Market Overview
The
Global Medical Cannabis Market is expected to reach a value of
USD 18.1 billion in 2023, and it is further anticipated to reach a market value of
USD 122.7 billion by 2032 at a
CAGR of 23.7%.
The global medical cannabis market refers back to the enterprise concerned with the cultivation, production, distribution, and sale of cannabis-derived products designed for medicinal purposes. Leveraging cannabinoids like tetrahydrocannabinol (THC) and cannabidiol (CBD), medical hashish treats numerous scientific situations, ranging from persistent aches to neurological issues. The market emphasizes therapeutic applications, addressing conditions such as cancer signs and epilepsy. Ensuring affected person access involves establishing distribution networks, whilst ongoing studies drive improvements in formulations and new medical applications. Adherence to industry standards and high-quality guarantee measures is vital for product safety and consistency.
Key Takeaways
- In the context of type, cannabis extracts dominate this market as they hold 54.1% of the market share in 2023.
- Chronic pain holds a prominent position in the medical cannabis market as it holds 36.0% of the market share in 2023.
- Based on end-users, pharmaceutical companies dominate this segment as they hold a major portion of the market share in 2023.
- North America asserts its dominance in the global medical cannabis market as it holds a 78.4% market share in 2023.
Market Dynamic
The dynamics of the worldwide medical cannabis marketplace are shaped by different factors, with regulatory modifications retaining a great effect on the evolution of this market. Global growth of this market is driven by shifting perceptions and improved attention to cannabis's medical benefits, whilst ongoing studies and development contribute to innovative merchandise and formulations. Market consolidation through mergers and acquisitions is a notable trend reflecting the efforts of businesses to strengthen their marketplace positions and gain economies of scale. Product diversification, purchaser focus, and training play pivotal roles, in fostering popularity and influencing marketplace dynamics.
Technological improvements, supply chain optimization, and efforts to interact with patients and physicians make contributions to the enterprise's increase. The financial panorama, consisting of funding tendencies and competition among key gamers, additionally notably impacts the trajectory of the medical cannabis marketplace. Continuous tracking of legal, social, and financial elements is important for comprehending the ever-evolving panorama of the global clinical cannabis market and future trends in this dynamic industry.
Research Scope and Analysis
By Type
In the context of type, cannabis extracts dominate this market as they hold 54.1% of the market share in 2023, and are anticipated to show significant growth in the forthcoming period of 2023 to 2032. Cannabis extracts, particularly oils and tinctures, play a pivotal role in the medical cannabis market due to their versatility and numerous advantages. These extracts enable precise and standardized dosing, a critical aspect in tailoring treatment plans for individual patient needs. Their ease of use, whether administered sublingually or added to food and beverages, provides a convenient and discreet method for patients.
The customization of formulations allows for targeted therapeutic effects, accommodating a variety of medical conditions. With longer-lasting effects, reduced respiratory risks, and compliance with regulatory standards, cannabis extracts align with patient preferences and contribute to the growth of the medical cannabis market. Ongoing research and development efforts focusing on extraction methods and formulation innovations further underscore the continued significance of cannabis extracts in meeting the diverse needs of medical cannabis patients.
By Application
Chronic pain holds a prominent position in the medical cannabis market as it holds 36.0% of the market share in 2023, that's due to the therapeutic potential of cannabis compounds, in particular THC and CBD, in managing chronic pain conditions. The analgesic and anti-inflammatory properties of cannabinoids, in conjunction with their efficacy in addressing challenging situations like neuropathic pain, contribute to the appeal of medical cannabis as an alternative to standard treatment plans with confined effectiveness.
Patient need coupled with growing recognition and legislative modifications, has fueled the marketplace's awareness of chronic pain management. Clinical proof assisting cannabis's efficacy, its personalized treatment alternatives, and the capacity to lessen the hazard of opioid dependence further underscore its significance in addressing the multifaceted nature of continual pain. While chronic ache remains a number one software, ongoing research, and evolving scientific understanding may also have broadened the scope of scientific cannabis applications across diverse fitness conditions in the future.
By End User
Based on end-users, pharmaceutical companies dominate this phase as they hold a prime part of the market share in 2023 and are predicted to show significant growth in the imminent duration of 2023 to 2032. Pharmaceutical agencies wield tremendous influence within the medical cannabis marketplace, usually driven by the aid of their knowledge in medical research, drug improvement, and regulatory compliance. Their commitment to product standardization, excellent control, and particular formulation development guarantee reliability and consistency in medical cannabis products.
The pharmaceutical zone's involvement is crucial in undertaking scientific trials and generating evidence-primarily based medication that helps regulatory approvals and the scientific network's reputation. These businesses also play an essential role in physician education, collaboration, and leveraging established distribution networks for extensive market access. With a focal point on patentability, intellectual assets, and international reach, prescription drugs contribute considerably to the legitimacy and expansion of scientific cannabis markets.
The Medical Cannabis Market Report is segmented on the basis of the following:
By Type
- Cannabis Extracts
- Flower/Buds
By Application
- Chronic Pain
- Mental Disorders
- Cancer
- Others
By End User
- Pharmaceutical
- Research & Development Centers
Regional Analysis
North America has a
78.4% share of the medical cannabis market around the world for now in the year 2023, and we are going to see a steady and substantial increase in next coming years. There are several significant reasons why North America, especially the United States and Canada, leads in the global medical cannabis market. The area has undergone a major legal transformation as radical legislation and lucrative regulations have created ideal conditions for market growth. Fast acceptance of medical cannabis legalization allows companies in the U.S. and Canada to gain a competitive advantage through market development, research, and innovation fields.
The size of the North American market is quite big and it has a large population which leads to great demand for medical pot. In addition to that, the cultural shift towards acceptance and destigmatization along with high political and public support has aided the growth of this industry. Additionally, North American companies have demonstrated industry expertise, leading in research, innovation, and investment attraction. As other regions globally open up to medical cannabis, the competitive landscape of the global medical cannabis market may evolve, but North America's current dominance remains a testament to its early and comprehensive engagement within this industry.
By Region
North America
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- South Africa
- Israel
- Egypt
- Rest of MEA
Competitive Landscape
The global medical cannabis market was highly competitive involving key players including Canopy Growth Corporation, Aurora Cannabis Inc., Tilray Incorporation, and Cronos Group. Firms have aggressively ventured into this market, stumbled on partnerships, and collaborated to advance from the position in which they were. In this particular market, constant research and development is directed towards new formulation innovations aimed at improving shipping strategies as well as discovering various medicinal uses.
Vertical integration, regulatory compliance, and logo improvement have been important focus regions for businesses looking for efficiency and market differentiation. Partnerships, mergers, and technology-pushed innovations had been commonplace strategies, demonstrating a dedication to staying competitive. Furthermore, those groups make use of inorganic& organic strategies for their market expansion. The organic strategies deal with partnerships, mergers & acquisitions while the inorganic strategies include the development of new product catalogs and innovation. Furthermore, these mergers & partnerships further boost their market position and pave the way for the expansion of the global medical cannabis market.
Some of the prominent players in the Global Medical Cannabis Market are:
- Aurora Cannabis Inc.
- Tilray Inc.
- Canopy Growth Corporation
- CannTrust Holdings Inc.
- VIVO Cannabis Inc.
- Cronos Group Inc.
- Jazz Pharmaceuticals
- OrganiGram Holdings
- Lexaria Corp.
- ABcann Medicinals Inc.
- Other Key Players
COVID-19 Pandemic & Recession: Impact on the Global Medical Cannabis Market:
The COVID-19 pandemic and financial recessions have introduced demanding situations and increased stress, mental health pressure, and intellectual health issues in the course of the pandemic have probably extended the need for scientific cannabis as an alternative treatment. Patients with chronic situations continue to seek relief, contributing to sustained interest in clinical hashish. However, the enterprise has faced disruptions due to delivery chain challenges, along with cultivation, processing, and distribution, as a result of lockdowns and regulations. Regulatory modifications in response to the pandemic may also have passed off in certain regions, likely main to more favorable frameworks for clinical hashish.
Additionally, monetary recessions pose economic risks to businesses in the medical cannabis sector, potentially leading to consolidation or closures. Funding for studies and development will also be impacted, slowing down innovation. The adoption of telemedicine has improved throughout the pandemic, affecting how patients get admission to medical hashish prescriptions and consultations, with remote consultations becoming more prevalent.
Recent Developments
- In May 2023, Toast, a prominent multi-state brand, joined forces with the Nirvana Group, a leading diversified cannabis company. This strategic partnership is set to introduce groundbreaking offerings to patients and consumers in both Oklahoma and New Mexico.
- In April 2023, Hello Juice & Smoothie, a cherished local establishment in the U.S., collaborated with The Beleaf Co. to unveil an exciting new product line – CBD-infused juice shots to expand their market reach.
- In April 2023, PharmaCielo, a distinguished Canadian cultivator and producer of dried flower and medicinal-grade cannabis extracts, entered into a partnership with CANNPRISMA - PHARMA, a respected Portuguese Contract Manufacturing Organization.
- In May 2022, Canopy Growth Corporation expanded its cannabis-infused carbonated drinks line with the introduction of two tantalizing new flavors: orange and grape.
- In April 2022, approval was given to seven medical marijuana companies, granting them approval to commence sales to the general adult population. This marked a significant milestone, as it paved the way for the inaugural legal marijuana transactions in the New York City region within just one month.
Report Details
| Report Characteristics |
| Market Size (2023) |
USD 18.1 Bn |
| Forecast Value (2032) |
USD 122.7 Bn |
| CAGR (2023-2032) |
23.7% |
| Historical Data |
2018 – 2023 |
| Forecast Data |
2024 – 2033 |
| Base Year |
2023 |
| Estimate Year |
2024 |
| Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
| Segments Covered |
By Type (Cannabis Extracts, and Flower & Buds), By
Application (Chronic Pain, Mental Disorders, Cancer,
and Others), By End User (Pharmaceutical, and
Research & Development Centers) |
| Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
| Prominent Players |
OAurora Cannabis Inc., Tilray Inc., Canopy Growth
Corporation, CannTrust Holdings Inc., VIVO Cannabis
Inc., Cronos Group Inc., Jazz Pharmaceuticals,
OrganiGram Holdings, Lexaria Corp., ABcann
Medicinals Inc., and Other Key Players |
| Purchase Options |
We have three licenses to opt for: Single User License (Limited to 1 user), Multi-User License (Up to 5 Users), and Corporate Use License (Unlimited User) along with free report customization equivalent to 0 analyst working days, 3 analysts working days and 5 analysts working days respectively. |
Frequently Asked Questions
The Global Medical Cannabis Market size is estimated to have a value of USD 18.1 billion in 2023 and is
expected to reach USD 122.7 billion by the end of 2032.
North America has the largest market share for the Global Medical Cannabis Market with a share of
about 78.4% in 2023.
Some of the major key players in the Global Medical Cannabis Market are Medical Marijuana, Inc., Terra
Tech Corp., VIVO Cannabis Inc., OrganiGram Holding Inc., Cronos Group Inc., Aurora Marijuana Inc., and
many others.
The market is growing at a CAGR of 23.7 percent over the forecasted period.