In 2017 And Beyond, US Enjoys The Highest Legal Cannabis Market Share Worldwide
In their combined executive summary “The State of Legal Marijuana Markets, 6th Edition” (SOLMM), Arcview Market Research and BDS Analytics report, “Cannabis saw its first US$5-billion company in 2017, Canadian licensed producer Canopy Growth [CG].” Capitalized at that level, the company posted $54 million in cannabis revenue. It is no wonder the giant alcohol conglomerate Constellation Brands earlier invested $190.8 million in CG, an almost 10% stake in a company formed just four years ago.
The report states, “Legal adult-use sales will largely be a North American phenomenon,” and today the U.S. reigns in the legal cannabis market worldwide.
The SOLMM report claims the legal cannabis industry has been transformed dramatically since 2013; then, it was “medical-only” and was an under $3 billion industry. According to the report, since then “59 million adults in the United States have had their access to legal cannabis improved, either via voter initiative or, most recently in West Virginia, by legislative action.”
Today, the U.S. is the epicenter of the legal cannabis market and it appears it will hold that position for the foreseeable future. In 2017 the worldwide legal marijuana trade grew by 37% and was worth $9.5 billion. At $8.5 billion, the U.S. accounted for 90% of it . At $0.6 billion Canada’s 2017 share was 6%. The rest of the world combined made up the remaining 4%.
By 2022, legal cannabis revenue in the U.S. market is projected to hit $23.4 billion (73% of the market). During the same period, Canada is projected to reach $5.5 billion (17%) and at $3.1 billion, the rest of the world will represent almost 10% of the legal cannabis market.
It appears recreational use will be the growth driver. The medical portion of the cannabis market was down from 100% of the market in 2013 to 71%