April 20, 2024
Hemp Fiber Market

Hemp Fiber Market is driven by increasing use in textiles

Hemp fiber, also known as cannabis fiber, is a durable natural fiber that is obtained as a by-product of harvesting the hemp plant for its seeds or other purposes. Hemp fibers are bast fibers, located in the inner bark of the hemp plant’s stalk that are growing between nodes. The hemp fibers are used to make a variety of products, including paper, textiles, clothing, biodegradable plastics, insulation and construction materials. The textiles segment dominates the hemp fiber market due to hemp’s ability to offer a sustainable, eco-friendly alternative to cotton. Hemp fiber is breathable, moisture wicking and has temperature regulating properties which make it ideal for clothing and other textiles.

The global Hemp Fiber Market is estimated to be valued at US$ 5.76 Bn in 2024 and is expected to exhibit a CAGR of 9.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends in the hemp fiber market is the increasing adoption of natural and eco-friendly materials. Consumers are more aware about sustainability and prefer clothing, textiles and other products made from natural fibers that have lower environmental impact as compared to synthetic fibers. Hemp fiber production requires less water, no pesticides and the plant sequesters carbon from the atmosphere making it one of the most eco-friendly material options. The growing demand for greener alternatives is expected to drive the demand for hemp fiber over the forecast period. Another important trend is the legalization of industrial hemp cultivation and production in various countries. With relaxation in regulations, more farmers are growing hemp which is increasing the availability of high quality hemp fibers for various industrial applications.

Porter’s Analysis

Threat of new entrants: The threat of new entrants in the hemp fiber market is low as it requires high initial investment to set up manufacturing facilities and acquire licenses.

Bargaining power of buyers: The bargaining power of buyers is moderate due to the presence of numerous buyers in the market and availability of substitutes products.

Bargaining power of suppliers: The bargaining power of suppliers is high as suppliers control the raw material supply and there are limited suppliers operating in the market.

Threat of new substitutes: The threat of substitutes is moderate as there are substitutes available like cotton, jute, silk etc. for manufacturing textiles and animal bedding.

Competitive rivalry: The rivalry among existing competitors is high due to their large number of market players.

Key Takeaways

The Global Hemp Fiber Market Size is expected to witness high growth.

Regional analysis: The North American region dominates the global hemp fiber market and is expected to grow at a high CAGR during the forecast period. Factors such as increasing legalization of cannabis cultivation and growing demand for sustainable textiles are fueling market growth in this region.

Key players operating in the hemp fiber market are Agrovet, Indian Immunologicals Ltd., MSD Animal Health, Vallee SA, Bayer HealthCare, Brilliant Bio Pharma Ltd., Intervet, Biovet, Merial, China Animal Husbandry Co., Ltd., Vetal Animal Health Products S.A.VETAL Animal Health Products, and Vecol S.A. These players are focusing on organic and inorganic growth strategies such as mergers & acquisitions, joint ventures, partnerships, expansions, and new product launches to gain a competitive advantage in the market.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it