Global hemp yarn market to reach $38.9 billion by 2032

The global hemp yarn market is seeing rapid growth, driven by a rising demand for sustainable and eco-friendly textiles. Valued at $14.36 billion in 2023, the market is projected to grow at 11.71 per cent CAGR from 2025-32, reaching a value of $38.9 billion by 2032.

Hemp's unique properties, including biodegradability, low water and pesticide requirements, mold and UV resistance, and hypoallergenic qualities, make it a compelling alternative to traditional materials like cotton. These attributes have positioned hemp as a popular choice for apparel, home textiles, and accessories, driving its adoption among designers and consumers seeking sustainable options.

However, the market faces several challenges. The stigma associated with hemp's cannabis origins can hinder growth, particularly in regions with strict regulations. Additionally, a limited and fragmented supply chain often leads to price volatility and difficulties in meeting rising demand. Regulatory barriers in some countries, such as hemp cultivation and processing laws, further impede market expansion.

Despite these challenges, advancements in cultivation techniques, fiber extraction, and spinning technologies are helping to improve hemp's quality and consistency, making it more competitive. The blending of hemp with other fibers like cotton, wool, or polyester is also gaining popularity, offering enhanced properties like softness and strength.

E-commerce platforms are playing a crucial role in expanding the market by providing consumers worldwide with easy access to hemp-based products. North America, particularly the US, leads the market, with the 2018 Farm Bill legalizing hemp cultivation. Europe, with its strong sustainability initiatives, is another key region. Meanwhile, Asia-Pacific, with its traditional textile industries, is emerging as a promising growth market.