Key Highlights
- The global legal cannabis market was valued at approximately $21.3 billion in 2022
- The US cannabis market is projected to reach $40.1 billion by 2025
- As of 2023, 39 states in the US have legalized medical cannabis
- Recreational cannabis is legal in 21 US states plus Washington D.C.
- The number of cannabis consumers in the US was estimated at 50 million in 2023
- The legal cannabis industry created over 321,000 jobs in the US as of 2023
- The global medical cannabis market is projected to grow at a CAGR of 22.3% from 2023 to 2030
- Cannabis sales in California alone reached $5.4 billion in 2022
- The average retail price of legal cannabis in the US was approximately $11.50 per gram in 2023
- The global CBD market was valued at around $5.3 billion in 2022 and is expected to grow at a CAGR of 21.4% to 2028
- Currently, 18 countries worldwide have fully legalized recreational cannabis
- The majority of cannabis consumers (around 72%) in the US prefer flower over edibles or concentrates
- In 2023, the average THC content in legal cannabis flower was approximately 20%
The cannabis industry is experiencing explosive growth worldwide, with markets worth tens of billions, millions of consumers, and a surge in innovation, legalization, and economic impact that signals a global shift in perceptions and policies.
Consumer Demographics and Usage Patterns
- The number of cannabis consumers in the US was estimated at 50 million in 2023
- The majority of cannabis consumers (around 72%) in the US prefer flower over edibles or concentrates
- Cannabis is the most commonly used illegal drug in the world, with an estimated 200 million users globally in 2022
- Approximately 46% of US cannabis users consume via smoking, 33% via vaping, and 21% via edibles or tinctures
- A survey found that 68% of consumers prefer organic CBD products, indicating growing demand for natural options
- The majority of cannabis consumers (around 55%) in California are aged 25-44, indicating a strong presence among young adults
- The average CBD daily dosage recommended is around 20-40 mg for general wellness purposes, according to health studies
- The majority of cannabis consumers report using products for both recreational and medical purposes—about 64%, indicating dual usage
- In 2023, the percentage of cannabis users also consuming alcohol was approximately 38%, highlighting overlapping substance use
- The average age of first cannabis use in the US decreased to around 15 years old in 2023, down from 17 in previous decades, indicating earlier initiation
- The majority of cannabis consumers in Europe prefer hybrid strains combining sativa and indica, accounting for 55% of total sales
Consumer Demographics and Usage Patterns Interpretation
Legalization and Regulatory Status
- As of 2023, 39 states in the US have legalized medical cannabis
- Recreational cannabis is legal in 21 US states plus Washington D.C.
- Currently, 18 countries worldwide have fully legalized recreational cannabis
- Cannabis legalization has led to a 26% decrease in opioid overdose deaths in states where it is legal, according to recent studies
- The number of cannabis-related criminal prosecutions has decreased by 58% in states that have legalized recreational use
- EU countries with strict cannabis laws still see significant illegal market activity, accounting for over 65% of total consumption
- In Australia, roughly 70% of the population favors medical cannabis legalization, but only about 20% have access, indicating a gap in policy implementation
- A majority of Americans (around 60%) support full legalization of cannabis, according to Gallup polls in 2023, indicating broad acceptance
Legalization and Regulatory Status Interpretation
Market Size and Revenue Trends
- The global legal cannabis market was valued at approximately $21.3 billion in 2022
- The US cannabis market is projected to reach $40.1 billion by 2025
- The legal cannabis industry created over 321,000 jobs in the US as of 2023
- The global medical cannabis market is projected to grow at a CAGR of 22.3% from 2023 to 2030
- Cannabis sales in California alone reached $5.4 billion in 2022
- The global CBD market was valued at around $5.3 billion in 2022 and is expected to grow at a CAGR of 21.4% to 2028
- The legal cannabis market in Canada was worth $4.3 billion CAD in 2022
- The European cannabis market is projected to reach $63 billion by 2028, with medical cannabis leading growth
- The majority of legal cannabis sales in the US occur during the first quarter of the year, accounting for about 33% of annual sales
- In 2022, Colorado generated over $423 million in cannabis tax revenue
- The number of licensed cannabis dispensaries in the US surpassed 15,000 in 2023
- The average profit margin for legal cannabis retailers ranges between 10-15%, depending on location and scale
- The global CBD cosmetics market was valued at approximately $2.9 billion in 2022, projected to grow rapidly through 2028
- The medical cannabis market in Germany is expected to grow at a CAGR of 17.9% from 2023 to 2027, with a focus on pain management
- The global cannabis-infused edible market was valued at $2.9 billion in 2022 and is expected to grow at a CAGR of 20.7% through 2028
- The state of Nevada generated over $340 million in cannabis sales in 2022, contributing significantly to its economy
- The majority of cannabis industry investments in 2023 were directed toward cultivation and retail sectors, accounting for over 60% of funding
- The global legal cannabis cultivation area was approximately 380,000 hectares in 2022, with Canada and the US leading the effort
- Canada’s cannabis industry contributed approximately $3.2 billion CAD to the economy in 2022, across retail, cultivation, and exports
- The legal medical cannabis market in Israel is projected to reach $580 million by 2027, driven by strong research collaborations and exports
- The global demand for legal cannabis seeds is growing at a CAGR of 18.5%, driven by a rise in home cultivation
- In 2022, the medical cannabis market in South Africa was valued at approximately $50 million and expected to grow rapidly
- The global synthetic cannabinoids market is expected to reach $2.7 billion by 2028, driven by pharmaceutical research
- Cannabis-related revenue from tourism in Colorado was estimated at over $200 million in 2022, demonstrating the industry’s impact on local economies
- The number of patents filed related to cannabis technology increased by 120% from 2021 to 2023, indicating rising innovation
- The global market for THC-based pharmaceuticals is projected to grow at a CAGR of 13.2% through 2030, driven by medical research
- In 2022, the US hemp market was valued at approximately $720 million, with increasing demand for biofuels and textiles
- The global industrial hemp market is projected to reach $10.6 billion by 2028, driven by products such as biodegradable plastics and textiles
- In the US, over 10 million acres were licensed for hemp cultivation in 2022, the highest ever, demonstrating sustained growth
Market Size and Revenue Trends Interpretation
Product Markets and Industry Quality
- The average retail price of legal cannabis in the US was approximately $11.50 per gram in 2023
- In 2023, the average THC content in legal cannabis flower was approximately 20%
- The average THC potency in legalized concentrates increased by 15% from 2021 to 2023, reaching around 65%
- The number of CBD product SKUs on the market increased by over 45% between 2021 and 2023, reflecting rapid product diversification
- The proportion of high-THC cannabis products (>25% THC) on the market increased by 10% between 2021 and 2023, reflecting potency trends
Product Markets and Industry Quality Interpretation
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