The global legal cannabis market was worth $12 billion in 2018 and is set to reach $166 billion by 2025. The global cannabis market, both legal and illicit, is worth $150 billion, according to a new white paper from Euromonitor. By 2025, the global legal cannabis market will represent 77% of the market. A report made by Euromonitor identified the countries with the greatest market potential.
According to the Cannabis Legalization Index, North America dominates the global legal cannabis market. Canada and the United States rank first and second respectively.
Within Latin America, Uruguay leads the ranking in the number four position, followed by Argentina, Chile and Mexico. Peru is ranked 29th.
It should be noted that the new cannabis legalization index developed by Euromonitor ranks 100 countries with market potential for legal cannabis.
Three indicators are used to qualify its attractiveness: legal status, socio-demography and current consumption of tobacco, alcohol, and cannabis.
Along these lines, the global legal cannabis market is estimated to reach $166 billion by 2025.
“A key question for the industry is what models the new countries will adopt for the legalization of cannabis,” says Shane MacGuill, head of tobacco research at Euromonitor International.
Geography, attitudes toward products such as tobacco and alcohol, and the level of government involvement in the economy are three factors that will impact future regulatory frameworks.
At the same time, the industry will continue to experience exponential growth while alcohol and tobacco will grow at a much slower pace.
From 2018 to 2025, legal cannabis is estimated to grow more than 2% globally, compared to alcoholic drinks at 1.4% and tobacco at 1.2%.
Euromonitor predicts that America and Europe will dominate the legal cannabis industry in the short and medium-term.
However, the movement behind cannabis normalization is now universal and it is expected that legalization will begin to accelerate in other regions.
According to the report, globally, consumers increasingly support legalization, a trend that will continue to grow. Opportunities for use are expanding, making cannabis legalization widely disruptive.
__
(Featured image by Valentin Antonucci via Pexels)
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Hemp.im, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in CannabisMagazine, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Hemp.im assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Hemp.im is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
The DEA has postponed a key hearing on the reclassification of cannabis. The hearing was…
A new California Department of Public Health report has come out with recommendations for THC…
Ontario is investing $31 million over the next three years to enhance efforts against illegal…
Frankfurt and Hanover are launching five-year pilot projects for legal, regulated cannabis sales to adults,…
Italy's Regional Administrative Court suspended the Health Ministry's decree labeling CBD as a narcotic, pending…
This November, five U.S. states will vote on measures related to legalizing recreational or medical…