Middle East and Africa Industrial Hemp Market

Middle East & Africa Industrial Hemp Market Size (2024-2032):

The size of the Middle East and Africa industrial hemp market was worth USD 189 million in 2023. The market is anticipated to grow at a CAGR of 9.3% from 2024 to 2032 and be worth USD 421 million by 2032 from USD 207 million in 2024.

MARKET SCENARIO

Increasing incidences of chronic diseases like cancer and others is certainly a major factor for growing tremendously. The utilization of industrial hemp in various fields such as personal care, food, beverage, and biofuel is greatly influencing the demand of the market. Hemp oil consists of high essential fatty acids content, which is very important in preventing alleviate ailments. The attribute mentioned above is to leverage the industrial hemp market's growth rate in the Middle East and Africa solely. Focus on eating healthy foods where hemp seeds add value to the vegan diet is also one factor propelling the market's growth rate. Creating awareness among people over the benefits of hemp-based products is leveling up the market demand. The trend towards lightweight automotive materials is substantially boosting up the growth rate of the market. Increasing knowledge over the hemp crop cultivation with the highest production in the Middle East and Africa is also anticipated to fuel the industrial hemp market's demand. Besides, there is an increase in the sales of cannabis, and the growing consumption rate is to bolster the market's growth rate.

However, difficulties in getting approvals from the government for the new product launches for market players are key factors restraining the growth rate of the industrial hemp market in the Middle East and Africa. The complex regulatory structure imposed on the cultivation of hemp in few countries slightly hinders the market demand. The increasing cost of the raw materials used for manufacturing different products due to less production rate is slowly impacting the market's growth negatively. The dearth of skilled labor to utilize the hemp crop in different ways is also hampering the growth rate of the market.

SEGMENTAL ANALYSIS

Middle East & Africa Industrial Hemp Market Analysis By Type

• Hemp seed
• Hemp seed oil
• CBD hemp oil
• Hemp fiber

Middle East & Africa Industrial Hemp Market By Application

• Food
  • Snacks & cereals
  • Soup, sauces, and seasonings
  • Bakery
  • Dairy & frozen desserts
  • Others (cold cereals, pasta, chocolate spreads, and pet food)
• Beverages
  • Hot beverages
  • Sports & energy drinks
  • Ready to drink
  • Others (meal replacement drinks, beverage mixes, beverage concentrates, and juice drinks)
• Personal care products
• Textiles
• Pharmaceuticals
• Others (paper, automobiles, construction & materials, furniture, and pet food)

GEOGRAPHICAL ANALYSIS

• KSA
• UAE
• Israel
• rest of GCC countries
• South Africa
• Ethiopia
• Kenya
• Egypt
• Sudan
• rest of MEA

Geographically, in the Middle East and Africa, the market shares are projected to grow at a higher rate in the coming years. The increasing cultivation of cannabis for medical purposes and the rising number of people with cancer patients enhance the market's growth rate. Growing awareness of the health benefits of hemp seed oil, where it plays a crucial role in healing immune deficiency diseases, is likely to accelerate the growth rate of the market.

South Africa is in a top position in ruling the largest shares of the market. Acceptance for the cultivation of the hemp crop for medical use is elevating the growth rate of the market. Also, the use of hemp-based products in the paper and pulp industries is positively impacting the growth rate of the market.

COVID-19 Impact on the Middle East & Africa Industrial Hemp Market

The coronavirus disease has spread to almost every country very quickly and disrupted the economy unprecedentedly. Despite COVID-19, the Middle East and Africa market is going high with the increasing legalization of cultivating cannabis for medical purposes. Meanwhile, the government has imposed a lockdown and ban on international flights to control the disease's transmission. Due to this, the imports and exports of the products have decreased in many countries. However, with the unlock guidelines in the last months of 2020, the market shares have become normal and are expected to grow significantly during the forecast period.

MARKET KEY PLAYERS

Companies playing a significant role in the MEA Industrial Hemp market are Hempco, Ecofibre, Hemp Inc., Gencanna, Hempflax BV, Konoplex Group, Hemp Oil Canada, BAFA, Hemp Poland, Dun Agro, Colorado Hemp Works, and Canah International.