|Study Period:||2018 - 2026|
|Fastest Growing Market:||Asia-Pacific|
|Largest Market:||North America|
Need a report that reflects how COVID-19 has impacted this market and its growth?
The CBD Oil Market is expected to register a CAGR of 16.5% over the forecast period (2021-2026).
Globally, the COVID-19 pandemic 2020, has caused unprecedented lockdowns, collapsing daily operations and changing consumer behaviors in nearly every industry. As the response to COVID-19 ramps up, retail stores have shut down. The market started experiencing a shortage in supply due to the nationwide shutdown of transportation and manufacturing in major raw material manufacturing countries such as India. In addition, due to supply chain disruptions in the United States, the supply of other raw materials has been limited, which is disrupting the manufacturing, and in turn, the supply chain of CBD consumer health products.
Furthermore, research and development in plant-based medications for COVID-19 induced stress, anxiety and depression also boosting the market growth. For instance, in December 2020, the University of Texas at Austin in collaboration with Way West Hemp Inc. and SunFlora.Inc is conducting a phase II/III clinical trial to assess the efficacy of CBD isolate and full-spectrum CBD oil in reducing COVID-19 induced stress, anxiety, depression, anger and sleep disturbance. The trial expected to complete in December 2021.
Some of the factors which are driving the market growth include increase in need of plant-based pain relief medication and prevalence of mood-related neurological disorders in the future. In addition, the high prevalence of chronic diseases such as diabetes and cancer are fuelling the market growth. For instance, according to the World Health Organization (WHO) 2019 Facts, depression is a common mental disorder and one of the main causes of disability worldwide. Globally, an estimated 264 million people are affected by depression. Moreover, research and development in plant-based medications have been leading to the substantial impetus to the growth of CBD oil market.
The market players are adopting various strategies such as collaborations, acquisitions, partnerships and expansions to increase market share. For instance, in November 2019, Canopy Growth Corporation announced that they have received its operating and secure storage license from Health Canada in Smiths Falls, Ontario. Through this, the company aimed to fulfil the growing demand of its customers.
Furthermore, the rise in penetration of hemp oil in e-commerce websites and advancements in technologies expected to bolster the market growth in the near future. However, restriction in the use of CBD in few countries and stringent regulatory infrastructure expected to hamper the market growth over the forecast period.
Scope of the Report
As per scope of the report, CBD is one of the many cannabinoids found in the cannabis plants. This has been a traditional remedy for many years. CBD oil is obtained from the plants by crushing the seeds or plants. The cbd oil market is segmented by product (Marijuana-Based, Hemp Based), Application (Multiple Sclerosis, Depression and Sleep Disorders, Neurological Pain, Other Applications) and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The report offers the value (in USD million) for the above segments.
|Depression and Sleep Disorders|
Key Market Trends
Hemp Based Segment is Expected to Hold Significant Market Share Over the Forecast Period
Hemp based medicine has witnessed significant growth over the past years. The increasing acceptance of refined CBD products and various medical applications is driving the growth of the segment.
COVID-19 is an incomparable global public health emergency that has affected almost every industry including healthcare industry, the long-term effects projected to impact the industry growth during the forecast period. the ongoing research amplifies the research framework to ensure the inclusion of underlaying COVID-19 issues and potential paths forward.
CBD hemp oil, unlike other psychological drugs, does not affect the state of mind of a person, in addition, provides the therapeutic benefits like stress relief. Increasing incidence of depression among the population is projected to positively impact the market growth. Sleep problems are considered a core symptom of depression. According to a research study by Andrew Stickley et al., published in Scientific Reports Journal August 2019, sleep problems with depression conferred additional risk for anxiety, perceived stress and decrements in health in the domains of mobility, self-care, pain, cognition, and interpersonal activities.
The rise in acceptance of CBD hemp oil in treating diseases and legalization of cannabinoid plant related products in many countries is expected to boost the hemp based CBD oil segment growth. Furthermore, preference towards the preventive healthcare and wide range of applications of CBD hemp oil are strengthening the segment for CBD hemp oil.
Furthermore, the use of hemp-derived CBD is increasing rapidly owing to its anti-inflammatory and antioxidant properties. Moreover, pharmaceuticals companies are developing CBD-derived products for treatment purposes. Therefore, the above-mentioned factors would be responsible for this segment's fastest growth rate over the forecast period.
The market players are adopting various strategies such as collaborations, acquisitions, partnerships and expansions to increase market share. For instance, in In January 2019, Hemp Inc. entered into a joint venture with Hemp Healthcare (US) to sell high-end CBD and hemp-based products, which would increase the company’s presence in Arizona, United States. Hence, owing to above mentioned factors it is expected to drive the segment growth over the forecast period.
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North America Dominates the Market and Expected to do Same in the Forecast Period
Some of the factors which are driving the market growth in North America region include increasing expenditure on health care, high incidences of psychological disorders and rising awareness about treating sleep disorder and depression among patients and presence of key market players in these region. Also, factors such as legalization of marijuana in many countries of the United States and rising awareness of the benefits of CBD oil, the North America region is expected to witness the largest share.
The COVID-19 pandemic has been plaguing the world for months now. Researchers from all over the world are looking for effective treatments against the novel coronavirus. A team of researchers from Canada has found that extracts from cannabis may help fight the coronavirus. For instance, researchers at the University of Lethbridge are advancing to clinical trials after study results revealed that certain cannabis strains might help prevent COVID-19 patients from experiencing acute respiratory distress (ARDS).
In Canada, Pure Extracts Technologies is targeting the recreational adult-use cannabis market with its 34 proprietary formulations of 'Pure Pulls' full spectrum oil vapes and its new line of 'Pure Chews' edible gummies, the high-purity oil could be a good candidate for medical cannabis developments, including cannabis mouthwash that could potentially help in the fight against COVID-19.
The market players are adopting various strategies such as collaborations, acquisitions, partnerships and expansions to increase market share. For instance, in October, 2019, GenCanna Global Inc. and Specialty Oil Extractors, LLC entered into a partnership. The first-of-its-kind partnership act as a processing solution that fulfils the needs of GenCanna’s Accredited Farming Network expanding the size of GenCanna's and provides much-needed optionality for farmers across the state of Kentucky.
In addition, in April 2018, Elixinol Global announced an agricultural operations extension in the state of Colorado, U.S. with Kersey Agricultural Company. This is expected to increase the company's hemp and CBD supply chain in the near future.
Furthermore, strong presence of companies in the United States along with increasing research and development activities and its applications across various indications such as stress, anxiety and depression also boosting the market growth. For instance, in March 2021, Advanced Pain and Rehab Specialists in collaboration with Hemp synergistics is conducting phase I clinical trial to assess the efficacy of Hemp Oil (CBD) for the treatment of pain, anxiety, insomnia and reduction of opioid use. The trial expected to complete in September 2021. Hence, owing to above mentioned factors it is expected to drive the market growth over the forecast period.
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The CBD Oil Market is fragmented with the presence of local and international players operating in the market. Some of the segments are dominated by a few major players, while the other segments are distributed among multiple players. The market players are moreover, focusing on collaboration and partnership activities. The key market players include Aurora Cannabis, CV Science Inc., ENDOCA, Gaia Herbs, ISODL., among others.
In January 2021, Nano Hydrate, has unveiled product marketing services leveraging advanced technologies to provide natural healing through branding services of pharmaceutical-grade cannabidiol (CBD). Moreover, Nano Hydrate aimed to create a collaborative program that would allow them to introduce existing brands to the market for niche CBD products while expanding options for cannabis-infused beverages to the cannabis industry.
In January 2021, Next leaf, has been granted a patent by the United States Patent and Trademark Office for a process that adds to the Company's dynamic and growing U.S. patent portfolio resulting in a solventless cannabis concentrate.
Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Growing Incidence of Psychological Disorders
4.2.2 Rise in Acceptance of Hemp Oil Based Products
4.3 Market Restraints
4.3.1 Stringent Regulatory Policies
4.3.2 Side Effects and Perception of People on Use of CBD Oil
4.4 Porter's Five Force Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Product
5.1.1 Marijuana Based
5.1.2 Hemp Based
5.2 By Application
5.2.1 Multiple Sclerosis
5.2.2 Depression and Sleep Disorders
5.2.3 Neurological Pain
5.2.4 Other Applications
5.3.1 North America
220.127.116.11 United States
18.104.22.168 United Kingdom
22.214.171.124 Rest of Europe
126.96.36.199 South Korea
188.8.131.52 Rest of Asia-Pacific
5.3.4 Middle East and Africa
184.108.40.206 South Africa
220.127.116.11 Rest of Middle East and Africa
5.3.5 South America
18.104.22.168 Rest of South America
6. COMPETITIVE LANDSCAPE
*List Not Exhaustive
6.1 Company Profiles
6.1.1 Aurora Cannabis
6.1.2 CV Sciences Inc.
6.1.4 Gaia Herbs
6.1.6 IRIE CBD
6.1.8 CBD American Shaman
6.1.9 Canopy Growth Corporation
6.1.10 NuLeaf Naturals, LLC
6.1.11 ConnOils LLC
6.1.12 Medical Marijuana, Inc.
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
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Frequently Asked Questions
What is the study period of this market?
The Global CBD Oil Market market is studied from 2018 - 2026.
What is the growth rate of Global CBD Oil Market?
The Global CBD Oil Market is growing at a CAGR of 16.5% over the next 5 years.
Which region has highest growth rate in Global CBD Oil Market?
Asia-Pacific is growing at the highest CAGR over 2021- 2026.
Which region has largest share in Global CBD Oil Market?
North America holds highest share in 2020.
Who are the key players in Global CBD Oil Market?
Aurora Cannabis, CV Sciences Inc., ENDOCA, Gaia Herbs, ISODIOL are the major companies operating in Global CBD Oil Market.