Legal Cannabis Market Projected to Grow as Consumers Spend More

NEW YORK: Legal cannabis sales in the North American market are expected to grow rapidly as consumers spend more every year on legal cannabis. According to a new report from Arcview Market Research, people in America and Canada spent $56.4 billion on cannabis in 2016, while about $6.9 billion came from the legal recreational and medical cannabis market, a 34 percent up from 2015. The accelerating pace of cannabis legalization in the United States continues to drive the growth in the market.

Colorado, the first state in the United States to legalize cannabis for recreational use, witnessed impressive growth in the cannabis market. According to the Colorado Department of Revenue tax data released last week, Colorado’s dispensaries sold $1.3 billion of legal cannabis in 2016, while $875 million came from recreational sales and $438 million from medial cannabis. Colorado’s first licensed recreational dispensaries opened in January 2014. Those shops generated $699.2 million revenue by selling recreational and medical cannabis during their first year operation, and the number reached $996 million in 2015.