Cannabis Market Size
Study Period | 2019-2029 |
Market Size (2024) | USD 33.84 Billion |
Market Size (2029) | USD 69.25 Billion |
CAGR (2024 - 2029) | 15.40 % |
Fastest Growing Market | North America |
Largest Market | North America |
Major Players*Disclaimer: Major Players sorted in no particular order |
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Cannabis Market Analysis
The Cannabis Market size is estimated at USD 33.84 billion in 2024, and is expected to reach USD 69.25 billion by 2029, growing at a CAGR of 15.40% during the forecast period (2024-2029).
- The cannabis industry offers various items divided into recreational and medicinal uses. While medicinal usage is becoming more broadly accepted, the recreational use of cannabis is likely to rise in tandem with increased tolerance and official legalization globally.
- The market growth has been fueled by the continued adoption of legal medical or recreational cannabis in more countries worldwide and high-profile achievements from some of the industry's emerging top contenders. With the first cannabis-based drug receiving approval from the US Food and Drug Administration (FDA), many investors are starting legal marijuana operations.
- North America dominates the market and is projected to be the fastest-growing region. The cannabis industry has been growing significantly in the United States due to the increased use of cannabis for medicinal purposes. As a result, the National Cannabis Industry Association (NCIA) is promoting the growth of the legal cannabis industry and providing it with favorable social, economic, and legal conditions in the United States. As a psychoactive drug, cannabis continues to find extensive favor among recreational and medicinal users in the United States.
Cannabis Market Trends
Legalization of Cannabis
- Medicinal cannabis accounts for a significant share of the cannabis market. Many countries, such as Australia, Canada, Chile, Colombia, Germany, Greece, Israel, Italy, the Netherlands, Peru, Poland, Portugal, Thailand, the United Kingdom, and Uruguay, have legalized the use of cannabis for medicinal purposes. Thailand's Food and Drug Administration withdrew marijuana and hemp from the Category 5 narcotics list in June 2022, decriminalizing these drugs. In effect, this change in the legislation allows Thais to produce and sell marijuana for medical purposes, which the government hopes could eventually establish Thailand as an "herbal center" in Southeast Asia.
- As of 2022, cannabis is legal for recreational use in nineteen states, two US territories, and the District of Columbia. Thirty-seven states, four US territories, and DC have approved the drug's medicinal usage. More states are estimated to follow suit during the forecast period, considering the widespread demand for cannabis and its medicinal properties. In US provinces where cannabis has been legalized, consumers are mostly aged 50 and above. Owing to the higher risk of chronic diseases post-50 years of age and the effectiveness of cannabis on such conditions, this demographic profile is expected to boost the demand for cannabis in the country.
- According to the US Government Accountability Office (under State Medical Marijuana Laws), symptoms and conditions that can be treated by cannabis include Alzheimer’s disease, anorexia, HIV/AIDS, glaucoma, cancer, arthritis, epilepsy, nausea, pain, cachexia, Crohn's disease, migraines, multiple sclerosis, spasticity, and wasting syndrome. Continuous research and standardization of products for medicinal purposes are expected to increase the popularity and demand for cannabis in the future.
North America Dominates the Market
- The North American cannabis market is set to become the primary producer of cannabis after the legalization of cannabis in Canada. In May 2021, the US government approved new growers of research marijuana for the first time in more than 50 years, thus increasing the capacity to study the drug’s medical value.
- Similarly, the Food and Drug Administration (FDA) approved some of its derivative compounds for medicinal use. Marinol, Syndros, Cesamet, and Epidolex are cannabinoid drugs that received approval from the FDA. Furthermore, in the United States, ten states have legalized cannabis for recreational use, while 33 states and the District of Columbia have legalized cannabis for medical purposes.
- Among these states, California, Washington, and Colorado are the leading cannabis sellers. The production levels of cannabis in North America have increased rapidly over the past few years due to the expansion of the major players' production capacities. More states are estimated to follow suit during the forecast period, considering the widespread demand for cannabis and its medicinal properties.
Cannabis Industry Overview
The global cannabis market is highly fragmented. Companies leading in the global cannabis market, such as Aphria, Medmen, Jazz Pharmaceuticals Inc., Aurora Cannabis Inc., and Canopy Growth Corp, have created efficient alliances and product launch plans to grow their market reach and client base.
Cannabis Market Leaders
Canopy Growth Corp.
Aurora Cannabis Inc.
Jazz Pharmaceuticals, Inc.
Medmen
Aphria
*Disclaimer: Major Players sorted in no particular order
Cannabis Market News
- May 2023: Toast and Nirvana Group formed a partnership to introduce innovative products for patients and consumers in Oklahoma and New Mexico.
- April 2023: Hello Juice and Smoothie, a local U.S. shop, teamed up with Beleaf Co. to introduce CBD-infused juice shots.
- May 2022: Canopy Growth, a leading global cannabis company, unveiled two new flavors—orange and grape—for its cannabis-infused carbonated drinks
Cannabis Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Legalization of Cannabis
4.2.2 Growing Focus on Health Benefits of Cannabis
4.3 Market Restraints
4.3.1 Lack of Data on Dosages and Results
4.3.2 Lack of Access to Financial Assistance
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Product Type
5.1.1 Capsules
5.1.2 Concentrates
5.1.3 Edibles
5.1.4 Other Product Types
5.2 Application
5.2.1 Medical
5.2.2 Recreational
5.3 Compound Type
5.3.1 Tetrahydrocannabinol (THC)
5.3.2 Cannabidiol (CBD)
5.3.3 Balanced THC & CBD
5.4 Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.1.3 Mexico
5.4.1.4 Rest of North America
5.4.2 Europe
5.4.2.1 Germany
5.4.2.2 Czech Republic
5.4.2.3 Croatia
5.4.2.4 Rest of Europe
5.4.3 Asia-Pacific
5.4.3.1 Australia
5.4.3.2 Thailand
5.4.3.3 Rest of Asia-Pacific
5.4.4 South America
5.4.4.1 Argentina
5.4.4.2 Chile
5.4.4.3 Peru
5.4.4.4 Rest of South America
5.4.5 Middle East and Africa
5.4.5.1 South Africa
5.4.5.2 Lebanon
5.4.5.3 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Tilray
6.3.2 Canopy Growth Corp.
6.3.3 GW Pharmaceuticals PLC
6.3.4 Aurora Cannabis Inc.
6.3.5 Aphria Inc.
6.3.6 MedReLeaf Corp.
6.3.7 CV Sciences Inc.
6.3.8 Delta 9 Cannabis
6.3.9 Cannimed Therapeutics Inc.
6.3.10 Vivo Cannabis
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Cannabis Industry Segmentation
Cannabis is a tall plant with a stiff upright stem used as a drug and is being legalized for its medical usage.
The cannabis market is segmented by product type (capsules, concentrates, edibles, and other product types), application (medical and recreational), compound type (tetrahydrocannabinol (THC), cannabidiol (CBD), and balanced THC & CBD), and geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa).
The report offers market size and forecasts for all the above segments in value (USD).
Product Type | |
Capsules | |
Concentrates | |
Edibles | |
Other Product Types |
Application | |
Medical | |
Recreational |
Compound Type | |
Tetrahydrocannabinol (THC) | |
Cannabidiol (CBD) | |
Balanced THC & CBD |
Geography | ||||||
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Cannabis Market Research Faqs
How big is the Cannabis Market?
The Cannabis Market size is expected to reach USD 33.84 billion in 2024 and grow at a CAGR of 15.40% to reach USD 69.25 billion by 2029.
What is the current Cannabis Market size?
In 2024, the Cannabis Market size is expected to reach USD 33.84 billion.
Who are the key players in Cannabis Market?
Canopy Growth Corp., Aurora Cannabis Inc., Jazz Pharmaceuticals, Inc., Medmen and Aphria are the major companies operating in the Cannabis Market.
Which is the fastest growing region in Cannabis Market?
North America is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Cannabis Market?
In 2024, the North America accounts for the largest market share in Cannabis Market.
What years does this Cannabis Market cover, and what was the market size in 2023?
In 2023, the Cannabis Market size was estimated at USD 28.63 billion. The report covers the Cannabis Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Cannabis Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the factors driving the Cannabis Market?
The factors driving the Cannabis Market are a) The rising demand for natural and alternative wellness products b) Increased focus on mental health and stress management
Cannabis Industry Report
This comprehensive report offers a deep dive into the cannabis industry, providing a detailed analysis of key market drivers and market segments. Mordor Intelligence offers customization based on your specific interests, including: 1. Product Type: Flowers, Buds, Topicals & Tinctures 2. Application: Industrial Hemp