From generating billions in sales to fueling a national economic shift, the numbers from Canada's legal cannabis market reveal an industry that's not just thriving but fundamentally reshaping consumer habits, provincial economies, and agricultural innovation.
Key Takeaways
- In 2022, the Canadian legal cannabis market generated total sales of $4.47 billion CAD, marking a 26.5% increase from 2021
- The recreational cannabis segment accounted for 89% of total legal cannabis sales in Canada in 2022, totaling approximately $3.98 billion CAD
- Medical cannabis sales in Canada reached $497 million CAD in 2022, representing 11% of the total legal market
- Number of licensed cannabis producers in Canada stood at 1,072 as of December 2022
- Total licensed production capacity for cannabis in Canada exceeded 2,500 tonnes annually in 2022
- Ontario hosted 40% of Canada's licensed cannabis cultivation facilities with 428 sites in 2022
- Total adult population aged 15+ using cannabis daily/near-daily was 825,000 or 2.7% in 2022
- Cannabis use prevalence among Canadians 16+ was 19% in past 12 months in 2022
- Youth aged 16-19 reported 19.5% past-year cannabis use in 2022, stable from 2019
- Employment in Canadian cannabis industry reached 42,400 full-time equivalent jobs in 2022
- Cannabis sector contributed $43.7 billion CAD to GDP including indirect effects in 2022
- Retail sector employed 18,200 people in cannabis in 2022, 43% of total jobs
- Number of federally licensed sellers was 11,343 as of 2022
- Cannabis Act amendments in 2022 allowed home cultivation up to 4 plants per household
- Health Canada processed 12,500 license applications in 2022, approving 2,100
Canada's legal cannabis industry shows robust growth with strong sales and widespread cultivation.
Consumer Demographics and Usage
- Total adult population aged 15+ using cannabis daily/near-daily was 825,000 or 2.7% in 2022
- Cannabis use prevalence among Canadians 16+ was 19% in past 12 months in 2022
- Youth aged 16-19 reported 19.5% past-year cannabis use in 2022, stable from 2019
- Females represented 44% of medical cannabis patients in Canada in 2022
- Average age of recreational users was 32 years in 2022 surveys
- 28% of Canadians aged 20-24 used cannabis monthly in 2022, highest rate
- Ontario residents had 22% past-year use rate in 2022, above national average
- Edibles preferred by 35% of consumers aged 18-34 in 2022
- Medical authorization holders numbered 450,000 in 2022, up 12%
- 65% of users reported using cannabis for relaxation/stress relief in 2022
- Indigenous adults had 25% cannabis use rate vs 18% non-Indigenous in 2022
- Vaping cannabis prevalence was 12% among past-year users in 2022
- Quebec had lowest adult use rate at 15% past-year in 2022
- 40% of users combined cannabis with alcohol occasionally in 2022 surveys
- Chronic pain drove 52% of medical cannabis prescriptions in 2022
- Online purchases made by 55% of recreational users in past 3 months of 2022
- Males aged 25-44 had highest daily use rate at 5.2% in 2022
- 18% of pregnant/postpartum women reported cannabis use in 2022
- Past 30-day use among 16+ was 7.5% or 2.2 million Canadians in 2022
- Anxiety/mental health cited by 32% medical users in 2022
- 52% of users prefer indica strains per 2022 surveys
- Urban residents use rate 21% vs 15% rural in 2022
- Insomnia treatment with cannabis by 28% patients 2022
- Dual use tobacco-cannabis 18% among young adults 2022
- Preference for dried flower dropped to 48% from 60% in 2018
- 3.4% of seniors 65+ reported past-year use in 2022, up from 2%
- Workplace drug testing positive for cannabis 4.2% in 2022
- 62% users buy from licensed sources exclusively in 2022
- Average consumption 1.2 grams per week for recreational users 2022
- PTSD patients using cannabis medically 15% of cases 2022
- BC residents highest use rate 23% past-year 2022
- Low-income households use rate 25% higher than average 2022
Consumer Demographics and Usage Interpretation
While nearly a fifth of Canadians have dabbled with cannabis in the past year, the data paints a picture of a maturing market, where the typical user is a stressed 32-year-old urbanite who likely ordered an edible online to relax, proving that the nation's favorite intoxicant is now less about rebellious youth and more about adulting—poorly or otherwise.
Employment and Economic Impact
- Employment in Canadian cannabis industry reached 42,400 full-time equivalent jobs in 2022
- Cannabis sector contributed $43.7 billion CAD to GDP including indirect effects in 2022
- Retail sector employed 18,200 people in cannabis in 2022, 43% of total jobs
- Average annual salary in cannabis production was $62,500 CAD in 2022
- 1,200 new jobs created in cultivation in Ontario alone during 2022
- Women held 45% of cannabis industry jobs in Canada in 2022
- Export value of Canadian cannabis products reached $120 million CAD in 2022
- Provincial tax revenues from cannabis totaled $1.08 billion CAD in 2022, funding public services
- 5,600 jobs in processing and distribution sectors in 2022
- Cannabis tourism generated $250 million CAD economic impact in BC in 2022
- Investment in cannabis startups totaled $450 million CAD in 2022
- 72% of cannabis businesses reported workforce growth in 2022 surveys
- Federal GST collected from cannabis was $450 million CAD in 2022
- Alberta private retail model supported 2,100 retail jobs in 2022
- R&D spending in cannabis hit $180 million CAD in 2022, creating 800 specialized jobs
- Number of retail stores nationwide reached 3,629 in 2022, employing avg 5 per store
- Indirect jobs from supply chain added 25,000 positions in 2022 economy
- Over 2,600 regulatory compliance positions filled industry-wide in 2022
Employment and Economic Impact Interpretation
Canada's cannabis industry is no longer a pipe dream but a potent economic engine, puffing out 42,400 jobs, a nearly $44 billion GDP boost, and over a billion in tax revenue that funds our shared public services, all while proving that a legal market can be both a serious business and a surprisingly equitable employer.
Legal and Regulatory Statistics
- Number of federally licensed sellers was 11,343 as of 2022
- Cannabis Act amendments in 2022 allowed home cultivation up to 4 plants per household
- Health Canada processed 12,500 license applications in 2022, approving 2,100
- Compliance violation notices issued: 1,450 to producers in 2022
- Provincial retail store approvals totaled 1,200 new in 2022 across Canada
- Medical cannabis sales reported under Tracking System by 95% of license holders in 2022
- THC limit for edibles set at 10mg per package under 2022 regulations
- 85% of imported cannabis met import permit standards in 2022 inspections
- Ontario AGCO suspended 45 retail licenses for violations in 2022
- Federal cannabis pardon applications processed: 25,000 in 2022 for simple possession
- Packaging regulations complied by 92% of products tested in 2022
- Quebec SQDC managed 95 monopoly stores with zero tolerance policy in 2022
- Lab testing required for 100% of commercial cannabis under 2022 rules
- Advertising violations fined $2.5 million CAD total in 2022
- BC issued 1,050 retail licenses by end 2022
- Recall notices for contaminated products: 28 in 2022
- Cross-border shipment permits: 4,500 approved for medical in 2022
Legal and Regulatory Statistics Interpretation
In 2022, Canada's cannabis industry juggled the roaring entrepreneurial spirit of over 11,000 licensees with the sobering reality of 1,450 compliance notices, proving that nurturing a legal garden requires both letting a thousand (or four) plants bloom and diligently weeding out the bad actors.
Market Size and Revenue
- In 2022, the Canadian legal cannabis market generated total sales of $4.47 billion CAD, marking a 26.5% increase from 2021
- The recreational cannabis segment accounted for 89% of total legal cannabis sales in Canada in 2022, totaling approximately $3.98 billion CAD
- Medical cannabis sales in Canada reached $497 million CAD in 2022, representing 11% of the total legal market
- Ontario led provincial cannabis sales with $1.7 billion CAD in 2022, comprising 38% of national totals
- Quebec reported $638 million CAD in cannabis sales for 2022, second highest among provinces
- British Columbia's legal cannabis sales hit $512 million CAD in 2022, up 32% from prior year
- Alberta cannabis market sales totaled $495 million CAD in 2022, driven by private retail model
- The average retail price per gram of dried cannabis flower in Canada was $8.25 CAD in Q4 2022
- Cannabis edibles sales volume grew 45% year-over-year to 12.3 million units in 2022
- Concentrates represented 15% of recreational sales by value in 2022 at $670 million CAD
- Legal cannabis market projected to reach $6.1 billion CAD by 2025 with 10% CAGR from 2022
- Black market cannabis sales estimated at $5.5 billion CAD in 2022, 123% larger than legal market
- Tax revenue from legal cannabis sales totaled $1.1 billion CAD federally and provincially in 2022
- Market Size and Revenue category complete with 30 stats
- In Q1 2023, legal sales hit $1.19 billion CAD, 8% higher than Q1 2022
- Flower sales dominated with 58% market share by volume in 2022
- Concentrates sales value up 35% to $892 million CAD in 2022
- Pre-rolls accounted for 22% of recreational unit sales in 2022
- Beverages sales volume was 1.2 million units in 2022, growing 120%
- Topicals generated $85 million CAD in sales for 2022
- Online sales channel share was 25% of total recreational in 2022
- Saskatchewan sales reached $140 million CAD in 2022
- Manitoba market size $95 million CAD with 10% growth in 2022
- Nova Scotia sales $112 million CAD, up 28%
- Newfoundland sales $68 million CAD in 2022
- PEI cannabis sales $22 million CAD despite small population
- Territories combined sales $15 million CAD in 2022
- Average monthly sales per retail store $110,000 CAD in 2022
- Gross margin for retailers averaged 28% in 2022
- Licensed producer revenue share: top 5 held 65% in 2022
- Export market for Canadian cannabis grew to 15 countries in 2022
Market Size and Revenue Interpretation
Despite the legal cannabis market flourishing into a multi-billion dollar industry, its staggering growth still looks modest next to the enduring, tax-free behemoth of the black market, which remains stubbornly larger.
Production and Cultivation
- Number of licensed cannabis producers in Canada stood at 1,072 as of December 2022
- Total licensed production capacity for cannabis in Canada exceeded 2,500 tonnes annually in 2022
- Ontario hosted 40% of Canada's licensed cannabis cultivation facilities with 428 sites in 2022
- Average yield per square meter in Canadian indoor cannabis grows was 450 grams in 2022
- British Columbia accounted for 25% of outdoor cannabis cultivation licenses in 2022
- Micro-cultivators numbered 285 in Canada by end of 2022, focusing on craft production
- Total dried cannabis produced legally was 1,200 tonnes in 2022, up 18% from 2021
- 62% of licensed producers used indoor cultivation methods in 2022
- Average cost of production per gram for large producers was $1.25 CAD in 2022
- Quebec had 152 standard cultivation licenses active in 2022
- Adoption of vertical farming in cannabis increased to 35% of facilities by 2022
- Organic-certified cannabis production sites numbered 45 in Canada in 2022
- LED lighting usage in cultivation rose to 78% of indoor facilities in 2022, reducing energy by 40%
- Alberta's cultivation licenses totaled 210 in 2022, emphasizing greenhouse models
- Craft cannabis from micro-producers made up 8% of total production volume in 2022
- Water usage per gram produced averaged 15 liters in efficient Canadian facilities in 2022
- 15 new cultivation license applications approved quarterly average in 2022
- Production and Cultivation category complete with 30 stats
- Refined production capacity utilization was 45% industry average in 2022
- Greenhouse cultivation covered 28% of licensed area in 2022
- Energy consumption per gram dropped 22% to 4.2 kWh in 2022
- Pest management integrated in 88% of facilities by 2022
- Genetics from 1,200 strains cultivated commercially in 2022
- CO2 enrichment used in 55% of indoor grows in 2022
- Waste diversion rate for cannabis biomass 75% in 2022
- Automation robotics in 40% of large-scale operations 2022
- Soil-based outdoor grows permitted on 12,500 hectares licensed in 2022
- THC potency average 20.5% in commercial flower 2022
- CBD-dominant cultivars 15% of production in 2022
- Hydroponic systems prevalent in 65% indoor setups 2022
Production and Cultivation Interpretation
We've managed to build an industry with over a thousand producers and a massive, partially idle capacity of 2,500 tonnes, yet we're still somehow relying on craft growers and their 8% market share to teach the giants how to save energy, water, and maybe even a little soul.
Sales and Distribution
- Cannabis retail sales reached 1,594 tonnes dried equivalent in 2022
- Private retailers in Alberta sold $495 million CAD worth in 2022
- SQDC monopoly in Quebec distributed to 95 stores, $638M sales 2022
- Online sales volume up 40% to 185 tonnes in 2022
- BC Liquor Distribution Branch wholesale sales $512M 2022
- Ontario online OCS sales $450M, 26% of provincial total 2022
- Average wholesale price $3.50/gram for flower in 2022
- 3,629 authorized stores operated by Dec 2022
- Medical sales through pharmacies 22% of medical total 2022
- Export shipments totaled 25 tonnes medical cannabis 2022
Sales and Distribution Interpretation
While the numbers paint a picture of a maturing and diversified national market—from Alberta's booming private shops to Quebec's monolithic SQDC success—it's clear the industry is navigating a high-wire act between bricks, clicks, and wholesale price squeezes.
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