming more and more popular. Products including substances like turmeric or ginger may target inflammation and pain treatment, while CBD-infused products with additional melatonin may be promoted to induce relaxation and improve sleep quality.

This pattern is indicative of a larger movement in the market toward customized health and wellness solutions as more and more customers look for products that cater to their unique requirements and tastes. Businesses can stand out in a crowded market and appeal to a larger spectrum of customers by providing useful CBD products that are suited to particular health objectives.

Global Cannabidiol (CBD) Market (2024-30): Segmentation Analysis

The Global Cannabidiol (CBD) Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2024–2030 at the global level. According to the analysis, the market has been further classified as:

Based on the Application:

• Medical Use
• Beauty & Personal Care
• Pets
• Recreational

The application of CBD for medical uses has gained a considerable share of the Global Cannabidiol (CBD) Market in the past few years, owing to the legalized use of cannabidiol for medical purposes across several countries like India, Argentina, & Nordic countries, among others. Endocannabinoids present in the human body are necessary for regulating emotions, stress, sleep, etc. Either the endocannabinoids are naturally released in the body or through some food intake, or they can be consumed & released with the controlled dosage of cannabidiol-based products.

Additionally, the surging inclination toward CBD usage for mental disorders (such as anxiety, stress, depression, insomnia, etc.), chronic pains, migraines, spasms, etc., have also infused the demand for CBD for medical uses in the past few years and, in turn, contributed to the overall growth of this segment.

On the other hand, cannabis-derived beauty & personal care products have the potential to be a long-lasting trend, particularly in skin care, as they state themselves as natural ingredient-based products for a healthy & sustainable lifestyle. As a result, many cosmetic brands have introduced products manufactured with cannabidiol extracts. For instance,

• Kiehl’s Cannabis Sativa-infused face oil has been recognized as a must-have by popular skincare critics worldwide.

Based on the Source:

• Hemp
• Marijuana

The hemp segment has gained the largest market share in the past few years. The legal status of CBD generated from hemp in many regions is one of the main causes of its dominance. Many nations, including the US, Canada, EU member states, and others, have legalized hemp farming and the extraction of CBD from it, as long as the tetrahydrocannabinol (THC) percentage stays below a predetermined level (often 0.3% or less). The broad availability and distribution of CBD products produced from hemp through a variety of channels, including retail stores, internet retailers, and wellness stores, has been made easier by this legal certainty.

Furthermore, users who want the possible health benefits of CBD without the psychoactive effects of THC frequently favor CBD obtained from hemp. Additionally, the adaptability of CBD derived from hemp is advantageous since it can be found in a variety of forms, such as oils, tinctures, capsules, consumables, skincare items, and more.

Global Cannabidiol (CBD) Market (2024-30): Regional Projections

Geographically, the Global Cannabidiol (CBD) Market expands across:

• North America
• South America
• Europe
• Asia-Pacific
• Rest of the World

In terms of market size, revenue generation, product diversity, consumer adoption, etc., North America holds the largest share of the Global CBD Market. The region's dominant position in the global Cannabidiol (CBD) Market is a result of several reasons. When it comes to the legalization of cannabis and goods derived from hemp, such as CBD, for both medicinal and recreational uses, North America has led the way. Progressive regulatory frameworks that have been put in place in the US and Canada permit the manufacturing, sale, and use of CBD products as long as they adhere to a few rules and limitations. The market ecosystem has grown significantly as a result of regulatory clarity, and a multitude of businesses are involved in all aspects of the CBD value chain, from product manufacture and distribution to extraction and cultivation.

Moreover, demand for products manufactured with CBD is being driven by North America's sizable and affluent customer base, which is becoming more and more interested in natural health and wellness products.

Global Cannabidiol (CBD) Industry Recent Development:

• In January 2023: Medical Marijuana, Inc. declared that its subsidiary, HempMeds Brasil, had introduced two new full-spectrum products in Brazil. The doses come in 30 mL and 60 mL jars and range from 3,000 to 6,000 mg.
• In January 2022: Elixinol announced the release of two cutting-edge CBD products with a focus on providing support for sleep: the Sleep Rapid Rest Liposome and Sleep Gummies.

Gain a Competitive Edge with Our Global Cannabidiol (CBD) Market Report

1. Global Cannabidiol (CBD) Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & market share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Global Cannabidiol (CBD) Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.