Explosive Growth In Global Cannabis Market, Doubling To $50B In Sales By 2027: Report

The global recreational marijuana market is poised for explosive growth, with legal sales expected to nearly double to $50 billion by 2027, according to a new report from Prohibition Partners.

This surge is attributed to two key factors, per the Global Cannabis Report: continued momentum in cannabis reform in the U.S. and new recreational cannabis markets emerging in Europe, which are creating fresh opportunities for the industry.  

North America Remains The Powerhouse

• Strong state-by-state growth in the U.S. and Canada's established market keep the region at the forefront.
• The U.S. market, while still hampered by federal prohibition, saw $26 billion in legal cannabis sales in 2022, with projections reaching $33 billion by 2027.
• Canada boasts 3,000 retail cannabis shops and generates 93% of its total cannabis sales from recreational use.

Europe Joins The Party

• Malta became the first European country to legalize recreational marijuana, though commercial sales are limited.
• Switzerland and the Netherlands are conducting pilot programs and pursuing research-based legalization plans.
• Germany's upcoming legalization framework could take effect as early as 2024, significantly impacting the European market.

Beyond North America And Europe

• Latin America and Africa are emerging as potential supply sources, with growing but cautious medical marijuana production and access.
• Oceania is a hotspot for both cannabis imports and exports.
• Asia remains largely untapped, with Thailand and Japan as early movers.

Industry Experts Optimistic

Alex Khourdaji, senior analyst at Prohibition Partners and co-author of the report highlights the progress made in 2023. 

“2023 has been a challenging but progressive year for the global cannabis industry. In Europe, we saw the first legal recreational cannabis sales with the pilot projects in Switzerland and the first recreational cannabis controlled supply chain sales in the Netherlands, as well as progress with Germany’s adult-use framework,” Khourdaji wrote in an email to High Times. “Globally, medical cannabis patient numbers have also been increasing.”

Photo: Benzinga edit with image by Andrei Minsk and Marti Bug Catcher on Shutterstock