Marijuana Business Factbook 2019

275 Cannabis Business Funding & Investing | Chapter 7 © Copyright 2020, Marijuana Business Daily , a division of Anne Holland Ventures Inc. You may NOT copy this Factbook, or make public the data and facts contained herein, in part or in whole. For more copies or editorial permissions, contact CustomerService@MJBizDaily.com or call (720) 213-5992, ext. 1. MJBIZDAILY.COM OVERVIEW CHART 7.01: Estimated Legal Spending On Medical & Recreational Cannabis In 2021 By Geography Source: 2019 Marijuana Business Factbook © 2019 Marijuana Business Daily, a division of Anne Holland Ventures Inc. All rights reserved. Es�mated Legal Spending On Medical & Recrea�onal Cannabis In 2021 By Geography $18.9B - $22.3B $5B - $6B $1B - $4B United States Canada Rest Of World Globally, consumer spending on legal cannabis is on the rise ― and continued growth is expected with Canada and the United States emerging as the industry’s leaders. The U.S. market for legal cannabis is the largest by far, with 2021 sales estimated to reach $19 billion to $22 billion. Although this market was the first to take off, federal illegality means U.S. cannabis businesses are comparatively small and the landscape remains fragmented. The Canadian market is estimated to reach $5 billion to $6 billion in legal spending in 2021. In terms of size, capitalization and legal market clout, many of the global industry’s major players are based in Canada ― Canopy Growth and Aurora Cannabis, for example. However, Canada’s total domestic market is estimated to be roughly the same size as California’s market. Canadian companies are undergoing aggressive international expansion, but this move is a long-term play as medical marijuana laws are slowly beginning to roll out across the rest of the world. Widespread recreational legalization is likely a long way off. Grouping the rest of the international markets together, spending on legal cannabis is expected to land between $1 billion and $4 billion in 2021. Determining the size of the remaining global market is tricky, as it’s comprised of dozens of individual countries that have very diverse sets of rules and regulations that could allow for various degrees of commercial viability ― which is why our estimates span such a wide range. Among these other global markets, investment is flooding into Germany and Latin America, while medical cannabis laws are taking shape in major markets in Africa, Asia and Oceania.