Cannabinoids Market

Global cannabinoids market is defined by the sale of chemicals derived from the cannabis plant, primarily for medicinal purposes. These chemicals include CBD (cannabidiol) and THC (tetrahydrocannabinol), among others. The market size was valued at USD 9.3 billion in 2020 and is forecasted to reach USD 41.9 billion by 2028, growing at a CAGR of 24.6% from 2021 to 2028.

Market Overview
Cannabinoids market has experienced significant growth due to the increasing acceptance of cannabis for medical purposes. The market is driven by the growing number of countries legalizing cannabis for medical use, as well as the expanding applications of cannabinoids in various medical conditions.

Market Dynamics
Drivers:

Increasing awareness about the therapeutic benefits of cannabinoids
Growing acceptance of cannabis for medical and recreational purposes
Legalization of cannabis in several countries
Restraints:

Stringent regulations and legal issues
Lack of standardization and quality control
Adverse effects associated with cannabis use
Challenges:

Lack of comprehensive research on the long-term effects of cannabinoids
Limited availability of cannabis-based products in some regions
The stigma associated with cannabis use
Opportunities:

Development of novel cannabinoid-based drugs
Expansion of the market in emerging economies
Increasing investments in research and development
 

Key Insights in Different Regions
United States: The US dominates the global cannabinoids market due to the legalization of medical and recreational cannabis in several states.

Europe: Europe is a significant market for cannabinoids, with countries like Germany, the UK, and France showing rapid growth due to the legalization of medical cannabis.

Japan: The market for cannabinoids in Japan is relatively small due to strict regulations on cannabis use.

China: China has a growing market for cannabinoids, driven by the increasing acceptance of cannabis for medical purposes.

India: The market for cannabinoids in India is nascent, but there is growing interest in the medicinal properties of cannabis.

Regional Status
The dominance of the market varies by region, with North America leading in terms of market share, followed by Europe and Asia-Pacific. The market is expected to grow significantly in Asia-Pacific due to the increasing acceptance of cannabis for medical use in countries like Australia and Thailand.

Market Segmentations & Fastest Growing Segmentation
The cannabinoids market can be segmented based on product type, application, and region. The fastest-growing segment is expected to be the CBD-based products segment, driven by the increasing demand for CBD for its therapeutic properties.

Major Companies Operating in Different Regions
Some of the major companies operating in the global cannabinoids market include Canopy Growth Corporation, Aphria Inc., Aurora Cannabis Inc., GW Pharmaceuticals plc, and Tilray Inc.

Latest News & Recent Development News

In 2021, Jazz Pharmaceuticals acquired GW Pharmaceuticals to strengthen its position in the cannabinoid-based therapies market.
In 2022, Tilray Inc. announced the launch of a new line of CBD-based skincare products.
 

Market Segmentation in Proper Form

By Product Type: CBD-based products, THC-based products, Others
By Application: Medical, Recreational, Others
By Region: North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
 

Report Highlights

Growing acceptance of cannabis for medical purposes
Increasing investments in research and development
Legalization of cannabis in several countries
 

Most Frequently Asked Questions Related to Market
Q: What is driving the growth of the cannabinoids market?

Q: Which region dominates the global cannabinoids market?

Q: What are the major companies operating in the market?