BOULDER, Colo., March 2, 2021 (GLOBE NEWSWIRE) – BDSA today announced the release of its 2020 cannabis sales data and forecasts future sales by region. Global cannabis sales reached nearly $ 21.3 billion in 2020, up 48% from $ 14.4 billion in 2019. BDSA predicts global cannabis sales will grow from $ 21.3 billion in 2020 to $ 55.9 billion in 2026, representing an average annual growth rate (CAGR) of more than 17%.
“The cannabis industry has faced numerous challenges in recent years, none of which have been as disruptive as the 2020 coronavirus pandemic,” said Micah Tapman, chief executive officer of BDSA. “Our previous forecast was conservative based on the expected economic consequences of the pandemic, but the industry not only survived, it thrived, and legal cannabis gained considerable ground and exceeded our expectations in several markets.”
Many mature markets in the US saw accelerated growth in 2020 – Colorado grew 26%, doubled its 13% increase in 2019, and Oregon expanded 39% from 21% in 2019. Canada, the largest national market, grew 61% %% in 2020 to over $ 2.6 billion, boosted by the introduction of a variety of new product options in late 2019 under the government’s new “Cannabis 2.0” rules that allowed the sale of derivatives such as food.
Nevertheless, new markets are the key to future growth. The medical and adult markets, launched in 2019 and 2020, contributed $ 1.6 billion to spending, $ 422 million for medical and nearly $ 1.2 billion for adults in 2020. Five new U.S. markets legalized cannabis for medicinal or adult use during the 2020 election: Arizona, Mississippi, New Jersey, Montana, and South Dakota. BDSA expects four new medical markets and five new adult markets to open in 2021.
These data reflect the legal projections for the cannabis market. CBD market forecasts are also available from BDSA and include CBD dominant products (made from marijuana or hemp) sold in pharmacies, pharmaceuticals, and general retail (made from hemp) CBD products.
Legal cannabis sales in the U.S. were $ 17.5 billion in 2020, up 46% from $ 12.1 billion in 2019. BDSA predicts U.S. sales in 2026 to be 41.3 billion US dollars, which corresponds to an annual growth rate of 15%. Introduced for adults last year, Illinois saw the largest dollar gain in 2020, increasing by $ 784 million. There was strong expansion in several other markets including California (+ $ 586 million), Florida (+ $ 473 million), Colorado (+ $ 451 million) and Oklahoma (+ $ 400 million).
Legal cannabis sales in Canada were estimated to be $ 2.6 billion in 2020 and are projected to grow to nearly $ 6.4 billion by 2026, an annual growth rate of 16%. Canada began legal adult sales in late 2018, allowing for a dramatically expanded product offering in both the medical and adult markets. During the year, BDSA retail sales tracking data in Alberta and British Columbia showed rapid growth in shares of new Cannabis 2.0 product categories.
Sales of legal cannabis products, including cannabis-derived medicines, outside the United States and Canada exceeded $ 1 billion in 2020 with spending nearly $ 1.1 billion. BDSA predicts that international sales will exceed $ 8.3 billion in 2026, an annual growth rate of 40%. Most of this new legal spending will be driven by Mexico (104% CAGR) and Germany (36% CAGR), although the UK (57% CAGR) and France will make a significant contribution (186% CAGR). Mexico is projected to account for nearly 32% of legal cannabis spending beyond the US and Canada in 2026.
BDSA (formerly BDS Analytics), headquartered in Boulder, Colorado, helps companies improve sales, reduce innovation risk, and prioritize market expansion. The company provides a holistic understanding of the global cannabinoid market by generating comprehensive, accurate, and actionable insights through point-of-sale data, consumer research, and forecasting models available through the award-winning GreenEdge® data platform. For more information on how to leverage BDSA’s market research and insights, please visit www.bdsa.com.
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