Overview:

The projected value of the global hempseed milk market is set to reach USD 140.9 million in 2025. Anticipated to grow at a compound annual growth rate (CAGR) of 7.7%, the market is estimated to reach USD 295.9 million by 2035. Over the preceding period from 2020 to 2025, the market demonstrated a growth rate of 7.1% CAGR.

Hempseed milk is a plant-based, dairy-free beverage derived from hemp seeds. It offers a naturally nutty flavor and serves as a valuable source of essential fatty acids, protein, vitamins, and minerals. It provides a suitable alternative to traditional cow’s milk, particularly for individuals managing lactose intolerance or dairy allergies. Consumer preference is shifting towards plant-based options as awareness grows regarding the potential health and environmental impacts linked to dairy consumption.

Many individuals globally experience significant digestive discomfort or are unable to process lactose when consuming milk protein. Hemp milk presents a viable and beneficial option for those with lactase deficiency or intolerance. Compared to dairy products, hemp seed milk variants are considered highly nutritious, typically containing fewer calories, less protein, and lower carbohydrate levels.

The milk extracted from hemp seeds contains all the necessary amino acids crucial for promoting health and vitality. Plant-based options are increasingly favored by consumers seeking healthy choices, including those with conditions such as lactose intolerance or cardiovascular concerns. Hemp seed, a plant-derived source, contains nitric oxide, recognized for its ability to reduce blood pressure and improve blood flow. The fatty acids found in hemp seeds are also known to support a healthy immune system.

A significant trend, particularly among younger consumers, is the interest in functional foods that offer high nutritional value, influenced by rising disposable incomes and fast-paced lifestyles. Latte coffee prepared with hemp milk has become a popular beverage choice among this demographic.

Key Industry Highlights

A primary driving force behind the hemp seed milk market’s expansion is the growing consumer shift towards plant-based diets. This trend is leading to increased customer adoption of dairy-free alternatives like hemp seed milk, partly due to heightened awareness of the environmental footprint associated with dairy production and the perceived health benefits of plant-based eating. This convergence of factors is boosting the size of the market.

Hemp seed milk provides numerous health advantages, including being a source of protein, omega-3, and omega-6 fatty acids, among other vital nutrients. These nutritional benefits make it highly attractive to health-focused consumers, thereby supporting and contributing to the growth of the market.

However, market growth potential may be limited by factors like relatively high production costs and limited consumer awareness regarding the benefits of hemp seed milk. The cost of hemp seed milk often exceeds that of other plant-based milk alternatives, which could hinder its wider adoption, especially among cost-sensitive buyers.

2020 to 2024 Hempseed Milk Sales Analysis Compared to Demand Forecasts for 2025 to 2035

Between 2020 and 2024, sales in the sector grew at a CAGR of 7.1%. This growth trajectory is anticipated to continue during the projected timeframe from 2025 to 2035, with a forecasted CAGR of 7.7%. Over the past few years, the popularity of hemp milk has risen considerably.

Consumer preference for hemp milk is increasing due to its numerous perceived health benefits. As greater awareness of these advantages spreads, the future prospects for the hempseed milk market appear promising.

Hemp milk offers a low-calorie, high-protein alternative to traditional cow’s milk. Additionally, it contains abundant omega-3 fatty acids, recognized as essential for maintaining overall health. Hempseed milk is also a good source of essential minerals such as iron, calcium, and magnesium.

With increasing recognition of the diverse health benefits linked to consuming hemp milk, the market’s future looks bright. Hempseed milk is expected to gain significant market traction as a healthy substitute for dairy milk over the next decade.

Market Concentration

Tier 1 businesses, comprising industry leaders, hold approximately 50% of the global business market share. These leading entities are notable for their comprehensive product portfolios and substantial production capabilities. Key characteristics differentiating these market leaders include extensive geographical reach, deep proficiency in manufacturing and processing across various product formats, and a robust customer base. They offer diverse services and manufacturing capabilities utilizing advanced technology, while strictly adhering to regulatory standards for optimal quality.

Tier 2 businesses consist of mid-sized participants with operations spanning certain regions and considerable influence within local markets, accounting for about a 30% market share. They are distinguished by their significant global footprint and strong business acumen. While these market participants may not possess the most advanced technology or broad global coverage, they maintain effective technology and ensure compliance with regulatory requirements.

Tier 3 businesses are primarily small-scale enterprises serving niche markets and operating predominantly within local areas, collectively holding approximately 20% of the market share. Their notable focus on fulfilling local consumer needs categorizes these businesses within the Tier 3 segment. They are smaller entities with a restricted geographical operational scope. In this context, Tier 3 represents an unorganized segment lacking the extensive structure and formalization characteristic of its more organized counterparts.

Country wise Insights

The table below presents the projected revenue growth rates for three prominent geographical regions. The USA, China, and India are identified as areas with high consumption rates, forecasting compound annual growth rates (AAGRs) of 5.4%, 9.2%, and 8.9%, respectively, through the year 2035.

USA Dominates the North America Hempseed Milk Market

According to recent analysis, the hempseed milk sector in the United States is projected to expand at a compound annual growth rate of approximately 5.4% through 2025. Hempseed milk is recognized as a non-dairy milk alternative derived from hempseeds. Rich in omega-3 fatty acids, hemp milk is widely known for its potential to support heart health.

One of the primary forces driving the hempseed milk market in the United States is the increasing consumer demand for plant-based milk substitutes. Beyond heart health, it also provides a good source of calcium and vitamin D. Growing consumer knowledge of the health-promoting properties of hemp milk is also a key factor boosting the U.S. market.

India Contributes to the Hempseed Milk Market Growth

The market for hempseed milk in India has seen notable expansion over the past few years. The number of participants has grown rapidly, with new entities entering the market landscape. The introduction of unique flavors and packaging formats, coupled with a rising number of new product launches by significant corporations, is anticipated to drive the Indian market forward. Despite this strong performance, several challenges remain to be addressed.

A major challenge is the limited consumer awareness regarding hempseed milk, particularly prevalent in rural areas. Additionally, the relatively high price of hempseed milk poses a significant barrier, limiting its affordability for a large portion of the population. Despite these hurdles, the Indian market for hempseed milk holds considerable potential for further growth.

China Emerges in Hempseed Milk Market

Enterprises aiming to expand their presence in the hempseed milk sector are increasingly focusing on China, one of the world’s most populous nations. However, this product is still gaining traction as Chinese consumers are not widely familiar with it yet.

In addition to low consumer awareness, this milk faces competition from soy milk. A key strategy for success would involve forming partnerships with established local Chinese dairy companies that already possess strong consumer trust.

Category-wise Insights

Flavored Hemp Seed Milk Leads Hempseed Milk Market

Based on flavor, the flavored hemp seed milk segment holds the largest share of the market, accounting for 65%. This segment is expected to demonstrate continued expansion during the forecast period.

B2B Channels Dominate Hempseed Milk Sales

The business-to-business segment is experiencing a significant increase in sales for hemp seed milk. While the business-to-consumer channels, including convenience stores, specialty shops, and large retailers, are also growing, the B2B segment is seeing rapid expansion.

Competition Outlook

The global marketplace for hempseed milk is characterized by intense competition and fragmentation, driven by the presence of numerous local and regional companies. Key players are utilizing various strategic approaches, including collaborations, expansions, mergers and acquisitions, and partnerships, to compete effectively within the market.

Notable companies operating within the hempseed milk sector include Pacific Foods of Oregon Inc., Hudson River Foods, and The Good Mylk Company. Other significant participants are Braham & Murray, Good Hemp, Golden Hemp Company, Manitoba Harvest Hemp Foods, Elmhurst 1925, California Natural Products, SunOpta, Living Harvest Foods Inc., Z-company, and Ecomil.

Leading Manufacturers

• Hemp Inc
• Hudson River Foods
• Elmhurst 1925
• Nhempco
• GenCanna
• Pacific Foods of Oregon, Inc.
• HempFlax Group B.V.
• Good Hemp
• Ecofibre
• Ecoideas