Brazil prepares to advance in the cannabis market; US mistakes and successes may indicate the way

Experts point out that the US experience can accelerate national development

Published on 09/01/2025

Brasil se prepara para avançar no mercado de cannabis; erros e acertos dos EUA podem indicar o caminho

Illustrative Image: Canva Pro

Brazil is about to inaugurate a new phase in the cannabis market. The definition of rules for the cultivation of low-THC hemp, which will be delivered by the Government by September 30, 2025, paves the way for the country to become a global protagonist in the production and development of the plant.

While the United States solidifies its position as pioneers in the industry, experts believe that the North American experience can serve as a guide to avoid mistakes and accelerate Brazilian progress.

 

International Learning

 

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 Rafael Redwood during the 4th Brazilian Medicinal Cannabis Congress. Image: Sechat Archive.

According to Rafael Redwood, founder of USA Hemp and specialist in medicinal hemp and product development, the US pioneering brought both advantages and challenges. “We were the first to take this industry seriously on a large scale. But being the first also means paving the way with mistakes and successes. Brazil can learn from our failures,” he states.

Redwood believes that Brazil is at a strategic moment with the arrival of regulation. “The country has the potential to lead this industry. The participation of the federal government, the encouragement of research, and public acceptance are factors that can drive this new phase of the market,” he emphasized.

He points out a significant difference in perspective between the two countries. “In the United States, the focus is on money. In Brazil, I see more attention to research and understanding of the plant. This shows love and potential. Here, passion is greater than money,” he added.

Watch an excerpt from Redwood's speech: 

 

 

Global and North American Market

 

The global sector shows good prospects for Brazil. In the United States, production reached US$445 million in 2024, a 40% increase from the previous year, according to official data. The crop recorded 45 thousand acres planted and 32 thousand harvested, a 55% growth.

In the international scenario, the global hemp fiber market moved around US$11 billion in 2024 and is expected to reach US$36 billion by 2030, with an annual growth rate of 22%, according to the consultancy MarkNtel Advisors.

The report Hemp: The Commodity of the Future, published in 2024 by the Ficus Institute, indicates that the sector moved US$7 billion in 2023 and could reach US$25 billion by 2033, with an annual advance of up to 24.5%.

Uses include construction materials, bioplastics, textile fibers, and functional foods. Europe, for example, increased its hemp fiber imports by 32% between 2014 and 2023. Currently, 21 countries produce the crop on a commercial scale, with China and France standing out.

 

Strategic Opportunity for Brazil

 

The climatic and soil conditions place Brazil in a privileged position to develop the hemp production chain. The Ficus Institute report estimates that the plant can regenerate up to 28 million hectares of degraded pastures, consuming 75% less water than cotton and capturing up to 16 tons of CO₂ per hectare per year.

National demand is also growing rapidly. Between 2023 and 2024, the consumption of hemp-based products, such as CBD, increased by 124%. The study recommends authorization for cultivation with a 0.3% THC limit — in line with international standards — as well as investments in research, processing infrastructure, and awareness campaigns to overcome cultural stigma.

The movement is already attracting international companies. USA Hemp Pharmaceuticals recently inaugurated its Latin American headquarters in Goiânia (GO), after a R$5 million investment.

The unit brings together management, sales team, training rooms, space for medical education, and a logistics center. It currently has about 40 employees, with new hires planned for the coming months.