The global hemp fiber market is projected to grow from $20.96 billion in 2025 to $70.93 billion by 2029, expanding at a compound annual growth rate (CAGR) of 35.6 per cent. This rapid expansion is driven by a renewed focus on environmental sustainability, high demand from the textile and apparel industries, a surge in hemp cultivation, and broader awareness of sustainable fabric alternatives.
A core driver of this growth is the increasing legalization of industrial hemp worldwide. Derived from the Cannabis sativa plant, industrial hemp is valued globally for various products. Progressive legislation is directly fueling the use of its fibers and seeds. For instance, in Australia, support for legalization surpassed opposition for the first time in February 2024, signaling a global shift that will continue to bolster the market.
Hemp's natural, renewable, and biodegradable properties align perfectly with the global emphasis on a circular economy. This factor, combined with the wider adoption of hemp-derived textiles, makes it a superior choice for sustainable manufacturing.
Companies are innovating to secure their market presence by expanding hemp's use into new sectors like personal care and hygiene. For example, in April 2022, Regenerative International Female Inc. launched a hemp-based line of menstrual hygiene products. These eco-friendly pads combine hemp and organic cotton and feature a biodegradable backsheet, leveraging hemp’s natural antimicrobial nature to offer a comfortable, non-synthetic alternative.
Looking ahead, major trends include the use of hemp fiber in Sustainable Packaging, the Paper and Pulp sector, and the Automotive and Construction industries. This broad expansion is further supported by continuous progress and refinement in hemp processing methods.
