by The legal marijuana market has been witnessing substantial growth over the past few years owing to the increasing legalization of cannabis for both medical and recreational purposes around the world. Cannabis products such as edibles including brownies, lollipops, chocolates; concentrates including wax, shatter, budder and oils, flowers including indica and sativa strains; topicals including lotions, balms and salves; infused beverages; and CBD products including supplements, oils and creams have therapeutic applications in relieving chronic pain, reducing inflammation, managing psychological disorders, and preventing cancerous growths.
The global Legal Marijuana Market is estimated to be valued at US$ 17.4 Bn in 2023 and is expected to exhibit a CAGR of 7.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Growing legalization of medical and recreational marijuana in various countries has been a key trend bolstering the growth of the legal marijuana market. In the recent past, countries like Canada, Uruguay, Mexico and Germany have legalized the production, distribution and consumption of marijuana for both medical and recreational purposes, resulting in increasing production and consumption of legal marijuana products. According to a recent report published by the ArcView and BDS Analytics, the legal marijuana market generated revenues of US$ 13.6 billion in 2019 and is projected to reach US$ 31.3 billion in 2024. This growth in the legal marijuana market can be attributed to the growing application of marijuana in medical treatments and its subsequent legalization across various parts of the globe.
SWOT Analysis
Strength: Legal marijuana market has high growth potential owing to rising acceptance of medical marijuana and its growing applications in treating chronic conditions like cancer and arthritis.
Weakness: Political and legal issues pertaining to legalization of marijuana for recreational use hampers the market growth. Strict regulations in certain countries poses a challenge.
Opportunity: Rising geriatric population suffering from chronic condition and increasing awareness about benefits of medical marijuana provides growth opportunities. Developing dispensing infrastructure expands the consumer reach.
Threats: Preference for alternative treatment options and social stigma associated with marijuana usage are threats for the market. Stringent safety and quality standards increase the compliance costs.
Key Takeaways
The Global Legal Marijuana Market Size is expected to witness high growth over the forecast period due to increasing legalization of medical marijuana in various countries across regions.
Regionally, North America dominates the global market currently owing to legalization of medical and recreational marijuana in major countries of the region. Countries like U.S. and Canada are expected to continue their dominance in the coming years as well due to increasing consumer acceptance and product availability.
Key players operating in the legal marijuana market are Murata Machinery, Ltd., Honeywell Intelligrated, Bastian Solutions, Inc., Dematic, TGW Logistics Group, Daifuku Co., Ltd., KNAPP AG, Beumer Group, SSI Schaefer Group, and Kardex Group. These players are focusing on collaborative strategies like partnerships, mergers, and acquisitions to expand their operations and product portfolio. For instance, in 2022, Daifuku Co. acquired Knapp, a logistics solutions provider, to strengthen its supply chain and warehouse automation business globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
