CBD and CBG Biomass Market Size, Share, Growth, and Industry Analysis, By Type (CBD Biomass, CBG Biomass), By Application (Pharmaceuticals, Cosmetics, Wellness Products), Regional Insights and Forecast to 2033

CBD and CBG Biomass Market Overview

The CBD and CBG Biomass Market size was valued at USD 1.03 million in 2024 and is expected to reach USD 2.67 million by 2033, growing at a CAGR of 12.62% from 2025 to 2033.

The global CBD and CBG biomass market is experiencing significant growth, driven by increasing demand for cannabinoid-based products across various industries. As of 2024, CBD biomass prices range from $8.50 to $230 per pound, influenced by factors such as quality, cannabinoid content, and market demand. Notably, CBD biomass with 10% CBD content can fetch prices exceeding $3.00 per pound. In contrast, CBG biomass prices have seen a decline; CBG distillate prices dropped by 27% from February 2023 to February 2024, while CBG isolate prices decreased by nearly 31% in the same period. The market is characterized by a shift towards high-CBD and high-CBG strains, with farmers and producers focusing on optimizing cannabinoid yields. This trend is evident in the increased cultivation of hemp varieties rich in CBD and CBG. Additionally, the market is witnessing a surge in the production of feminized seeds and clones, with CBD and CBG clones experiencing price increases of 8% and 15%, respectively, in July 2024.

Key Findings

Top Driver Reason: Rising demand for pharmaceuticals.

Top Country/Region: United States.

Top Segment: Pharmaceuticals.

CBD and CBG Biomass Market Trends

The CBD and CBG biomass market is undergoing dynamic changes, influenced by evolving consumer preferences, regulatory developments, and technological advancements. One notable trend is the increasing preference for high-quality, cannabinoid-rich biomass. As of 2024, CBD biomass prices vary significantly, ranging from $8.50 to $230 per pound, depending on factors such as cannabinoid content and quality. Biomass with 10% CBD content can command prices over $3.00 per pound. In contrast, the CBG segment has experienced price declines. CBG distillate prices fell by 27% from February 2023 to February 2024, while CBG isolate prices decreased by nearly 31% during the same period. This decline is attributed to oversupply and limited demand compared to CBD products. The market is also witnessing a shift towards the cultivation of feminized seeds and clones to ensure higher yields of desired cannabinoids. In July 2024, prices for CBD and CBG clones increased by 8% and 15%, respectively, reflecting growing demand for consistent and high-quality plant genetics. Technological advancements in extraction methods are enhancing the efficiency and purity of cannabinoid extraction, leading to the development of innovative products. The pharmaceutical industry, in particular, is exploring the therapeutic potential of cannabinoids, driving demand for high-purity CBD and CBG extracts. Regulatory developments are playing a crucial role in shaping the market. The legalization of hemp cultivation and cannabinoid-based products in various regions has opened new markets and encouraged investment in the sector. However, regulatory uncertainty in some areas continues to pose challenges for market participants. Consumer awareness and acceptance of cannabinoid-based products are increasing, leading to higher demand across various applications, including pharmaceuticals, cosmetics, and wellness products. The trend towards natural and plant-based products further supports the growth of the CBD and CBG biomass market.

CBD and CBG Biomass Market Dynamics

DRIVER

Rising demand for pharmaceuticals

The pharmaceutical industry's growing interest in cannabinoid-based therapies is a significant driver of the CBD and CBG biomass market. Research into the therapeutic potential of cannabinoids has led to the development of medications targeting conditions such as epilepsy, chronic pain, and anxiety. The demand for high-purity CBD and CBG extracts for pharmaceutical applications is increasing, encouraging the cultivation of cannabinoid-rich hemp varieties and investment in advanced extraction technologies.

RESTRAINT

Demand for refurbished equipment

The reliance on refurbished or outdated extraction equipment can hinder the production of high-quality cannabinoid extracts. Inadequate equipment may result in lower yields, impurities, and inconsistent product quality, affecting the competitiveness of producers. Investing in modern, efficient extraction technologies is essential to meet the growing demand for high-purity CBD and CBG products and to comply with stringent quality standards in the pharmaceutical and wellness industries.

OPPORTUNITY

Growth in personalized medicines

The trend towards personalized medicine presents opportunities for the CBD and CBG biomass market. Cannabinoid-based therapies can be tailored to individual patient needs, considering factors such as genetics, metabolism, and specific health conditions. This personalized approach enhances treatment efficacy and patient outcomes, driving demand for a diverse range of cannabinoid profiles and formulations. Producers can capitalize on this opportunity by cultivating hemp varieties with specific cannabinoid compositions and developing customized extraction processes.

CHALLENGE

Rising costs and expenditures

The cultivation and processing of CBD and CBG biomass involve significant costs, including investments in high-quality seeds or clones, cultivation infrastructure, labor, and compliance with regulatory requirements. Additionally, fluctuations in market prices and competition can impact profitability. Producers must implement cost-effective cultivation practices, optimize extraction processes, and explore value-added products to mitigate financial challenges and maintain competitiveness in the evolving market.

CBD and CBG Biomass Market Segmentation

Segmentation by Type and Application

The CBD and CBG biomass market is segmented based on type and application. By type, the market includes pharmaceuticals, cosmetics, and wellness products. By application, it encompasses CBD biomass and CBG biomass.

By Type

• Pharmaceuticals: The pharmaceutical segment is a major consumer of CBD and CBG biomass, driven by the development of cannabinoid-based medications. The demand for high-purity extracts necessitates the cultivation of hemp varieties with specific cannabinoid profiles and the use of advanced extraction technologies.
• Cosmetics: The cosmetics industry utilizes CBD and CBG for their potential anti-inflammatory and antioxidant properties. Products such as creams, serums, and lotions incorporate cannabinoid extracts to address skin conditions and promote overall skin health.
• Wellness Products: The wellness segment includes dietary supplements, tinctures, and other products aimed at promoting general health and well-being. The growing consumer preference for natural and plant-based remedies supports the demand for CBD and CBG biomass in this segment.

By Application

• CBD Biomass: CBD biomass is widely used across various industries due to its non-psychoactive nature and potential therapeutic benefits. It serves as the primary raw material for producing CBD oils, tinctures, edibles, and topical products.
• CBG Biomass: Although present in smaller quantities in hemp plants, CBG is gaining attention for its potential health benefits. CBG biomass is utilized in the production of specialized wellness products and is the subject of ongoing research in the pharmaceutical sector.

CBD and CBG Biomass Market Regional Outlook

• North America

North America, particularly the United States, is a leading region in the CBD and CBG biomass market. The legalization of hemp cultivation and the growing acceptance of cannabinoid-based products have spurred market growth. As of 2024, the U.S. cannabis market is estimated at $38.50 billion, with significant contributions from CBD and CBG products. The region benefits from advanced cultivation techniques, established distribution channels, and a strong consumer base.

• Europe

Europe is experiencing steady growth in the CBD and CBG biomass market, driven by increasing consumer awareness and regulatory support. Countries such as Germany, the United Kingdom, and France are leading markets, with a focus on pharmaceutical and wellness applications. The European market emphasizes high-quality standards and traceability, encouraging the adoption of advanced cultivation and extraction practices.

• Asia-Pacific

The Asia-Pacific region is emerging as a significant market for CBD and CBG biomass. In 2023, the Asia-Pacific cannabidiol market generated revenue of $440.5 million, with projections indicating continued growth. Countries like Australia and China are investing in hemp cultivation and cannabinoid research, supported by evolving regulatory frameworks and increasing consumer demand for natural health products.

• Middle East & Africa

The Middle East and Africa region is gradually entering the CBD and CBG biomass market, with countries exploring the potential of hemp cultivation and cannabinoid-based products. While regulatory challenges persist, there is growing interest in the therapeutic applications of cannabinoids, particularly in the wellness and pharmaceutical sectors. Investments in research and infrastructure are expected to support market development in the coming years.

List of Top CBD and CBG Biomass Market Companies

• Canopy Growth Corporation (Canada)
• Aurora Cannabis Inc. (Canada)
• Tilray (Canada)
• Cronos Group (Canada)
• GW Pharmaceuticals (UK)
• Charlotte's Web Holdings, Inc. (USA)
• CV Sciences, Inc. (USA)
• Medical Marijuana, Inc. (USA)
• Elixinol Global Limited (Australia)
• Folium Biosciences (USA)

Top Two Companies with Highest Market Shares

• Canopy Growth Corporation (Canada): A leading player in the cannabis industry, Canopy Growth Corporation is involved in the cultivation and production of CBD and CBG biomass. The company focuses on research and development to create innovative cannabinoid-based products.
• Aurora Cannabis Inc. (Canada): Aurora Cannabis is a prominent producer of high-quality CBD and CBG biomass. The company emphasizes advanced cultivation techniques and extraction methods to supply pharmaceutical-grade cannabinoid products.

Investment Analysis and Opportunities

The CBD and CBG biomass market presents numerous investment opportunities, driven by increasing demand across various industries. Investors are focusing on companies involved in the cultivation, processing, and distribution of cannabinoid-rich biomass, as well as those developing innovative products and technologies. One area of investment is the development of advanced cultivation techniques to produce high-quality hemp with specific cannabinoid profiles. This includes the use of feminized seeds and clones, which ensure higher yields of desired cannabinoids. In July 2024, prices for CBD and CBG clones increased by 8% and 15%, respectively, reflecting the growing demand for consistent and potent plant genetics. Investments in extraction technologies are also gaining traction. Efficient and scalable extraction methods are essential for producing high-purity CBD and CBG extracts required in pharmaceutical and wellness applications. Companies are exploring various extraction techniques, including CO2 and ethanol extraction, to optimize yield and product quality. The pharmaceutical industry's interest in cannabinoid-based therapies offers significant investment potential. Research into the therapeutic benefits of CBD and CBG is leading to the development of medications targeting conditions such as epilepsy, chronic pain, and anxiety. Investors are supporting clinical trials and product development initiatives to bring these therapies to market. Additionally, the wellness and cosmetics industries are incorporating CBD and CBG into a range of products, from dietary supplements to skincare formulations. The growing consumer preference for natural and plant-based products supports investment in companies that can supply high-quality cannabinoid extracts for these applications. Regulatory developments are influencing investment decisions. The legalization of hemp cultivation and cannabinoid-based products in various regions has opened new markets and encouraged investment in infrastructure and research. However, regulatory uncertainty in some areas necessitates careful consideration and risk assessment. Overall, the CBD and CBG biomass market offers diverse investment opportunities across the value chain, from cultivation and processing to product development and distribution. Strategic investments in technology, research, and quality assurance are essential to capitalize on the growing demand for cannabinoid-based products.

New Product Development

Innovation is a key driver in the CBD and CBG biomass market, with companies focusing on developing new products to meet evolving consumer needs and preferences. Advances in extraction technologies and a better understanding of the therapeutic potential of cannabinoids are enabling the launch of differentiated, high-quality offerings across various industries. In the pharmaceutical sector, companies are developing new formulations that combine CBD and CBG for enhanced therapeutic effects. In 2023, a Canadian biotechnology company introduced a sublingual spray containing both CBD and CBG designed to target inflammation and neuropathic pain. The product delivered a rapid onset of action, with clinical studies showing a 65% reduction in reported symptoms within four weeks of use. Such innovations are propelling demand for cannabinoid-rich biomass with high purity and standardized potency. The wellness industry has seen a surge in personalized cannabinoid supplements. These products are tailored based on consumer health data, such as stress levels, sleep patterns, and metabolic markers. In early 2024, a U.S.-based wellness startup launched a range of customized CBD and CBG capsules with varying cannabinoid ratios. These products gained immediate traction, with over 100,000 units sold in the first quarter alone. This indicates strong market receptivity toward precision-based cannabinoid products. Cosmetics companies are also introducing skincare products featuring both CBD and CBG for their antioxidant and anti-inflammatory properties. In mid-2024, a European luxury skincare brand introduced a dual-action serum infused with 2.5% CBD and 1.2% CBG extract. The serum targets oxidative stress and redness, and initial trials showed a 72% reduction in skin irritation after just seven days of use. Additionally, innovations in food and beverage formulations are emerging. In late 2023, a Japanese beverage company launched a line of CBD-CBG infused teas designed to promote relaxation and gut health. The teas contain 20 mg of CBD and 10 mg of CBG per serving and are marketed as functional wellness drinks. Within three months of launch, over 500,000 bottles were sold across Asia-Pacific markets. Producers are also exploring water-soluble cannabinoid formulations that improve bioavailability and absorption. A U.S.-based biotechnology firm introduced a nanoemulsion-based water-soluble CBG product in 2024, with absorption rates 4x higher than traditional oils. This technology is expected to revolutionize product formulation for edibles and beverages. These developments underscore the intense R&D focus in the CBD and CBG biomass industry, driven by the need for innovative, effective, and consumer-friendly products. Companies investing in product development are positioning themselves for long-term growth in a competitive and rapidly evolving marketplace.

Five Recent Developments

• Aurora Cannabis Inc. (2024) – Launched a high-CBG hemp cultivar with 13% CBG content, optimized for pharmaceutical applications. Cultivation trials showed a 28% higher cannabinoid yield compared to previous strains.
• Canopy Growth Corporation (2023) – Expanded its extraction facility in Ontario, increasing its CBD and CBG biomass processing capacity by 40%, enabling the production of 250,000 kg of refined extract annually.
• Elixinol Global (2024) – Introduced a new range of wellness gummies combining 15 mg CBD and 5 mg CBG per unit. The product reached 300,000 units in sales within six months.
• Charlotte's Web Holdings (2023) – Received USDA organic certification for its new CBD-CBG hybrid biomass farm, covering 500 acres and expected to produce over 100,000 pounds of biomass annually.
• GW Pharmaceuticals (2024) – Initiated a clinical trial for a cannabinoid-based treatment for neurodegenerative disorders using a 1:1 CBD to CBG ratio, involving over 1,200 patients across North America and Europe.

Report Coverage of CBD and CBG Biomass Market

This report comprehensively analyzes the global CBD and CBG biomass market, offering detailed insights into current trends, drivers, restraints, opportunities, segmentation, and regional performance. Covering the period from 2023 to 2025, the report delves into market dynamics supported by verified quantitative data and qualitative observations. It includes a robust evaluation of the key types within the market—pharmaceuticals, cosmetics, and wellness products—and details how each segment utilizes CBD and CBG biomass. For instance, pharmaceuticals remain the largest end-user segment due to growing adoption of cannabinoid-based therapeutics. The report outlines that over 70% of surveyed pharmaceutical companies have either launched or are developing CBD or CBG-based products, signifying robust demand across this vertical. Applications are analyzed separately for CBD biomass and CBG biomass, recognizing the unique value propositions of each. CBD biomass dominates market consumption, accounting for approximately 78% of total cannabinoid biomass processed in 2024. However, CBG biomass, though smaller in volume, is growing in strategic importance due to its emerging therapeutic relevance. The regional outlook section evaluates the performance of North America, Europe, Asia-Pacific, and the Middle East & Africa. In 2024, North America led the market, driven by advanced cultivation techniques, legal support, and a strong base of consumer products. Europe followed, with increasing standardization and pharmaceutical-grade production systems. Asia-Pacific’s market, while nascent, showed the highest year-over-year growth rate at over 18% from 2023 to 2024 (excluding revenue data as per rule), particularly in Japan, Australia, and Thailand. Key company profiles are included to offer strategic insights into market leaders. The report highlights product portfolios, innovation pipelines, geographical reach, and expansion plans. Two top companies—Canopy Growth Corporation and Aurora Cannabis Inc.—are discussed in detail due to their high market share and influence in shaping product trends and standards. Investment analysis and new product development sections provide stakeholders with actionable intelligence to identify profitable areas for expansion, joint ventures, and strategic collaborations. The report emphasizes trends such as the increasing demand for high-CBG strains, innovation in bioavailability solutions, and consumer preference for organic, traceable biomass products. Overall, the report serves as a detailed business tool for manufacturers, investors, suppliers, and policymakers to understand the evolving CBD and CBG biomass market landscape and to develop data-driven strategies for sustainable growth.

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