The Worldwide Cannabis Industry is Projected to Reach $82.3 Billion by 2027

News provided by

Oct 21, 2022, 12:30 ET

DUBLIN, Oct. 21, 2022 /PRNewswire/ -- The "Global Cannabis Market by Product Type (Flowers, Concentrates, Edibles, Topicals & Tinctures), Compound (THC-Dominant, CBD-Dominant, Balanced THC & CBD), Application (Medical, Recreational), and Region (North America, South America, Europe, RoW) - Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.

The global cannabis market is estimated to be valued at USD 27.7 billion in 2022 and is projected to reach USD 82.3 billion by 2027, recording a CAGR of 24.3% in terms of value.

The market is driven by the rise in the use of cannabis for recreational and medical use. Moreover, there has been an increased legalization of cannabis in the US in states like Virginia in 2021 and Rhode Island in 2022 and in other countries like in Malta in 2021, and Thailand in 2018.

The cannabis industry is growing rapidly and witnessing a double-digit growth rate globally. There are several major companies operating in the cannabis segment that dominate their respective markets. Thus, companies are competing to gain a significant market share.

By application, the recreational segment is projected to grow at the highest CAGR during the forecast period

Recreational cannabis demand is increasing continuously driven by Gen Z consumers. A small but encouraging portion of cannabis products are being sold to women due to a shift in public opinion, and this percentage is predicted to increase over time. Moreover, legalization has have led to a trend toward cannabis-related tourism, with locations producing novel holiday items to entice clients and increasing travel bookings to cannabis-legal destinations.

By compound, the THC-dominant segment is estimated to account for the largest share

THC strain is used for both medical and recreational applications, which increases its demand among manufacturers as well as consumers. Growing Together Research Inc., an Indiana-based biotechnology business, has created a new technique for genetically regulating the expression of Delta-9-THC in cannabis, including the capacity to boost cannabinoid levels in marijuana varieties grown for recreational or medical purposes. Moreover, other forms of THC, such as delta-8-THC, are gaining popularity in addition to the conventional version.

The European region is projected to grow at the highest CAGR during the forecast period

The market in Europe is majorly driven by the awareness of medical benefits of cannabis in the region coupled with the healthcare system present in several European countries that covers the health expenditure of most patients in these regions.

As the legalization of cannabis in European countries is at a nascent stage, this creates a considerable opportunity for companies to establish themselves in the region. Since the beginning of 2019, the European cannabis market has witnessed multiple mergers and acquisitions involving companies focused on medical cannabis. Like in the starting of 2021 medical cannabis firm GW Pharmaceutical was acquired by Jazz Pharmaceutical for USD 6.15 Billion.

Key Topics Covered:

1 Introduction

2 Research Methodology

3 Executive Summary

4 Premium Insights
4.1 Attractive Opportunities in Cannabis Market
4.2 Cannabis Market: Major Regional Submarkets
4.3 North America: Cannabis Market, by Compound and Country
4.4 Cannabis Market, by Application
4.5 Cannabis Market, by Compound
4.6 Cannabis Market, by Product Type and Region

5 Market Overview
5.1 Introduction
5.2 Macroeconomic Indicators
5.2.1 Increase in Aging Population
5.2.2 Economic Downturn
5.3 Market Dynamics
5.3.1 Drivers
5.3.1.1 Rising Cannabis Demand for Medicinal Applications
5.3.1.2 Legalization of Cannabis and Rise in Social Acceptance
5.3.1.3 Growth in R&D Activities and Technological Advancements to be Precursors for Cannabis Business
5.3.1.4 Rising Global Cannabis Sales Helping Online Retailers Expand
5.3.2 Restraints
5.3.2.1 Complex Regulatory Structure for Use of Cannabis
5.3.2.2 Problems Associated with High Dose of Cannabis Consumption
5.3.2.3 Stigmatization of Cannabis Market
5.3.2.4 Profit Margins of Manufacturers Shrinks as Cannabis Prices Fall
5.3.3 Opportunities
5.3.3.1 Emergence of Cannabis Legalization in Asia-Pacific
5.3.3.2 Edibles, Led by Gummies and Chocolates, to Present Additional Growth Opportunities for Cannabis Business
5.3.3.3 Inorganic Growth Strategies Adopted by US Cannabis Companies
5.3.4 Challenges
5.3.4.1 Intensive Water Consumption and Inability to Maintain Consistency During Cannabis Cultivation
5.3.4.2 Cannabis-Producing Businesses Face Financing Difficulties in US
5.3.4.3 Advertising and Marketing Restrictions in US
5.3.4.4 Supply Chain Challenges Associated with Cannabis in US

6 Industry Trends
6.1 Introduction
6.2 Value Chain
6.2.1 Research and Product Development
6.2.2 Raw Material Sourcing
6.2.3 Production
6.2.4 Packaging, Storage, and Distribution
6.2.5 Retail
6.3 Supply Chain Analysis
6.4 Trends/Disruptions Impacting Customers' Businesses
6.4.1 Revenue Shift and New Revenue Pockets in Cannabis Market
6.5 Market Mapping and Ecosystem of Cannabis Market
6.5.1 Demand-Side
6.5.2 Supply-Side
6.5.3 Ecosystem Map
6.6 Technology Analysis
6.6.1 Led Glow Light
6.6.2 Nanoencapsulation
6.6.3 Artificial Intelligence and Blockchain
6.6.4 Crop Steering
6.6.5 Vertical Farming
6.6.6 Innovative Hardware Tech Devices
6.6.7 IoT Automation
6.6.8 Genetic Engineering
6.7 Pricing Analysis
6.7.1 Selling Prices Charged by Key Players in Terms of Product Type
6.8 Cannabis Market: Patent Analysis
6.8.1 List of Major Patents
6.9 Trade Analysis: Cannabis Market
6.9.1 Export Scenario of Hemp
6.9.2 Import Scenario of Hemp
6.10 Case Studies: Cannabis Market
6.10.1 Filter420: Attempts to Build Brand Value
6.10.2 Onyx Agronomics: Precision Cannabis Facility
6.11 Key Conferences and Events, 2022-2023
6.12 Tariff and Regulatory Landscape
6.13 Porter's Five Forces Analysis
6.14 Key Stakeholders and Buying Criteria

7 Cannabis Market, by Product Type
7.1 Introduction
7.2 Flowers
7.2.1 Automation and Sustainable Packaging to be Key Trends in Pre-Roll Domain
7.3 Concentrates
7.3.1 Various Delivery Methods Resulted in Consumer-Friendly Cannabis Concentrates Market
7.4 Edibles
7.4.1 Food and Beverage Manufacturing Companies Venture into Cannabis-Infused Edibles
7.5 Topicals & Tinctures
7.5.1 Topicals Witness Increased Demand in Skincare Industry
7.6 Other Product Types

8 Cannabis Market, by Compound
8.1 Introduction
8.2 Tetrahydrocannabinol (THC)-Dominant
8.2.1 Increasing Legalization of Recreational Cannabis Propels THC-Dominant Cannabis Market
8.3 Cannabidiol (CBD)-Dominant
8.3.1 Increased Popularity of CBD Edibles to Drive CBD-Dominant Cannabis Products Market
8.4 Balanced THC & CBD
8.4.1 Balanced THC & CBD Strains Witness Growth as CBD Diminishes Psychoactive Properties of THC

9 Cannabis Market, by Application
9.1 Introduction
9.2 Medical
9.2.1 Increase in Cannabis Use for Treatment of Various Ailments Drives Demand for Medical Cannabis
9.2.1.1 Pain Management
9.2.1.2 Neurological Health Management
9.2.1.3 Mental Health Management
9.2.1.4 Other Medical Applications
9.3 Recreational
9.3.1 Wider Legalization Status of Recreational Cannabis to Boost Market Growth

10 Cannabis Market, by Region

11 Competitive Landscape
11.1 Overview
11.2 Market Share Analysis, 2021
11.3 Segmental Revenue Analysis of Key Players
11.4 Key Player Strategies
11.5 Company Evaluation Quadrant (Key Players)
11.5.1 Stars
11.5.2 Emerging Leaders
11.5.3 Pervasive Players
11.5.4 Participants
11.5.5 Product Footprint
11.6 Cannabis Market: Evaluation Quadrant for Startups/SMEs, 2021
11.6.1 Progressive Companies
11.6.2 Starting Blocks
11.6.3 Responsive Companies
11.6.4 Dynamic Companies
11.6.5 Competitive Benchmarking of Key Startups/SMEs
11.7 Product Launches, Deals, and Other Developments
11.7.1 Product Launches
11.7.2 Deals
11.7.3 Others

12 Company Profiles
12.1 Introduction
12.2 Key Players
12.2.1 Canopy Growth Corporation
12.2.2 Curaleaf
12.2.3 Cresco Labs
12.2.4 Green Thumb Industries
12.2.5 Tilray
12.2.6 Trulieve
12.2.7 Aurora Cannabis Inc.
12.2.8 Medmen
12.2.9 Unrivaled Brand Inc.
12.2.10 Organigram Holdings Inc.
12.2.11 Stenocare
12.2.12 Vivo Cannabis Inc.
12.2.13 Terrascend
12.2.14 Hexo Corp
12.2.15 Village Farms International Inc.
12.2.16 Verano
12.3 Other Players (SMEs/Startups)
12.3.1 The Cronos Group
12.3.2 Medical Marijuana, Inc.
12.3.3 Ecofibre Limited
12.3.4 Indiva
12.3.5 Tikun Olam-Cannbit Pharmaceuticals Ltd.
12.3.6 Maricann Group Inc.
12.3.7 Satipharm
12.3.8 Cannabliss Organic LLC
12.3.9 Connected Cannabis Co.
12.3.10 Justice Cannabis Co.
12.3.11 Henry's Original