Hemp-based foods: Key market research findings
- Increasing popularity of hemp as a superfood propels market growth
- Hemp seeds account for a majority of the market’s revenue
- Key vendors – Hempco, Manitoba Harvest, Mettrum Originals, and Naturally Splendid
The market research analysts predict the global hemp-based foods market to grow at a CAGR of over 20% between 2016 and 2020. The growth of this market is fueled by the emergence of hemp as a superfood. Hemp is free from allergens, gluten, genetically modified organism (GMO), lactose, soy, phytoestrogen, and pesticides. Hemp, as an ingredient, is now being used in nutrition bars, tortilla chips, pretzels, beer, salad dressings, cheese, and ice cream. The market potential for hemp-based foods emerging as superfoods is based on its blending capacity in terms of taste and functionality with other common food ingredients. During 2015, the global hemp-based foods market was dominated by North America with a market share of more than 60%. Growing consumer preference for better-for-you food products due to the rise in the number of people suffering from food allergies, including gluten and lactose intolerances in the region, will fuel further growth of the hemp-based foods market in North America during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the hemp-based food segments based on the ingredient.
“The health benefits associated with hemp-based foods make them an excellent choice for the growing health-conscious consumers in APAC. The rising incomes have also made healthy foods and beverages more affordable in this region. Many hemp-based food manufacturers are focusing on using this opportunity to penetrate their products in these regions by getting into distribution right agreements with local distributors in this region,” says Manjunath J, Lead Analyst, Food & Beverages, Technavio Research.
By 2020, the hemp seed segment will account for almost 67% of the overall market share to become the dominant shareholder in the global market for hemp-based foods. Hulled hemp seeds resemble sesame seeds in terms of appearance and are also comparable to sunflower seeds in terms of taste. Hemp seeds can be incorporated easily in baking and can also be added to soups or salads. To meet the daily protein and EFA intake requirements, hulled hemp seeds can be easily blended into drink mixes. The nutrients present in hemp seeds make them an ideal ingredient to be used in a variety of food and beverages. The demand for hemp seeds is rising owing to their use in various foods ranging from snack bars to corn chips, nut butters, and granolas.
The key vendors in the global hemp-based foods market include Hempco, Manitoba Harvest, Mettrum Originals, and Naturally Splendid. The global market is highly competitive. Hemp-based food manufacturers compete on the basis of price, quality, product differentiation, innovation, distribution, and promotion. Innovation is imperative for the market growth. Research and development involve long-drawn processes. A substantial amount of capital is expected to test new formulations and product ideas. Therefore, investment in R&D activities is a must for hemp-based food manufacturers to sustain and increase their market presence.
A more detailed analysis is available in the Technavio report, Global Hemp-based Foods Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
