Share on

Global Cannabidiol Market Size, Share, Trends, COVID-19 impact & Growth Forecast Report – Segmented By Type, Distribution Channel, End-User & Region (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa) – Industry Analysis from 2022 to 2027

Published: January, 2022
ID: 9950
Pages: 200
Formats: report pdf report excel report power bi report ppt

Cannabidiol Market Size (2022 TO 2027)

The global cannabidiol market was anticipated to be USD 14.01 billion in 2022. It is likely to record a compound annual growth rate of over 23.3% and is forecasted to be worth USD 39.98 billion by 2027. 

Cannabidiol (CBD) is found naturally in marijuana plants. Though the oil is derived from marijuana, it does not have any harmful effects like any other product derived from cannabis. CBD oil has many health benefits and is especially beneficial for stress relief. Also, CBD oil in treating various health disorders like Alzheimer’s, multiple sclerosis, and Parkinson’s diseases is showing positive results.

According to the National Institute of Drug Abuse, the National Institute of Health (NIH) has spent around USD 140 million on the research and development of cannabinoids. In addition, the institute has spent around USD 36 million on 70 projects only to examine the properties of cannabis. Also, the National Institute of Health (NIH) has increased the funding on the projects related to the medical treatments associated with the compounds of the cannabis plant. Furthermore, government organizations are launching various programs to continue research on the development of drugs using cannabis. For example, the government-run National Research Foundation recently initiated a program to research the use of cannabis plants in different medical treatment procedures.

MARKET DRIVERS:

Increased adoption of products for CBD skincare acts as a demand catalyst.

CDB skincare has antioxidant properties that primarily counteract the signs of aging in the geriatric population, enhancing market development. In addition, R&D investment and demand for skincare products amplify the market's growth. In the years to come, the increased demand for CBD products in Australia would put the CBD skincare market in the nation on a growth trajectory.  

There has been a significant increase in medical treatment with cannabis-related products in Australia and overseas. The demand for cannabidiol (CBD) for medical and wellness purposes is high due to its healing properties, which are a vital driver of the global cannabidiol market growth. Also, the high level of demand from the pharmaceutical industry for marketing different cannabidiol-containing products in the manufacturing process is expected to drive the market's growth. This includes increasing CBD-containing products for conditions such as epilepsy, anxiety, chronic pain, and addiction. Many currently available products also contain a mixture of THC and CBD.

The cannabidiol market is mainly driven by an increase in cannabidiol (CBD) use in medical applications, supplements, beverages, and skincare.

The market for cannabidiol is associated with significant cannabidiol therapy that receives FDA approval or moves forward in human clinical trials. According to WHO, Epidiolex® is a liquid oral formulation of pure CBD derived from plants. GW Pharmaceuticals in the United Kingdom produce it. It has shown positive results in Phase 3 trials of Dravet and Lennox-Gastaut syndromes, which are treatment-resistant seizure disorders. The published results of this therapeutic application are covered by Section 9: Therapeutic Applications.

Rising incidences of chronic diseases such as cancer, diabetes, and others are solely leveling up the market's growth rate. According to the World Health Organization (WHO), 2.5% of the global population, around 147 million people, consumes marijuana in different forms annually. This is eventually propelling the demand for CBD oil. In 2018, the National Center for Biotechnology Information (NCBI) stated that 62% of the population uses CBD oil to treat various health disorders. Increasing complications from cancer and other chronic diseases boost the market's demand. In addition, rising research and development activities in the healthcare sector are propelling the growth rate of the Cannabidiol market. Growing investments in research activities by government and non-government organizations are ascribed to boosting the market demand. CBD oil contains a poor concentration of tetrahydrocannabinol (THC), so there is abundant oil usage for medical purposes. Creating awareness of the use of cannabis appropriately is also leveraging the growth rate of the CBD oil market.

MARKET RESTRAINTS:

However, stringent rules and regulations by the government in approving new products are slightly hindering the market's growth rate. Furthermore, in some countries, the cultivation of the cannabis crop is illegal, impeding the demand for CBD oil. Besides, fluctuations in the availability of raw materials in the industries and long-term use of medicines with cannabis are showing some adverse effects that limit the growth rate of this market. Finally, the absence of skilled people in the laboratories is expected to contribute to the decline in the market's growth rate during the forecast period.

COVID 19 impact on the Cannabidiol market:

COVID 19 outbreak has spread to more than 100 countries worldwide, where the World Health Organization declared it a public health emergency. The Covid-19 pandemic has resulted in a decline in CBD oil sales in the first half of 2020 due to the shutdown of manufacturing units and distribution channels due to the lockdown implemented in various nations. The same trend is likely to continue in the foreseen years as consumers are now turning towards healthy products like functional foods to improve their disease resistance and immunity to combat the coronavirus spread.

Due to the impact of a novel coronavirus, there are lockdown restrictions and travel bans in most countries. This has led to the downfall of the market shares. Key players have seen significant challenges during these tough times. However, the rising number of people with anxiety disorders elevates the demand for Cannabidiol in substantial countries. This is expected to drive the market tremendously, and predicted that the market shares would hit the highest target by 2021.

REPORT COVERAGE:

REPORT METRIC

DETAILS

Market Size Available

2021 to 2027

Base Year

2021

Forecast Period

2022 to 2027

Segments Covered

Based on Type, Distribution Channel, End-Users, and Region

Various Analyses Covered

Global, Regional & Country Level Analysis, Segment-Level Analysis, Drivers, Restraints, Opportunities, Challenges, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities

Regions Covered

North America, Europe, Asia Pacific, Latin America, Middle East & Africa

 

This research report on the global cannabidiol market has been segmented and sub-segmented based on the type, distribution channel, end-users, and region.

Global Cannabidiol market - By Type:

  • Hemp
  • Marijuana

Based on the type, the hemp segment led the cannabidiol market in 2021, owing to the rising crop cultivation according to climatic conditions. Legalizing the growing industrial hemp crop is also likely to fuel the market's growth rate. The marijuana segment is anticipated to account for a significant share of the market during the forecast period due to the growing awareness of the use of marijuana in medical conditions. Growing support from the government authorities in promoting effective drugs in treating various health conditions.

Global Cannabidiol market - By Distribution Channel:

  • B2B
  • B2C
    • Hospital Pharmacies
    • Online
    • Retail Stores

Based on the distribution channel, the B2C distribution channel has been substantially growing over the past few years. The hospital pharmacies sub-segment registered a leading share of the market in 2021. The increasing scale of hospitals with the rising patient count and the government's launch of new reimbursement policies are favoring the segment's growth rate.

Global Cannabidiol Market - By End Users:

  • Medical
    • Chronic Pain
    • Mental Disorders
    • Cancer
    • Others
  • Personal Use
  • Pharmaceuticals
  • Wellness
    • Food & Beverages
    • Personal Care & Cosmetics
    • Nutraceuticals
    • Others

Based on the end-user, the medical segment held with the highest share of the cannabidiol market in 2021. Rising investments in the manufacturing of new drugs in favor of the end-users by both public and private organizations are elevating the market's growth rate. In addition, mental disorders and chronic pain are increasing among people, gearing up the market's demand. 

Global Cannabidiol Market - By Region:

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • The Middle East and Africa

Geographically, the North America Cannabidiol market accounted for the most significant share in the global market in 2020 and is forecasted to register 32.9% during the forecast period. Around 2.2 million Americans above 12 years are using cannabis for medical purposes, which is surging the market growth rate in this region. Focus on selling CBD-based products by the best retailers in the US is likely to promote the market shares to the next level. CVS Health, one of the top retailers, plans to sell CBD oil in more than 1500 stores. This is an excellent initiative for the market to grow tremendously. In addition, the trend toward skincare products and the growing usage of cannabis in skincare products escalate CBD oil demand in North America. 

The European Cannabidiol market is following North America in holding the dominant shares of the market. However, steady economic growth in developed countries like the UK and Germany dramatically influences the development of the market. In addition, the growing demand for CBD-based products in skincare and pharmacies and the governments of the EU countries are introducing the latest reimbursement policies for the common people, likely to fuel the market in this region. 

The Asia pacific Cannabidiol market is predicted to grow at a CAGR of 34.68% between 2021 to 2026 and is forecasted to be the fastest-growing region of all. India and China are the two major countries contributing the dominant shares to the market. China cultivates the highest hemp crop in the world. 

The Latin America Cannabidiol market is forecasted to grow at a CAGR of 20.2% during the forecast period. Many Latin American governments are finally taking steps to create legal markets for cannabis and CBD products, but business opportunities for domestic retail sales are still limited. Thus, it adds further difficulty in approving imports and completing the shipping process to Latin America on time.

KEY MARKET PLAYERS:

The global cannabidiol market is concentrated with well-established players like Pharmahemp d.o.o, ENDOCANuLeaf Naturals LLCFolium BiosciencesElixinol, Cannoid LLC, Medical Marijuana Inc., and Isodiol International Inc. ENDOCA substantially share the Cannabidiol market in terms of sales and revenue in 2019.

RECENT HAPPENINGS IN THIS MARKET:

  • In June 2020, Cualeaf launched easily consumable cannabis capsules, which are very effective for customers in treating diseases. The product launch is expected to propel the company's portfolio to the extent. 
  • In November 2020, Canopy Growth Corporation announced the operating and secure storage license received from Health Canada. With this license, the company is to fulfill the various demand of the customers. 

 

Please wait. . . . Your request is being processed

FAQ's

How big is the global CBD market?

As per our research report, the global cannabidiol (CBD) market is estimated to value USD 39.98 billion by 2027. 

What is the CBD market worth today?

The global cannabidiol market size is estimated to be USD 14 billion in 2022. 

What is expected growth rate for cannabidiol market?

The global cannabidiol (CBD) market is expected to grow at a CAGR of 23.3% from 2022 to 2027.

which region accounted for the largest share in the global cannabidiol market in 2021?

Geographically, the North American regional market led the global cannabidiol market in 2021.

Related Reports

Access the study in MULTIPLE FORMATS
Purchase options starting from $ 2500

Didn’t find what you’re looking for?
TALK TO OUR ANALYST TEAM

Need something within your budget?
NO WORRIES! WE GOT YOU COVERED!

REACH OUT TO US

Call us on: +1 888 702 9696 (U.S Toll Free)

Write to us: sales@marketdataforecast.com

Click for Request Sample