Cannabis cultivation involves growing cannabis plants for their medical and recreational uses. Cannabis products for medical use contain compounds like cannabidiol (CBD) and tetrahydrocannabinol (THC) that are effective in treating various medical conditions including chronic pain, epilepsy and others.
The global Cannabis Cultivation Market is estimated to be valued at US$ 16.0828 Mn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving the growth of the cannabis cultivation market is the growing demand and popularity of cannabis flower. Cannabis flower has been the largest revenue generating segment due to its widespread use in joint and blunt smoking. According to a recent study, cannabis flower accounts for over 70% market share among all cannabis product categories such as oils, edibles and others. With growing consumer preference for smoking joints or blunts, the demand for high quality cannabis flower is expected to increase substantially over the forecast period thereby fuelling the growth of cultivation market.
Strength: Legalization of cannabis for medical and recreational use in various countries has increased its demand. Growing acceptance of cannabis in healthcare industry as an alternative treatment.
Weakness: Presence of stringent regulations around the production, distribution and use of cannabis products. High initial investment requirement for cannabis cultivation centers.
Opportunity: Untapped growth potential in emerging markets of Asia Pacific and Latin America. Innovation of new cannabis-based products for various applications.
Threats: Risk of oversupply hurting cannabis prices. Intense competition among existing players. Vulnerable to unfavorable changes in government policies.
The Global Cannabis Cultivation Market Size is expected to witness high growth, exhibiting a CAGR of 10% over the forecast period, due to increasing legalization of cannabis across several countries.
North America dominates the global cannabis cultivation market currently. The U.S. is one of the major producers and consumers of cannabis in the world. Favorable cannabis policies and growing medicinal application of cannabis are boosting the market in this region. Asia Pacific is expected to grow at the fastest rate during the forecast period. Countries like China, India are gradually legalizing medical cannabis which is creating new opportunities in this region.
Key players operating in the Cannabis Cultivation market are Tilray,Canopy Growth Corporation,Aurora Cannabis,Aphria,Cronos Group,Acreage Holdings,MedMen Enterprises,Curaleaf Holdings,Trulieve Cannabis Corporation,Organigram Holdings. Major players are focusing on capacity expansion, M&A, new product launch to strengthen their market position and cater growing demand for cannabis.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it