Legal Cannabis Market Synopsis

Global Legal Cannabis Market Size Was Valued at USD 28.54 Billion in 2023 and is Projected to Reach USD 204.66 Billion by 2032, Growing at a CAGR of 24.47% From 2024-2032.

Legal cannabis is the act of growing, owning, selling, and consuming cannabis (marijuana) according to the laws and regulations in place. Laws and guidelines for legal cannabis differ from one country to another and sometimes even within states.

• Medical conditions such as chronic pain, nausea, epilepsy, multiple sclerosis, and others can be alleviated by using legal cannabis. It can serve as a supplementary treatment choice or a substitute for conventional drugs.
• The cannabis industry, when legalized, can boost the economy through job creation, tax income, and support for related sectors like growing, selling, and producing cannabis products.
• It can also aid in decreasing illicit actions linked to the underground economy. Decriminalizing cannabis could alleviate the burden of non-violent cannabis-related offenses on the criminal justice system, allowing resources to be reallocated to address more serious crimes.
• Legalization allows individuals to freely decide on their personal cannabis use without worrying about facing legal consequences. Legalization enables supervised manufacturing and delivery, guaranteeing the quality of products, accurate labeling, and protection of consumers.

The Legal Cannabis Market Trend Analysis

Diverse Uses For Medical Purposes

• Cannabis, containing cannabinoids such as THC and CBD, shows promise for treating various medical issues like pain, epilepsy, and mental health disorders. Medical cannabis provides an option for individuals who are not pleased with conventional medications, offering a better quality of life and fewer side effects.
• Scientific evidence backs up the medical advantages of cannabis, helping healthcare providers suggest cannabis treatments. The increase in patient interest in alternative treatments has influenced the approval and availability of medical marijuana.
• Changes in regulations, driven by shifting public opinion, have enabled the growth and distribution of medical cannabis products. The market for medical marijuana generates economic possibilities such as job growth and business advancement in cultivation, manufacturing, and research fields.

Development and Formulation of New Cannabis Products in The Market Supported by Its Wide Acceptation

• The market for cannabis is fueled by the sales of products derived from the cannabis plant. From innovative foods and beverages infused with cannabis to beauty and wellness products cannabis products are deciding factors for the growth of the legal cannabis market. To be explained, a decade ago, approximately 80% of all product sales were attributed to flowers (buds) but now, that number is 47%. Increasingly, consumers are getting more and more attracted to edibles, infused products, and other innovative cannabis goods.
• Currently, some of the hottest growing products in the entire cannabis business are edible and beverage products, and CBD (a cannabis-derived, non-psychoactive chemical with reputed health and wellness benefits) and other like vaping products. Not just consumables but the cannabis market is even heading in a direction where it is been applicable across various industry verticals like manufacturing, construction, homecare and materials like plastic and fabric (biodegradable)
• Many cannabis companies have already started popping up to capitalize over these industries, development of plastic from cannabis is been serving the market with a USD 80-120 Billion opportunity. These companies are providing an alternative and eco-friendlier alternative to plastic, impacting manufacturing of everything from bottles to household appliances to toys, and more.
• Moreover, cannabis can go with any soil and requires minimal inputs, and its production is nearly four times as much oil per acre as soybeans, which is currently the only crop grown on a large scale for biodiesel in the US, according to Modern Farmer and hemp produces around 4x the paper that one acre of trees can, according to a USDA report dating from 1916, all of which shows developing market of cannabis.
• the developments also have opportunities in the pet products made using cannabis which is estimated to be worth around USD 72 Billion according to the American Pet Products Association.

Segmentation Analysis Of The Legal Cannabis Market

Legal Cannabis market segments cover the Type, Product Type, and Application. By Product Type, the Buds (Flowers) segment is Anticipated to Dominate the Market Over the Forecast period.

• Cannabis flower when compared with other cannabis products has the largest sales flower sales, both pre-packed, deli-style, and pre-rolls own a significant share in the overall legal cannabis market.
• In 2021, Buds made up to 59% of total sales of cannabis, while concentrates and edibles increased in popularity at 24% and 11% respectively. Further speaking, it the best-selling product category in dispensaries, across all states in the US and in Canada, with Medical patients purchasing 5% more flowers than adult-use customers which is relatively high.
• Also, with the number of options available in cannabis strains and flavors, it has become the most favorite product type. But, there is a clear shift in movement away from flower, and toward products like edibles, cannabeverages (Cannabis Infused Beverages), and concentrates due to new innovations and developments.
• Flower sales are followed by extracts & concentrates and edibles which also share a considerable revenue share to the market. Also, the accessories developed from cannabis plant crude i.e., tinctures, topicals, clones, seeds, patches, and capsules are also available in the market but they have been considerably low in sales 

Regional Analysis of The Legal Cannabis Market

North America Dominates the Global Cannabis Market and it is expected to maintain its dominance over the forecast period.

• North America forms a huge cannabis business owing to the legalization of cannabis and its products and also due to the presence of top market players in the region. The cannabis companies residing in North America raised more than $1.6 billion in January 2021. The popularity of Marijuana among North American adults is on the rise and the consumption of recreational marijuana is expected to continue to increase, according to several surveys.
• The increasing popularity, along with more permissive and free attitudes toward the use of marijuana is also the supporting factor for the market growth in the region. However, the acceptance of the product in the region may be due to its changing legalization status in many parts of North America.
• North America’s leading countries- the US and Canada are the leading markets for legal cannabis in the world. around 45% of adults in the U.S. have used marijuana at least once in their lives. And one of the large surveys, published in 2015 in JAMA Psychiatry, found that the prevalence of marijuana’s use in the US has more than doubled over a decade. Further, the data showed that marijuana use was increasing in males and females in many age groups, although it was increasing a little faster in young adults, ages 18 to 29, and in males in the country.
• Furthermore, along with the top cannabis producers and processors, Canada and the US also have a cannabis-flavoring population which is seeking cannabis legalization. For instance, On Election Day in 2012, voters in Colorado and Washington approved ballot measures to legalize the recreational use and sale of cannabis, making the states the first in the U.S. to do so and after that 19 other states, Washington, D.C., and Guam were to act to legalize the drug in the next years.

Top Key Players Covered in The Legal Cannabis Market

• Canopy Growth Corporation (Canada)
• Aphria Inc. (Canada)
• VIVO marijuana Inc. (Canada)
• OrganiGram Holding Inc. (Canada)
• Aurora marijuana Inc. (Canada)
• The Green Organic Dutchman (Canada)
• Atlas Growers (Canada)
• Maricann Group, Inc. (Canada)
• Tilray Inc. (Canada)
• Terra Tech Corp. (US)
• Stenocare A/S (Denmark)
• HEXO Corp. (Canada)
• Medical Cannabis Inc. (US)
• AlephSana GmbH (Germany)
• Tikun Olam Ltd. (Israel)
• Cannabis Science Inc. (US) and Other Major Players

Key Industry Developments in the Legal Cannabis Market

• In April 2024, Ohio announced that it is preparing to launch adult-use cannabis sales, following legalization in 2023. The state is facing challenges as customers are unaware they still need a medical card to purchase cannabis. The Department of Commerce aims to combat the illicit market and increase legal sales promptly.
• In March 2024, the Swiss announced that adults will soon have legal access to adult-use cannabis, with over 15,000 citizens expected to benefit from ongoing trials. Switzerland's pilot projects have provided valuable data for future cannabis policy discussions, with plans for more trials to follow suit in the coming months.
• In February 2023, Aurora, a leading Canadian medical cannabis provider and MedReleaf Australia launched a new Medical Cannabis Brand – CraftPlant, this new brand includes three new products available for doctors to prescribe, Greendae, Navana, and HiVolt. All three are developed from ultra-premium cultivars and are THC-dominant with high percentages of terpenes. These products are produced under strict EU-GMP-certified conditions and will be available in 10g containers.