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CBD Oil Market

ID: MRFR/HC/5886-CR
117 Pages
Rahul Gotadki
July 2025

CBD Oil (Cannabidiol Oil) Market Research Report By Application (Therapeutic, Cosmetics, Food and Beverages, Vaping, Nutraceuticals), By Source (Hemp-Derived, Marijuana-Derived), By Formulation (Oil, Tinctures, Capsules, Edibles, Topicals), By End Use (Pharmaceuticals, Personal Care Products, Food Industry, Wellness Centers) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Growth & Industry Forecast 2025 To 2035

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CBD Oil Market Summary

As per MRFR analysis, the CBD Oil Market Size was estimated at 8.0 USD Billion in 2024. The CBD Oil industry is projected to grow from 9.06 USD Billion in 2025 to 31.35 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 13.22 during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The CBD oil market is experiencing robust growth driven by evolving consumer preferences and regulatory advancements.

  • The demand for natural remedies continues to rise, particularly in North America, where consumers seek holistic health solutions.
  • Quality and transparency in product sourcing are becoming paramount, influencing purchasing decisions across various demographics.
  • The expansion of product applications, including beauty and food sectors, is notably accelerating market growth in the Asia-Pacific region.
  • Increasing consumer awareness and the integration of CBD in wellness trends are key drivers propelling the market forward.

Market Size & Forecast

2024 Market Size 8.0 (USD Billion)
2035 Market Size 31.35 (USD Billion)
CAGR (2025 - 2035) 13.22%

Major Players

Charlotte's Web (US), CV Sciences (US), Medterra (US), Green Roads (US), Elixinol (AU), HempFusion (US), Pure Spectrum (US), Joy Organics (US), NuLeaf Naturals (US)

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CBD Oil Market Trends

The CBD Oil Market is currently experiencing a dynamic evolution, characterized by a growing consumer interest in natural wellness products. This shift appears to be driven by an increasing awareness of the potential therapeutic benefits associated with cannabidiol. As more individuals seek alternatives to traditional pharmaceuticals, the demand for CBD oil continues to rise. Furthermore, regulatory frameworks are gradually becoming more favorable, which may facilitate market expansion. Companies are likely to invest in research and development to explore innovative applications of CBD oil, thereby enhancing product offerings and attracting a broader customer base. In addition, the CBD Oil Market seems to be influenced by changing consumer preferences towards organic and sustainably sourced products. This trend indicates a potential shift in purchasing behavior, as consumers become more discerning about the origins and quality of the products they choose. As a result, brands that prioritize transparency and ethical sourcing may gain a competitive edge. Overall, the CBD Oil Market is poised for continued growth, driven by evolving consumer attitudes and a supportive regulatory environment.

Rising Demand for Natural Remedies

There is an observable increase in consumer preference for natural health solutions, which appears to be propelling the CBD Oil Market forward. Individuals are increasingly seeking alternatives to synthetic medications, leading to a heightened interest in products derived from hemp.

Focus on Quality and Transparency

Consumers are becoming more discerning regarding product quality, prompting brands to emphasize transparency in sourcing and manufacturing processes. This trend suggests that companies prioritizing high-quality ingredients and clear labeling may attract a more loyal customer base.

Expansion of Product Applications

The potential for diverse applications of CBD oil is expanding, with companies exploring uses in various sectors such as beauty, food, and wellness. This diversification indicates a growing recognition of CBD oil's versatility, which may further stimulate market growth.

CBD Oil Market Drivers

E-commerce Growth

The rise of e-commerce is significantly influencing the CBD Oil Market, providing consumers with convenient access to a wide range of CBD products. Online shopping platforms are becoming increasingly popular for purchasing CBD oil, as they offer a level of discretion and variety that traditional retail may not provide. Data indicates that online sales of CBD products are expected to grow at a rate of 25% annually, reflecting a shift in consumer purchasing behavior. This trend is further supported by the proliferation of digital marketing strategies that effectively reach target audiences. As more consumers turn to online channels for their CBD oil needs, businesses are likely to adapt by enhancing their online presence and optimizing their e-commerce strategies. Consequently, the CBD Oil Market is poised to benefit from this digital transformation, potentially leading to increased sales and market penetration.

Regulatory Developments

The evolving regulatory landscape surrounding CBD products is a critical driver for the CBD Oil Market. Recent legislative changes in various regions have begun to clarify the legal status of CBD oil, which could potentially enhance market stability and consumer confidence. For instance, the removal of hemp-derived CBD from the controlled substances list in several jurisdictions has opened new avenues for market growth. This regulatory clarity is expected to encourage more businesses to enter the CBD oil market, thereby increasing competition and innovation. Additionally, as regulations become more standardized, consumers may feel more secure in their purchasing decisions, leading to a broader acceptance of CBD oil products. The ongoing dialogue among policymakers and industry stakeholders suggests that further regulatory advancements could significantly impact the CBD Oil Market in the coming years.

Diverse Product Offerings

The CBD Oil Market is characterized by an expanding array of product offerings, catering to a wide range of consumer preferences and needs. From tinctures and capsules to edibles and topicals, the variety of CBD-infused products is growing rapidly. This diversification is likely to attract a broader customer base, as different demographics seek tailored solutions for their health concerns. Market data indicates that the edibles segment is projected to grow at a compound annual growth rate of over 20% in the next five years, reflecting a shift in consumer preferences towards more palatable forms of CBD. Furthermore, the introduction of innovative formulations and flavors is enhancing the appeal of CBD products, thereby driving sales. As manufacturers continue to innovate, the CBD Oil Market is poised for sustained growth, with an emphasis on meeting diverse consumer demands.

Increasing Consumer Awareness

The CBD Oil Market is experiencing a notable surge in consumer awareness regarding the potential health benefits of CBD oil. As individuals become more informed about the therapeutic properties of CBD, there is a growing inclination towards natural alternatives for health and wellness. This heightened awareness is likely to drive demand, as consumers actively seek products that align with their health goals. Reports indicate that approximately 60% of consumers are now aware of CBD's potential benefits, which could lead to increased sales in the CBD oil sector. Furthermore, educational campaigns and social media influence are playing pivotal roles in shaping consumer perceptions, thereby fostering a more informed market. As awareness continues to expand, the CBD Oil Market may witness a significant uptick in both new and repeat customers.

Integration of CBD in Wellness Trends

The integration of CBD oil into broader wellness trends is emerging as a significant driver for the CBD Oil Market. As consumers increasingly prioritize holistic health approaches, CBD oil is being recognized for its potential to complement various wellness practices. This trend is particularly evident in the rise of CBD-infused wellness products, such as skincare and dietary supplements, which are gaining traction among health-conscious individuals. Market Research Future suggests that the wellness sector is expanding rapidly, with CBD products expected to capture a substantial share of this growth. Additionally, the alignment of CBD oil with lifestyle trends, such as mindfulness and self-care, is likely to enhance its market appeal. As the wellness movement continues to evolve, the CBD Oil Market may benefit from increased consumer interest and investment in CBD-related products.

Market Segment Insights

By Application: Pain Relief (Largest) vs. Anxiety Management (Fastest-Growing)

The CBD oil market is characterized by a diverse array of applications, with pain relief leading the segment in market share. This area benefits from the growing awareness of CBD's therapeutic properties, positioning it as the preferred choice for consumers seeking natural pain management alternatives. Following closely, anxiety management is gaining significant traction, attributed to the increasing prevalence of anxiety disorders and the shift towards holistic wellness approaches among consumers.

Pain Relief: Dominant vs. Anxiety Management: Emerging

The pain relief application is currently the dominant force in the CBD oil market, capturing the attention of healthcare professionals and consumers alike. Its efficacy in managing chronic pain conditions has led to widespread acceptance and frequent recommendations. On the other hand, anxiety management represents an emerging sector within this market. With the rising recognition of mental health issues, the demand for effective, natural solutions like CBD oil is skyrocketing. Both segments showcase the versatility of CBD, with pain relief leading in stability and established usage while anxiety management is rapidly expanding, driven by evolving consumer preferences towards mental health.

By Product Type: Full Spectrum Oil (Largest) vs. Isolate Oil (Fastest-Growing)

The CBD Oil Market exhibits a diversified landscape with several product types catering to various consumer preferences. Among these, Full Spectrum Oil holds the largest market share due to its holistic properties, appealing to users seeking the entourage effect from multiple cannabinoids and terpenes. Broad Spectrum Oil and Topical Oil follow, offering unique formulations for specific needs. Isolate Oil, despite being a smaller segment, is gaining traction among consumers who prefer a THC-free option, highlighting the diverse preferences within the market.

Full Spectrum Oil (Dominant) vs. Isolate Oil (Emerging)

Full Spectrum Oil remains a dominant player in the CBD Oil Market, characterized by its comprehensive cannabinoid profile that includes CBD, THC, and other beneficial compounds. This holistic formulation appeals to consumers looking for therapeutic effects enhanced by the entourage effect. In contrast, Isolate Oil is emerging as a popular choice for those who desire a pure form of cannabidiol, free from any THC, catering particularly to individuals concerned about drug testing or legal restrictions. Both segments showcase the market's adaptability to consumer demands and varied lifestyle choices.

By Distribution Channel: Online Retail (Largest) vs. Pharmacy (Fastest-Growing)

The CBD oil market is witnessing a significant shift towards online retail channels, which have become the dominant force in distribution. Online platforms represent the largest share of transactions in this market, allowing consumers to access a wide variety of products conveniently. In contrast, pharmacies are rapidly emerging as a vital distribution channel, capturing increasing consumer attention and engagement due to their association with healthcare and wellness, appealing to a broader audience.

Online Retail (Dominant) vs. Pharmacy (Emerging)

Online retail channels, characterized by their convenience and extensive product range, dominate the CBD oil distribution landscape. They cater to a tech-savvy consumer base, providing easy access to information and customer reviews that build trust. On the other hand, pharmacies represent an emerging channel in this market, leveraging their established reputation in health and wellness. They often offer specialized advice, contributing to the growing acceptance of CBD products. This shift toward pharmacies reflects changing consumer preferences, with patients seeking reputable and reliable sources for their CBD oil needs. Both channels are critical to the evolving dynamics of the CBD oil marketplace.

Get more detailed insights about CBD Oil Market

Regional Insights

North America : Market Leader in CBD Oil

North America continues to lead the CBD oil market, holding a significant share of 4.8 billion in 2024. The growth is driven by increasing consumer awareness, favorable regulations, and a robust retail landscape. The demand for CBD products is surging, fueled by health and wellness trends, as well as the legalization of hemp-derived products across various states. Regulatory support has further catalyzed market expansion, making it a vibrant hub for CBD innovation. The United States is the primary market player, with key companies like Charlotte's Web, CV Sciences, and Medterra dominating the landscape. The competitive environment is characterized by a mix of established brands and emerging startups, all vying for market share. The presence of these key players ensures a diverse range of products, catering to various consumer preferences. As the market matures, innovation and quality assurance will be critical for maintaining leadership in this dynamic sector.

Europe : Emerging Market for CBD

Europe is rapidly emerging as a significant player in the CBD oil market, with a market size of 2.4 billion in 2024. The growth is primarily driven by increasing consumer demand for natural health products and the gradual legalization of CBD across various countries. Regulatory frameworks are evolving, with countries like Germany and the UK leading the charge in establishing clear guidelines for CBD products, which is expected to further boost market growth. Germany stands out as a leading country in the European CBD market, supported by a strong regulatory framework and a growing consumer base. The competitive landscape features a mix of local and international players, including Elixinol and HempFusion. As the market continues to expand, companies are focusing on product innovation and quality to differentiate themselves. The increasing acceptance of CBD in mainstream retail channels is also contributing to the sector's growth.

Asia-Pacific : Developing CBD Landscape

The Asia-Pacific region is in the early stages of developing its CBD oil market, currently valued at 0.8 billion in 2024. The growth potential is substantial, driven by rising health consciousness and the increasing popularity of natural remedies. However, regulatory challenges remain a significant barrier, as many countries in the region are still formulating their policies regarding CBD. As regulations evolve, the market is expected to gain momentum, attracting both local and international investments. Countries like Australia and New Zealand are leading the way in CBD adoption, with a growing number of companies entering the market. The competitive landscape is still nascent, with key players like Elixinol beginning to establish a foothold. As consumer awareness increases and regulations become more favorable, the region is poised for significant growth in the coming years, making it an attractive market for investment and innovation.

Middle East and Africa : Nascent CBD Market

The Middle East and Africa region currently has a negligible CBD oil market, valued at 0.0 billion in 2024. The market is largely undeveloped due to stringent regulations and cultural attitudes towards cannabis products. However, there is a growing interest in the potential health benefits of CBD, which could pave the way for future market growth. As awareness increases and regulations begin to shift, the region may see gradual changes in its stance towards CBD products. Countries in the region are still in the early stages of exploring the potential of CBD, with limited local production and few international players. The competitive landscape is virtually non-existent, but there is potential for growth as global trends influence local markets. As the regulatory environment evolves, opportunities may arise for companies looking to enter this untapped market, making it a region to watch in the coming years.

CBD Oil Market Regional Image

Key Players and Competitive Insights

The CBD Oil Market is currently characterized by a dynamic competitive landscape, driven by increasing consumer awareness and demand for natural wellness products. Key players are actively engaging in various strategies to enhance their market positioning. For instance, Charlotte's Web (US) has focused on product innovation, launching new formulations that cater to specific health needs, thereby appealing to a broader consumer base. Similarly, CV Sciences (US) has emphasized partnerships with retailers to expand its distribution channels, enhancing accessibility for consumers. These strategies collectively contribute to a competitive environment that is increasingly focused on differentiation through product offerings and distribution capabilities.

In terms of business tactics, companies are localizing manufacturing to reduce costs and improve supply chain efficiency. This approach is particularly relevant in a moderately fragmented market where numerous players vie for consumer attention. The collective influence of these key players shapes a landscape where agility and responsiveness to market trends are paramount, allowing them to capitalize on emerging opportunities.

In January 2026, Medterra (US) announced a strategic partnership with a leading health and wellness retailer to enhance its market reach. This collaboration is expected to significantly increase Medterra's visibility and accessibility, aligning with the growing trend of consumers seeking trusted sources for CBD products. The strategic importance of this partnership lies in its potential to drive sales growth and strengthen brand loyalty among health-conscious consumers.

In December 2025, Green Roads (US) launched a new line of CBD-infused beverages, marking a significant expansion into the functional beverage sector. This move not only diversifies their product portfolio but also taps into the rising consumer trend towards convenient, on-the-go wellness solutions. The introduction of these beverages is likely to attract a younger demographic, thereby broadening their customer base and enhancing market competitiveness.

In November 2025, Elixinol (AU) unveiled a sustainability initiative aimed at reducing its carbon footprint through eco-friendly packaging and sourcing practices. This initiative reflects a growing consumer preference for environmentally responsible products and positions Elixinol as a leader in sustainability within the CBD sector. The strategic importance of this move is underscored by the increasing consumer demand for transparency and ethical practices in product sourcing.

As of February 2026, current trends in the CBD Oil Market indicate a strong emphasis on digitalization, sustainability, and the integration of AI technologies in product development and marketing strategies. Strategic alliances are increasingly shaping the competitive landscape, allowing companies to leverage shared resources and expertise. Looking ahead, competitive differentiation is likely to evolve from traditional price-based competition to a focus on innovation, technological advancements, and supply chain reliability, as companies strive to meet the sophisticated demands of a discerning consumer base.

Key Companies in the CBD Oil Market include

Industry Developments

  • Q2 2024: Charlotte’s Web Holdings Appoints New CEO to Drive Growth in CBD Oil Market Charlotte’s Web Holdings, a leading CBD oil producer, announced the appointment of Bill Morachnick as its new Chief Executive Officer, effective May 2024, to accelerate the company’s growth and innovation in the CBD sector.
  • Q1 2024: Canopy Growth Sells CBD Wellness Subsidiary to Focus on Core Cannabis Business Canopy Growth Corporation completed the sale of its U.S.-based CBD wellness subsidiary, Martha Stewart CBD, in March 2024, as part of a strategic shift to concentrate on its core cannabis operations.
  • Q2 2024: Elixinol Launches New Broad-Spectrum CBD Oil Market Line Targeting Sleep and Stress Relief Elixinol, a global CBD brand, launched a new line of broad-spectrum CBD oils in April 2024, formulated specifically for sleep and stress relief, expanding its product portfolio in the wellness market.
  • Q1 2024: Aurora Cannabis Announces Strategic Partnership with European Distributor for CBD Oils Aurora Cannabis entered into a distribution agreement with a major European pharmaceutical distributor in February 2024, aiming to expand the reach of its CBD oil products across key EU markets.
  • Q2 2024: Medterra CBD Opens New Manufacturing Facility in Kentucky Medterra CBD inaugurated a new state-of-the-art manufacturing facility in Kentucky in May 2024, increasing its production capacity to meet rising demand for CBD oil products in the U.S.
  • Q1 2024: CV Sciences Closes $10 Million Funding Round to Accelerate CBD Oil Market Product Development CV Sciences, a prominent CBD oil company, raised $10 million in a funding round completed in January 2024, with proceeds earmarked for research, product development, and market expansion.
  • Q2 2024: Green Roads Partners with Major U.S. Pharmacy Chain to Distribute CBD Oil Market Products Green Roads announced a partnership in June 2024 with a leading U.S. pharmacy chain, enabling nationwide distribution of its CBD oil products and expanding its retail footprint.
  • Q1 2024: Endoca Receives Regulatory Approval to Market CBD Oil Market in Japan Endoca, a European CBD oil producer, secured regulatory approval in March 2024 to sell its CBD oil products in Japan, marking a significant step in its international expansion strategy.
  • Q2 2024: HempFusion Acquires CBD Skincare Brand Sagely Naturals HempFusion Wellness Inc. acquired Sagely Naturals, a leading CBD skincare brand, in April 2024 to diversify its product offerings and strengthen its position in the CBD wellness market.
  • Q1 2024: Bluebird Botanicals Launches USDA Certified Organic CBD Oil Market Bluebird Botanicals introduced a new line of USDA certified organic CBD oil in February 2024, targeting health-conscious consumers seeking premium, organic wellness products.
  • Q2 2024: Neurogan Signs Exclusive Supply Contract with European Retailer for CBD Oil Market Neurogan, a U.S.-based CBD oil manufacturer, signed an exclusive supply agreement in May 2024 with a major European retailer, expanding its international distribution network.
  • Q1 2024: Hempstrol Secures $5 Million Investment to Expand CBD Oil Market Production in India Hempstrol, an India-based CBD oil company, closed a $5 million investment round in January 2024 to scale up its production facilities and accelerate market penetration in South Asia.

Future Outlook

CBD Oil Market Future Outlook

The CBD Oil Market is projected to grow at a 13.22% CAGR from 2024 to 2035, driven by increasing consumer awareness, regulatory changes, and expanding applications in wellness and beauty.

New opportunities lie in:

  • Development of premium CBD-infused beauty products targeting luxury markets.
  • Expansion into international markets with tailored regulatory compliance strategies.
  • Investment in research for innovative delivery methods, such as nanoemulsions.

By 2035, the CBD Oil Market is expected to achieve substantial growth, solidifying its position as a key player in the wellness industry.

Market Segmentation

CBD Oil Market Application Outlook

  • Pain Relief
  • Anxiety Management
  • Sleep Aid
  • Skin Care
  • Nutritional Supplement

CBD Oil Market Product Type Outlook

  • Full Spectrum Oil
  • Broad Spectrum Oil
  • Isolate Oil
  • Topical Oil
  • Capsules

CBD Oil Market Distribution Channel Outlook

  • Online Retail
  • Pharmacy
  • Health Stores
  • Supermarkets
  • Direct Sales

Report Scope

MARKET SIZE 20248.0(USD Billion)
MARKET SIZE 20259.06(USD Billion)
MARKET SIZE 203531.35(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)13.22% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Billion
Key Companies ProfiledCharlotte's Web (US), CV Sciences (US), Medterra (US), Green Roads (US), Elixinol (AU), HempFusion (US), Pure Spectrum (US), Joy Organics (US), NuLeaf Naturals (US)
Segments CoveredApplication, Product Type, Distribution Channel
Key Market OpportunitiesGrowing consumer interest in wellness products drives innovation in the CBD Oil Market.
Key Market DynamicsRising consumer demand for natural wellness products drives innovation and competition in the CBD oil market.
Countries CoveredNorth America, Europe, APAC, South America, MEA

Market Highlights

Author
Rahul Gotadki
Assistant Manager

He holds an experience of about 7+ years in Market Research and Business Consulting, working under the spectrum of Life Sciences and Healthcare domains. Rahul conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. His expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc. In addition to the above, his other responsibility includes strategic tracking of high growth markets & advising clients on the potential areas of focus they could direct their business initiatives

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FAQs

What is the projected market valuation of the CBD Oil market by 2035?

The CBD Oil market is projected to reach a valuation of 31.35 USD Billion by 2035.

What was the market valuation of CBD Oil in 2024?

The overall market valuation of CBD Oil was 8.0 USD Billion in 2024.

What is the expected CAGR for the CBD Oil market from 2025 to 2035?

The expected CAGR for the CBD Oil market during the forecast period 2025 - 2035 is 13.22%.

Which segment of the CBD Oil market is anticipated to grow the most by 2035?

The Therapeutic segment is anticipated to grow from 2.4 USD Billion in 2024 to 9.0 USD Billion by 2035.

What are the key players in the CBD Oil market?

Key players in the CBD Oil market include Charlotte's Web, CV Sciences, Green Roads, and Medterra, among others.

How much is the Food and Beverages segment expected to be worth by 2035?

The Food and Beverages segment is expected to grow from 1.6 USD Billion in 2024 to 6.0 USD Billion by 2035.

What is the projected value of the Hemp-Derived CBD Oil segment by 2035?

The Hemp-Derived CBD Oil segment is projected to reach 15.0 USD Billion by 2035.

What is the expected market size for CBD Oil Tinctures by 2035?

CBD Oil Tinctures are expected to grow from 1.5 USD Billion in 2024 to 6.0 USD Billion by 2035.

Which end-use segment is projected to see significant growth by 2035?

The Pharmaceuticals end-use segment is projected to grow from 2.4 USD Billion in 2024 to 10.5 USD Billion by 2035.

What is the anticipated market value for CBD Oil Topicals by 2035?

The market value for CBD Oil Topicals is anticipated to increase from 2.5 USD Billion in 2024 to 8.35 USD Billion by 2035.

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