Global Hemp Market Trends: Emerging Markets and International Trade Opportunities
The global hemp industry is experiencing rapid growth, driven by increasing demand for sustainable products, evolving regulations, and expanding applications across various sectors. As of 2025, the industrial hemp market is projected to grow from $11.42 billion to $47.82 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 22.7% .
Emerging Markets
Asia-Pacific: This region is witnessing significant growth due to favourable climatic conditions and increasing industrial applications of hemp. Countries like China and India are leading in cultivation and processing, while nations such as Australia are expanding their hemp industries, particularly in food and construction sectors.
Latin America: Brazil is making strides in hemp research and cultivation. The Brazilian Agricultural Research Corporation (Embrapa) has initiated a 12-year research programme focusing on cannabis cultivation, aiming to adapt varieties to Brazil's climate and establish regional production hubs.
Europe: France continues to be a major player in the European hemp market, leveraging its long history of hemp cultivation. However, regulatory challenges persist in some countries, such as Italy, where proposed legislation aims to ban the production and trade of all cannabis flower varieties, including industrial hemp.
International Trade Opportunities
Textiles and Fashion: The demand for hemp-based textiles is rising, driven by consumer interest in sustainable and eco-friendly clothing. Hemp fibres are being utilised in various fashion products, offering durability and environmental benefits.
Construction Materials: Hemp is gaining popularity in the construction industry, particularly in the production of hempcrete—a sustainable building material known for its insulation properties and carbon-negative footprint .
Food and Beverages: Hemp seeds and oil are increasingly used in health foods and beverages, capitalising on their nutritional benefits. The hemp protein market, for instance, is projected to grow at a CAGR of 14.1% from 2024 to 2031.
Pharmaceuticals and Personal Care: Hemp-derived cannabidiol (CBD) products are expanding in the pharmaceutical and personal care markets, offering potential therapeutic benefits and natural skincare solutions.
The global hemp market is poised for substantial growth, with emerging markets in Asia-Pacific and Latin America leading the way. International trade opportunities abound across various sectors, including textiles, construction, food, and pharmaceuticals. As regulations evolve and consumer demand for sustainable products increases, the hemp industry is set to play a pivotal role in the global economy.
