CBD Products - NAFTA | Statista Market Forecast

In NAFTA, revenue in the CBD Products market is forecasted to reach US$2.96bn in 2024.
The revenue is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of -0.09%, leading to a market volume of US$2.94bn by 2029.
When compared globally, the United States is expected to generate the highest revenue (US$2.58bn in 2024).
In terms of per capita figures, US$18.80 in revenue is generated per person in 2024.
In the NAFTA region, the growing acceptance and legalization of CBD products are driving investment opportunities in the Cannabis market.

Definition:
The CBD Products market encompasses products derived from the cannabis plant that contain Cannabidiol (CBD), a non-psychoactive compound. These products may include oils, tinctures, edibles, topicals, and capsules. They are typically sold in health food stores, pharmacies, online platforms, and specialty CBD stores. These products are consumed for wellness purposes, and depending on the product, can be ingested, applied topically, or inhaled.

Structure:
The CBD Products market includes products used for general wellness, relaxation, and stress relief. The CBD Products market includes various forms of CBD such as oils, edibles, topicals, and capsules.

Additional information:
Market values represent the revenues generated by retail prices paid to vendors, either directly or through distribution channels (excluding VAT). Reported market revenues include spending by consumers (B2C).

Cannabidiol (CBD) used for recreational purposes

CBD based medicine holding marketing authorisation
CBD based medicine not holding marketing authorisation

The CBD Products market in NAFTA has been experiencing significant growth and development in recent years.

Customer preferences: Consumers in the NAFTA region are increasingly gravitating towards CBD products due to their perceived health and wellness benefits. The rising trend of natural and organic products is driving demand for CBD-infused items across various categories such as skincare, supplements, and pet care.

Trends in the market: In the United States, the largest market within NAFTA, the legalization of hemp-derived CBD at the federal level has been a key driver of market growth. This has led to a proliferation of CBD products in the market, ranging from oils and tinctures to edibles and beverages. Additionally, the increasing acceptance of CBD for medicinal purposes has expanded the consumer base beyond traditional health enthusiasts to include a more mainstream audience.

Local special circumstances: In Canada, another significant market in the NAFTA region, the legalization of recreational cannabis has created a favorable regulatory environment for CBD products. This has allowed for a wide variety of CBD offerings to enter the market, with a particular focus on quality and safety standards. Canadian consumers are showing a preference for locally sourced CBD products, further boosting domestic manufacturers.

Underlying macroeconomic factors: The economic stability and relatively high disposable income levels in the NAFTA countries have contributed to the growing demand for premium CBD products. As consumers become more health-conscious and seek natural alternatives, the CBD market is expected to continue its upward trajectory. Additionally, the presence of established retail channels and e-commerce platforms has made it easier for consumers to access a diverse range of CBD products, further fueling market expansion.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on companies' revenues, funding values and global consumer survey data. Revenues include retail, sales and taxes.

Modeling approach / Market size:

Market sizes are determined by a Top-Down approach, based on a specific rationale for each market market. As a basis for evaluating markets, we use financial reports, third-party data. Next, we use relevant key market indicators and data from country-specific associations such as tobacco spending per capita, medical product spending per capita, consumer spending and consumer spending for recreation purposes, population. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, S-Curve function, ARIMA time series model and exponential curve function.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. GCS data is reweighted for representativeness.

Cannabis or marijuana, the psychoactive drug from the cannabis plant is growing in popularity around the globe, both for recreational and medicinal uses. While there are many countries that have legalized cannabis in some capacity for medical purposes, only a handful have done so for recreational use. Even though cannabis is not federally legal in the United States, the combined legal states represent the largest market in the world. After the U.S., Canada, which legalized cannabis nation-wide in 2018 represents the next largest market. In 2021, a new coalition government was formed in Germany that indicated that the legalization of cannabis was on their agenda. Germany would be the largest legal adult-use market in Europe and would act as a test case for other countries on the continent considering the merits of legalization.