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Cannabis Cultivation Market Size & Growth, 2027 | Industry Report

Cannabis Cultivation Market Analysis Report By Biomass, By Application, By Region And Segment Forecasts From 2020 To 2027

Report ID: MN17620153  |  Published: October 2020  |  No of Pages: 120
Format: Electronic (PDF)  |  Industry: Pharmaceuticals  |  Publisher: Grand View Research

Industry Insights

The global cannabis cultivation market size was accounted for USD 123.9 billion in 2019. It is also estimated to witness 14.3% CAGR over the forecasted period, 2020 to 2027. Rising usage of cannabis for treatment against chronic diseases and their legalization across several countries is projected to drive the market growth.

The recognization of CBD levels in hemp and its derived products has propelled its cultivation and processing. Further, industrial sectors such as cosmetics, pharmaceuticals, food and beverages, and nutraceuticals have started leveraging the benefits obtained from cannabis for improving the efficiency and performance of their products.

The U.S. cannabis cultivation market

The legalization of these products across several countries is up to certain indication levels. For example, Croatia uses marijuana as a legal medicine to cure patients with some diseases such as cancer, epilepsy, AIDS, and multiple sclerosis. While, Australia uses medical marijuana only for treatment against muscle spasms, epilepsy with palliative and seizure care. Thus, the limited application scope of these products is expected to hamper their cultivation and market demand to some extent. Moreover, hindrance in the supply chain owing to rising demand and cultivation restrictions across several countries is projected to hamper the market growth in the upcoming years

Biomass Insights

In 2019, the hemp biomass segment accounted for the largest share of around 94.5% across the global market. This can be attributed to the rising adoption of hemp-derived products owing to the low content of THCs. This segment is also anticipated to register the highest CAGR in the upcoming years due to the legalization in the marijuana cultivation across several countries for adult and medical usage.

Several initiatives are undertaken by governing authorities for improving the adoption of hemp-derived products. For example, In Japan, marijuana products are not legalized but hemp CBD oil is legalized owing to reduced THC content. Also, surging awareness about the usage of such products among the millennial population is expected to boost the growth of cannabis cultivation market.

Application Insights

The industrial consumption segment held the largest share of around 93.8% across the global market in 2019. Rising usage of hemp and marijuana across pharmaceutical, nutraceuticals, food & beverages, and personal care industries have contributed majorly to this demand. Moreover, the rising popularity of cannabis derived products is expected to register lucrative growth in the upcoming years.

The segment of medical consumption is projected to register the fastest growth over the forecasted period. Usage of marijuana for treatment against cancers, mental disorders, and chronic pain is gaining traction across the globe. Moreover, research studies being conducted over the health benefits of marijuana are anticipated to boost the market growth.

Regional Insights

The Asia Pacific accounted for a dominant share of around 41.2% across the global market in 2019. This can be associated with surging awareness about the medical benefits of cannabis and the rising pool of patients for marijuana treatments. Also, external factors such as availability of land for cultivation and approving climatic conditions across this region are expected to augment the market growth.

Global cannabis cultivation market

The Middle East and Africa are expected to witness significant growth across the global market from 2020 to 2027. Improved regulations and laws associated with the cannabis utilization and cultivation are expected to contribute majorly towards market growth across this region. Moreover, an increasing number of government reforms for supporting marijuana and hemp cultivation is estimated to further fuel up the market growth.

COVID-19 Impact Insights

The cannabis cultivation market has been positively impacted due to the ongoing COVID-19 pandemic. The need for the development of vaccines which can generate anti-bodies in the virus affected individuals are forcing several manufacturers to trial and test various medical ingredients. Also, the adoption of such products to develop immunity booster medicines and cater to severely affected patients is expected to trigger the market demand. But, the bottleneck in the supply chain due to cargo and travel restrictions imposed by several countries are estimated to obstruct the market growth to some extent over the post-pandemic period.

Cannabis Cultivation Market Share Insights

The key players operating in the market are Aphria, Inc., Tilray, Canopy Growth Corporation, Aurora Cannabis, Better Holdings, The Cronos Group, Atlas Growers, and CannTrust Holdings. Rapid technological advancements undertaken by these players for cultivating cannabis and its derived products are expected to augment the market growth.

Strategies like acquisitions and mergers are being undertaken by the key players to gain a cutting edge over other players and for widening their geographical reach. For example, Tilray gained acquisition over legal marijuana investing equity firm named Privateer Holdings in 2019. This acquisition aimed at providing better control and enhanced operational flexibility in trading.

Report Scope

Attribute

Details

Market size value in 2020

USD 140.7 billion

Revenue forecast in 2027

USD 358.8 billion

Growth Rate

CAGR of 14.3% from 2020 to 2027

Base year for estimation

2019

Actual estimates/Historic data

2016 - 2018

Forecast period

2020 - 2027

Quantitative Units

Revenue in USD Billion and CAGR from 2020 to 2027

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Biomass, application, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA

Country scope

The U.S.; Canada; The U.K.; Germany; Spain; France; Italy; Netherlands; Croatia; Switzerland; Czech Republic; Australia; China; Japan; India; South Korea; New Zealand; Thailand; Uruguay; Chile; Colombia; Mexico; Israel; South Africa

Key companies profiled

Canopy Growth Corporation; Aphria, Inc.; Aurora Cannabis; Tilray; The Cronos Group; Organigram Holding, Inc.; Better Holdings; Pacific Cannabis Growers; Atlas Growers; CannTrust Holdings; The Hydropothecary Corp.

Customization scope

Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs.


Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends from 2016 to 2027 in each of the sub segments. For the purpose of this study, Million Insights has segmented the global cannabis cultivation market on the basis of biomass, application, and region:

• Biomass Outlook (Revenue, USD Million, 2016 - 2027)
    • Hemp
    • Marijuana

• Application Outlook (Revenue, USDMillion, 2016 - 2027)
    • Medical Consumption
    • Recreational Consumption
    • Industrial Consumption

• Regional Outlook (Revenue, USD Million, 2016 - 2027)
    • North America
        • The U.S.
        • Canada
    • Europe
        • The U.K.
        • Germany
        • Italy
        • France
        • Spain
        • Netherlands
        • Croatia
        • Switzerland
        • Czech Republic
    • Asia Pacific
        • Australia
        • China
        • Japan
        • South Korea
        • India
        • New Zealand
        • Thailand
    • Latin America
        • Uruguay
        • Chile
        • Colombia
        • Mexico
    • The Middle East & Africa
        • Israel
        • South Africa

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