THE MARKET FOR LEGAL CANNABIS

Expectations of a huge growth potential

With the increased legalisation of cannabis for medical use or as an ingredient in food products, dietary supplements and cosmetics, strong global growth is expected. According to the market research company Technavio, the global market for legal cannabis will grow from DKK 185 billion in 2015 to DKK 913 billion by 2020.

cannabis-tree

The growth is primarily driven by the legalisation in North America, but Europe and Australia also witness a liberalisation of the government requirements with respect to cultivation, production and sales of cannabis-related products.

 

There are currently no concrete estimates for the Danish or European market, but permission to sell cannabis products as medicine or dietary supplements are anticipated in several European countries during 2018 – including Denmark.

The Danish Minister for Health has submitted a law proposal, L57, on medical cannabis, dated 5 October 2017.

 

With the large illegal market for cannabis, the growth in the legal market will also depend on better product documentation and price points that are able to match the illegal market.