Diabetes mellitus possesses serious health issues and it is increasing every year globally. For the past few years, research is going on in the treatment of diabetes where algae are being attempted as natural sources for the treatment. Microalgae and cyanobacteria are rich in antioxidants and antidiabetic properties which can reduce the hyperglycemic effect in blood. The secondary metabolites produced by micro and macroalgae can be used to treat diabetes. Cultivation and harvesting of algae are now being simplified with the usage of different mass cultivation strategies like open pond systems and photobioreactors. This chapter addresses the economic and environmental impacts of different cultivation systems and their environmental impact. Through life cycle assessment, different parameters possible for environmental impact were addressed.