by The Cannabidiol Market is estimated to be valued at US$ 7953.14 Mn in 2023 and is expected to exhibit a CAGR of 47% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Cannabidiol or CBD is one of the naturally occurring cannabinoids found in the cannabis plant. It is primarily used for medicinal purposes to treat various health conditions such as chronic pain, anxiety, epilepsy, acne, and arthritis among others. CBD products are available in various forms like oils, edibles, topicals and more. The legalization of medical marijuana in many countries has boosted the demand for CBD products over the past few years.
Market Dynamics:
Growing awareness about the therapeutic benefits of CBD is a major driver of the cannabidiol market growth. Research studies have shown CBD to be effective in treating chronic pain, anxiety, sleep disorders and other ailments. This has increased its popularity as an alternative treatment option. Rising legalization of medical marijuana in various regions is another factor fueling the market expansion. As of now, 33 U.S. states, District of Columbia, Puerto Rico, Guam and U.S. Virgin Islands have legalized medical marijuana which allows adults over 21 years of age to use marijuana-derived products. Expanding application scope of CBD in wellness products is anticipated to present new opportunities over the forecast period. Its popularity is rising in foods & beverages, skincare, pain management products and more. However, lack of federal regulations has led to proliferation of poor quality and mislabeled CBD products which can hamper the market growth.
Segment Analysis
The cannabidiol (CBD) market is segmented based on product type and application. By product type, it is dominated by CBD oils sub segment. CBD oils are widely used for treating anxiety, insomnia and chronic pain management. Due to growing popularity and awareness of CBD oil benefits, it is the largest and fastest growing sub segment.
PEST Analysis
Political: Cannabis legalization reforms in the US and Canada have provided push to CBD industry growth. However, complex regulatory environment still persists.
Economic: Increasing healthcare spending on chronic pain and mental health treatment is fueling market demand. Lower prices of CBD products compared to other pain medicines is supporting sales.
Social: Growing social acceptance of cannabis-derived products as a health supplement. CBD is garnering popularity as natural remedy for several medical conditions.
Technological: Companies are investing in R&D to develop innovative delivery formats like topicals, edibles etc. to increase bioavailability. Standardization process is getting robust to ensure product quality.
Key Takeaways
The Global Cannabidiol Market Size is expected to witness high growth at a CAGR of 47% over the forecast period of 2023 to 2030, due to increasing legalization of cannabis-derived products globally. The CBD market size for 2023 is estimated at US$ 7953.14 Mn.
Regional analysis in North America dominates the global CBD market currently due to legal acceptance of medical cannabis in major countries like US and Canada. It is expected to remain the highest revenue generating region over the forecast period owing to increasing product adoption for treating chronic pain and mental disorders.
Key players operating in the cannabidiol (CBD) market are Canopy Growth Corporation, Aphria, Inc., Aurora Cannabis, Maricann, Inc., Tilray, GW Pharmaceuticals, plc, ABcann Medicinals, Inc., Organigram Holding, Inc., Tikun Olam, The Cronos Group, ENDOCA, Isodiol International, Inc., MEDICAL MARIJUANA, INC., Cannoid, LLC, Elixinol, Folium Biosciences, NuLeaf Naturals, LLC, and Pharmahemp d.o.o. The companies are focusing on new product launches, mergers and acquisitions to strengthen their market presence.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
