Legal Cannabis Sales to Reach $30 Billion by 2025
A new report by New Frontier Data and Global Cannabinoids reports that legal sales of cannabis in current legal states are projected to grow at a compound annual growth rate (CAGR) of 14% over the next six years. Sales in these states is estimated to reach nearly $30 billion by 2025, according to the U.S. Cannabis Report 2019 Industry Outlook report by New Frontier Data and Global Cannabinoids.
The report examines U.S. cannabis industry forecasts and trends, including industry revenue projections, illicit market sizing, cannabis consumer behavior, and potential interaction with the opioids market in the U.S.
Key findings include:
- Annual sales of medical cannabis are projected to grow at a 17% CAGR through 2025, to an estimated $13.1 billion by 2025; adult-use sales are projected to grow at a 16% CAGR, to $16.6 billion
- An estimated 38.4 million U.S. adults consume cannabis at least once annually, from either a legal or illicit source
- 36% of cannabis consumers report using cannabis daily, and 59% use cannabis at least once a week
- People between the ages of 25 and 44 comprise 45% of cannabis consumers
“We tend to be cautious, if not conservative in our projections, adhering to very rigorous data sourcing and data modeling protocols, so it is significant that we raised our 2025 forecast in U.S. legal sales to $30 billion,” said New Frontier Data Founder and CEO Giadha Aguirre de Carcer. Foreign investment into the U.S. cannabis industry remains strong and domestic consumption continues to rise, especially as new states legalize. That said, it is critical for stakeholders to understand how regulatory uncertainty, lack of accepted standards, and international market pressures may have a material and lasting economic impact in the currently flourishing U.S. cannabis market.
“Whether an operator, researcher, or investor, I would encourage those interested in expanding their understanding of the domestic cannabis market, to also look at New Frontier Data’s Canadian and Global reports, as market dynamics, trends and driving forces are beginning to cross borders,” said Aguirre de Carcer.
Visit https://newfrontierdata.com/UScannabis2019 to download the report.
