Cannabidiol (CBD) Market Size (2024 - 2029)

Cannabidiol Market Analysis

The Cannabidiol Market size is estimated at USD 9.14 billion in 2024, and is expected to reach USD 18.91 billion by 2029, growing at a CAGR of 15.65% during the forecast period (2024-2029).

Nearly every industry, including the market for cannabidiol, has experienced unprecedented lockdowns as a result of the COVID-19 epidemic, which has also changed customer behavior. According to the study published in the International Journal of Drug Policy in December 2021, during the epidemic in 2020 compared to the same period before the pandemic, mean monthly cannabis sales in all four states increased. Sales reached a three-year peak in Washington, Alaska, Colorado, and Oregon in 2020. The study found that cannabidiol sales increased during the pandemic, which had a positive impact on the market under investigation. This trend is anticipated to continue throughout the projected period as the incidence of neurological diseases is anticipated to rise.

The increasing incidence of chronic disorders such as neurodegenerative disorders, diabetes, etc., and the effectiveness of CBD products in treating the same is the major driving factor for the growth of the market. For instance, in the Journal of Clinical Neurology in August 2021, epilepsy is the third most common neurological disorder after stroke and dementia, affecting approximately 70 million patients worldwide. Additionally, the WHO, in 2021, more than 55 million people live with dementia worldwide, and nearly 10 million new cases every year. Alzheimer's disease is the most common form of dementia and may contribute to 60-70% of the cases. In the article published in the Journal of Alzheimer's Association in December 2021, it is estimated that the number of people with dementia will increase from 57.4 million cases globally in 2020 to 152.8 million cases by 2050. Thus, the increasing cases of chronic disorders and the effectiveness of CBD products in the treatment of such chronic disorders boost the growth of the market in the forecast period.

Additionally, to increase the awareness of the individual various organization is conducting various programs and activities that are expected to propel the growth of the market. For instance, in May 2022, National Health Observances (NHOs) brought attention to crucial health issues affecting Americans as a whole. It promotes awareness of issues such as HIV testing, safety, sickle cell disease, and Alzheimer's disease. Similarly, the very year in June the Alzheimer's Association recognizes Alzheimer's and Brain Awareness Month. Such initiatives increase the awareness of various health issues including neurological diseases which is expected to propel the growth of the market.

However, strict regulation on cannabidiol products may restrain the market growth over the forecast period.

Cannabidiol Industry Segmentation

As per the scope of this report, Cannabidiol (CBD) is a chemical compound obtained from marijuana and hemp plants and is commonly used for medical purposes. The Cannabidiol (CBD) Market is segmented by Source (Hemp and Marijuana), Application (Anxiety/ Stress, Neurological Conditions, Skin Care, and Others), and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The Market report also covers the estimated market sizes and trends of 17 countries across major regions globally. The report offers values (in USD million) for the above segments.