The Global Marijuana Market Will Soon Hit $31.4 Billion But Investors Should Be Cautious
The international market for cannabis is projected to hit $31.4 billion by 2021, according to a new report from the Brightfield Group, a cannabis market research firm. Currently, the global market is estimated to be worth $7.7 billion and will see a compound annual growth rate of 60 percent as other countries liberalize their marijuana laws.
The U.S. currently drives 90 percent of global cannabis sales, but its share will drop to 57 percent by 2021. That’s in large part thanks to Canada’s plans to legalize recreational marijuana by July 2018. Meanwhile, countries in Latin American and Europe are increasingly adopting medical cannabis programs. And German political parties are considering recreational legalization as part of their talks in forming a coalition government.
Global Legal Marijuana Market 2016-2020
This market research report identifies players like American Cannabis, Canopy, Greengro, mCig, Medical Marijuana, Mentor Capital, Terra Tech, and United Cannabis to be the key vendors in the global legal marijuana market. This research report also presents a detailed segmentation of the market by usage (medicinal and recreational use), by consumption (solid edible, inhalation, liquid edible, and topicals), and by geography (the Americas, APAC, and EMEA).
Get the latest research report on the Global Legal Marijuana Market 2018-2022
Global outlook of the legal marijuana market
Market research analysts at Technavio’s predict that the global legal marijuana market will grow remarkably at an impressive CAGR of around 37% between 2016 and 2020. The global legal marijuana market is expected to grow significantly during the forecast period owing to the rapid adoption of cannabis by individual consumers for medicinal as well as recreational purposes. Many countries are legalizing the sale of cannabis for recreational purpose due to high tax revenue generated from the market. There are several other economic benefits that the governments are taking into consideration while legalizing cannabis such as the influx of new jobs in the market. The cannabis industry is expected to create numerous employment opportunities for people post-legalization due to the increased consumption of the substance. Besides recreational purposes, the use of marijuana for medicinal use is also increasing at a rapid pace, as cannabis helps in providing relief to patients ailing from muscular
“First-mover advantage”
Why Canadian weed producers will dominate the global marijuana market
In marketing strategy, there’s a term called “first-mover advantage”. It’s when a few key players in a particular industry gain an advantage because they entered into the marketplace first. These companies are able to establish strong brand recognition, shore up the best sources of funding, and build a loyal customer base simply because there aren’t any competitors in the way during their first few years of operation.
When it comes to the market for exporting weed, big Canadian LPs have clearly established a first-mover advantage. There are currently 29 countries that recognize some form of medical cannabis, but only two of those countries — Canada and The Netherlands — export weed for medical use. In fact, the medical marijuana export market is dominated by just four Canadian weed producers: Cronos Group, Canopy Growth Corporation, Aphria, and Tilray
Report: European cannabis market could reach $66.8 billion
With twice as many citizens as the United State and Canada combined, Europe could become the world’s largest legal cannabis market over the next five years if every or most of the continent’s roughly 50 nations introduces legislation and regulations, according to a new report.
The second edition of the European Cannabis Report – produced by London-based advisory group Prohibition Partners – suggests that with 12% of the continent’s 739 million people being either “irregular and intensive” cannabis consumers, Europe’s annual:
• Overall marijuana market will reach 56.2 billion euros ($66.8 billion)
• Potential medical marijuana market will hit 35.7 billion euros ($42.8 billion)
• Potential recreational market value will reach 20.5 billion euros ($24 billion)
• Estimated hemp market will hit 48.9 million euros ($57.2 billion)

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