Starting 2025 with a Clear Opportunity: Hemp’s £25 Billion Moment to Shine
Happy New Year everyone. I know, we're two weeks in already. Old news. What's new news is a report that came out in the US this week from "global competitive intelligence and market research provider" MarketsandMarkets. It projects the global hemp market will grow from £9 billion ($11.03 billion) in 2024 to £24.6 billion ($30.24 billion) by 2029, driven by demand in textiles, construction, bioplastics and more. Europe is already leading the way, with France and Germany scaling up production, thanks to strong policies and innovation.
But where, I’m left thinking (and slightly fuming about) is the UK in all this?
The UK risks being left behind
Globally hemp is recognised for its economic and environmental potential — from absorbing 8-15 tonnes of CO2 per hectare annually (more than forests) to creating sustainable rural jobs. In the UK alone, a thriving hemp industry could generate up to 20,000 direct jobs and support 200,000 livelihoods across supply chains from farming to manufacturing.
On top of that, estimates suggest the UK hemp sector could deliver billions in tax revenue, supporting our economy and helping to offset public spending. Meanwhile, outdated policies like the Proceeds of Crime Act (POCA) are blocking the inward investment needed to realise these benefits.
But it’s not just POCA reform that’s needed. The UK must establish a government-backed hemp carbon capture trading platform to unlock hemp’s potential as a scalable carbon sequestration solution. This isn’t just about sustainability. Carbon credits are the key to price parity and market feasibility for hemp-based products. A robust (and importantly government-backed) trading platform would enable farmers and businesses to monetise their carbon sequestration efforts, attract investment, and scale production while driving down costs.
Without such a framework, farmers and businesses are left without incentives to grow the crop or invest in its long-term benefits. We risk losing our chance to lead the global carbon economy.
If we don’t act now
1. Farmers will miss out on a lifeline crop and opportunities for modern crop rotation.
2. The UK’s chance to lead on carbon capture solutions like hemp biochar will be lost.
3. Other countries will capitalise on the billions in investment and tax revenue that hemp can deliver.
2025 must be the year we step up
The industrial hemp market is accelerating globally. The UK has the resources and the talent — but we need action. Reforming POCA is critical to attracting the investment needed to revitalise rural economies, support farmers, and scale up hemp-based innovation.
We also need policy frameworks that support carbon capture and enable the creation of a robust trading platform. Without this, the UK will continue to lag behind while others reap the rewards.
The world is moving. Let’s make sure the UK isn’t left behind.
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