“Trends for CBD beauty and edibles is expected to drive the market”
The CBD oil market is expected to grow at a CAGR of 32.5% during the forecast period from 2023 to 2030, starting from US$ 1168.3 Mn in 2021.
CBD oil-based products are gaining its popularity and consumers nowadays are becoming more inclined towards using CBD oil-based products for treating a number of health problems such as insomnia, chronic pain, anxiety, among others. The younger generation is more interested in trying new and buzzy trends and CBD beauty is one of those trend. Accordingly, CBD beauty has the potential of a larger growth. As per the research studies it is estimated that the CBD beauty industry will reach about US$ 25 billion by the year 2030. Moreover, CBD skincare will account for about 15% of the total skincare industry by the year 2030. In addition, it is estimated that about 67% of gen z and 62% of the millennial population is interested in CBD makeup.
On account of emerging consumer interest in CBD based products, manufacturers are developing new and innovative CBD based products in the market. For instance, in February 2020, Vita Hemp Oil, Colorado-based company that manufactured CBD oil, launched a new product. The CBD Gummies are 100% natural and great source of vitamin C and aims to increase immunity. Moreover, the gums also help to reduce stress and anxiety. In December 2021, Canopy Growth Corporation USA, LLC launched a new product line. The First & Free is a hemp-derived CBD product line that includes oil drops, softgels, and creams. Thereby, increases the demand for CBD oil.
“Introduction of Farm Bill by the U.S. Government drives the market growth”
The medical & pharmaceuticals segment dominated the CBD oil market in the year 2021 and expected to continue its dominance during the forecast period. Due to resurge in patients' interest in using CBD for treating a variety of conditions such as cancer pain, depression, chronic pain, and neurological disorders drive the market growth. Moreover, research and development by various government organizations of CBD in medical fields also support market growth. National Institute on Drug Abuse (NIDA) is an agency that researches on cannabis-based products. Moreover, in 2019, the National Institute of Health (NIH) reinforced around 300 projects on the research and development of cannabinoid and spend around US$ 140 million. Additionally, in 2020, the first CBD based drug, Epidiolex was authorized by the U.S. Food and Drug Administration since then demand for CBD based medicine is increasing thereby, supports the market growth.
“Rising number of research and development of CBD in medical treatments drive the market”
North America dominated the CBD oil market in 2021 and is expected to continue its dominance during the forecast period. Consumers in the North American region are more inclined towards using plant-based products. Thereby, increases the demand for CBD oil in the region. Furthermore, Farm Bill law, designed in December 2020, that removed cannabis plants and its derivative containing not more than 0.3% THC from the Controlled Substance Act, increases the demand for CBD oil in the region.
“Asia Pacific is projected to grow at a considerable rate during the forecast period”
Asia Pacific is expected to grow at a noticeable rate during the forecast period due to various funding based research projects on treatments including CBD. For instance, Singapore, the world’s most stringent drug law country, is funding research on various medical treatments containing synthetically-derived compounds of the marijuana plant. Thereby, is one of the key factor supporting the growth of the market.
List of Companies Covered:
Key Industry Developments:
Historical & Forecast Period
This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of CBD Oil market are as follows:
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
| ATTRIBUTE | DETAILS |
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| Research Period | 2022-2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Year | 2022 |
| Unit | USD Million |
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Key questions answered in this report
