A new report issued today predicts the U.S. legal retail marijuana market will grow 64% next year to hit $2.34 billion and surge to $10 billion by 2018.
The State of Legal Marijuana Markets report, released by ArcView Market Research, also predicts that 14 more states will legalize recreational marijuana in the next five years.
- The adult-use marijuana market in Colorado will generate $359 million in sales next year, while the recreational market in Washington State will total $271 million.
- Nearly 600,000 consumers will buy marijuana legally from a retail store in 2013.
- Arizona is the fastest-growing medical marijuana market, with sales estimated at $134 million next year vs. $22 million in 2013.
The report estimates that marijuana sales – both wholesale and retail – will total $1.4 billion this year. By comparison, the Marijuana Business Factbook (released earlier this year by Medical Marijuana Business Daily) estimates sales will come in between $1.3 billion and $1.5 billion this year and rise to $2.5 billion to $3 billion in 2014. Those estimates are for sales via dispensaries and recreational shops only and do not include wholesale.
ArcView released the report on the eve of its annual investor meeting in Seattle. At the meeting, 13 startup cannabis companies from a pool of 100 applicants pitched the 60 or so ArcView members for funding.
More than 10 ArcView members invested a combined $1.7 million in three different companies after the group’s last meeting in September.