Cannabis sativa L. is a plant contain naturally occurring compounds which are called “cannabinoids”. There are two well know cannabinoids: Cannabidiol (CBD) and Tetrahydrocannabinol (THC), these compounds are directly extracted from the plant and which are used to manufacture the extracts. Till now U.S Food and Drug Administration has approved Epidiolex, which contains a purified form of the drug substance cannabidiol (CBD) for the treatment of seizures associated with Lennox Gastaut Syndrome or Drvate Syndrome in patient 2 years of age and older. FDA has also approved Marinol and Syndros for nausea associated with cancer chemotherapy and for the treatment of anorexia associated with weight loss in AIDS patients.
Cannabis and cannabis derived products are used to treat a number of medical condition including, AIDS wasting, epilepsy, neuropathic pain, spasticity associated with multiple sclerosis and cancer and chemotherapy induced nausea, migraine, anxiety and chronic pain.
The global cannabis extract market is estimated to be valued at US$ 9,125.8 million in 2022 and is expected to exhibit a CAGR of 17.3 % over the forecast period (2022-2030).
Figure 1. Global Cannabis Extract Market Value (US$ Mn), By Region, 2022
Increasing product launches is expected to drive the market growth of the global cannabis extract market over the forecast period.
For instance, on April 5, 2022, Tilray launched Solei Bites, the Solei brand’s first foray into edibles and the ready-to-eat THC edible available at the Société Québécoise du cannabis, Quebec's sole legal retailer for cannabis products.
Furthermore, on April 5, 2022, Manitoba Harvest, a wholly-owned subsidiary of Tilray, launched Hemp+ Matcha and Hemp+ Supergreens powders at 300 plus Whole Foods Market locations nationwide in U.S.
In February 2022, Canopy Growth Corp, a cannabis company announced the extension of the Ace Valley brand portfolio, with the launch of two new beverages Daylight and Moonwave, which are occasion-based ready-to-drink THC and CBD-infused drinks.
Cannabis Extract Market Report Coverage
|Base Year:||2021||Market Size in 2022:||US$ 9,125.8 Mn|
|Historical Data for:||2017 to 2020||Forecast Period:||2022 to 2030|
|Forecast Period 2022 to 2030 CAGR:||17.3 %||2030 Value Projection:||US$ 32,597.2 Mn|
|Companies covered :||
Canopy Growth Corporation, Aurora Cannabis Inc., Tikun Olam, Cannabis Science Inc., Aphria Inc., Maricann Group Inc., Tilray Inc., VIVO Cannabis Inc., Medical Marijuana, Inc., STENOCARE, Cronos Group Inc., Terra Tech Corp., MedMen, Teva Pharmaceutical Industries Ltd., and Organigram Holdings Inc.
|Restraints & Challenges:||
Figure 2. Global Cannabis Extract Market Share (%), By Indication Type, 2022
Increasing cancer prevalence is expected to propel the global cannabis extract market over the forecast period.
For instance, according to Center for Disease Control and Prevention in the U.S in 2019, 1,752,735 new cancer cases were reported and 599,589 people died of cancer. For every 100,000 people, 439 new cases were reported and 146 people died of cancer.
Moreover, according to the report published by Globocan in 2020, in Europe, 4,398,443 new cases of cancer were diagnosed and 1,955,231 patients died in 2020.
Global Cannabis Extract Market – Impact of Coronavirus (COVID-19) Pandemic
The coronavirus (COVID-19) outbreak was first reported on December 31, 2019, in Wuhan, China. The World Health Organization declared COVID-19 a pandemic on March 11, 2020. According to the Coronavirus (COVID-19) Weekly Epidemiological Update by the World Health Organization, over 525,467,084 cases of coronavirus disease (COVID-19) were reported till 27 May, 2022, across the globe.
According to the National Center for Biotechnology Information, 2021, the COVID-19 pandemic has played a very big role in driving increased usage rates of cannabis in the global market, during the pandemic, approximately half of the U.S. cannabis consumers reported using cannabis to help manage stress and anxiety. Furthermore, the shift to working from home coupled with constraints on social gatherings encouraged higher levels of cannabis consumption than that had been seen before the pandemic, driving retail cannabis sales 35% higher for the year 2020 than that had been previously forecasted for the legal U.S. markets.
Global Cannabis Extract Market: Restraint
Strict regulation of CBD products is a major restraint of a global cannabis extract market and one of the major reasons for restriction or ban on use of cannabis or cannabis derived products is its side effects.
Below are the side effects of using cannabis:
Major players operating in the global cannabis extract market include Canopy Growth Corporation, Aurora Cannabis Inc., Tikun Olam, Cannabis Science Inc., Aphria Inc., Maricann Group Inc., Tilray Inc., VIVO Cannabis Inc., Medical Marijuana, Inc., STENOCARE, Cronos Group Inc., Terra Tech Corp., MedMen, Teva Pharmaceutical Industries Ltd., and Organigram Holdings Inc.
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