Cannabis - Canada

Canada

Canada's Cannabis market is expected to experience significant growth in the coming years.
According to projections, the revenue in this market is set to reach a staggering US$5.63bn by 2024.
Furthermore, a promising annual growth rate of 3.17% (CAGR 2024-2029) is anticipated, which will result in a market volume of US$6.58bn by 2029.
When comparing Canada's performance with other countries, it is noteworthy that in the United States is expected to generate the highest revenue in the Cannabis market, reaching an impressive US$42.98bn by 2024.
This showcases the immense potential and profitability of the industry on a global scale.
In terms of per capita revenue, in Canada is projected to generate approximately US$0.44k per person in 2024.
This figure highlights the significant economic impact that the Cannabis market can have on the country's overall population.
Canada's legalization of recreational cannabis has led to a booming market, with a wide range of products and a strong focus on regulatory compliance.

Key regions: United States, Canada, Netherlands, Germany, Thailand

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Analyst Opinion

Canada has emerged as a key player in the global Cannabis market, with a unique set of customer preferences, market trends, and local special circumstances driving its development.

Customer preferences: Canadian consumers have shown a growing preference for a wide range of Cannabis products, including dried flowers, oils, capsules, and edibles. This diversification in product preferences has been fueled by an increasing acceptance of Cannabis for both recreational and medicinal purposes. Additionally, customers in Canada are placing a strong emphasis on product quality, safety, and transparency in labeling.

Trends in the market: One of the prominent trends in the Canadian Cannabis market is the rapid expansion of retail outlets, both physical stores and online platforms, providing customers with a variety of options to purchase Cannabis products. Moreover, there is a noticeable shift towards premium and organic Cannabis products, reflecting a more sophisticated consumer base. The market is also witnessing a rise in collaborations between Cannabis companies and mainstream retailers, further normalizing the purchase and consumption of Cannabis products.

Local special circumstances: Canada's Cannabis market is heavily influenced by its regulatory environment, with the country legalizing Cannabis for recreational use in 2018. This regulatory framework has paved the way for a well-established industry with stringent quality control measures and a focus on research and development. Additionally, the presence of a robust medical Cannabis program has contributed to a culture of Cannabis acceptance and innovation in the country.

Underlying macroeconomic factors: The growth of the Cannabis market in Canada is also supported by favorable macroeconomic conditions, including a stable economy, high disposable income levels, and a well-developed infrastructure for Cannabis cultivation and distribution. Furthermore, the country's progressive stance on Cannabis legalization has attracted significant investment from both domestic and international players, driving further market expansion and innovation.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on companies' revenues, funding values and global consumer survey data. Revenues include retail, sales and taxes.

Modeling approach / Market size:

Market sizes are determined by a Top-Down approach, based on a specific rationale for each market market. As a basis for evaluating markets, we use financial reports, third-party data. Next, we use relevant key market indicators and data from country-specific associations such as tobacco spending per capita, medical product spending per capita, consumer spending and consumer spending for recreation purposes, population. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, S-Curve function, ARIMA time series model and exponential curve function.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. GCS data is reweighted for representativeness.