"The global cannabis cultivation market has grown significantly during the COVID-19 pandemic. The demand for hemp is rapidly growing, as many developed countries have legalized the cultivation and processing of hemp after recognizing the levels of CBD present in it, which is leading to an increased demand for hemp extracts for various applications in several sectors, including pharmaceuticals, cosmetics, nutraceuticals, and food & beverage. Hemp is regarded as an agricultural commodity produced in over 40 countries."
A report from Grand View Research projected that the global cannabis cultivation market size, which was valued at USD 323.9 billion in 2021, is expected to expand at a compound annual growth rate (CAGR) of 21.4% from 2022 to 2030. The report said: "Growing legalization and the adoption of cannabis for the treatment of chronic diseases are the key factors driving the growth of the market. In addition, the liberalization of laws related to cannabis cultivation, especially for hemp cultivation by various countries due to low THC content, is further increasing its adoption. Furthermore, the legalization of cannabis in various geographies and its increasing adoption for medical purposes are factors driving the market for cannabis cultivation. And that figure is certain to climb as more individuals come around to the concept of legalizing cannabis across the U.S."
"Based on biomass, the hemp segment dominated the market for cannabis cultivation and accounted for a revenue share of around 80% in 2021. The high share is attributable to the increasing adoption of hemp and derived products and its growing acceptance among users due to its low THC content. Furthermore, cannabis is expected to be the fastest-growing segment, growing at a significant growth rate over the forecast period. This growth can be attributed to the growing legalization of cannabis in various countries for medical and adult use. In addition, promising government reforms regarding the utilization of hemp in many countries are increasing the adoption of hemp and hemp-derived products."
It added: "In 2021, based on application, industrial consumption accounted for the highest revenue share of 73.3% in the cannabis cultivation market. This is owing to the growing application of cannabis and hemp in various industries such as pharmaceuticals, personal care and cosmetics, nutraceuticals, and food and beverages. Furthermore, factors such as the growing usage of cannabis and its derivatives as raw material by companies to produce innovative cannabis-infused products are expected to propel the growth of the market for cannabis cultivation during the forecast period."
Source: www.financialnewsmedia.com