Recreational Cannabis - Central & Western Europe

Central & Western Europe

Revenue in the Recreational Cannabis market market in Central & Western Europe is forecasted to reach US$133.20m in 2025.
The revenue is anticipated to demonstrate an annual growth rate (CAGR 2025-2029) of 1.25%, leading to a market volume of US$140.00m by 2029.
When compared globally, the United States is expected to generate the highest revenue (US$26.82bn in 2025).
In terms of per person revenues concerning the total population, US$106.40 are generated in 2025.
In Central & Western Europe, Germany's recreational cannabis market is rapidly evolving with increasing acceptance and demand among consumers.

Key regions: Spain, South Africa, Europe, Netherlands, Australia

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Analyst Opinion

The Recreational Cannabis market in Central & Western Europe has been experiencing significant growth and development in recent years.

Customer preferences: Consumers in Central & Western Europe are increasingly favoring high-quality, organic cannabis products with diverse strains and potency levels. There is a growing demand for innovative consumption methods such as edibles, concentrates, and topicals, reflecting a shift towards more discreet and convenient ways of consuming cannabis.

Trends in the market: In countries like the Netherlands and Spain, where cannabis regulations are more relaxed, there is a flourishing cannabis tourism industry, attracting visitors from around the world. On the other hand, countries like Germany and France are gradually easing restrictions on medical cannabis, paving the way for future recreational legalization.

Local special circumstances: In the Netherlands, the famous "coffee shops" have been a longstanding symbol of the country's tolerant approach to cannabis. However, the government is now considering implementing a regulated supply chain to address issues related to the illegal production and distribution of cannabis. In Spain, the concept of "cannabis social clubs" has gained popularity, allowing members to collectively cultivate and consume cannabis in private spaces.

Underlying macroeconomic factors: The growing acceptance of cannabis for both medical and recreational use in Central & Western Europe is driven by shifting societal attitudes, increasing awareness of the potential therapeutic benefits of cannabis, and the potential economic opportunities associated with a legal cannabis market. As governments explore the potential tax revenues and job creation from the cannabis industry, there is a gradual trend towards legalization and regulation across the region.

Methodology

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.