Brazil has the potential to surpass the USA in the hempcrete market, but lacks regulation

The hempcrete market in the United States is experiencing a phase of accelerated expansion. Projections indicate that the sector is expected to reach $10.6 billion by 2033, driven by the 2018 Farm Bill.

However, technical analyses indicate that Brazil has the soil and climate conditions not only to compete but to exceed American productivity. The obstacle, according to experts, lies solely in the absence of specific regulation for industrial cultivation in the country.

The potential of hempcrete in Brazilian agribusiness

Rodrigo Segamarchi, a civil engineer and founder of Hempower, believes that Brazilian agribusiness has unique competitive advantages. According to him, the natural conditions favor the large-scale production of raw materials for hempcrete.

“Brazil has unique soil, climate, and agricultural scale, as well as crop windows that can allow for one to two cycles per year in specific regions. In terms of agricultural cost and internal logistics, we have the conditions to be extremely competitive,” he states.

Regulation hinders the hempcrete industry

The main disparity between the two countries is not technical but legislative. The USA has consolidated its production chain after removing hemp from the list of controlled substances, allowing the sector to advance.

Meanwhile, Brazil still lacks clear rules for large-scale industrial cultivation. Segamarchi projects that once the legal barrier is overcome, the response from the hempcrete productive sector would be rapid.

“With a clear regulatory framework, the chain could gain traction quickly: 12 to 18 months for regional pilots with anchor producers and three to five years to achieve competitive national scale,” explains the engineer.

Production challenges for hempcrete

For the construction industry, the focus of cultivation differs substantially from medicinal use. The interest lies in the woody core of the stem, which requires tall plants and mechanized harvesting before seed maturity.

The immediate agricultural bottleneck in Brazil is access to certified seeds to ensure hempcrete quality. “We need certified genetics adapted to our latitudes to stabilize productivity, ensure THC content within limits, and reduce agronomic risk,” highlights Segamarchi.

In addition to genetics, processing logistics are critical. As the raw material is bulky, the suggested solution involves decentralizing the industry, prioritizing processing hubs close to production.

Market scenario in the United States

While Brazil awaits definitions, the United States is advancing in market consolidation. The momentum comes from the demand for sustainable materials, as hempcrete sequesters carbon during cultivation and in the lifespan of the work.

According to recent reports, the sector in the USA is expected to grow at an annual rate of 3.86% over the next decade. The US government is already investing in retrofit projects using the technology, signaling support for climate resilience.

For Brazil, the opportunity lies in learning from the American development curve, but with the advantage of a more potent agribusiness. “We guide specific agronomic protocols for construction and partnerships tied to quality metrics,” Segamarchi concludes.