Hemp Seed Market Expected to Reach $11.7 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Hemp Seed Market," The hemp seed market size was valued at $5.1 billion in 2022, and is estimated to reach $11.7 billion by 2032, growing at a CAGR of 8.9% from 2023 to 2032.

Hemp seeds are small, brown seeds of the cannabis sativa plant that are abundant in healthful fats, protein, minerals, and fibers. They are commonly available in whole seed, shelled seed, hemp oil, and protein powder forms. Hemp seeds provide several health advantages such as improving metabolism, increasing immunity, and treating insomnia, inflammation, and chronic pain. They are widely used in food and drinks, nutritional supplements, medications, and cosmetics.

The rising demand for processed and ready-to-eat food goods, particularly among millennials and the urbanized population, is leading to an increasing consumption of hemp-based cereals, bars, smoothies, and yoghurt. Furthermore, the popular vegan trend has led in a progressive movement away from meat and dairy products and towards hemp-based food items in order to maintain protein consumption levels. In addition, hemp is a multipurpose plant, the seeds are utilized to produce nourishing meals. They surpass chia and flax seeds because they contain both gamma-linoleic acid and CLA conjugated linoleic acid. It also provides a health fatty acid ratio, 10 necessary amino acids, and a lot of fiber. Hemp seeds are high in phosphorus, potassium, sodium, magnesium, sulfur, calcium, iron, and zinc. Furthermore, when compared to other plant protein sources, hemp is considered allergy-free. All these factors are projected to drive the hemp seed market growth during the forecast period.

One of the significant restraining factors for the hemp seed market demand is the regulatory landscape about hemp and hemp-derived products. While hemp cultivation has been legalized in many regions, there are still variations in regulations, licensing requirements, and restrictions on the cultivation, sale, or use of hemp seeds. This inconsistency creates barriers for farmers, producers, and consumers, leading to challenges in the production and distribution of hemp seed products. In addition, the association of hemp with cannabis and the presence of trace amounts of THC (tetrahydrocannabinol) in hemp seeds can lead to legal and consumer perception concerns.

The increasing consumer demand for plant-based and natural food products is expected to create several growth opportunities for the hemp seeds market. With their rich nutritional profile, including high protein content, essential fatty acids, and minerals, hemp seeds are well-positioned to meet the rising demand for healthy and sustainable food options. In addition, the rising popularity of hemp-based products in the health & wellness sector offers opportunities for the key players operating in the market. The potential health benefits associated with hemp seeds, such as supporting heart health, promoting digestion, and reducing inflammation, make them attractive ingredient for functional foods, dietary supplements, and nutraceuticals. All these factors projected to create the excellent hemp seed market opportunities during the forecast period.

The hemp seed market share is segmented on the basis of source, form, application, and region. By source, it is classified into conventional and organic. By form, it is classified into shelled hemp seed, hemp seed protein, hemp seed oil, whole hemp seed, hulled hemp seed, hemp protein powder, and others. By application, it is classified into food & beverages, nutritional supplements, cosmetics, pharmaceuticals, textiles, personal care products, and others. By region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

The key players profiled in the hemp seed market analysis report include MH medical hemp, Naturally Splendid Enterprises Ltd., Manitoba Harvest Hemp Foods, NAVITAS ORGANICS, Plains Industrial Hemp Processing Ltd, Hush Brands Inc., Green Source MKT, HempFlax Group B.V., GenCanna Global USA, Inc., and Ecofibre.

The report offers a comprehensive analysis of the global hemp seed market trends by thoroughly studying different aspects of the market including major segments, market statistics, market dynamics, regional market outlook, investment opportunities, and top players working towards the growth of the market. The report also highlights the present scenario and upcoming trends & developments that are contributing toward the growth of the market. Moreover, restraints and challenges that hold power to obstruct the market growth are also profiled in the report along with the Porter’s five forces analysis of the market to elucidate factors such as competitive landscape, bargaining power of buyers and suppliers, threats of new players, and emergence of substitutes in the hemp seed market forecast.

Impact of COVID-19 on the Global Hemp Seed Industry

• The COVID-19 pandemic has led to an increase in awareness of personal health and fitness. Therefore, there has been an increase in demand for nutrient-dense superfoods such as hemp seeds. Consumers are looking for foods that provide essential vitamins, minerals, and antioxidants to help their immune systems and overall well-being.
• The pandemic caused disruptions in global supply chains, including the hemp seed industry. Restrictions on movement, transportation delays, and lockdown measures affected the availability and distribution of hemp seeds.
• The economic downturn caused by the pandemic has affected consumer spending patterns and disposable incomes. Some consumers faced financial constraints, leading to a shift in purchasing priorities. This impacted the demand for premium hemp seed products and discretionary spending.

Key Findings of the Study

• Based on source, the conventional sub-segment emerged as the global leader in 2022 and the organic sub-segment is anticipated to be the fastest growing during the forecast period.
• Based on form, the whole hemp seed sub-segment emerged as the global leader in 2022 and the hemp seed oil sub-segment is predicted to show the fastest growth in the upcoming years.
• Based on application, the food & beverages sub-segment emerged as the global leader in 2022 and is predicted to show the fastest growth in the upcoming years.
• Based on region, North America registered the highest market share in 2022 and Asia-Pacific is predicted to show the fastest growth in the upcoming years.