Cannabis - Eastern Africa

Eastern Africa

The Cannabis market in Eastern Africa is forecasted to reach US$121.00m in 2024.
This market is expected to experience a Compound Annual Growth Rate (CAGR 2024-2029) of 2.62%, leading to a market volume of US$137.70m by 2029.
When compared globally, the United States is set to generate the highest revenue, amounting to US$42.98bn in 2024.
In terms of per capita figures, individuals in Eastern Africa are projected to generate revenues of US$0.22k in 2024.
Eastern Africa's cannabis market is experiencing a surge in investor interest, with Kenya leading the way in exploring legalization and regulation.

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

Market

Region

Region comparison

Currency

Analyst Opinion

The Cannabis market in Eastern Africa is experiencing a notable shift in consumer preferences, market trends, and local special circumstances.

Customer preferences: Consumers in Eastern Africa are increasingly showing a preference for cannabis products due to changing attitudes towards the plant's medicinal and recreational uses. The growing awareness of the potential health benefits of cannabis is driving demand among a diverse consumer base, including young adults and older individuals seeking alternative remedies.

Trends in the market: In countries like Kenya, Tanzania, and Uganda, there is a noticeable trend towards the legalization of cannabis for medical and industrial purposes. This shift is opening up new opportunities for local farmers, entrepreneurs, and investors to tap into the growing market. Additionally, the export potential of cannabis products to other regions is gaining traction, further fueling market growth.

Local special circumstances: Eastern Africa's unique climatic conditions present both opportunities and challenges for cannabis cultivation. The region's diverse geography allows for the cultivation of a wide variety of cannabis strains, catering to different market preferences. However, regulatory frameworks and cultural attitudes towards cannabis vary across countries, impacting the pace of market development.

Underlying macroeconomic factors: The economic landscape in Eastern Africa plays a significant role in shaping the cannabis market. As countries in the region look to diversify their economies and attract foreign investment, the cannabis industry presents a promising avenue for growth. By capitalizing on the growing global demand for cannabis products, Eastern Africa has the potential to establish itself as a key player in the industry.

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.