The global cannabidiol market is expected to grow from $5.03B in 2021 to $6.77B in 2022 at a compound annual growth rate (CAGR) of 34.4%, according to a report by Research & Markets. The cannabidiol market is expected to grow to $23.24 billion in 2026 at a CAGR of 36.1%.
The rising acceptance and use of CBD products due to government approvals are expected to propel the growth of the cannabidiol market. CBD products are derived from the Cannabis Sativa and are used in developing various consumer products and therapies. The governments of various countries understood the potential utility of cannabidiol for various medical conditions.
Hence, with a focus on protecting public health, the governments are also taking certain steps for improving the efficiency of regulatory pathways for the lawful marketing of the products made using cannabidiol, thereby promoting the growth of the cannabidiol market.
For instance, in January 2022, the Therapeutic Goods Administration, an Australia-based medicine and therapeutic regulatory agency approved around 210,000 SAS Category B applications for unapproved medicinal cannabis products. Therefore, the rising acceptance and use of CBD products due to government approvals are driving the growth of the cannabidiol market.
The cannabidiol market consists of sales of cannabidiol products by entities (organizations, sole traders, and partnerships) is defined as a chemical compound found in hemp or marijuana. Cannabidiol or CBD is derived from the Cannabis Sativa plant that is also known as hemp or cannabis. Cannabidiol is used to treat epilepsy, anxiety, dystonia, pain, Parkinson's disease, Crohn's disease, and various other health problems. Its other applications include coffee products, skincare products, and pet treats.