Market Research Report

Europe Cannabidiol (CBD) Market Research Report: Forecast (2023-2028)

By Application (Medicinal Use, Beauty & Personal Care, Pets, Recreational), By Product Type (Edibles, Flower, Oil & Tinctures, Pills & Capsules, Topicals, Others (Vape, Spray, etc....)), By Distribution Channel (Regulated Dispensary, Stand-Alone Retailers, Department/Super Stores, Online Portals), By Country (The UK, Netherlands, France, Germany, Italy, Rest of Europe), By Company (Aurora Europe, uHemp, Sequoya, Endoca, CBD One Ltd., Formula Swiss, Spectrums Europe, MH medical hemp GmbH, Elixinol Wellness Limited, Green Brothers, Canopy Growth Corporation and Others) Read more

  • FMCG
  • Jun 2023
  • 165
  • CG33047

Market Definition

Cannabidiol (CBD) is derived from the cannabis plant & is made using hemp extract & oil. It has been legalized for medicinal, recreational, or other personal uses across some regions & can be consumed in various forms like edibles - gummies, candies, beverages, and chocolates. It is used to treat a variety of disorders such as anxiety, sleep disorder, neurological pain, sleep disorder, chronic pain as well as stress & nausea.

Market Insights & Analysis: Europe Cannabidiol (CBD) Market (2023-28)

The Europe Cannabidiol (CBD) market is projected to grow at a CAGR of around 24.57% during the forecast period, i.e., 2023-28. This is due to the rising legalization provisions related to various CBD products in various countries of the region, which are further raising the acceptance of CBD by numerous users. In 2020, the European Court of Justice stated that CBD is not to be considered a narcotic substance under the European Union (EU) law. Such supportive rulings are raising the use of CBD products for a varied number of purposes such as recreational, cosmetics, etc., which was earlier restricted majorly to health-related purposes in the form of vitamins & dietary supplements (VDS) & weight management products.

The liberal approach of Switzerland towards the CBD industry, which permits the sales of hemp flowers & curtails the requirement of a license for hemp cultivation, makes the country a major leader in the growth of the Cannabidiol market in the region. Also, in 2022 Switzerland began a three-year trial period in which cannabis can be sold for recreational use, which would result in market growth in Europe during the forthcoming period.

Report Coverage Details
Study Period Historical Data: 2018-21
Base Year: 2022
Forecast Period: 2023-28
CAGR (2023-2028) 24.57%
Country Covered Germany, The UK, France, Italy, Netherlands, Rest of the Europe
Key Companies Profiled Aurora Europe, uHemp, Sequoya, Endoca, CBD One Ltd., Formula Swiss, Spectrums Europe, MH medical hemp GmbH, Elixinol Wellness Limited, Green Brothers, Canopy Growth Corporation and Other
Unit Denominations USD Million/Billion

 

In addition, the increasing public & private efforts toward promoting cannabidiol products through online sales platforms are proliferating the market demand in the region. This is further expected to churn numerous opportunities in the region, supporting it to become a major market for CBD products in the upcoming years. For instance:

  • In 2022, an online trading platform, CBX Stock Exchange (CBX), was launched in Geneva, Switzerland, to promote "seed-to-shelf" quality & transparency for cannabis products. It aims to connect the producers with a range of industries from wellness to beauty, offering to trade in cannabis flowers, hemp biomass, distillates & isolates, and tinctures.

Hence, the Europe Cannabidiol (CBD) Market would experience commendable growth in the forthcoming years, owing to the heightening adoption of diverse applications, such as medicinal purposes, consumer hemp products, etc., accompanied by the increasing educational level of consumers towards the health benefits of cannabidiol & relaxation in the legal norms by various governments.


Europe Cannabidiol (CBD) Market Research Report: Forecast (2023-2028)

Europe Cannabidiol (CBD) Market Key Driver:

 Burgeoning Investment in Research & Development Activities - The CBD market is quite competitive due to the presence of a large number of national & international companies initiating various research & development activities. Consequently, the growing research & development for the wide applications of CBD accelerated the growth of the market in recent years. To foster the growth of CBD, the government of countries such as Germany, France, etc., are investing heavily in research & development activities to make use of CBD for the development of new products in the field of cosmetics, medicine, pet food, etc., hence improving the market value. Moreover, pharmaceutical companies are developing cannabidiol-based medicines to treat Fragile X syndrome, gastrointestinal disorders, and neurological diseases such as epilepsy, schizophrenia, etc., while conducting several clinical trials. For instance:

  • In 2022, the Spanish pharmaceutical company Trichome Pharma announced that it had received approval from the Spanish Agency of Medicines and Medical Devices (AEMPS) to cultivate medicinal cannabis for research purposes.

Thus, rising research & development activities & the emerging wide applications of CBD products would support the growth of the Europe Cannabidiol (CBD) market in the upcoming years.

Europe Cannabidiol (CBD) Market Possible Restraint:

Limited Awareness Among the Consumers to Impede the Market Growth - Cannabidiol products are used for various applications such as pain, anxiety, insomnia, etc. However, the awareness about the product is still on the lower side. It has long been considered an illegal product due to its high concentration of sedatives, owing to which a large number of consumers often take a conscious approach before using it. With consumer products being available in the CBD category, market sales have rapidly increased, however, still, a large section of consumers are either not aware of the availability of products or susceptible to their usage due to their possible side effects. Thus, to combat the challenge, a wide-scale marketing & promotional strategy is followed by brands. However, lower awareness is still a major concern that is anticipated to impact the potential growth of the Europe Cannabidiol (CBD) Market.

Europe Cannabidiol (CBD) Market Key Trend:

The use of cannabidiol in the sports industry is increasing day by day as it provides numerous advantages to athletes, such as it is beneficial in relieving pain, reducing inflammation, improving sleep quality, etc. Hence, owing to these advantages, the governments of various countries have legalized the use of CBD in the sports industry. In 2018, the World Anti-Doping Agency (WADA) removed CBD from the list of prohibited substances used by athletes. It is also used as an alternative to opioids as it causes severe risks of addiction & death by overdose. Whereas have fewer side effects compared to opioids. According to the World Health Organization, CBD does not have the potential for dependence or misuse like other pain-relieving drugs like opioids, THC, etc.

Therefore, owing to the listed factors, CBD is getting more preference compared to Opioids, THC, NSAIDs, etc., in the sports industry. Hence, its increasing use in the sports industry is further helping the manufacturers to deliver their end-products to the sports industry, which would also enhance their sales in the forthcoming years.

Europe Cannabidiol (CBD) Market Growth Opportunity:

Stress-management product is a fast-growing industry in Europe with the mushrooming of a large number of health-conscious customers. Nowadays, consumers prefer stress-reducing products for which CBD has emerged as an effective solution. In line with this, many companies have started offering cannabidiol stress-relieving products in both solid food & drinks, which has opened a whole set of opportunities for the market. For instance:

  • In 2023, Goodrays, a CBD-based start-up, launched a cannabidiol-based drink range in the UK. The drink contains 30mg of CBD for improved mood & stress management.

With the growing consumer base for stress management products, the demand for these drinks & food products would supplement, thereby enhancing the growth opportunity for Europe Cannabidiol (CBD) market

Europe Cannabidiol (CBD) Market (2023-28): Segmentation Analysis

Based on Application:

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

Beauty & Personal Care is expected to register a significant demand in the forecast years. This is due to the unrestrained competition & an ever-growing emphasis on the use of CBD as a natural ingredient in cosmetics & personal care products. It is driving cosmetic manufacturers to invest extensively in research & development (R&D) efforts to explore the properties of CBD. The extracts of low tetrahydrocannabinol (THC) cannabis sativa has enormous potential to be used in cosmetic products. The right proportion of CBD can improve skin conditions due to its antioxidant properties, restore balance where sebum production is excessive, and regulate the quantity of collagen & elastin, among several others. In this regard, Europe has been a late adopter than its counterparts, such as North America & South America. As a result, European Union is making efforts to raise the use of CBD in cosmetic products, which would flourish the Cannabidiol (CBD) market in the upcoming years.

Based on the Product Type:

  • Edibles
  • Flower
  • Oil & Tinctures
  • Pills & Capsules
  • Topical
  • Others (Vape, Spray, etc.)

Edibles are estimated to acquire a considerable share of the Europe Cannabidiol (CBD) market during 2023-28. A notable upsurge in obesity, owing to a rise in sedentary lifestyles involving limited muscular movement, has notably been increasing the risk of cardio & immune-based diseases & chronic pains among adults in the region. Further, with the rising disease burden, the market demand for CBD-based edibles is anticipated to supplement due to their advantages, such as reduction in anxiety, pain, and muscle disorder called dystonia, Parkinson disease, and Crohn disease, among many others. Moreover, gummies, candies, brownies, etc., have been a common source in the recreational & medical application of cannabidiol across the Netherlands & Uruguay in light of their regulation for legalized use of CBD for leisure purposes. Additionally, the enhanced taste of cannabidiol in edibles is anticipated to contribute to a major factor that would drive the growth of the Europe Cannabidiol (CBD) Market in the forthcoming years.

Europe Cannabidiol (CBD) Market Regional Projection

Geographically, the Europe Cannabidiol (CBD) market expands across:

  • The UK
  • The Netherlands
  • France
  • Germany
  • Italy
  • Rest of Europe

The UK held a dominant share in the Europe Cannabidiol (CBD) market during the historical period, owing to the approval of cannabis for medical purposes, an increase in the number of startups that aimed at CBD-based products, and rising R&D investments towards exploring its applications, among others. Further, the booming education & awareness about the benefits have elevated the market demand in the country. The continuous efforts made by the major cannabidiol product manufacturers to change the perception have heightened its usage scope in manufacturing products, including supplements, cosmetics, etc., in the country.

Therefore, the increasing awareness, rising investments by the major CBD product manufacturers, and loosening of government regulations towards the controlled usage of CBD would propagate the market growth in the forecast years.

Europe Cannabidiol (CBD) Industry Recent Developments 

  • 2023: Auora Europe announced to expand its product portfolio in Germany, with two new cannabis flower products, having high THC content for the patients.

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Frequently Asked Questions

   A. The Europe Cannabidiol Market is projected to grow at a CAGR of around 24.57% during 2023-28.

   A. The beauty & personal care is the leading application for the growth of the Europe Cannabidiol (CBD) Market.

   A. The burgeoning investments in research & development activities is the prominent factor that is expected to drive the Europe Cannabidiol (CBD) Market in the coming years.

   A. Aurora Europe, uHemp, Sequoya, Endoca, CBD One Ltd., Formula Swiss, Spectrums Europe, MH medical hemp GmbH, Elixinol Wellness Limited, Green Brothers, and Canopy Growth Corporation. are some of the top players in the Europe Cannabidiol (CBD) Market.

   A. The emerging use of CBD products in the sports industry is the key trend shaping the growth of the market.

   A. Low awareness & consumer susceptibility towards potential side-effects of the products would be a major challenge for the Europe Cannabidiol (CBD) Market.

Europe Cannabidiol (CBD) Market Research Report (2023-2028) - Table of Contents

 

  1. Market Segmentation
  2. Introduction
    1. Product Definition
    2. Research Process
    3. Assumptions
  3. Executive Summary
  4. Europe Cannabidiol (CBD) Market Trends & Insights
  5. Europe Cannabidiol (CBD) Market Dynamics
    1. Drivers
    2. Challenges
  6. Europe Cannabidiol (CBD) Market Regulations & Policies
  7. Europe Cannabidiol (CBD) Market Hotspot & Opportunities
  8. Europe Cannabidiol (CBD) Market Key Strategic Imperatives for Success & Growth
  9. Europe Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size & Analysis
      1. By Revenue (USD Million)
    2. Market Share & Analysis
      1. By Application
        1. Medicinal Use
        2. Beauty & Personal Care
        3. Pets
        4. Recreational
      2. By Product Type
        1. Edibles
        2. Flower
        3. Oil & Tinctures
        4. Pills & Capsules
        5. Topicals
        6. Others (Vape, Spray, etc.)
      3. By Distribution Channel
        1. Regulated Dispensary
        2. Stand-Alone Retailers
        3. Department/Super Stores
        4. Online Portals
      4. By Country
        1. The UK
        2. Netherlands
        3. France
        4. Germany
        5. Italy
        6. Rest of Europe
      5. By Company
        1. Revenue Shares
        2. Competition Characteristics
  10. The UK Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size and Analysis
      1. By Revenue (USD Million)
    2. Market Share and Analysis
      1. By Application
      2. By Product Type
      3. By Distribution Channel
  11. Netherlands Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size and Analysis
      1. By Revenue (USD Million)
    2. Market Share and Analysis
      1. By Application
      2. By Product Type
  12. France Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size and Analysis
      1. By Revenue (USD Million)
    2. Market Share and Analysis
      1. By Application
      2. By Product Type
  13. Germany Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size and Analysis
      1. By Revenue (USD Million)
    2. Market Share and Analysis
      1. By Application
      2. By Product Type
  14. Italy Cannabidiol (CBD) Market Outlook, 2018-2028F
    1. Market Size and Analysis
      1. By Revenue (USD Million)
    2. Market Share and Analysis
      1. By Application
      2. By Product Type
  15. Competitive Outlook
    1. Competition Matrix
      1. Research & Development
      2. Strategic Alliance
      3. Strategic Initiatives
      4. Financial Performance
    2. Company Profile
      1. Aurora Europe
      2. uHemp
      3. Sequoya
      4. Endoca
      5. CBD One Ltd.
      6. Formula Swiss
      7. Spectrums Europe
      8. MH medical hemp GmbH
      9. Green Brothers
      10. Canopy Growth Corporation
      11. Others
  16. Disclaimer


Europe Cannabidiol (CBD) Market Segmentation