Dublin, Jan. 28, 2022 (GLOBE NEWSWIRE) -- The "North America Legal Cannabis Market Size, Share & Trends Analysis Report by Sources (Marijuana, Hemp), by Derivatives (CBD, THC), By End-Use (Medical, Recreational), And Segment Forecasts, 2022-2028" report has been added to ResearchAndMarkets.com's offering.
North America's legal cannabis market is estimated to reach USD 38.2 billion by 2028, clocking in a CAGR of 16.6% from 2022 to 2028. As marijuana becomes more legal and used for medical purposes, the market could accelerate.
Countries in the region are liberalizing their marijuana laws has led to the domination of the marijuana market in 2021. As a result, it is also estimated to increase demand for cannabis-derived products and derivatives.
The marijuana segment is also predicted to grow at the fastest CAGR during the forecast period, following the growing awareness of CBD's positive effects on various medical conditions such as chronic pain, cancer, and multiple sclerosis, which is one of the reasons for CBD's segment domination in 2021.
In addition, as a result of legalizing marijuana for recreational use in Canada and the U.S., the market has seen a dynamic shift of patients from traditional medicine methods to using marijuana for medical purposes. Not surprisingly, the recreational segment surged in 2021, which can be attributed to the easy availability and low pricing.
Furthermore, an increase in the preference for CBD-based products in the country, such as food and beverages, cosmetics, and wellness products, supports market growth.
All in all, the growing cultivation of cannabis, the emergence of local players, and favourable government initiatives have all contributed to the market's growth.
However, the COVID-19 pandemic has substantially affected the market.
The nationwide lockdown in the U.S. & Canada caused disruptions in the supply chain of cannabis & related raw materials, limiting the market growth. Moreover, during the initial months of the pandemic, panic-buying scenarios in these countries led to a shortage of product stocks, thereby widening the demand-supply gap.
But cannabis based-product sales and supply chains in North America are expected to stabilize and grow as the situation returns to normal.
