The cannabidiol (CBD) industry is expected to be worth $2 billion by 2022 according to new data from New Frontier Data.
For the first time, CBD derived from hemp surged ahead of marijuana-derived CBD in 2017. New Frontier expects "to see continued changes as the pharmaceutical sector officially opens in 2018."
By 2022, the hemp-derived CBD market is expected to be worth $646 million, while the marijuana-derived market will grow to $647 million.
This year, CBD products reached $367 million in sales and New Frontier expects the market to be worth $1.2 billion by 2020.
According to the data, over 25,500 acres of land were devoted to growing hemp in 2017. The hemp was grown in 19 states and the majority, 70%, was devoted to CBD.
"The U.S. CBD market is primed for expansive growth across its three primary sectors, hemp-derived CBD, marijuana-derived CBD and pharmaceutical CBD...We project that by 2022, each of these three sectors will account for approximately one-third of the $1.9 billion total market," said Giadha Aguirre de Carcer, CEO of New Frontier Data.
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