Global Hempcrete Market Insights Forecasts to 2033

• The Global Hempcrete Market Size was estimated at USD 22.74 Billion in 2023
• The Market Size is Expected to Grow at a CAGR of around 4.47% from 2023 to 2033
• The Worldwide Hempcrete Market Size is Expected to Reach USD 35.23 Billion by 2033
• North America is expected to grow the fastest during the forecast period.

The Global Hempcrete Market Size is expected to cross USD 35.23 Billion by 2033, growing at a CAGR of 4.47% from 2023 to 2033. Advancements in hemp cultivation and processing further support the growth of the hempcrete market industry. Various research and development initiatives have yielded high-yielding hemp varieties which are particularly produced for hempcrete applications. Processing techniques have improved hemp fibers to produce better-quality, more uniform materials that could be used as part of the building material.

Market Overview

The global hempcrete market involves the whole of the industrial circle which revolves around the production, distribution, and use of hempcrete as a bio-composite building material manufactured from hemp hurd, which is the inner woody core of the hemp plant mixed with a lime-based binder. This would also include industrial hemp cultivation, hemp hurd harvesting, processing, manufacture of hempcrete products, and their distribution down to actual application in buildings, such as residential houses, commercial structures, and agricultural farms. Furthermore, various government regulations and incentives are facilitating the adoption of hempcrete. Many countries have regulations in place that promote the use of eco-friendly construction materials. Moreover, many governments are offering incentives in the form of tax benefits, grants, and subsidies to builders and developers using hempcrete for construction. Therefore, as more governments realize the environmental advantages of using hempcrete, the hempcrete market industry is expected to expand.

In addition, regulations and certifications promoting green building practices and energy efficiency are driving the use of hempcrete in construction projects. Governments and environmental organizations are enacting more stringent policies to reduce carbon emissions and promote sustainable materials. Furthermore, in March 2023, Hempitecture announced that its 33,000-square-foot plant in Jerome, Idaho, will manufacture a variety of non-woven hemp products, including HempWool Thermal insulation, a drop-in replacement for mineral wool and fiberglass batts. Initially, the product line includes batts in four thicknesses ranging from 2 in. to 7-1/2 in., as well as widths suitable for both 16-in. and 24-in. on-center framing. Later, the company hopes to expand its product line to include hemp fiberboard panels for continuous insulation.

Report Coverage

This research report categorizes the hempcrete market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the hempcrete market. Recent market developments and competitive strategies such as expansion, type launch, development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the hempcrete market.

Driving Factors

The emphasis on greener construction practices is driving this hempcrete market by increasing its use as a material for sustainable building practices. As constructions are increasingly aiming to reduce the carbon footprint with green building practices, demand increases for hempcrete due to the carbon-negative ability and excellent capability of insulation property. Moreover, key players make significant investments in research and development to propel the hempcrete market forward. They are engaging in extensive research and development work to enhance the properties of the material, such as fire resistance, insulation, and durability. In addition, companies are also increasing the number of joint ventures with research institutes to perform extensive field tests and performance observation. For example, in January 2024, the US Army granted a Ruppes 1.9 million authorization to a Pennsylvania-based hemp-lime building firm to work with research organizations on the fire resistance, insulation value, and carbon footprint of "hempcrete" in construction.

Restraining Factors

The lack of uniform building codes and regulations, as well as higher initial costs when compared to conventional materials, are expected to pose challenges for the hempcrete market. To overcome these obstacles, key stakeholders are collaborating with organizations and regulatory agencies to develop uniform certifications and codes.

Market Segmentation

The hempcrete market share is classified into type and application.   

• The precast segment held the greatest share in 2023 and is anticipated to grow at a significant CAGR during the forecast period.

Based on the type, the hempcrete market is divided into cast-in-place, precast, hybrid, and others. Among these, the precast segment held the greatest share in 2023 and is anticipated to grow at a significant CAGR during the forecast period. The growth can be attributed to its efficiency and usefulness. Off-site manufacturing of precast hempcrete blocks and panels has several advantages over cast-in-place methods, including shorter construction timelines, better quality control, less on-site labor, and greater design flexibility. This approach frequently results in cost savings for construction projects by streamlining processes and reducing labor costs.

• The residential segment accounted for the majority of shares in 2023 and is estimated to grow at the fastest CAGR during the projected timeframe.

Based on the application, the hempcrete market is divided into residential, commercial, and others. Among these, the residential segment accounted for the majority of shares in 2023 and is estimated to grow at the fastest CAGR during the projected timeframe. The growing recognition of the environmental and health benefits of sustainable building materials is driving demand for eco-friendly construction solutions in the residential sector. Hempcrete, with its excellent insulation properties, low embodied energy, and potential to improve indoor air quality, is perfectly suited to these sustainability goals. Furthermore, hempcrete's aesthetic appeal, with its natural appearance and ability to create unique and sustainable living spaces, drives its popularity in the residential industry.

Regional Segment Analysis of the Hempcrete Market

• North America (U.S., Canada, Mexico) 
• Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
• Asia-Pacific (China, Japan, India, Rest of APAC)
• South America (Brazil and the Rest of South America) 
• The Middle East and Africa (UAE, South Africa, Rest of MEA)

Europe is anticipated to hold the largest share of the hempcrete market over the predicted timeframe.

Europe is anticipated to hold the largest share of the Hempcrete market over the predicted timeframe. The European Union's emphasis on renewable energy and environmentally friendly infrastructure is expected to boost the hempcrete market in Europe during the forecast period. France, Spain, and Italy dominate the market due to long-standing industrial hemp cultivation and a growing preference for carbon-neutral materials. Furthermore, favorable agricultural policies and strong government incentives for sustainable construction have encouraged the growth of a strong hempcrete supply chain. Hempcrete is becoming more popular among French architects and developers for both residential and non-residential projects, owing to its thermal efficiency and carbon-negative properties.

North America is expected to grow at the fastest CAGR growth of the Hempcrete market during the forecast period. Rising environmental awareness and a strong emphasis on sustainable building practices in the region are driving demand for eco-friendly construction materials. Hempcrete, with its excellent insulation properties, low embodied energy, and potential to improve indoor air quality, is perfectly suited to these sustainability goals. Furthermore, the growing emphasis on energy efficiency and low-carbon footprints in residential and commercial buildings is driving hempcrete adoption. Its superior insulation and thermal mass properties help to reduce energy consumption for heating and cooling, making it an appealing choice for both new construction and retrofitting projects.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the hempcrete market along with a comparative evaluation primarily based on their type of offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes type development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Australian Hemp Masonry Company
• Hempitecture Inc.
• Dun Agro Hemp Group
• Hemp Block USAHempcrete Natural Building Ltd.
• Americhanvre Cast Hemp
• IsoHemp
• Lime Technology
• Just BioFiber Structural Solutions
• HempEco Systems
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs) 

Recent Developments

• In November 2024, The United States Department of Agriculture (USDA) announced improvements to the hemp crop insurance program for 2025 and subsequent crop years. The Risk Management Agency (RMA) is changing Nevada's rotation requirements so that hemp can be planted behind soybeans. This improvement is also applicable to Colorado, Illinois, Indiana, Maine, Michigan, Minnesota, Montana, New York, North Dakota, Oregon, Pennsylvania, South Dakota, and Wisconsin.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2023 to 2033. Spherical Insights has segmented the hempcrete market based on the below-mentioned segments: 

Global Hempcrete Market, By Type

• Cast-in-Place
• Precast
• Hybrid
• Others

Global Hempcrete Market, By Application

• Residential
• Commercial
• Others

Global Hempcrete Market, By Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa