Japan Industrial Hemp Market Size, Share, By Product (Seeds, Fiber, and Shives), By Application (Food & Beverages, Textiles, Construction Materials, Automotive, Personal Care & Cosmetics, Animal Care (Bedding & Feed), and Others), Japan Industrial Hemp Market Insights, Industry Trend, Forecasts to 2035.

Japan Industrial Hemp Market Insights Forecasts to 2035

• Japan Industrial Hemp Market Size 2024: USD 321.7 Mn
• Japan Industrial Hemp Market Size 2035:  USD 1254.5 Mn
• Japan Industrial Hemp Market CAGR 2024: 13.17%
• Japan Industrial Hemp Market Segments: Product and Application

Industrial hemp refers to regulated varieties of Cannabis sativa cultivated for industrial applications with negligible tetrahydrocannabinol (THC) content under Japan’s Cannabis Control Act. Japanese industries use industrial hemp to produce seeds and fiber and shives, which they turn into food products and textiles and automotive bio composites and construction materials and personal care formulations and animal bedding solutions. Market growth is primarily driven by increasing demand for sustainable raw materials and plant-based alternatives across industrial value chains.

The development of new technologies aims to create better fiber decortication methods and to produce lightweight automotive bio-composite materials and to develop building materials that offer superior thermal efficiency. Hemp cultivation and processing in Japan operate under strict licensing regulations governed by the Cannabis Control Act, with controlled production areas and compliance requirements to ensure product safety and traceability. The future of industrial hemp in Japan will benefit from two main developments which include expanding domestic cultivation capabilities and creating high-value functional food ingredients and developing carbon-negative construction materials because these developments will establish industrial hemp as a key resource for Japan's sustainable manufacturing and green transition initiatives.

Market Dynamics of the Japan Industrial Hemp Market:

Japan Industrial Hemp Market growth is driven by increasing demand for sustainable raw materials across construction, automotive, and textile industries. Rising adoption of hemp-based insulation materials and lightweight biocomposites supports decarbonization goals and circular economy initiatives. Growing consumer preference for plant-based nutrition and clean-label ingredients further strengthens demand for hemp seeds in food applications. Technological improvements in fiber processing and material performance are also enhancing commercial viability across end-use sectors.

Japan Industrial Hemp Market expansion is restrained by strict regulatory controls under the Cannabis Control Act, which limits cultivation acreage and licensing approvals. Limited domestic production capacity increases dependence on imported raw materials, affecting supply chain stability. High compliance requirements and social sensitivity associated with cannabis-related crops also create entry barriers for new producers and investors.

Japan Industrial Hemp Market presents future opportunities through gradual regulatory modernization and innovation in high-value applications such as carbon-negative construction materials and advanced biocomposites. Expansion of domestic cultivation under controlled frameworks could improve supply security. Increasing ESG commitments among Japanese manufacturers and infrastructure developers further create long-term potential for industrial hemp integration across sustainable industrial ecosystems.

Market Segmentation

The Japan industrial hemp market share is classified into product and application.

By Product:

The Japan Industrial Hemp Market Size is divided by product into seeds, fiber, and shives. Among these, the fiber segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. The fiber segment dominates due to its extensive utilization in textile manufacturing, automotive bio composites, and industrial materials, supported by strong tensile strength properties, rising demand for sustainable raw materials, and increasing substitution of synthetic fibers in Japan.

By Application:

The Japan Industrial Hemp Market Size is divided by application into food & beverages, textiles, construction materials, automotive, personal care & cosmetics, animal care (bedding & feed), and others. Among these, the construction materials segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. The construction materials segment dominates due to increasing adoption of hemp-based insulation and hempcrete, growing demand for carbon-negative building materials, improved thermal performance standards, and supportive green construction initiatives across Japan.

Competitive Analysis:

The report offers the appropriate analysis of the key organisations/companies involved within the Japan industrial hemp market, along with a comparative evaluation primarily based on their product 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 product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market. 

Top Key Companies in Japan Industrial Hemp Market:

• Tochigi Prefecture Hemp Producers Association
• Hemp Foods Japan Co., Ltd.
• HEMP STYLE JAPAN Co., Ltd.
• Elixinol Global Limited
• ENDOCA BV
• Others

Key Target Audience

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

Market Segment

This study forecasts revenue at the Japan, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the Japan industrial hemp market based on the below-mentioned segments:

Japan Industrial Hemp Market, By Product

• Seeds
• Fiber
• Shives

Japan Industrial Hemp Market, By Application

• Food & Beverages
• Textiles
• Construction Materials
• Automotive
• Personal Care & Cosmetics
• Animal Care
• Others