The global medical marijuana market will grow from $11.4 billion in 2015 to $55.8 billion in 2015, according to a new cannabis market research report.
A new report from Grand View Research, Inc. estimates that the global medical marijuana market will reach a value of $55.8 billion by 2025. The global industry was valued at $11.4 billion in 2015, and the market research and consulting company projects it will grow at a compound annual growth rate of 17.1 percent during the forecast period.
Other key findings in the report include:
- Chronic pain is the largest application segment for medical marijuana, due to its huge patient base. Chronic pain held 39.6 percent of the revenue share in 2015.
- The prevalence of chronic pain is growing and increasing the demand for medical marijuana for pain management.
- Cancer will be the fastest growing application segment with a compound annual growth rate of 18.2 percent.
- North America currently holds a majority of the share of the medical marijuana market. It made up 49.0 percent of the global market in 2015 and is expected to drive the market over the forecast period with a compound annual growth rate of 22.0 percent.
- The expansion of marijuana legalization in the U.S. is helping to drive up the demand for marijuana for both therapeutic and recreational purposes.
Grand View Research believes that the increasing number of countries and U.S. states legalizing the use of medical marijuana is partly responsible for the market’s growth. Last year in the U.S., Arkansas, Florida, North Dakota, Ohio and Pennsylvania passed comprehensive medical marijuana laws, bringing the nation’s total number of medical cannabis states to 28. As of today, 95 percent of the U.S. population lives in a state where there is some form of legal marijuana.
The market research firm also notes that the industry is growing as the result of a greater awareness of cannabis’ therapeutic applications.
“The increasing interest amongst the academic researchers and healthcare providers regarding the therapeutic uses of marijuana is among the significant factors, which is driving the market over the coming years. Some of its potential therapeutic values are suppression of vomiting & nausea, pain relief, and appetite stimulation. In addition, research states that marijuana is effective in providing relief to the patient suffering from HIV/AIDS, glaucoma, cancer, and multiple sclerosis. The growing number of therapeutic applications of the drug is one of the key factors that is propelling the market over the forecast period,” said Grand View corporate sales specialist Sherry James, in a press release.
The full report from Grand View Research — “Medical Marijuana Market Analysis By Application (Chronic Pain, Arthritis, Migraine, Cancer), By Country (U.S., Canada, France, Italy, Switzerland, Israel, Belgium, Croatia, Finland, Netherlands, Portugal, Czech Republic, Estonia), and Segment Forecasts, 2013-2015” — is available to purchase here.
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