Worldwide Medical Cannabis Market Growing at 21%
R&M Report says growth due to increased demand for cannabis compounds but warns that high prices may impede growth over the next five years.
The worldwide medical cannabis sector is expected to be worth $24.86 billion by 2027, according to a new Research and Markets report. Starting at a 2022 sales estimate of $2.91 billion, the figure represents a compound annual growth rate of 20.9%.
The data was gathered from multiple countries across several continents, including some of the world’s largest medical cannabis markets such as Germany, the U.S., Spain, the United Kingdom, Australia, Israel, Thailand, and Denmark. The report also included lesser-known countries that allow medical cannabis access and those that still prohibit medical cannabis, such as Russia and countries in the Middle East and Africa.
The report says some of the growth is due to an increased demand for cannabis compounds, an increase in population and accompanying diseases, and rising awareness about the benefits of medical cannabis.
The report does warn, however, that the high price of medical cannabis may act as an impediment to growth over the next five years. Other challenges facing industry growth, the report says, are rising energy prices and issues with maintaining product consistency.
Earlier this year, a MarketsandMarkets report predicted that the global cannabis industry — encompassing both medical and adult-use sales — would reach $90.4 billion by the year 2026.