As various phases of legalisation come into effect in different parts of Australia, the country’s cannabis market is expected to break through the barrier of US$1.5 billion by 2025, making it the largest legal cannabis market in the Oceania region, according to a new report by market research consultancy Prohibition Partners.
The consultancy’s forecasts for the coming five years represent a mammoth jump for Australia’s cannabis market, which is currently estimated at a value of just US$40 million.
This figure is expected to jump to US$170 million by next year, and more than triple in the year after, down the line making its way past the $1 billion mark by 2023.
The jump in value is the anticipated result of regulatory changes that have come into effect across various parts of Australia in recent years, lifting restrictions on use for certain purposes. According to the report by Prohibition Partners – The Oceania Cannabis Market – the cannabis market can be broken down into four categories, namely medicinal, recreational, industrial hemp and CBD (Cannabidiol).
2016 became a major turning point for Australia’s cannabis market. The Parliament opened the doors for medicinal cannabis at the start of the year, and by the end of the year politicians paved the way for regulatory approval of medicinal cannabis products.
Since then, while the medicinal cannabis market has grown gradually, Australian Capital Territory’s (ACT) legislative assembly has been leading the charge to further open up the cannabis market. Experts have long argued that legalising all forms of cannabis has tremendous economic benefits, while the stigma around the substance and the consequent resistance results from a lack of research into the matter.
See the full report here https://www.consultancy.com.au/news/1887/australias-legal-cannabis-market-blooms-to-15-billion-by-2025