Hemp-Based Food Market

Market Overview:

The global hemp-based food market size reached US$ 1.5 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 4.9 Billion by 2032, exhibiting a growth rate (CAGR) of 13.4% during 2024-2032. The rising preferences of individuals for natural and organic products, increasing use of hemp-based foods into gourmet recipes, and the growing legalization of hemp cultivation and the relaxation of regulations are some of the major factors propelling the market.

Hemp-based food is derived from the seeds, oil, and protein of the Cannabis sativa. It is fortified with fatty acids, protein, and various vitamins and minerals, which makes it a nutritious addition to diets. It also contains omega-3 and omega-6 fatty acids that aid in heart health and inflammation reduction. It also helps alleviate symptoms of skin conditions and promotes healthier hair and nails. Besides this, its high fiber content supports digestive health and helps regulate blood sugar levels. It can be incorporated into smoothies, yogurt, salads, and baked goods to give them a nutty flavor and a crunchy texture. It is also utilized by fitness enthusiasts as a supplement for post-workout.

The increasing working population and busy lifestyles of individuals are catalyzing the demand for convenient snacking options like hemp seed bars and hemp-infused smoothies. Additionally, many hemp-based food companies are positioning their products as part of a broader lifestyle choice that includes wellness, ethical consumption, and sustainability, which is attracting a wider consumer base. Apart from this, the expansion of hotels and restaurants and the inclusion of hemp-based foods into gourmet recipes are strengthening the growth of the market. Furthermore, the increasing consumption of hemp-based foods among athletes, bodybuilders, and people with specific medical conditions like diabetes due to their high nutritional content and low sugar levels is offering a favorable market outlook.

Hemp-Based Food Market Trends/Drivers:

Increasing health and wellness awareness

The rising awareness about health and wellness represents one of the key factors positively influencing the market. Additionally, the growing consciousness among the masses about the importance of the nutritional content of the foods they consume is favoring the market growth. Hemp-based foods, such as hemp seeds and hemp oil, are rich in essential nutrients like omega-3 and omega-6 fatty acids, protein, and vitamins. Apart from this, the increasing adoption of veganism and vegetarianism is driving the demand for plant-based protein sources and functional foods, Furthermore, the rising preferences of individuals for natural and organic products is catalyzing the demand for hemp-based foods.

Expansion of legalization and regulation

The increasing legalization of hemp cultivation and the relaxation of regulations surrounding hemp-derived products represent another key factor positively influencing the market. Several countries are revising their regulations to allow for the commercialization of hemp products. This changing legal landscape is resulting in innovation, investment, and product development within the hemp-based food industry. Furthermore, the elimination of trade barriers in various countries is encouraging more food companies to incorporate hemp ingredients into their offerings.

Sustainability and environmental concerns

The increasing emphasis on sustainability and environmental consciousness is encouraging people to seek out alternative and eco-friendly food sources. Hemp cultivation requires less water and pesticides compared to many traditional crops, which makes it a more sustainable option. Apart from this, the growing environmental concerns associated with the food processing industry are catalyzing the demand for foods with a lower ecological footprint. Furthermore, various companies are increasingly using sustainable packaging options like biodegradable and compostable materials to reduce carbon footprint.

Hemp-Based Food Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global hemp-based food market report, along with forecasts at the global, regional and country levels from 2024-2032. Our report has categorized the market based on product and distribution channel.

Breakup by Product:

• Hemp Protein Powder
• Hemp Seed Oil
• Hemp Seeds
• Others
   

Hemp seeds represent the largest market segment

The report has provided a detailed breakup and analysis of the market based on the product. This includes hemp protein powder, hemp seed oil, hemp seeds, and others. According to the report, hemp seeds hold the majority of the market share as they are fortified with essential fatty acids, protein, and fiber. Additionally, their balanced omega-3 to omega-6 ratio supports the overall well-being of individuals and attracts health-conscious consumers. Apart from this, the seeds are highly versatile and can be easily incorporated into various dishes. They can be consumed raw, cooked, or roasted, thereby attracting a wider range of consumers. Additionally, the seeds have a longer shelf life compared to other hemp-based food products like hemp milk or hemp oil. Furthermore, hemp seeds are relatively easy to cultivate, and harvest compared to other parts of the hemp plant, making them a cost-effective option for farmers.

Breakup by Distribution Channel:

• Supermarkets and Hypermarkets
• Convenience Stores
• Online Stores
• Others
   

Supermarkets and Hypermarkets dominate the market

A detailed breakup and analysis of the market based on the distribution channel has also been provided in the report. This includes supermarkets and hypermarkets, convenience stores, online stores, and others. According to the report, supermarkets and hypermarkets hold the largest market share as they are frequently visited retail environments, offering high visibility for hemp-based food products. Additionally, these retail outlets have the resources to engage in extensive marketing and promotional activities like discounts, bundled offers, and loyalty programs. Apart from this, they have a widespread geographical presence, which makes hemp-based foods easily accessible to a wide consumer-base. Furthermore, supermarkets and hypermarkets provide a one-stop shopping experience, wherein consumers can buy hemp-based foods along with other grocery items. Moreover, these retail outlets showcase an extensive range of hemp-based food items, such as seeds, oils, and ready-to-eat (RTE) snacks.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America exhibits a clear dominance, accounting for the largest hemp-based food market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America accounted for the largest market share due to the presence of a robust supply chain that is adept at sourcing, manufacturing, and distributing hemp-based foods efficiently. This streamlines market operations and minimizes disruptions. Additionally, hemp-based food products are widely available across offline retail channels in North America. This extensive retail presence makes the products more accessible to consumers. Apart from this, the rising health consciousness among North American consumers is driving the demand for all-natural and nutrient-rich foods, including hemp-based products. Furthermore, North America, particularly the United States, has a well-established regulatory environment for hemp cultivation and product development, which creates a more secure landscape for investors and manufacturers to invest in hemp-based food items.

Competitive Landscape:

Companies are working to streamline their supply chain, which includes sourcing hemp to final product delivery to reduce operational costs, improve efficiency, and ensure the consistent quality of their products. Additionally, they are continuously innovating to introduce new products, such as hemp protein powders and hemp-infused beverages. Apart from this, many companies are dedicating resources to educating consumers about the health benefits of hemp-based foods. This includes online resources, informational packaging, and community outreach programs to increase consumer awareness and drive demand. Moreover, various leading companies are increasingly adopting eco-friendly practices in hemp cultivation, production, and packaging to promote environmental health.

The report has provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Hempfoods Ltd.
• Tilray, Inc.
• GFR Ingredients
• Hemp Foods Australia Pty Ltd
• Aurora Cannabis Inc.
• Naturally Splendid Enterprises Ltd.
• Isodiol International Inc
• Navitas LLC
• Nutiva
• T12 Holdings Pty Ltd.

Recent Developments:

• In February 2023, Hemp Foods Australia Pty Ltd secured a distribution deal with Woolworths supermarkets to stock its organic hemp seed oil in all 948 stores across Australia.
• In July 2021, Manitoba Harvest, a division of Tilray, Inc., announced a new research collaboration with Protein Industries Canada to advance innovation in hemp and pea protein.

Hemp-Based Food Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the hemp-based food market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global hemp-based food market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the hemp-based food industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.