Medical Cannabis Market

Medical Cannabis Market Size (2024 to 2032)

As per our research report, the global medical cannabis market is anticipated to be USD 24.89 Billion in 2024 and USD 129.54 Billion by 2032, registering a CAGR of 22.9% during the forecast period.

The global medical cannabis market has witnessed substantial growth, primarily fueled by increasing legalization and widespread acceptance of cannabis for therapeutic use. The primary medical applications of cannabis include chronic pain management, epilepsy, and neurological disorders, with extensive research continuously supporting its therapeutic efficacy.

North America, particularly the United States and Canada, remains a dominant region due to favorable regulatory frameworks. Meanwhile, Europe and parts of Latin America are emerging as key markets as regulatory landscapes evolve. Additionally, growing public preference for natural treatments over conventional pharmaceuticals is further accelerating market growth. Increased awareness regarding the potential health benefits of medical cannabis continues to drive the expansion of this market.

MEDICAL CANNABIS MARKET TRENDS

Growing number of R&D activities

A significant trend within the medical cannabis market is the rising investment in research and development to explore its therapeutic potential across various conditions. Companies are increasingly collaborating with academic institutions to better understand the clinical applications of cannabis-based treatments. Notable progress has been made in trials for conditions such as epilepsy, cancer-related pain, and chronic pain management. A 2023 report indicated that approximately 40% of cannabis-related clinical trials focus on chronic pain relief, reflecting the growing demand for alternative treatments to opioid-based medications. GW Pharmaceuticals, known for its development of the FDA-approved drug Epidiolex, has been a pioneer in medical cannabis R&D, setting a precedent for others in the industry. These ongoing research efforts are poised to further influence the medical cannabis landscape, creating avenues for new product development and the potential expansion of approved therapeutic applications.

Expanding Legalization

The continued legalization of medical cannabis, particularly in North America and Europe, remains a driving trend in the market. By 2023, over 30 U.S. states had legalized medical cannabis, with several European countries, including Germany and Italy, following suit. This regulatory shift has broadened patient access to medical cannabis, significantly expanding market opportunities. For instance, Canada experienced a 25% year-over-year growth in its medical cannabis sector following the complete legalization of cannabis.

Globally, legislative reforms are expected to progress as the medicinal benefits of cannabis gain wider acceptance among both policymakers and healthcare providers. Companies such as Tilray and Aurora Cannabis are positioning themselves to capitalize on these regulatory changes, paving the way for greater market penetration and revenue growth in newly legalized regions.

Growth of Cannabis-Derived Pharmaceuticals

The pharmaceutical segment of the medical cannabis market has been rapidly expanding, particularly following the FDA’s approval of cannabis-based drugs such as Epidiolex and Sativex. These approvals marked a significant milestone in integrating cannabis into the conventional pharmaceutical landscape. The demand for standardized, prescription-grade cannabis products has increased, with companies focusing on developing cannabinoid-based therapies for chronic conditions, including multiple sclerosis and anxiety disorders.

A 2022 report by Prohibition Partners projected that cannabis-derived pharmaceuticals could account for over 30% of total cannabis sales by 2026. This surge underscores the growing trust and demand for cannabis-based medications, as healthcare providers increasingly prescribe these products for conditions with limited conventional treatment options.

MARKET DRIVERS

Increasing Legalization and Public Acceptance

The gradual legalization of medical cannabis across various regions remains one of the most influential drivers of market growth. Public perception has shifted significantly, with increasing recognition of cannabis’ medicinal properties. In 2023, nearly 68% of Americans supported the legalization of cannabis, a notable increase from 31% in 2000. Similarly, European countries, such as Germany, are moving towards broader acceptance, with their medical cannabis market projected to grow at a CAGR of 22.5%.

The growing public approval and corresponding regulatory changes have stimulated investments in cannabis cultivation, research, and product development. As a result, the market is expected to see continued expansion as more countries implement medical cannabis programs.

Growing Geriatric Population

The rising global geriatric population is a key factor driving the demand for medical cannabis. As the prevalence of chronic conditions such as arthritis, neuropathy, and chronic pain increases among older adults, the demand for alternative therapies like cannabis-based treatments has grown significantly. According to the United Nations, the global population aged 60 years and older is projected to double by 2050, presenting a large target market for medical cannabis products.

In the United States, medical cannabis use among seniors rose by 75% between 2015 and 2020, demonstrating a growing trend within this demographic. Cannabis companies are increasingly developing products specifically tailored for elderly users, providing new opportunities for market expansion.

Advances in Medical Research

Advancements in medical research are continually propelling the growth of the medical cannabis market. Clinical studies continue to demonstrate the efficacy of cannabis in treating conditions such as epilepsy, cancer-related pain, and post-traumatic stress disorder (PTSD). This body of evidence is influencing healthcare providers to increasingly recommend cannabis-based therapies as part of patient treatment plans.

A 2022 study published in the Journal of Clinical Oncology revealed that nearly 50% of oncologists surveyed had recommended medical cannabis to their patients. As cannabis research progresses, it lends credibility to the industry, attracting new patients and healthcare providers, thus supporting the broader adoption of medical cannabis products.

MARKET RESTRAINTS

Regulatory and Legal Barriers

Despite significant progress in legalization, regulatory and legal barriers continue to hinder the growth of the medical cannabis market. Varied legal frameworks across different countries and even states within the U.S. create inconsistencies in the market, affecting product availability and leading to supply chain disruptions. In 2022, several U.S. states maintained strict cannabis regulations, complicating the sales and prescription processes. These regulatory complexities can delay market entry for companies and limit patient access to medical cannabis. Additionally, the regulatory compliance required to produce and distribute medical cannabis imposes high costs on companies, further constraining market growth.

Social Stigma

While public acceptance of medical cannabis is on the rise, the social stigma surrounding cannabis use persists, particularly in more conservative regions. Misconceptions around cannabis as a recreational drug can deter both patients and healthcare providers from adopting cannabis-based treatments. A 2021 Pew Research survey found that 32% of U.S. adults still opposed cannabis legalization, highlighting the ongoing challenge of overcoming societal barriers. Addressing this stigma requires continued education efforts that highlight the medicinal benefits of cannabis, as well as ongoing research to build trust among patients and the medical community.

Complexities in Cannabis Cultivation

The complexities involved in cultivating medical-grade cannabis pose a significant restraint on the market. Growing cannabis for pharmaceutical use requires stringent conditions and strict compliance with regulatory standards. Even minor deviations in cultivation can lead to the loss of crops, increasing production costs. In 2022, approximately 15% of cannabis crops in Canada were destroyed due to non-compliance with regulatory standards.

MARKET OPPORTUNITIES

Expansion into Emerging Markets

The expansion of medical cannabis into emerging markets presents a significant growth opportunity. Latin America, Asia, and Africa are regions where medical cannabis regulations are gradually evolving, creating new opportunities for market entry. Countries like Mexico and Brazil are exploring medical cannabis legalization, which could open significant avenues for growth. A report by Prohibition Partners estimates that the Latin American cannabis market could reach USD 13 Billion by 2028, with Brazil accounting for the largest share. Companies entering these markets have the potential to establish strong footholds as early movers in regions with growing demand for medical cannabis.

Development of Non-Psychoactive Products

The growing demand for non-psychoactive cannabis products, such as CBD-based treatments, presents a major opportunity for companies. CBD, which is valued for its therapeutic effects without the psychoactive high associated with THC, has gained widespread acceptance in the medical field. This trend has driven the development of products such as CBD oils, creams, and edibles, catering to patients seeking effective treatments for a wide range of conditions. In 2023, the global CBD market was valued at USD 17.27 billion, underscoring the increasing consumer preference for non-psychoactive cannabis products.

Partnerships and Collaborations

Strategic partnerships and collaborations between cannabis companies and pharmaceutical firms present significant opportunities for the development of advanced medical cannabis products. These partnerships enable companies to leverage each other’s expertise and resources to innovate and bring new products to market. In 2021, Jazz Pharmaceuticals’ acquisition of GW Pharmaceuticals for USD 7.2 Billion demonstrated the value of such collaborations, enhancing the development of cannabis-based pharmaceuticals.

As the medical cannabis market continues to grow, partnerships between cannabis and pharmaceutical companies are expected to play a crucial role in the creation of new, highly effective treatments for a variety of medical conditions.

MARKET CHALLENGES

Banking and Financial Restrictions

A persistent challenge in the medical cannabis industry is the limited access to traditional banking services. Despite the growing acceptance of cannabis for medical purposes, it remains federally illegal in the U.S., creating significant hurdles for businesses seeking banking and financial services. As of 2022, approximately 70% of cannabis businesses in the U.S. still operated on a cash-only basis, according to industry reports. This lack of access to banking services presents several operational difficulties, such as increased security risks, inefficiencies in payment processing, and challenges in securing capital for expansion. Without comprehensive financial solutions, many cannabis companies face difficulties scaling their operations and ensuring sustainable growth, making this a critical area of concern.

Limited Clinical Research

While the medical cannabis market has made strides in recent years, a significant obstacle remains the limited availability of robust clinical research. Regulatory restrictions in several countries have impeded large-scale clinical trials, leaving gaps in data on the long-term safety and efficacy of cannabis-based treatments. As a result, healthcare providers are often hesitant to recommend cannabis, opting instead for more thoroughly researched alternatives. A 2022 study conducted by the American Medical Association found that only 18% of U.S. physicians felt confident prescribing cannabis-based therapies. This shortage of comprehensive data not only restricts broader clinical adoption but also limits the market’s ability to grow at its full potential, particularly in regions with stringent regulatory frameworks.

Price Volatility

Price volatility has emerged as a notable challenge in the medical cannabis market. Fluctuating prices, driven by factors such as regulatory shifts, supply chain disruptions, and cultivation complexities, create uncertainty for producers and consumers alike. For instance, cannabis product prices in Canada fluctuated by up to 20% between 2020 and 2022, primarily due to changes in market regulations and production costs. This instability makes long-term planning difficult for businesses and may deter new entrants from investing in the market. Inconsistent pricing also affects patient access, as higher costs can limit the affordability of cannabis-based treatments, thus hindering the market's overall growth potential.

IMPACT OF COVID-19 ON THE MEDICAL CANNABIS MARKET

The COVID-19 pandemic had a multifaceted impact on the global medical cannabis market, influencing production, distribution, and consumer behavior. While some areas of the market experienced growth, others faced challenges related to supply chain disruptions and regulatory delays.

Increased Demand for Medical Cannabis

During the pandemic, there was a notable surge in demand for medical cannabis, as consumers sought alternative treatments to manage stress, anxiety, and other health conditions exacerbated by lockdowns and the global health crisis. According to a 2020 report by New Frontier Data, cannabis consumption in the U.S. rose significantly in the early months of the pandemic, with some states recording sales increases of up to 50%. In many regions, cannabis dispensaries were deemed essential businesses, enabling them to continue operations despite widespread restrictions. This contributed to sustained and, in some cases, heightened demand for medical cannabis products.

Supply Chain Disruptions

Despite increased demand, the medical cannabis market faced considerable supply chain disruptions. Cross-border trade restrictions, transportation issues, and health protocols in production facilities resulted in raw material shortages and delayed product deliveries. In Canada, for instance, medical cannabis producers reported slowdowns due to worker safety measures and the implementation of social distancing requirements at cultivation and manufacturing sites. These disruptions led to temporary product shortages and price increases, affecting both consumers and businesses.

Regulatory Delays

The pandemic also impacted regulatory processes related to medical cannabis. Resources that would typically support cannabis legalization efforts, product approvals, and licensing were diverted to address the health crisis. This led to delays in the approval of new cannabis products, licenses, and research initiatives. In Mexico, for example, the final stages of cannabis legalization and market entry were postponed as government agencies shifted focus to pandemic response efforts, slowing the development of the country’s medical cannabis market.

Accelerated Shift Toward E-Commerce

The pandemic significantly accelerated the adoption of e-commerce within the medical cannabis industry. As physical dispensaries faced operational limitations or temporary closures, consumers increasingly turned to online platforms to access cannabis products. In response, many dispensaries quickly expanded their e-commerce capabilities to meet growing digital demand. A study conducted by Headset in 2020 indicated that online sales of cannabis products in the U.S. increased by over 30% during the pandemic, highlighting a major shift in consumer purchasing behavior. This trend is expected to have lasting effects on the industry, with digital transactions becoming a permanent feature of the market.

Telemedicine and Prescription Trends

COVID-19 also drove the adoption of telemedicine for medical cannabis consultations, allowing patients to consult with healthcare providers and obtain prescriptions via virtual platforms. As in-person visits became limited, telemedicine provided an essential service for patients requiring medical cannabis for conditions such as chronic pain, anxiety, and epilepsy. The shift toward telehealth not only improved access to cannabis treatments but also helped sustain demand throughout the pandemic, ensuring that patients could continue to receive care despite the challenges of the health crisis.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Medical Cannabis Market By Species

The indica segment dominated the market in 2023, accounting for 41.9% of the worldwide market share. These strains are widely used for their sedative and pain-relieving effects, making them a preferred option for patients with conditions such as chronic pain and insomnia. The demand for Indica-based treatments continues to grow, particularly in regions like Canada and Germany, where medical cannabis is increasingly integrated into healthcare systems. The growing aging population and a rising preference for natural pain management solutions are further likely to boost the expansion of indica segment in the global market during the forecast period.

The hybrid segment captured 34.8% of the worldwide market share in 2023. Hybrid strains, which combine the effects of both Indica and Sativa. These strains are increasingly popular for their versatility, as they can be tailored to treat a wide range of medical conditions, including anxiety, chronic pain, and insomnia. Innovations in cannabis cultivation techniques are driving the development of new hybrid strains designed for specific medical applications. The hybrid segment is expected to grow at a CAGR of 20% during the forecast period, particularly in mature cannabis markets such as the U.S. and Canada, where patient demand for customized treatments continues to rise.

The sativa segment is projected to expand at a CAGR of 16.8% over the forecast period, with increasing applications in wellness and therapeutic industries further contributing to growth. Sativa strains are primarily used for their uplifting and mood-enhancing properties. These strains are commonly prescribed for mental health conditions such as anxiety and depression, as well as for improving focus and energy levels. North America, particularly the U.S., is a key region for Sativa strain consumption, reflecting growing awareness of mental health issues.

Medical Cannabis Market By Derivatives

The cannabidiol (CBD) segment was the largest derivative segment within the medical cannabis market, comprising 45.2% of the total market share in 2023. Its non-psychoactive properties make CBD particularly attractive for treating conditions such as epilepsy, arthritis, and anxiety. The growing preference for non-psychoactive treatments, especially in markets such as North America and Europe, is expected to drive the demand for CBD-based products.

The THC segment, known for its psychoactive effects, captured 40.1% of the medical cannabis market share in 2023. Despite its association with recreational use, THC has demonstrated significant medical benefits, particularly for conditions like chronic pain, nausea, and appetite stimulation in cancer patients. The THC segment is projected to expand at a CAGR of 19%, driven by growing prescription rates in medical markets such as the U.S., Canada, and Israel. As more regions legalize cannabis for medical use, THC-based treatments are expected to see increased adoption.

Medical Cannabis Market By Application

The application of medical cannabis in cancer treatment occupied 35.6% of the global market share in 2023. Cannabis, particularly THC, is frequently prescribed to alleviate symptoms such as pain, nausea, and loss of appetite associated with cancer and its treatments. The cancer segment is expected to grow at a promising CAGR, with rising cancer prevalence, particularly among aging populations, serving as a key driver. As more oncologists incorporate cannabis into palliative care, the demand for cannabis-based cancer therapies is projected to increase significantly.

The arthritis segment is projected to grow at a CAGR of 20.7% during the forecast period. The anti-inflammatory properties of both CBD and THC make cannabis a popular alternative for managing arthritis pain and stiffness. With the global elderly population on the rise, the demand for cannabis-based arthritis treatments is expected to increase, particularly in countries like Canada and Germany.

The epilepsy segment had 15.4% of the global market share in 2023. Medical cannabis, especially CBD, has gained approval from regulatory agencies like the FDA for treating certain forms of epilepsy. This segment currently holds about 15% of the global market share. Treatments such as Epidiolex, a CBD-based drug, have shown significant promise in managing seizures, particularly in patients who do not respond to conventional treatments.

The migraine segment is projected to grow at a CAGR of 17.1% during the forecast period owing to the ongoing research supporting cannabis' potential to reduce the frequency and intensity of migraines driving further segmental expansion. The treatment of migraines with medical cannabis is an emerging application, accounting for approximately 10% of the market. Patients increasingly turn to cannabis for relief from severe migraine attacks, especially in regions where other treatment options are limited.

Medical Cannabis Market By End-User

The pharmaceutical industry is the largest end-user of medical cannabis, accounted for 50.3% of the global market share in 2023. Pharmaceutical companies are actively integrating cannabis-based products into their portfolios, particularly for the treatment of chronic pain and neurological conditions. With increasing approvals from regulatory bodies such as the FDA and EMA, the pharmaceutical segment is expected to continue doing well during the forecast period.

With the government initiatives supporting cannabis research, combined with private sector investments, the segment of R&D is predicted to record a CAGR of 18.2% during the forecast period. These centers are increasingly focusing on cannabis research, aimed at developing new treatments for conditions such as epilepsy, cancer, and mental health disorders.

Medical Cannabis Market By Route of Administration

The oral solutions and capsules segment occupied 40.8% of the global medical cannabis market share in 2023. This route of administration is favored for its ease of dosage and longer-lasting effects, making it especially suitable for patients with conditions such as epilepsy and chronic pain. Recent innovations in cannabis formulations, such as sustained-release capsules, have further driven patient preference for oral solutions.

The vaporizer segment is expected to grow at a robust CAGR of 22%, driven by technological advancements in vaporization devices and increased consumer awareness of their benefits over traditional smoking. Vaporizers are gaining traction due to their perceived health benefits over smoking. Vaporizers allow for the rapid absorption of cannabinoids without the harmful byproducts associated with combustion, making them a popular option among patients seeking quicker relief.

The smoking segment is anticipated to witness a CAGR of 14.8% during the forecast period. As awareness of alternative administration methods grows, the segment is expected to see slower growth. Despite health risks associated with smoking, this route of administration accounts for around 30% of the medical cannabis market. Smoking offers a rapid onset of effects, making it a preferred option for managing acute pain and nausea. Shifts towards healthier alternatives, such as vaporizers and edibles, are likely to impact the market share of smoking-based cannabis products in the coming years.

Medical Cannabis Market By Region

North America commands the largest share of the global medical cannabis market, accounting for nearly 50% of total revenue share in 2023. The region’s market is forecasted to grow at a promising CAGR during the forecast period, underpinned by strong consumer demand, progressive regulatory frameworks, and ongoing legalization efforts in both the United States and Canada. The United States remains the dominant player in the North American medical cannabis market, with 38 states having legalized medical cannabis by 2023. In 2022, medical cannabis sales in the U.S. exceeded USD 11 billion, with projections to double by 2025. Canada’s medical cannabis market, although smaller in comparison to its recreational sector, continues to thrive, driven by the country’s investment in research and the development of cannabis-based pharmaceuticals. As of 2023, Canada had nearly 400,000 registered medical cannabis patients, bolstered by a supportive regulatory environment and growing public acceptance. Leading states in medical cannabis consumption include California, Florida, and New York. Florida’s medical cannabis market alone is projected to exceed USD 2.5 Billion by 2025, fueled by high patient enrollment and an aging population seeking alternatives to traditional pain management therapies. The legal cannabis market in California is expected to contribute more than USD 7 Billion to the economy in 2024, with high demand for medical products, particularly as patients seek alternatives to opioid-based treatments. The recent implementation of a new adult-use cannabis program in New York has bolstered the state’s medical cannabis sector, offering expanded options for patients. Canada’s medical cannabis market generated over USD 800 million in sales in 2022. As the country continues to invest in research and cannabis-based treatments for chronic conditions, the market is poised for further growth, with a focus on integrating cannabis into mainstream healthcare. Despite the passage of a landmark bill to legalize medical cannabis, Mexico continues to face regulatory challenges that have delayed market implementation.

Europe is projected to grow at a CAGR of 21.97% during the forecast period, driven by expanding legalization, increasing consumer acceptance, and substantial government support for cannabis-based medical treatments. Germany leads the European medical cannabis market, with an estimated market value of USD 350 million in 2022. The market is expected to grow to USD 1.5 Billion by 2027. Several countries, including the UK, Italy, and France, have adopted progressive medical cannabis policies, fostering market expansion across Europe. Government-backed insurance coverage for cannabis prescriptions, coupled with large-scale investments in cultivation and distribution infrastructure, is further accelerating market growth in the region. With over 128,000 patients prescribed medical cannabis in 2022, Germany remains the largest medical cannabis market in Europe. The country imports a significant portion of its cannabis from Canada and Israel to meet rising demand. Although still emerging, the UK’s medical cannabis market shows promising potential. By the end of 2022, around 17,000 patients were registered for medical cannabis treatments, supported by government approvals for several cannabis-based drugs. Italy’s well-established medical cannabis program is underpinned by government-authorized cultivation and distribution initiatives. The government has committed to expanding domestic cannabis cultivation to reduce reliance on imports. France has embarked on a two-year medical cannabis trial, assessing the benefits of cannabis for chronic illnesses. The results, expected by 2024, could pave the way for broader legalization efforts. Portugal has emerged as a key hub for cannabis cultivation in Europe, exporting significant quantities of medical cannabis to countries such as Germany. The medical cannabis market in Poland is expanding rapidly, particularly in chronic pain and neurological disorders, supported by the country’s growing cannabis supply chain.

Latin America is expected to grow at a strong CAGR of 23.9% over the forecast period, driven by increasing medical cannabis legalization and the region’s efforts to establish itself as a low-cost producer of cannabis for export. Countries such as Colombia, Uruguay, and Brazil are at the forefront of cannabis legalization and production in Latin America. Colombia, with its favorable climate and government support, has developed a robust cannabis cultivation industry focused on exports. Meanwhile, Brazil’s medical cannabis market is experiencing steady growth due to regulatory reforms that have expanded access to cannabis-based medicines. In 2022, Colombia exported nearly 15 tons of cannabis-derived products, with 70% of production intended for export to Europe. The country is expected to double its exports by 2025, positioning itself as a key supplier of medical cannabis. Following regulatory changes in 2019, Brazil’s medical cannabis market has seen steady growth. As of 2022, over 50,000 patients were using cannabis-based therapies, with CBD products experiencing particularly high demand. Uruguay, the first country to fully legalize cannabis, continues to expand its medical cannabis sector for both domestic use and export. The government has prioritized investment in research and cultivation to strengthen its position as a global cannabis leader. Mexico is still in the process of fully regulating its medical cannabis market. Legislative hurdles have slowed progress, but once operational, Mexico is expected to become one of Latin America’s largest cannabis markets. In a bid to strengthen its medical cannabis sector, Argentina recently announced plans to invest in local production and research, with initiatives aimed at providing affordable cannabis treatments to patients.

The Asia-Pacific is expected to witness a rapid expansion. Countries such as Thailand, Australia, and New Zealand are at the forefront of cannabis regulation, leading the way in the adoption of medical cannabis for therapeutic purposes. Although the Asia-Pacific medical cannabis market is still in its nascent stages compared to North America and Europe, it exhibits significant growth potential. Australia has emerged as a key player, with government support for research and development in cannabis-related therapies. Thailand, the first country in Southeast Asia to legalize medical cannabis, has implemented various initiatives to promote domestic cultivation and research, positioning itself as a leader in the region. New Zealand has also made notable progress with the introduction of its medical cannabis scheme in 2020, creating a foundation for future market expansion. As of 2023, Australia had approved over 100,000 patients for medical cannabis use. The country has also prioritized investment in research and development (R&D) to strengthen its position in high-quality cannabis production, with a focus on exporting to international markets. Thailand’s legalization of medical cannabis in 2019 marked a significant milestone for the region. The government has since implemented policies to support both domestic cultivation and medical cannabis research, making the country a pivotal player in the Asia-Pacific cannabis market. Although still developing, New Zealand’s medical cannabis market is gaining traction, driven by government initiatives aimed at expanding access to cannabis-based treatments. With growing patient demand and regulatory support, the market is expected to experience substantial growth over the coming years. While China has not legalized medical cannabis, it remains the world’s largest producer of industrial hemp, a segment within the broader cannabis industry. The country is closely monitoring cannabis developments in neighboring nations, though its stance on medical cannabis remains restrictive. Japan is cautiously exploring the potential of medical cannabis, with ongoing clinical trials for cannabis-based medications such as Epidiolex, indicating gradual progress toward broader acceptance.

With countries such as South Africa and Israel taking the lead in cannabis legalization and medical research, the Middle East and Africa is likely to increase its occupancy in the global market during the forecast period. South Africa’s cannabis industry is expanding rapidly, driven by growing interest in medical cannabis for treating chronic pain, epilepsy, and other conditions. The government’s approval of cultivation licenses has enabled local production to meet both domestic demand and export requirements. Meanwhile, Israel is recognized globally for its pioneering research in cannabis, contributing significantly to the development of new medical applications and driving growth in the region’s cannabis market. Israel is a global leader in cannabis research and innovation, with over 100,000 registered medical cannabis patients as of 2023. The country’s research institutions continue to spearhead breakthroughs in cannabis science, leading to the development of new medical applications for cannabis-based therapies. Since the legalization of medical cannabis in 2018, South Africa has seen steady growth in its cannabis industry. The government has issued several cultivation licenses, positioning the country as a key exporter to international markets, particularly in Europe Lesotho, a small nation in Africa, has emerged as a significant producer of medical cannabis for export, particularly to European markets. The country’s favorable climate and regulatory environment have positioned it as a key player in the global cannabis supply chain.

COMPETITIVE LANDSCAPE AND KEEY PLAYERS IN THE MEDICAL CANNABIS MARKET

The global medical cannabis market is highly competitive, with companies vying for market share across various segments, including cultivation, processing, product development, and distribution. Key players are adopting strategies such as mergers and acquisitions, partnerships, and innovative product launches to strengthen their market positions.

List of key players in the global medical cannabis market include

• BOL Pharma
• Tilray
• Medreleaf Corporation
• Aurora Cannabis
• Canopy Growth Corporation
• Insys Therapeutics, Inc.
• Aphria, Inc.
• MGC Pharmaceuticals Limited
• G.W. Pharmaceuticals, plc.

RECENT HAPPENINGS IN THE MARKET

• In May 2024, Green Thumb Industries (GTI) entered the Virginia medical cannabis market by opening its first cultivation facility and dispensary in the state. This move enables GTI to capitalize on the growing demand for medical cannabis in newly legalized markets.
• In April 2024, Tilray completed its acquisition of HEXO Corp, a Canadian cannabis producer. This acquisition increased Tilray’s cultivation capacity, further consolidating its leadership in both medical and recreational cannabis markets across North America.
• In February 2024, GW Pharmaceuticals (Jazz Pharmaceuticals) received FDA approval to expand the use of Epidiolex for treating Tuberous Sclerosis Complex (TSC). This approval strengthens GW’s leadership in the cannabis-based pharmaceutical sector.
• In January 2024, Trulieve Cannabis Corp opened 10 new medical cannabis dispensaries in Florida, bringing its network to over 150 locations. This expansion further solidified Trulieve’s position as a leading medical cannabis provider in the state.
• In March 2023, Canopy Growth Corporation announced the divestiture of its retail operations across Canada to concentrate on its premium medical cannabis products. This move was part of a strategic effort to reduce operational costs and enhance profitability in the medical segment.
• In September 2023, Aurora Cannabis expanded its presence in the European market by signing an exclusive distribution agreement with a major pharmaceutical distributor in Germany, aiming to capitalize on the growing demand for medical cannabis in Europe’s largest market.
• In November 2023, Cronos Group announced the successful production of cannabinoids through fermentation technology in collaboration with Ginkgo Bioworks. This innovative method allows Cronos to lower production costs, improving its competitive position in the global market.
• In July 2023, Curaleaf Holdings completed its acquisition of Tryke Companies, expanding its footprint across key states, including Nevada, Utah, and Arizona. This acquisition bolstered Curaleaf’s production capabilities, allowing the company to better serve its medical cannabis patients.
• In October 2023, Organigram Holdings Inc. extended its partnership with British American Tobacco (BAT) to accelerate the development of new cannabis-infused products, including beverages and edibles, targeted at both the medical and wellness markets.
• In August 2023, Tilray (Aphria) launched a new line of medical cannabis-infused beverages in Canada, designed to help patients manage insomnia and chronic pain. This product diversification strategy reflects Tilray’s efforts to offer a broader range of consumption options to medical cannabis users.

DETAILED SEGMENTATION OF THE MARKET INCLUDED IN THIS REPORT

This research report on the global medical cannabis market has been segmented and sub-segmented based on species, derivatives, applications, end users, route of administration & region.

By Species

• Indica
• Sativa
• Hybrid

By Derivatives

• Cannabidiol (CBD)
• Tetrahydrocannabinol (THC)
• Others

By Application

• Cancer
• Arthritis
• Epilepsy
• Migraine

By End-User

• Pharmaceutical Industry
• Research and Development Centers
• Others

By Route of Administration

• Oral Solutions and Capsules
• Smoking 
• Vaporizers
• Topicals
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa