Cannabis Infused Edible Products - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

Cannabis Infused Edible Products - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

The cannabis-infused edible products market size is expected to grow from USD 11.26 billion in 2024 to USD 23.96 billion by 2029, at a CAGR of 16.30% during the forecast period.

Key Highlights

• The fact that edibles are inconspicuous and allow consumers to devour unknowingly has shifted consumer preferences from smoking to edibles. The food sector has responded to the current market trends by releasing new cannabis-based food products, which have been driven by consumerdemand. So far, the most common active chemicals extracted from cannabis utilized in food are cannabidiol (CBD) and tetrahydrocannabinol (THC), which are found to exhibit therapeutic properties. The number of edibles claiming to contain cannabis has exploded in recent years. Pizza, lollipops, chocolate, morning cereal, gummy consistent items, chocolate cookies/brownies, beverages, and beef products are just some of the products infused with cannabis and claim to carry health-promoting components and thus is a novel way to incorporate cannabis chemicals into food products.
• This growing popularity has led edibles to penetrate most of the United States retail, where the state must have some specific cannabis or marijuana-regulated laws. The cannabis edibles segment in Europe is considered to be the fastest-growing category in the cannabis industry, with the likes of sub-categories such as gummies and infused drinks having witnessed a significant growth trajectory in recent years. For instance, according to the Addiction Department of Basel University, Switzerland is to become the first European country to launch a cannabis sales pilot program, namely the "Weed Care" trial program, to study the effects of cannabis legalization in September 2023, which is expected to run for 2.5 years, until March 2025. The survey will include 370 of the program's participants over the age of 18, and the participants' cannabis consumption habits, as well as their overall physical and mental health, will be monitored during the study.
• Moreover, most of the cannabis edible addresses the demand of modern consumers, where the products need to be discreet, easy to use, safe, and of accurate dosages. For instance, in March 2022, RS Group launched CAMU C Plus with Hemp, marking the debut of a vitamin C beverage blended with white grape juice, hemp extract, gamma-aminobutyric acid (GABA), camu camu extract, boasting an impressive 200% vitamin C content. Additionally, they unveiled CAMU C CBD Shot, an innovative product as the market's inaugural CBD extract-infused functional shot.
• Cannabis-infused products such as snacks and beverages are expected to become especially popular among consumers belonging to younger generations owing to the influence of social media trends on platforms such as Instagram and Facebook. This factor is expected to increase product innovations by cannabis-infused product manufacturers to increase their appeal among consumers and to gain a competitive edge in the market.

Cannabis-infused Edible Products Market Trends

More Patents and Collaborations with Micro-dosing

• The micro-dosing of cannabis in terms of edibles and beverages is likely to set some significant new heights over the coming years. People's understanding of cannabis's potential as a recreational and utilitarian food ingredient has expanded greatly as more people experiment with infused edibles.
• Many new businesses, as well as some of the biggest names in the food and drink industry, have been investigating the potential for introducing cannabinoid-infused goods in states where such sales are permitted within the previous few years. Currently, cannabis is allowed for medical use in 33 states across the globe and for individuals over 21 years of age.
• With the big names in the portfolio, such as Constellation Brands, MPX, Gfarmalabs, and Sprig, which have started their work on cannabis-infused drinks, following them, HEMP20 and THC Pharma are also moving slowly into the domain. New launches are expected from the cannabis industry over the coming years, where, at present, novel brands such as Province Brands, a Canadian Research and development company, are set to release the world's first alcohol-free beer brewed from cannabis. Firms such as HEMP20 have patented a technology on DehydraTECH that enables an increase in the internal absorption rate.
• The collaboration across the industry is massive, and brands such as Constellation and Canopy Growth are developing the market for cannabis-based beverages. On the other hand, AB InBev and Tilray have ventured into a USD 100 million venture to research cannabis-infused non-alcoholic drinks exceptionally for the Canadian Market.

North America Leads the Cannabis-infused Edibles Market

• Cannabis holds promising scope in reducing cancer-related symptoms and side effects of cancer treatment, such as nausea, vomiting, and pain. Currently, research is being conducted to safely demonstrate this functionality of cannabis and bring its use among the general population. Other potential functionalities of cannabis include benefiting heart health, substance abuse treatment, and possible extension of life in those with glioblastoma, among other factors.
• According to the Organisation for Economic Co-operation and Development (OECD) data, by the year 2028, it is expected that the market for medical cannabis in Mexico will be worth more than USD 1.3 billion. The value of the recreational cannabis market in the North American nation is projected to be close to USD 655 million.
• In addition, according to a survey for the regulation of cannabis by the Government of Canada in 2021, 7 out of 10 Canadians believe the information they find online regarding cannabis is reliable enough to help them make educated decisions, and persons who have used cannabis within the past year, this rises to about 90%.
• The percentage of Canadians aged 16 and up who reported using cannabis throughout the previous 12 months was 25% in 2020 and 26% in 2021, with the frequency of daily or practically daily use remaining essentially consistent. Teens and young adults aged 16 to 24 increased their use from 23% in 2020 to 29% in 2021. Even though smoking is still the most popular way to consume cannabis, trends towards vaping with devices like vape pens and drinking it, but its topical applications have increased since 2020, as per the survey.
• Furthermore, packaging has also played a major role in determining sales, where, on average, the packages of edibles were around 100 mg per serving with an add-on price. On the other hand, Canada is also focusing on expanding its retail sales of edibles with single servings, which constitute around 10mg of edibles. However, in Canada, the supply of edibles will be limited to begin with but will increase in the future as regulators sense the positive aspect of its usage and safety.

Cannabis-infused Edible Products Industry Overview

The global cannabis-infused edibles market is a fragmented market with the presence of various regional and global players. The major players present in the market are BellRock Brands Inc. (Dixie Elixirs), Canna River, RS Group, Village Farms International Inc., and Naturecan Ltd., among others. Product innovation is found to be the major tool used by the players to expand their offerings and, thus, gain a competitive advantage over other players.

Private-label brands hold a prominent share of the market with diversified product offerings. In the market studied, established major products that claim to be natural, organic, and involved in sustainable practices have a higher penetration across retail shelves and online channels. However, domestic players cater to the same segment with a better storyline that connects consumers and delivers experiences with the product, which is also growing.

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