Global CBD Oil Market size- Industry Trends & Outlook Report
The Global CBD Oil Market size is expected to reach USD 28.67
billion by 2026 from USD 3.87 billion in 2019, at a CAGR of 33.12% during the
projection period 2020-26. The increasing recognition of healing properties and
health benefits of CBD oil drives the CBD oil market. Besides, growing
acceptance and approvals from the states offer promising market prospects for
CBD oil-infused medicines or food items or cosmetic products. Marketing
initiatives by industry players and social media influencers have turned the
wave in favor of CBD oil consumption. Subsequently, product range containing
CBD oil is expanding to include skincare, intimate lubricants, hair-care,
gummies, pills and infused beverages besides pharmaceuticals and cosmetics. However,
the complexity of regulations by major countries across the globe and high
costs associated with its manufacture and trade retards market growth.
Global CBD Oil Market Overview
CBD Oil is extracted from hemp or marijuana found in the
Cannabis Sativa plant. The moderate CBD oil consumption does not cause
psychoactive effects but helps mitigate anxiety & depression, cancer
symptoms, diabetic conditions and reduce acne. CBD oil was a controlled
substance earlier, and its trade, exchange or manufacture was subject to many
regulations in the US and other countries. However, over the last few years,
CBD oil has received acceptance due to its safe consumption and several health
benefits. It finds traction in various industrial applications such as food &
beverages, personal care & cosmetics and pharmaceuticals. The health and
wellness retailers are increasingly allotting shelf space for CBD oil products
due to its recognized health benefits and higher profit margins.
Global CBD Oil Market Outlook and Trends
Increasing State Approvals
for Legitimate Use
As many as 33 states of the US have legalized the use of CBD oil
for medical usage, and ten states have allowed its recreational use. Other
countries such as Uruguay, Canada and some others have legalized the use of
marijuana. CBD oil is increasingly available and is consumed in the form of
tinctures, infused edibles, topical and more by the consumers for treatment and
recreational purposes. More and more government approved pharmacies, dispensaries
and stores are stocking CBD oil-based products, including concentrates,
lotions, oils, capsules and edibles such as baked goods, gums, candies, coffee,
chocolates, etc., driving the growth of the market.
Rising Awareness about Its
Multiple medical studies have shown that high efficacy of
medicinal CBD oil derived from marijuana in various conditions of cancer,
diabetes, acne, depression and anxiety. CBD oil is beneficial for skin also
because of its anti-inflammatory, anti-ageing and antioxidant properties. Due
to increasing awareness about medicinal benefits and its properties, people are
adopting CBD oil in various applications over the world, triggering its more
Complexity of Guidelines & Regulations
Though CBD oil has been recognized for its various benefits, its
consumption is still regulated and suspected, which impacts the market growth.
Companies engaged in production or trade of CBD oil need to comply with
multiple tedious regulatory guidelines, discouraging market players. Medical
practitioners also need to follow ambiguous guidelines in prescribing CBD
oil-based medications. However, research and innovative product delivery
solutions with quality cannabis plant harvests may help overcome this challenge.
Impact of COVID-19 in industry
The economies over the world have reported shrinkage in
production, trade and distribution activities due to restrictions on transport
and production. CBD oil operations have also been affected due to supply chain
and distribution constraints besides disruptions in production. However, as CBD
oil offers healthcare benefits in various conditions and the variations offered
by market players are likely to propel the market growth.
CBD Oil market is segmented on Source Type, Distribution Channel
and By End-user. Based on Source Type, the market is divided into Hemp and
Marijuana segments. Marijuana segment fetched largest revenue share in 2019 and,
is expected to register the highest growth during projection period due to its
high adoption combined with its growing legalization. Marijuana-derived
products include oils, tinctures, concentrates and other topical solutions,
which are increasingly recommended for wellness and medical purposes. In contrast,
Hemp-derived marijuana finds its traction in nutraceuticals, pharmaceuticals,
personal care & cosmetics, and food & beverages. Hemp segment is also
anticipated to receive a boost due to its increasing demand from numerous
skincare and cosmetic brands.
CBD Oil Market distribution network consists of B2C and B2B
segments wherein the B2C segment includes online pharmacies, retail and
hospital pharmacies while B2B includes wholesalers and distributors. In this
market, B2C segment dominates with its most immense contribution in revenues
and, is expected to retain the same due to the higher adoption of CBD
oil-infused medicines in hospital pharmacies.
Based on End-use, the market is divided into Medical Treatment
and Pharmaceutical segments. The medical segment dominates the market with
significant share and, is anticipated to maintain the same share due to its
rising use in epilepsy, sleep disorders, chronic pain, anxiety and symptoms of
multiple sclerosis. The pharmaceutical segment is expected to witness the
highest growth during the projection period because of its use in manufacturing
CBD infused drugs or products for treating various conditions. For instance, GW
Pharmaceuticals, Isodiol International Inc. and CannaHealth manufacture
soft-gel capsules and tinctures using CBD oil for treating epilepsy and
multiple sclerosis symptoms.
North America retained the significant market share in the year
2019 and, will continue the same in the forthcoming period because of
increasing approvals for its use in Canada and US as well as its wide
acceptance in healthcare. Besides, the Farm bill in the US also supports the
production of hemp-derived CBD oil. The Asia-Pacific market is also expected to
notice substantial growth due to establishments of a hemp manufacturing plant
in China. China accounts for the significant production and exports of
hemp-based CBD in the region, and growing legalization and usage of CBD oil is
expected to fuel the demand further in these countries.
The major players in the market are Isodiol International Inc.,
ENDOCA, Medical Marijuana Inc., Cannoid LLC, NuLeaf Naturals LLC, Pharmahemp
d.o.o. , Canopy Growth Corporation, Elixinol, Folium Biosciences, Aurora
Cannabis and others.
May 21, 2020: New report of
Medical Marijuana shows that CBD usage rates are on the rise in the US. 86% of
US citizens know about CBD, and 20% of them have used it at least once. It also
reveals that CBD oil consumption supports balance and optimizes the functioning
of the human body.
October 9, 2019: Isodiol
International Inc announces its strategic relationship with Vitamin Shoppe,
Inc. for the launch of the company’s Iso-Sport hemp extracted Products.
Scope of the Report
data – 2016-2018
Base Year –
2020 – 2026
Revenue in USD Billion
U.S, Canada, Germany, UK,
France, Italy, Spain, Brazil, Mexico, Japan, South Korea, China, India, South
Korea UAE, South Africa, Saudi Arabia.
By Source Type, By Distribution Channel, By End-use and By
Isodiol International Inc., ENDOCA, Medical
Marijuana Inc., Cannoid LLC, NuLeaf Naturals LLC, Pharmahemp d.o.o., Canopy
Growth Corporation, Elixinol, Folium Biosciences, Aurora Cannabis and
By Source Type
By Distribution Channel
Ø North America
Ø Asia Pacific
Ø Latin America
Ø Middle East & Africa
The objective of the Study:
Ø To analyze and estimate the Global CBD Oil Market size, in terms
Ø To examine the market segmentation carefully and estimate the
market size, in terms of value, based on the region by segmenting the Global
CBD Oil Market into five regions, namely, North America, Europe, Asia Pacific,
Rest of the World and their leading countries.
Ø To outline, categorize and project the Global CBD Oil Market
based on the
on the Source, End-user, Distribution Channel and Region.
Ø To examine competitive developments in product form, source and
industry end-users within the Global CBD Oil Market.
Ø To highlight market dynamics such as drivers, restraints,
opportunities, and challenges and their impact.
Ø To provide a detailed competitive landscape, including major
players, their strategic profiles, and market shares.
Business Questions Answered by the Report
Ø How will the market drivers, restraints, and opportunities
affect the market dynamics?
Ø What will be the market size in terms of value and volume and
market statistics with a detailed classification?
Ø Which segment dominates the market or region, and which one will
be the fastest-growing, and why?
Ø Who are the key players in the market, and what is their share?
Ø What is the strategy adopted by key players, and how does it
affect the existing and new players?
Customization Scope for the Client
Client satisfaction is our first and last priority, and that is
why BlueWeave Consulting offers customization as per client’s specific needs.
The following customization options are available for the report:
Ø Additional Company Information
Ø Detail Analysis of five additional companies
Ø Additional country analysis
Ø Detailed segment analysis