World Market For Cannabis

Delivery

This report comes in PPT.

Key Findings

2021 value growth

The legal cannabis market is expanding rapidly and will continue to do so, as wider legalisation and social acceptance drives consumers into the segment from the existing black market, or as new entrants. Cannabis sales in North America have continued to prove resilient during the COVID-19 pandemic, and this may provide an additional driver of legalisation and consumer adoption in the coming years.

% illicit of total value

Cannabis is a substance with a history of thousands of years of human use, and is currently known and consumed (no matter what governments might say) in every corner of the world. Our data estimate that 80% of total global value is currently consumed in the illicit market, which could decline to around 65% by 2026

2021-2026 CAGR

Beyond the hazy hype there is a broad-based growth narrative for legal cannabis. More geographies are moving from prohibition to controlling and taxing cannabinoid products. Consumers are turning to cannabis use in increasingly diverse parts of their lives - therapeutically, for relaxation, mood management and more.

Share of flower

While flower remains the major format, the modern cannabis consumer is diversifying away from the traditional image of ritual recreational flower consumption. A range of fresh use occasions involving innovative delivery mechanisms and sophisticated infused formulations will mean that flower’s share will decline to around 27% by 2026.

Growth in adult-use consumers

The fundamental driver of value growth in the global legal cannabis industry over the period to 2026 will be the wider legalisation of adult-use cannabis in the US (and potentially internationally). Even without federal legalisation wider state-level liberalisation will add significant numbers of users. Growth will also occur in other areas, with the CBD user population growing by more than 50% to 38 million.