Cannabis - Sri Lanka

Sri Lanka

In Sri Lanka, revenue in the Cannabis market is forecasted to reach US$41.54m in 2024.
The revenue is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 0.31%, leading to a market volume of US$42.19m by 2029.
When looking at global comparisons, the United States is expected to generate the highest revenue (US$42.98bn in 2024).
In terms of per person revenues, US$0.16k is generated in 2024 relative to the total population.
Sri Lanka's cannabis market shows potential for growth as the country explores legalizing medicinal cannabis products for domestic consumption.

Key regions: United States, Canada, Netherlands, Germany, Thailand

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Analyst Opinion

Amid changing regulations and growing acceptance, the Cannabis market in Sri Lanka is experiencing notable developments.

Customer preferences: Consumers in Sri Lanka are increasingly seeking natural and alternative remedies, driving interest in Cannabis products. The shift towards wellness and holistic health practices is influencing consumer preferences, leading to a growing demand for Cannabis-based products in the market.

Trends in the market: One of the key trends in the Cannabis market in Sri Lanka is the emergence of new product offerings catering to various consumer needs. From medicinal purposes to recreational use, the market is witnessing a diversification of Cannabis products to meet the evolving demands of customers. Additionally, there is a notable trend towards the cultivation of Cannabis for both domestic consumption and export purposes, indicating a potential economic opportunity for the country.

Local special circumstances: Sri Lanka's unique cultural and historical relationship with Ayurveda, the traditional medicine system, plays a significant role in shaping the Cannabis market. The country's rich heritage in herbal medicine provides a foundation for the acceptance and integration of Cannabis-based products in the local market. Furthermore, the government's efforts to explore the economic potential of Cannabis cultivation while ensuring regulatory control contribute to the market's development in a structured manner.

Underlying macroeconomic factors: The macroeconomic landscape in Sri Lanka, including factors such as changing regulatory environment, economic stability, and international trade relations, influences the growth trajectory of the Cannabis market. As the market continues to evolve, these macroeconomic factors will play a crucial role in shaping the future dynamics of the Cannabis industry in Sri Lanka.

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.