Cannabis - Russia

Russia

The anticipated revenue in the Cannabis market in Russia is projected to reach US$90.19m by 2024.
It is expected to demonstrate an annual growth rate (CAGR 2024-2028) of 17.85%, leading to a market volume of US$174.00m by 2028.
In comparison to other countries, in the United States is projected to generate the highest revenue of US$42.98bn in 2024.
When considering the total population, per person revenues of US$0.63 will be generated in Russia in 2024.
Despite the global growth of the cannabis market, Russia remains staunchly opposed to its legalization and continues to enforce strict laws against its use and distribution.

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

Market

Region

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Currency

Analyst Opinion

The Cannabis market in Russia has been steadily growing over the past few years, driven by changing consumer preferences and evolving regulations.

Customer preferences: In Russia, there is a growing trend towards natural and alternative medicine, leading consumers to explore cannabis products for health and wellness purposes. Additionally, there is a rising interest in recreational cannabis among the younger population, contributing to the increasing demand for cannabis products in the market.

Trends in the market: One of the notable trends in the Russian cannabis market is the emergence of online platforms and delivery services for cannabis products. This trend is influenced by the convenience and discretion that online shopping offers to consumers. Moreover, there is a growing variety of cannabis products available in the market, including CBD oils, edibles, and skincare products, catering to different consumer preferences.

Local special circumstances: Russia has strict regulations surrounding the use of cannabis, with medical cannabis being legal but recreational use remaining illegal. This unique regulatory environment creates opportunities for domestic cannabis producers to focus on the medical cannabis segment while navigating the legal restrictions around recreational use. Additionally, the cultural perception of cannabis in Russia plays a significant role in shaping consumer attitudes and market dynamics.

Underlying macroeconomic factors: The economic landscape in Russia, characterized by fluctuating oil prices and geopolitical tensions, impacts the cannabis market in various ways. Economic uncertainty can influence consumer spending habits and investment decisions in the cannabis industry. Furthermore, regulatory developments and government policies regarding cannabis legalization can be influenced by broader economic factors and political considerations in the country.

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.