Hemp derivatives derived from Hemp is a variety of the Cannabis sativa plant species which is basically grown for industrial use of its derived products. Hemp is one of the first plants that was spun to form a usable fiber. Hemp derivatives such as hemp-CBD oil, hemp fibers, and hemp seed oil finds its application in textiles, food and beverage applications, personal care, and others industrial bases.
INCREASING CULTIVATION OF HEMP IS GOING TO INFLUENCE HEMP DERIVATIVE MARKET GLOBALLY
There has been an increase in the cultivation of hemp, which has led to an increased supply of hemp fiber and seeds. Hemp cultivation in Europe has increased in recent years, owing to a rise in awareness about the various benefits provided by hemp. In Europe, there has been a development of a strong infrastructure, along with a finished-goods industry, based on using hemp fibers in industrial applications. Paper and pulp, as well as biocomposites, are Europe’s most established uses for hemp fibers. Hemp shivs, a byproduct of the fiber extraction process, are also used in Europe, primarily for animal bedding. It is also increasingly being used in the construction industry, especially for insulation. Along with an increase in the cultivation of hemp, there has been an increase in the use of flowers and seeds, owing to the associated applications of the hemp components. In Germany, the country used 4,508 hectares to produce hemp in 2019, which was a 45% increase over the 3,114 hectares the previous year. According to The Ministry of Agriculture of Italy, 2,000 hectares of hemp were grown in 2019. With an increase in the cultivation of hemp, there was an increase in the production of hemp seeds in Europe. According to European Industrial Hemp Association, from 2013 to 2018, there was a 70% increase in the number of hectares dedicated to industrial hemp cultivation in Europe. In the US, the passing of the farm bill in 2018 led to increased cultivation of hemp, which resulted in 511,442 hectares of land used across the US in 2019 for the cultivation of hemp which is an increase from the previous year. The farmers in the US can produce three varieties of hemp – hemp cultivated for hemp fiber, hemp cultivated for hemp seeds and oils, and hemp cultivated for CBD. Thus, an increase in the cultivation of hemp across various countries has led to an increased supply of hemp fiber, seeds, and oils, thereby driving the hemp derivatives market.
