Hemp Market Report 2026

The hemp market size has grown exponentially in recent years. It will grow from $8.55 billion in 2025 to $10.28 billion in 2026 at a compound annual growth rate (CAGR) of 20.1%. The growth in the historic period can be attributed to early adoption in textiles, rise in natural food consumption, expansion of hemp cultivation, regulatory easing in key markets, growth in natural cosmetics usage.

The hemp market size is expected to see rapid growth in the next few years. It will grow to $21.2 billion in 2030 at a compound annual growth rate (CAGR) of 19.8%. The growth in the forecast period can be attributed to increasing demand for plant-based nutrition, rising use of hemp in biocomposites, growth in cbd-based wellness products, expansion of sustainable construction materials, increasing preference for organic farming. Major trends in the forecast period include rising consumer adoption of hemp-based foods, growing demand for eco-friendly hemp textiles, expansion of hemp-derived wellness and beauty products, increasing use of hemp fiber in sustainable construction, rising preference for organic and clean-label hemp products.

The increasing demand for natural and organic products is expected to drive the growth of the hemp market going forward. A natural and organic product is made from ingredients derived from natural sources without synthetic chemicals, pesticides, or genetically modified organisms (GMOs) and is typically produced according to organic farming standards. Rising consumer awareness of health and environmental impacts is fueling the growing preference for natural and organic options. Hemp is used as a natural and organic product because it is grown without synthetic chemicals, is environmentally sustainable, and provides versatile, eco-friendly materials and nutrients. For example, in April 2025, according to the Organic Trade Association (OTA), a U.S.-based membership organization, U.S. sales of certified organic products increased by 5.2% in 2024 year over year - more than double the 2.5% growth rate of the overall market - reaching a record $71.6 billion. Therefore, the rising demand for natural and organic products is fueling the growth of the hemp market.

Key companies in the hemp market are concentrating on the development of hemp-based products, such as period pads, to offer a hygienic, absorbent, and comfortable solution for menstrual flow management while ensuring convenience and protection. Hemp is favored for use in period pads due to its eco-friendly, absorbent, and antimicrobial properties, providing a sustainable and comfortable alternative to traditional materials. For example, in February 2024, Mewalii, a Denmark-based developer of sustainable disposable pads, introduced period pads made from Sero regenerative hemp fibers. The Mewalii Period Pads feature a core composed of 100% hemp fibers, with a topsheet that combines hemp with viscose for enhanced softness and absorbency. The hemp fibers are softened using mechanical methods to ensure full biodegradability. By opting for hemp instead of cotton, these pads significantly reduce water, pesticide, and land usage while taking advantage of hemp's low environmental impact and effective carbon sequestration capabilities.

In May 2023, Indoor Harvest Corp., a U.S.-based provider of sustainable hemp and wellness-related products, acquired Opportunity Development Group, LLC and its subsidiary 369Hemp, Inc. for a combination of cash and common stock. Through this acquisition, Indoor Harvest aims to strengthen its manufacturing, distribution, and brand presence in the smokeable-hemp market. 369Hemp, Inc. is a U.S.-based provider of hemp-cigarette manufacturing and distribution services, operating a 30,000 sq ft facility and selling direct-to-consumer, in retail stores, and through wholesale hemp cigarette brands.

Major companies operating in the hemp market are Tilray Brands Inc., Konoplex LLC, Liaoning Qiaopai Biotech Co. Ltd., Aurora Cannabis Inc., Ecofibre Limited, ENDOCA BV, CV Sciences Inc., Navitas Organics, Elixinol LLC, US Hemp Wholesale, HempFlax Group BV, Colorado Hemp Works, Bast Fibre Technologies Inc., Dun Agro Hemp Group, GFR Ingredients Inc., Hemp Inc., HempMeds PX LLC, MH Medical Co. Ltd., The Hemp Mine, Valley Bio Ltd., Green Source Organics, Kazmira LLC.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs on hemp fibers, oils, and processed hemp goods have increased import and production costs, particularly affecting textiles, food and beverages, pharmaceuticals, and personal care segments in North America and Europe, where reliance on imported raw materials is high. These tariffs can slow market expansion but also encourage domestic cultivation, support regional processing facilities, and promote investment in local supply chains, creating long-term opportunities for sustainable hemp-based industries.

The hemp market research report is one of a series of new reports that provides hemp market statistics, including hemp industry global market size, regional shares, competitors with a hemp market share, detailed hemp market segments, market trends and opportunities, and any further data you may need to thrive in the hemp industry. This hemp market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Hemp is a variety of the cannabis sativa plant primarily cultivated for industrial applications and medicinal purposes. It is distinct from marijuana due to its low content of tetrahydrocannabinol (THC), the psychoactive compound in cannabis. It is extensively utilized in the textile industry to create durable fabrics and eco-friendly clothing.

The main types of hemp products include hemp seed, hemp oil, and hemp fiber. Hemp seeds are small, nutrient-rich seeds harvested from the hemp plant and can be sourced from both conventional and organic methods, cultivated in outdoor and indoor farms. These seeds find applications across various sectors, including food and beverages, textiles, personal care and cosmetics, pharmaceuticals, automotive, construction, and more.North America was the largest region in the hemp market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hemp market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hemp market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The hemp market consists of sales of hemp textiles, hemp protein powder, hemp paper, and hemp ropes. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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