The Global CBD Oil Market is expected to grow at a high CAGR of 20.6% during the forecasting period (2022-2029). CBD Oil is the oil extracted from the flower, bud, stems and leaves of the cannabis plants hemp and marijuana. CBD oil is intended to use for maintaining body weight, and metabolism, treating skin disease, helping to reduce blood pressure, as well as reducing inflammation & pain. CBD Oil has over 80 chemicals, in the cannabis Sativa plant while delta-9-tetrahydrocannabinol (THC) is the major active ingredient. CBD Oil can only be included in "cosmetics and personal care" products and only if it contains less than 0.3% THC.
The global CBD Oil market is driven by rising demand for several medical applications such as stress relief and used in the manufacturing of cosmetics and personal care products in the pharmaceutical industry as well as for reducing body pain.
Rising prevalence of anxiety and depression disorder with the surge in the global geriatric population
The market is driven by the rising demand prevalence of anxiety and depression disorder with the surge in the global geriatric population. According to the OurWorldinData Organization report in 2017, around 792 million people suffer from mental health disorders such as anxiety, stress and depression is more than one in ten people (10.7%) globally. It created a massive demand for CBD oil to alleviate the symptoms of stress and to provide relief to the patients.
Rising demand in the manufacturing of cosmetics and personal care products in the pharmaceutical industry
Increase in the adoption of CBD Oil for manufacturing of cosmetics and personal care products and several leading players are launching CBD oil for relieving muscle and joint pain. For instance, in October 2020, Synerva CBD Oils launched New CBD Joint and Muscle Cream for relieving the pain. It created a massive demand for medicines made from CBD oil to provide relief from muscle pain for the geriatric population.
Rising FDA approval for the medicines based on CBD oil for providing treatment for various diseases
Rising FDA approvals with growing permission for the cultivation of CBD for medicinal use by several governments may create a huge opportunity for the CBD market. For. Instance on 25th June 2018, FDA approved the First Drug which consists of Marijuana as the active ingredient to treat rare, severe forms of epilepsy.
Strict rules and regulations with several FDA and government approvals regarding the sale of the CBD oil-based products
The global CBD oil market is hampered by the strict rules and regulations with FDA authority for the sale of CBD based products. Several leading companies have received a warning letter for CBD oil-based products. For instance, on 20th April 2020, the United States FDA has warned Homero Corp DBA Natures for the distribution of CBD Oil due to violations including unapproved new drugs sold in violation of sections 505(a) and 301(d) of the Federal Food, Drug, and Cosmetic Act (the FD&C Act), 21 U.S.C. 355(a) and 331(d). Furthermore, CBD-containing products for humans are misbranded drugs under section 502(f)(1) of the FD&C Act, 21 U.S.C. 352(f)(1) by Homero Corp DBA Natures company.
COVID-19 Impact Analysis
The global CBD Oil market has shown significant growth due to the COVID-19 pandemic, as several leading manufacturers were focusing on developing an alternative treatment for the Covid-19 patients. were closed due to lockdown in many countries. Further pharmaciaeticla and biotechnology companies were focusing on research and development of CBD oil-based products for effective treatment of the most common anxiety and depression disorder.
For instance, on 21st Feb 2020, Clever Leaves launched its direct-to-business sales platform for pharmaceutical-grade cannabis extract products such as CBD isolate oil, THC-free full-spectrum CBD oil and full-spectrum extracts oils for customers throughout Europe, Australia, and South America. Thus, rising demand for clinical research and the launching of CBD Oil based products is expected to generate huge opportunities for the manufacturer over the forecast period.
The global CBD Oil market is segmented based on product, product category, types, category, application, distribution channel and region.
Rising demand for cosmetics and personal care products boost the flavoured segment for the global CBD oils market in 2019
In terms of product, the global CBD Oil market is bifurcated into original and blended. This blended segment has the highest market share in 2019, this is primarily due to its demand for terpenes, flavonoids, naturally-occurring phytocannabinoids for making flavoured cosmetics and personal care products.
Several leading players are launching CBD oil-based products to provide high-quality flavoured skincare, cosmetics and personal care products. For instance on 10th Jan 2020, In February, Avon launched its first CBD-infused facial oil named green goddess facial oil. It is flavoured oil that contains vitamins A, D, E and essential fatty acids intended to help relieve irritation and reduce the appearance of redness and skin discomfort. This oil is made by blending the green leaves of the cannabis plants.
Rising demand for personal care, anti-ageing and beauty products have propelled the flavoured CBD oil market
Similarly, original segments are also growing at a faster pace owing to the rising demand for CBD oil due to a surge in awareness among people about the health benefits of the oil.
Based on the product category, the global CBD oil is bifurcated into unflavored and flavoured. This flavoured segment has the highest market share owing to increasing demand by the cosmetics, wellness and personal care manufacturers around the globe. As per the Global Wellness Institute Organization, the personal care, beauty and anti-ageing products market was valued at around US$ 1,083 billion. It created a massive demand for flavoured CBD oil for the manufacturing of these products all over the world.
Rising insomnia cases due to the rising geriatric population and rising mental illness cases have propelled the demand for THC dominant segmental growth for necessary treatment
By type, the global CBD oil market is segmented into THC dominant, marijuana-based, CBD dominant and hemp-based. Among these THC dominant segment has the highest market share owing to its use for the treatment of glaucoma, insomnia, muscle spasticity and low appetite. As these diseases are the most common among the geriatric population demand is increasing at a rapid pace. For instance the prevalence of insomnia is between 10% to 30% among the global population with the highest between 50%–60% in older adults, females, and people due to mental ill-health. It created a massive demand for CBD oil for insomnia patients around the globe.
Rising launching of cosmetics and personal care which contain isolates CBD oil may boost the demand for this market
Based on the category, the global CBD oil market is bifurcated into Isolate CBD Oil, Full Spectrum CBD Oil and Broad Spectrum CBD Oil. Among these, the isolated segment has the highest share in 2019, this is primarily due to isolated CBD oil being generally cheaper than other types of CBD oils and is being prefered for vaping. Several manufacturers of CBD oil are launching the isolated THC free CBD oil which created a massive demand for this segmental growth.
For instance on 24th Sept 2018, CBDistillery one of the leading Cannabidiol (CBD) products manufacturers launched isolated THC-Free Pure CBD Oil formulated with 99% pure CBD isolate. It can be added to food and beverage as well as personal care products to deliver quick relief from the pain similarly, the full-spectrum and the broad-spectrum segment has the highest market share in 2019, this is due to rising the adoption and launching of CBD oil-based product for the manufacturing of the cosmetics and personal care products.
Increasing research and development for the development of the pharmaceutical products for the personal care and cosmetic industry
Depending on the application, the global CBD Oil market is divided into pharmaceutical, food & beverages, personal care & cosmetics and others. Among these, the personal care and cosmetics segment has the highest market share in 2019, due to rising R&D spending for the development and launching of CBD oil-based drugs and medicines. For instance, on 6th July 2020, United States consumers spent around US$ 3 billion on CBD Products 2020.
Retail pharmacies are expected to dominate the global CBD Oil market during the forecast period.
Based on distribution channels, the global CBD Oil is divided into retail pharmacies, hospital pharmacies, online stores and others. Among these, retail pharmacies have the highest market share in 2019, this is due to the increasing opening of retail outlets in several countries, For instance in India on 14th June 2019, Medlife has planned to open 750 retail pharmacies stores by the 2020 end.
Similarly, hospital pharmacies, and online stores segments are also growing at a faster pace owing to the rising demand for the trend of online pharmaceutical drug delivery platforms due to the Covid-19 pandemic all over the world. For instance, on 20th August 2020, Reliance launched e-pharmacy by completing the acquisition of Netmeds Pharma Distribution Company for around US$ 84 million.
North America region holds the largest market share global CBD Oil market
North America region is dominating the global CBD Oil market accounted for the largest market share in 2019, due to the presence of the leading pharmaceutical companies and rising approval for the CBD based products with high demand for stress and anxiety relief using CBD oil in this region followed by Europe.
For instance, as per the National Institute of Mental Health in 2017, an estimated around 47 million North America has a mental illness of among which 11 million were living with a serious mental illnesses such as anxiety and depression disorder. As per the Hemp Industries Association (HIA) report in 2016, retail sales of CBD based products in the United States registered to approximately US $700 million. Similarly, the Asia-Pacific region is the fastest-growing region for the growth of CBD based products owing to the presence of a huge population and growing demand for CBD oil as a medicine.
The CBD Oil market is moderately competitive with the presence of local as well as global companies. Some of the key players which are contributing to the growth of the market include ConnOils LLC, IrieCBD, PureKana, FOLIUM BIOSCIENCES, CBD American Shaman, Canopy Growth, Elixinol Global Limited, Kazmira, Medical Marijuana, NuLeaf Natural, Aurora Cannabis, Gaia Herbs, ENDOCA, Diamond CBD, CV Sciences, Inc and among others.
The major players are adopting several growth strategies such as product launches, acquisitions, and collaborations, which are contributing to the growth of the CBD Oil market globally. For instance, on 6th June 2019, PureCBDFactory launched a new full spectrum 1500mg CBD Oil. This oil is extracted from hemp which contains terpenes, flavonoids, cannabinoids, and several other beneficial phytochemicals which support overall health and well-being.
Rising demand for FDA approvals with the surge in several government approvals for CBD based products. For instance, in October 2019, the Health Ministry of Canada introduced new regulations to legalize the sale of cannabis-based edibles, beverages, topicals and extracts products. It created a massive demand for the CBD Oil market in this region.
Overview: IrieHemp, founded in 2015, office based in San Diego, California, United States. IrieHemp is the global leading manufacturer of CBD based products with the manufacturing of CBD Tinctures, CBD Topicals and Other CBD products.
Product Portfolio: The company has a diverse product portfolio of CBD Oil including:
Key Development: In July 2017, IrieCBD Hemp Company expanded its product line by introducing CBD Concentrates CBD dab wax and crumble.
The global CBD Oil market report would provide access to an approx. 78 market data tables, 79 figures and 180 pages.
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