The global cannabis market was valued at US$ 13.43 Billion in 2022, and is projected to reach US$ 66.35 Billion by 2030, growing at a CAGR of 22.1% from 2023 to 2030. The report also predicts that the market will reach USD 73.6 billion by 2027.

The global cannabis market has been growing rapidly in recent years, driven by increasing legalization and decriminalization of cannabis in many parts of the world. The market includes both medical and recreational cannabis products, and is expected to continue growing as more countries legalize cannabis.

North America is currently the largest market for legal cannabis, followed by Europe. However, the Asia-Pacific region is expected to see the fastest growth in the coming years, as countries such as Australia, New Zealand, and Thailand move towards legalization.

The market includes a wide range of products, including dried cannabis flower, concentrates, edibles, tinctures, topicals, and more. Medical cannabis is used to treat a variety of conditions, including chronic pain, epilepsy, and cancer-related symptoms, while recreational cannabis is used for its psychoactive effects.

The global cannabis market is expected to continue growing as more countries legalize cannabis and consumers become more comfortable with using it for both medical and recreational purposes. However, regulatory and legal barriers remain a challenge in many parts of the world, and the market is likely to see continued volatility as it matures.

Market Dynamics

Driving Factors

There are several driving factors behind the growth of the global cannabis market. Here are some of the most important ones:

Investment: The cannabis industry has attracted significant investment from both private and public sources, which has helped to drive growth and innovation within the industry.

Innovation: The cannabis industry has seen significant innovation in recent years, with new products and delivery methods being developed. This has helped to create new market opportunities and attract new consumers.

Restraining Factors

There are several driving factors behind the growth of the global cannabis market, there are also several restraining factors that may limit its growth. Here are some of the most important ones:

Stigma: Despite changing attitudes towards cannabis, there is still a significant amount of stigma surrounding its use. This can limit the growth potential of the industry, particularly in conservative regions.

Competition: The cannabis industry is becoming increasingly competitive, with many new players entering the market. This can make it difficult for businesses to stand out and maintain profitability.

Opportunity Factors

Growing legalization: The trend towards legalization of cannabis for both medical and recreational use is gaining momentum globally, providing an opportunity for companies to enter the market in a variety of ways. This growing acceptance of cannabis use creates an environment that could lead to the creation of new businesses, jobs and an increase in tax revenues.

Diverse product range: Cannabis products come in different forms including CBD oil, tinctures, edibles, topicals, and more. This offers a variety of investment opportunities for businesses, allowing them to choose the sector that best suits their expertise.

Health and wellness applications: With more research into the medical applications of cannabis, there is an opportunity for companies to produce cannabis-based products that cater to the health and wellness industry. This includes products such as cannabis-based dietary supplements, which could be a high growth area in the future.

Challenges Factors

There are many opportunities in the cannabis market, there are also several challenges that must be considered. Some of the key challenges are:

Regulatory environment: The legal status of cannabis is complex and constantly evolving, making it difficult for companies to navigate the regulatory landscape. Each country and state has its own set of laws, which can create challenges for companies that operate across multiple jurisdictions.

Social stigma: Despite growing acceptance of cannabis use, there is still a social stigma associated with the industry. This can create challenges for companies trying to attract investment or gain acceptance from mainstream consumers.

International trade and export regulations: With the global growth of cannabis, companies are looking to export products to other countries. However, international trade and export regulations can be complex and vary widely by country, making it difficult to export products.

The cannabis market presents significant opportunities, there are also many challenges that must be navigated. Companies that can successfully manage these challenges will be well-positioned to succeed in this rapidly growing industry.

Segmentation Analysis

Derivative Outlook

CBD is a non-psychoactive cannabinoid found in cannabis and hemp plants that is used for a variety of therapeutic and wellness applications. THC is the primary psychoactive component of cannabis, responsible for the "high" associated with marijuana use. It is used for both medical and recreational purposes.

Others includes other cannabinoids, such as cannabigerol (CBG), cannabinol (CBN), and cannabichromene (CBC), as well as terpenes and flavonoids, which are non-cannabinoid compounds found in cannabis.

The derivative outlook is an important aspect of the cannabis market, as different derivatives have different applications and effects. CBD is gaining popularity in the health and wellness market, while THC is used for both medical and recreational purposes. Other cannabinoids and compounds also have potential therapeutic applications that are currently being researched.

End User Outlook

Cannabis has been used for medicinal purposes for centuries and is currently being studied for its potential therapeutic benefits in treating a variety of conditions, such as chronic pain, anxiety, epilepsy, and multiple sclerosis. The use of cannabis for recreational purposes has been legalized in some countries and states, allowing adults to use cannabis products for personal enjoyment. Cannabis can be used in a variety of industrial applications, such as construction materials, biofuels, and textiles.

The end-use outlook is important as it reflects the different consumer needs and preferences for cannabis products. Medical cannabis has a well-established market and is expected to continue to grow as more research is conducted. The legalization of recreational cannabis in some areas has opened up a new market for adult consumers. Industrial uses for cannabis are still in the early stages of development but have the potential to create new markets and applications for the industry.

Regional Analysis

The United States and Canada are the largest markets for legal cannabis in the world. The legalization of cannabis for medical and recreational purposes in many states and provinces has fueled growth in the industry.

The Middle East and Africa have some of the strictest laws and regulations when it comes to cannabis. However, some countries are starting to explore the potential benefits of medical cannabis and may change their laws in the future.

Scope Of Report:

The Global Cannabis Market has been segmented into:

By Source

• Marijuana
• Flowers
• Oil and Tinctures
• Hemp
• Hemp CBD
• Supplements
• Industrial Hemp

By Derivative

• CBD
• THC
• Others

By End-use

• Medical Use
• Cancer
• Chronic Pain

By Depression and Anxiety

• Arthritis
• Diabetes
• Glaucoma
• Migraines
• Epilepsy
• Multiple Sclerosis
• AIDS
• Amyotrophic Lateral Sclerosis
• Alzheimer’s
• Post-Traumatic Stress Disorder (PTSD)
• Parkinson's
• Tourette’s
• Recreational Use
• Industrial Use

By Region

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
  • Germany
  • France
  • Italy
  • Spain
  • UK
  • Nordic Countries
    • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
  • Benelux Union
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia-Pacific
  • Japan
  • China
  • India
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
• Rest of Asia-Pacific
• The Middle East & Africa
• Saudi Arabia
• UAE
• Egypt
• South Africa
• Rest of the Middle East & Africa
• Latin America
• Brazil
• Argentina
• Rest of Latin America

Market Players 

The global cannabis market is highly competitive and fragmented, with numerous players vying for market share. Some of the key companies in the market are:

• Canopy Growth Corporation
•  GW Pharmaceuticals, plc
•  Aurora Cannabis, Inc.
• Aphria, Inc.
• Cronos Group
•  Tilray
•  Sundial Growers Inc.
•  Insys Therapeutics, Inc.
• The Scotts Company LLC
• VIVO Cannabis Inc.
• Cara Therapeutics Inc.

Other notable competitors in the global cannabis market include Aphria Inc., HEXO Corp., Curaleaf Holdings Inc., and Green Thumb Industries Inc. The market is highly competitive, with new players entering the industry all the time as legalization spreads to new countries and regions.

Strategic Developments

The global cannabis market has been seeing a lot of developments in terms of mergers, acquisitions, and investments in recent years. Here are some of the notable ones:

Tilray and Aphria Merger: In May 2021, Canadian cannabis companies Tilray and Aphria completed their merger, creating the world's largest cannabis company by revenue. The merged entity, called Tilray, has a market value of around $8.2 billion.

Canopy Growth and Acreage Holdings Merger: In 2019, Canadian cannabis company Canopy Growth announced a $3.4 billion deal to acquire Acreage Holdings, a US-based cannabis company. The deal was structured in a way that Canopy could only complete the acquisition if cannabis became federally legal in the US.

Altria's Investment in Cronos Group: In December 2018, tobacco giant Altria invested $1.8 billion in Cronos Group, a Canadian cannabis company. This investment gave Altria a 45% stake in Cronos and gave Cronos the financial resources to expand its operations.

Merida Capital Partners and Green Peak Innovations Merger: In November 2020, Merida Capital Partners, a cannabis-focused private equity firm, announced its merger with Green Peak Innovations, a Michigan-based cannabis company. The merger created a vertically integrated cannabis company with operations in multiple US states.

Canopy Rivers and TerrAscend Merger: In March 2021, Canopy Rivers, the investment arm of Canopy Growth, announced its merger with TerrAscend, a US-based cannabis company. The deal gave Canopy Rivers a 22% stake in TerrAscend and allowed the company to expand its operations in the US.