Recreational Cannabis - Southern Europe

Southern Europe

Southern Europe is expected to see the Recreational Cannabis market market reach a projected revenue of US$1.54bn by 2024.
The market is anticipated to display an annual growth rate (CAGR 2024-2029) of 4.94%, leading to a market volume of US$1.96bn by 2029.
When compared globally, the United States is predicted to generate the most revenue in 2024, amounting to US$24.96bn.
In terms of per person revenues in 2024, US$678.10 are generated concerning the total population figures.
In Southern Europe, Italy's recreational cannabis market is experiencing a surge in boutique dispensaries offering high-quality products and personalized customer experiences.

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

Market

Region

Region comparison

Currency

Analyst Opinion

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

Customer preferences: Customers in Southern Europe are increasingly showing a preference for high-quality, organic cannabis products. They are also seeking a wide variety of options, including edibles, oils, and topicals. This shift in preferences is driving companies to innovate and diversify their product offerings to cater to the evolving demands of consumers.

Trends in the market: In Spain, there has been a growing trend towards cannabis social clubs, where members can legally purchase and consume cannabis in a private setting. This model has gained popularity as a way to navigate the complexities of cannabis legislation in the country. Additionally, Italy has seen a rise in the cultivation of hemp for both industrial and medicinal purposes, reflecting a broader acceptance of cannabis-related products.

Local special circumstances: Portugal stands out in Southern Europe for its progressive approach to cannabis legalization. The country has decriminalized the use of all drugs, including cannabis, and has established a regulatory framework for medical cannabis cultivation and distribution. This unique stance has positioned Portugal as a key player in the European cannabis market.

Underlying macroeconomic factors: The economic landscape in Southern Europe, characterized by high unemployment rates and slow economic growth, has prompted some countries to explore the potential economic benefits of legalizing cannabis. By tapping into the cannabis market, governments see an opportunity to generate tax revenue, create jobs, and stimulate economic activity. This economic incentive is driving further momentum in the development of the recreational cannabis market in 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.