Annual U.S. Hemp-derived CBD Spending to Reach $6.26 Billion by 2025
New Frontier Data report projects consumer demand to almost double U.S. CBD market while new applications drive opportunity for grain and fiber markets
Washington, March 24, 2021 (GLOBE NEWSWIRE) — New Frontier Data (https://newfrontierdata.com), the premier data, analytics and technology firm specializing in the global cannabis industry, in partnership with Hemp Benchmarks and Blue Sky Hemp Ventures, releases The U.S. Hemp Market Landscape: Cannabinoids, Grain & Fiber, providing the latest perspectives on the growth and transformation of the U.S. hemp industry. Featuring an analysis of factors impacting the three components of the hemp industry—cannabinoids, grain and fiber—the report identifies the challenges, trends and growth opportunities unique to each sub-sector.
“Despite regulatory ambiguity and supply chain obstacles, the number of CBD brands in the U.S. has surged amidst strong and growing consumer demand,” said New Frontier Data Founder & CEO Giadha A. DeCarcer. “The 90% decrease of biomass prices from 2016 to 2020, while bad for farmers and extractors, has led to cheaper and more widely available CBD products, attracting more consumers into the market.”
Key Findings:
- Cannabinoids: Total U.S. consumer spending on CBD was estimated to have reached $3.83 billion in 2020, and is projected to reach $6.26 billion by 2025, a 5-year compound annual growth rate (CAGR) of 12.16%.
- Grain: The U.S. is the largest consumer of hempseed used primarily for human consumption; retail sales for hemp food products are estimated to have reached $67.1 million in 2020, and is projected to reach $144.1 million by 2025, at a CAGR of 16.5%.
- Fiber: With more than 25,000 potential uses, hemp fiber is considered one of the world’s most versatile crops; the wholesale market for processed hemp fiber reached $47.1 million dollars in 2020 and is estimated to reach $82.2 million by 2025, a CAGR of 10.53%.
- Despite the small current markets for hemp fiber and grain-based products, the growing urgency to develop sustainable solutions to mitigate climate change strongly positions hemp as a potential alternative to existing carbon-intensive products in a wide range of sectors.
A Complimentary Copy of The U.S. Hemp Market Landscape: Cannabinoids, Grain & Fiber can be downloaded here (https://info.newfrontierdata.com/u.s.-hemp-market-landscape).
About New Frontier Data:
New Frontier Data is the premier data, analytics and technology firm specializing in the global cannabis industry, delivering solutions that enable investors, operators, advertisers, brands, researchers and policymakers to assess, understand, engage and transact with the cannabis industry and its consumers.
Our mission is to inform policy and commercial activity for the global legal cannabis industry. We maintain a neutral position on the merits of cannabis legalization through comprehensive and transparent data analysis and projections that shape industry trends, dynamics, demand and opportunity drivers. Founded in 2014, New Frontier Data is headquartered in Washington, D.C. with a presence in Europe, Latin America and Africa. For more information about New Frontier Data, please visit us at https://newfrontierdata.com.
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