Hemp seeds are extremely nutritious, containing 20-25% protein, 25-30% oil and 10-15% insoluble fiber, as well as oil containing >90% polyunsaturated fatty acids, which are a valuable addition to the diet of humans and animals. They are gluten-free and are an excellent source of nutrients for products created for the growing flexitarian market. Hemp seeds are also used to make oil, which is consumed in food and beverage, personal care, and animal feed. The oil is also used in food supplements and medicinal and therapeutic products such as pharmaceuticals.

The hemp seed segment dominated the global hemp industrial market on the basis of type with the largest market share at 29.97% in 2023 while the hemp fabric segment dominated the market on the basis of application with 23.56%.

The global seed market is expected to grow at a CAGR of 4.95% due to increased demand from applied industries between 2020-2027, from $388.46 million in the year 2020 to $544.93 million by 2027. The international food market for hempseed is estimated at $1 billion. It costs around $2,000 a hectare for farmers to grow it, and they are paid around $3 a kilogram.

In 2020, data compiled by Hemp Benchmarks from state agriculture departments recorded that there were over 13,000 acres licensed in the U.S. for production of hemp grain. According to National Hemp Reports, 8,255 acres were harvested for grain in 2021, which dropped to 5,379 acres in 2022, and only 3,986 acres were harvested for grain in 2023. However, the yield per acre increased by 72% from 452 pounds per acre in 2022 to 779 pounds per acre in 2023.

A report from Grand View Research estimates that in 2023 the U.S. industrial hemp market was dominated by the seeds segment, accounting for 76.3% of total revenue from industrial hemp.

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