Advances in acceptance of cannabis use are driving growth in the industry
When it is said that the cannabis industry is still in its infancy, it is because its maturity is nowhere near its peak. This market has proven to have ups and downs over the past few years, but the upward trend is always quite evident. The first quarter of 2023 will soon come to an end, and according to a leading industry market data analysis firm, the year is expected to close with legal sales reflecting growth of almost 15%.
Colorado-based cannabis industry market analysis firm BDSA recently reported a forecast that legal cannabis sales in the US will grow by 14% in 2023. The company, through an updated five-year global legal cannabis market projection, has reported that global spending on legal cannabis increased by 4.8% to $32 billion last year.
According to the firm’s experts, the global cannabis market will see a compound annual growth rate (CAGR) of 13.2% from 2022 to 2027. As a result of that vision, a total worldwide regulated cannabis market size of $59.6 billion is likely to be generated by 2027.
As more states legalize medical marijuana both medicinally and recreationally, sales in the US show a fairly significant increase over the years. While market conditions (inflation and economic uncertainty) caused 2022 to take some steps backward, the BDSA is positive that the legal cannabis market in the country will show renewed momentum, projecting a 14% increase in the market in 2023.
“Legal cannabis spending slowed significantly in 2022 due to rapid price declines across all markets,” Roy Bingham, co-founder and CEO of BDSA, said in a statement from the company. “Despite this, our updated forecast predicts strong growth in the U.S. driven by developing markets, particularly the adult-use markets of Missouri, New Jersey, and New York.”