Medical Cannabis - APAC | Statista Market Forecast

Revenue in the Medical Cannabis market market in APAC is forecasted to hit US$1.11bn in 2024.
The revenue is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 3.65%, leading to a market volume of US$1.33bn by 2029.
When compared globally, the United States is expected to generate the highest revenue (US$14.53bn in 2024).
In terms of per person revenues in 2024, US$3.56k are generated based on total population figures.
In APAC, the Medical Cannabis market shows promising growth potential amidst evolving regulations and increasing acceptance of alternative medicine practices.

Definition:
The Medical Cannabis market encompasses products derived from the cannabis plant specifically used for medical purposes. These products may include dried flowers, oils, tinctures, capsules, and topicals. Depending on the regulations in each country or state, these products are available through medical dispensaries, pharmacies, and/or online platforms. They may be consumed in various ways such as smoking, vaporizing, ingesting, or applying topically.

Structure:
The Medical Cannabis market involves cannabinoid-based medicine without marketing authorisation. These unlicensed medicines are supplied through health systems, prescribed by doctors, or used as Active Pharmaceutical Ingredients (API). The API is manipulated and/or compounded by a magistral pharmacy to prepare a cannabinoid-based medicine without marketing authorisation. The Medical Cannabis market includes various forms of cannabis such as flowers, oils, capsules, and topicals.

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 patients (B2C), healthcare facilities (B2B), and governments (B2G).

Cannabinoid-based medicine not holding marketing authorisation containing THC
Cannabinoid-based medicine not holding marketing authorisation containing CBD

Cannabinoid-based medicine holding marketing authorisation containing THC
Cannabinoid-based medicine holding marketing authorisation containing CBD

The Medical Cannabis market in APAC has been experiencing significant growth and development in recent years.

Customer preferences: Customers in the APAC region are increasingly turning to medical cannabis products as an alternative form of treatment for various health conditions. The shift towards natural and holistic remedies, coupled with growing awareness about the potential benefits of medical cannabis, has driven the demand for these products in the region.

Trends in the market: In Australia, there has been a notable trend towards legalizing and regulating medical cannabis, leading to a more structured market with increased access for patients. On the other hand, in Japan, while the market is still in its nascent stages, there is a growing interest and acceptance of medical cannabis for certain medical conditions.

Local special circumstances: In South Korea, the government has been actively promoting the use of medical cannabis for specific ailments, which has resulted in a growing market for these products. In contrast, in China, strict regulations and cultural stigmas surrounding cannabis have hindered the market's growth, despite increasing interest from consumers.

Underlying macroeconomic factors: The increasing prevalence of chronic diseases and the aging population in countries like Japan and South Korea have contributed to the growing acceptance and demand for medical cannabis as a treatment option. Additionally, the economic potential of the medical cannabis industry has prompted governments in the region to explore regulatory changes to capitalize on this emerging market.

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.

This report presents a comprehensive analysis and additional information on the Health market, in a PDF format.

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.