The global medical cannabis market size is expected to reach USD 47.15 billion in 2027 at a CAGR of 16.9%, according to the latest report by Emergen Research.
Market revenue growth can be attributed to the increasing use of medical cannabis to treat diseases and conditions, rising research and development activities, and legalization of cannabis in various countries across the globe. Increasing government initiatives to encourage safe usage and consumption of the product is also a key factor expected to contribute to market growth over the forecast period.
Medical cannabis is cannabis and cannabinoids that are prescribed by doctors and physicians for relieving symptoms or treating diseases. Preliminary studies suggest cannabis can reduce nausea and vomiting that are primary side effects of chemotherapy, improve appetite in people suffering from HIV/AIDS, and alleviate chronic pain and muscle spasms. Medical cannabis can be administered through capsules, tinctures, dermal patches, and cannabis edibles, among others. Increasing incidence of severe and chronic diseases such as cancer, Parkinson’s disease, Alzheimer’s disease, and ALS, among others have boosted the use of medical cannabis and this has led to the development of new products. In addition, cannabinoids have been increasingly recommended for treatment of anorexia, arthritis, migraines, and glaucoma when other treatment regimens are ineffective. This is expected to further boost revenue growth of the market over the forecast period.
Increasing research and development activities to study the medical applications of cannabis and availability of synthetic cannabinoids as prescription medicine are some other key factors expected to contribute to revenue growth of the market going ahead. However, lack of data on long-term safety of medical cannabis, chronic side effects such as fatigue, dizziness, and hallucinations, among others, and implementation of stringent regulatory policies regarding cultivation and commercialization of cannabis are some key factors expected to restrain market growth going ahead.
Some Key Highlights in the Report:
- Oil segment revenue is expected to expand at a CAGR of 17.5% during the forecast period owing to increasing demand for hemp oil for clinical purposes such as reduction of depression and anxiety and alleviation of cancer symptoms and associated pain.
- Chronic pain segment is expected to account for largest revenue share over the forecast period as medical cannabis is primarily used to treat chronic pain and involuntary muscle spasms. Cannabis is used to treat chronic pain associated with many diseases and conditions such as multiple sclerosis, nerve pain, Parkinson’s disease, and PTSD, among others.
- Inhalation segment dominated other route of administration segments in terms of revenue share in the global market in 2019 attribute to inhalation being the most common routes of administration. Advancements in product development have led to the introduction of inhalers of various types to make it easy for patients to consume medical cannabis.
- North America is expected to account for largest revenue share in the global market between 2020 and 2027 owing to legalization of cannabis for recreational and medical purposes, growing number of product launches, increasing investment to accelerate R&D for medical cannabis, and robust presence of key players and manufacturers in the region.
- Major companies in the market include Canopy Growth Corporation, Aphria, Inc., Aurora Cannabis, Maricann Group, Inc., Tilray, Cronos Group, Organigram Holdings, Inc., Vivo Cannabis, Tikun Olam, and Insys Therapeutics, Inc., among others.
- In July 2021, the medical cannabis commission awarded medical marijuana licenses to 6 companies in Georgia, United States, to – under supervision of the state – cultivate marijuana, convert it to CBD oil, and commercialize the products to eligible patients in Georgia.
- In July 2021, a first-of-its-kind medical marijuana app, EcoCaNN developed by international pharmaceutical firm, MediCane, launched in Israel that will allow the medical cannabis patients to consult and communicate with doctors specializing in the field. MediCane focuses on the research and development of cannabis-based medication.