International cannabis sales to reach 35 billion $ by 2022

Cannabis sales are on the rise as countries legalize its medical and recreational use. A new report BDSA Analytics shows a 22% increase in sales in Q3 compared to 2021, bringing the market to a peak of 35 billion in Q4.

Strong Growth in the United States

According to the research firm, the opening of new cannabis markets in the United States is effectively boosting the industry’s profitability and generating more revenue and economic activity in the United States. Leafly, in particular, has estimated that nearly 430,000 people are now employed in the cannabis industry in the United States.

«New Jersey's launch of the sale of adult-use products, expected in the second quarter, ", will likely see the biggest surge of any market in the United States in 2022," explains Jessica Lukas, BDSA's sales director.

In the United States, the region that has seen the strongest growth is the Midwest, with Illinois and Missouri having recently legalized cannabis. The report predicts that within five years, states such as Florida, New Jersey, New York, and Michigan will also experience strong growth.

One thing that is likely to remain constant is California’s dominance of the cannabis market. «California is, and will remain, the largest U.S. cannabis market and the largest global cannabis market,» said Jessica Lukas, provided that the state manages to simplify market access for businesses—which have been heavily taxed until now—and for consumers. In fact, only 23% of California’s cities allow cannabis businesses to operate within their boundaries—a restriction that effectively benefits the black market.

International Perspectives on Therapeutics

Canada's domestic market is currently worth 4.7 billion $ in sales. Mexico will soon take second place, with a growing medical industry and adult use, currently being regulated.

International markets, which allow only the sale of medical cannabis, reached 1.4 billion $ in sales in 2021. In 2022, that figure is expected to reach 2.2 billion $.

According to the report, countries such as Germany, France, and the United Kingdom could also enter the international cannabis market in the medium term, «moving slowly but surely.».