Australia Legal Cannabis Market Report and Forecast 2024-2032

Australia Legal Cannabis Market Size

The Australia legal cannabis market reached approximately USD 88.10 million in 2023. The market is projected to grow at a CAGR of 26.8% between 2024 and 2032, reaching a value of around USD 746.53 million by 2032.

Australia Legal Cannabis Market Outlook

The rising popularity of cannabis-infused edibles and beverages has opened several avenues for the growth of the Australia legal cannabis market. This has led to increased investment from several market players as well as the entrance of new providers. Furthermore, legal cannabis can be found in health and wellness products such as topicals and oils as it can offer several therapeutic benefits to customers without any side effects. Cannabis can further be used for medicinal purposes as they offer relief from chronic pain, and epilepsy, among other health conditions.

Greens Senator David Shoebridge submitted the first federal-level proposal for the legalisation of cannabis in Australia in August 2023. Their aim is to establish a legal system for the sales of cannabis which can also aid in boosting the economy.

The Growing Legalisation of Medical Cannabis is one of the Prominent Australia Legal Cannabis Market Trends

The market is segmented by type into medical cannabis and recreational cannabis. As per the Australia legal cannabis industry analysis, medical cannabis, with a CAGR of 24.1%, ranks second due to increasing acceptance and legalisation for medicinal purposes and advancements in medical cannabis products. Recreational cannabis, growing at a CAGR of 29.5%, ranks first, driven by the growing legalization for recreational use, increasing consumer demand, and product innovation.

The Australia Legal Cannabis Market Growth is Driven by Rising Use of Cannabis for Medical Purposes

The market is further segmented by product into buds, oils, tinctures, and others.

• Buds lead the segment with a CAGR of 29.5%, owing to high demand due to traditional usage and widespread consumer acceptance. 

• Oils, growing at a CAGR of 28.4%, rank second, with increased usage in medical treatments and wellness products, which fuels the Australia legal cannabis demand. 

• Tinctures, with a CAGR of 25.7%, are gaining popularity for precise dosing and ease of use, ranking third. 

• The 'Others' category, which includes diverse product applications and growing market niches, has a CAGR of 24.1%, ranking fourth.

New South Wales Accounts for a Significant Australia Legal Cannabis Market Share Due to its Strong Regulatory Network

• Regionally, the market is segmented into New South Wales, Victoria, Queensland, Australian Capital Territory, Western Australia, and others. 

• New South Wales leads with a CAGR of 30.6%, attributed to its strong regulatory framework and significant market presence. 

• Victoria, with a CAGR of 28.7%, ranks second, driven by its growing medical cannabis sector and strong consumer base., which offers lucrative Australia legal cannabis market opportunities.

• Queensland follows with a CAGR of 27.6%, benefiting from increasing investments and a favourable climate for cannabis cultivation. 

• Western Australia, with a CAGR of 25.5%, ranks fourth, supported by an expanding legal framework and an increasing number of licensed producers. 

• The Australian Capital Territory, with a CAGR of 24.1%, ranks fifth, noted for its early adoption of legalisation policies and a small but growing market.

Key Questions Answered in This Report:

• How has the Australia legal cannabis market performed historically, and what are the growth expectations for the future?

• What are the primary factors influencing demand and growth in the Australia legal cannabis market?

• What are the key segments within the Australia legal cannabis market, and how are they expected to evolve over the forecast period?

• What are the major challenges and opportunities facing stakeholders in the Australia legal cannabis market?

• Who are the key players in the Australia legal cannabis market, and what strategies are they employing to maintain a competitive edge?

• What are the regulatory and policy factors influencing the Australia legal cannabis market globally or regionally?

• How competitive is the Australia legal cannabis market according to Porter's five forces analysis, including factors like bargaining power of buyers and suppliers?

• What are the current trends shaping the Australia legal cannabis market landscape, and how are they expected to evolve in the future?

• How are technological advancements impacting the Australia legal cannabis market, and what role do innovation and R&D play in driving growth?

• What are the consumer preferences and buying behavior trends influencing the Australia legal cannabis market?

• How sustainable are current growth rates in the Australia legal cannabis market, and what factors could potentially disrupt these trends?

• What are the regional dynamics within the Australia legal cannabis market, and how do they contribute to overall market growth?

• What are the economic factors influencing the Australia legal cannabis market, such as GDP growth, inflation rates, and currency fluctuations?

• How are demographic shifts, such as aging populations or urbanization trends, affecting demand in the Australia legal cannabis market?

• What are the key strategic partnerships, mergers, and acquisitions shaping the competitive landscape of the Australia legal cannabis market?

• What are the regulatory and legal frameworks impacting the Australia legal cannabis market globally or in key regions?

• How are changing consumer lifestyles and preferences influencing product or service demand within the Australia legal cannabis market?

• What are the emerging market trends and niche opportunities within the Australia legal cannabis market that stakeholders should be aware of?

• How resilient is the Australia legal cannabis market to external shocks or disruptions, such as geopolitical tensions or natural disasters?

• What are the potential barriers to market entry and growth for new players in the Australia legal cannabis market?

Key Benefits for Stakeholders:

Expert Market Research's industry report provides a comprehensive quantitative analysis of various market segments, historical and current market trends, and forecasts the dynamics of the Australia legal cannabis market spanning from 2018 to 2032.

The research report delivers up-to-date insights into the market drivers, challenges, and opportunities shaping the Australia legal cannabis industry.

Stakeholders can leverage Porter's five forces analysis to assess the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. This analysis aids in evaluating the competitiveness and attractiveness of the Australia legal cannabis market.

The competitive landscape section enables stakeholders to gain a deep understanding of their competitive environment. It offers insights into the current market positions of key players, their strategies, and their market shares.

Additionally, the report highlights emerging trends, regulatory influences, and technological advancements that are pivotal for stakeholders navigating the Australia legal cannabis market landscape.

Key Highlights of the Report