Global Cannabis Market
The BDSA’s global legal cannabis forecast shows that global cannabis market sales for 2020 reaching nearly $21.3 billion, an increase of 48% over 2019 sales, and global cannabis sales are estimated to exceed $30 billion in 2021, an increase of about 40% over 2020. Commercial cannabis extraction
Spending on legal cannabis worldwide is expected to reach about $50 billion by 2025 at a compound annual growth rate (CAGR) of 20% from 2020 and hit $57 billion by 2027, while cannabis market in the United States and Canada is estimated to be about $46.5 billion and other $10.5 billion would go to other markets. The largest growth rate is predicted within the rest-of-world markets with projected $2 billion in 2027.
The recreational cannabis market will cover about 67% of the spending while medical cannabis will take up the remaining 33%.
Legal medical cannabis spending outside the U.S. and Canada increased 30% in 2021 compared to 2020, from $1.1 billion to nearly $1.4 billion, largely due to markets in Germany and Mexico. According to the report, international cannabis sales will grow in value to about $8 billion in 2026 at a CAGR of 40%.
Key Trends:
The initial decision by many U.S. states and Canada to create medical-only cannabis regulations prompted many other countries to act similarly while legalization of adult recreational use in Canada and in almost 40% of U.S. states triggered a second wave of legalizing laws internationally to increase access to cannabis products. Cannabis solventless extraction
In the sixth edition of the European Cannabis Report – produced by London-based advisory group Prohibition Partners – Europe’s cannabis market is projected to grow with a CAGR of 67.4% from 2021 to reach almost €3.2 billion by 2025.
The size of the Latin America cannabis market has an estimated market value of $400 million in 2021 and is projected to be driven by Mexico with a CAGR of 104%. Mexico is expected to account for nearly 32% of legal cannabis spending outside the U.S. and Canada.
According to a New Frontier Data report, Africa with over 10% of global cannabis demand will rank fourth after North America, Europe and Latin America.
Oceania’s legal cannabis market is forecast to grow from about $100 million in 2021 to $1.2 billion in 2027, the 5th largest in the world.
Israel has a small population and a long history of legal medical cannabis use. It continues to be a leader over the years in the development of cannabis pharmaceuticals.
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