According to Euromonitor International forecasts, the cannabis sector will grow rapidly over the next decade and will completely change the food, tobacco, medical, and cosmetic industries. In 2025 the legal cannabis market will grow to 77% of total sales or $166 billion. Euromonitor estimated that the beverage producers will take over cannabis businesses and create their own new CBD brands.
According to Euromonitor International forecasts, the legal cannabis market will grow rapidly in the next decade, completely changing the food, tobacco, medical and cosmetic industries.
Already, more and more countries are deciding to legalize and regulate cannabis sales. Although the cannabis industry still has some problems with access to financing.
What the future holds for the legal cannabis market
Cannabis-based drinks, cosmetics, a lunch box with CBD, cannabis pills for a good night’s sleep – this is how our world may look in 2030.
Euromonitor analysts are currently valuing the global cannabis market, both legal and illegal, at $150 billion.
According to forecasts, in 2025 the legal market will grow by 77% of total sales amounting to $166 billion. Furthermore, experts argue that by 2030 companies will have their own brands of cannabis for everyday use, as cannabinoids can be used in many industries.
Legalization is progressing across North America
Hemp-based products can roughly be divided into three categories: those containing psychoactive tetrahydrocannabinol (THC), medicinal substances (CBD) and others (oil, seeds, fibers).
Currently, the medical and recreational cannabis market is developing mainly in North America. In the U.S., medical cannabis use is legal in 33 states and recreational cannabis use is legal in 11 states. In Canada, medical cannabis has been legal since 2001 and recreational cannabis has been legal since 2018.
The cannabis market may have a strong impact on several major FMCG sectors in the coming years. This will be mainly the non-alcoholic beverages sector, where CBD is starting to be used.
Euromonitor assumes that in the coming years the beverage producers will take over cannabis businesses and create their own new CBD brands.
How the legal cannabis market plays into other sectors
The legalization of cannabis will also change the tobacco industry, where demand for cigarettes is already falling in developed markets and the number of smokers is decreasing.
Smokers are already experimenting with THC, mainly through vaporization, and tobacco producers themselves are increasingly willing to invest in cannabis companies.
“Cannabis legalization will revolutionize the tobacco industry and will contribute to the decline in demand for tobacco,” Euromonitor predicted.
CBD is also becoming an increasingly popular substance in the cosmetics industry, most commonly used in the production of dermo-cosmetics. It also appears more and more often in dietary supplements, analgesics or sleeping pills.
Cannabis takes over the food industry
The legal cannabis market is also taking the food industry by storm.
“Sales of food from CBD or even THC will double in the next two years,” estimated Euromonitor.
At the moment, cannabis is used mainly to produce sweets, but in the following years, cannabinoids as an additional ingredient will become almost ubiquitous and will be used even in products such as bread, pasta or instant soups.
For example, this summer Carrefour started selling Cannabread, a marijuana bread made in Belgium.
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 BusinessInsiderPolska, 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.