Tuesday, 15 September 2020

U.S. Cannabis Market: Key Growth Drivers, Challenges, Leading Key Players Review

The U.S. Cannabis Market size is expected to reach USD 31.7 billion by 2025, exhibiting a CAGR of 14.5% during the forecast period, according to a new study by Grand View Research, Inc. Increasing adoption of medical marijuana for treatment of various medicinal conditions, along with addition of various applications in medical marijuana programs of each state, is expected to drive the market over the forecast period.

The use of cannabis for medical purposes is gaining momentum due to its recent legalization in various states of the country. The application areas for cannabis can be classified into chronic pain, mental disorders, cancer, and other medicinal conditions. Chronic pain accounted for the largest share by application in 2018 and is expected to grow at a lucrative rate over the forecast period. This due to a large patient base and increasing number of medical conditions/trauma associated with chronic pain. On the other hand, marijuana use for treatment of mental disorders is anticipated to be the fastest growing segment over the forecast period. 

The buds segment dominated the U.S. cannabis market in 2018, with a revenue of USD 7.8 billion, and is expected to grow at a lucrative rate over the forecast period. Dried buds are used for smoking and have found widespread application in treating a variety of diseases such as cancer and Alzheimer’s. Furthermore, buds are more affordable than oral products or tinctures, which increases its adoption.

California accounted for the largest market share in U.S. in 2018 and is expected to grow at a significant rate over the forecast period. The market expansion in this state can be attributed to expanding population base and growing number of marijuana businesses. Furthermore, the state has also legalized both forms of marijuana use i.e. medical and recreational, which considerably increases product adoption.

The industry is expected to witness significant growth due to alterations in regulatory norms related to the commercial usage of marijuana and decline in its illicit sales. For instance, the use of medical marijuana has been legalized in 33 states in the U.S. and the District of Columbia, owing to continuous political movement supporting its legalization across the remaining states. Moreover, policymakers are focusing on generating tax revenues in order to aid businesses by providing suitable funding.

Some of the players operating in the U.S. market are Green Man Cannabis, Los Suoenos Farms LLC, and Vireo Health of New York, which operate in their individual states as interstate trading is banned in the country. With increasing pressure on federal legalization of cannabis in U.S., the market is expected to significantly increase after its federal approval in the next few years.

Request a sample copy or view summary of this report@
https://www.grandviewresearch.com/industry-analysis/us-cannabis-market

Further key findings from the report suggest:

  • California accounts for the largest market share in the U.S. owing to high demand, large population base, and significant number of cannabis businesses operating in the state
  • The medical marijuana segment dominated the market as it is legal in a greater number of states compared to states that have legalized the product for recreational purposes
  • Consumption of marijuana oil does not have any adverse impact on the body as compared to smoking cannabis. This is expected to boost demand for oil, especially for medical use, over the projected timeframe
  • Buds dominated the U.S. cannabis market in 2018, with a revenue of USD 7.8 billion, owing to its affordable pricing compared to oils and tinctures. The segment is anticipated to grow at a significant rate over the forecast period

About Grand View Research

Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.

Contact:
Sherry James
Corporate Sales Specialist, USA
Grand View Research, Inc
Phone: 1-415- 349-0058
Toll Free: 1-888- 202-9519
Email:
sales@grandviewresearch.com
For More Information:
https://www.grandviewresearch.com

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