Australia Legal Cannabis Market Insights Forecasts to 2033

• The Australia Legal Cannabis Market Size was valued at USD 80.4 Million in 2023.
• The Australia Legal Cannabis Market Size is Growing at a CAGR of 27.75% from 2023 to 2033
• The Australia Legal Cannabis Market Size is Expected to Reach USD 930.5 Million by 2033

The Australia Legal Cannabis Market Size is Anticipated to exceed USD 930.5 Million by 2033, growing at a CAGR of 27.75% from 2023 to 2033. The increasing medical applications, expanding product diversification, changing consumer preferences, technological advancements, and regulatory developments are driving the Australia legal cannabis market.

Market Overview

The portion of the cannabis business that functions inside the bounds of governmental laws and regulations is known as the Australia legal cannabis market. Cannabis products that are lawfully allowed by certain federal, state, or local laws are grown, distributed, sold, and used in the Australia legal cannabis market. Businesses operating in the legal cannabis industry are subject to laws governing licensing, taxes, product safety requirements, age limitations, advertising guidelines, and other matters. The legalization of marijuana, mostly for medical use, and increased knowledge of its health advantages are driving the growth of Australia legal cannabis market. The availability of various medicinal cannabis products and the growing use of marijuana, primarily for medical purposes, are driving market expansion as consumers embrace cannabis-based treatment. The main factors driving the market are the growing rate of cannabis legalization and acceptance of its usage in medicine.  

Report Coverage

This research report categorizes the market for the Australia legal cannabis market based on various segments and regions forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Australia legal cannabis market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Australia legal cannabis market.

Driving Factors

Constant regulatory changes, rising medical applications, expanding product diversification, changing consumer preferences, intensive research and development (R&D) efforts, and major technological advancements are the main factors driving the Australia legal cannabis market. Expanding legalization, more public acceptability, more medical research, rising demand for recreational products, regulatory developments, financial opportunities, and possible economic and job advantages are some of the drivers of the Australia legal cannabis market. This shifting legal environment also attracts new investors and companies, which drives market expansion and encourages product innovation in response to diverse customer demands.     

Restraining Factors

Regulation uncertainty, banking restrictions, high taxes, social stigma, supply chain difficulties, health issues, competition from criminal markets, and limits on international trade are some of the obstacles that restrict the Australia legal cannabis market.  

Market Segmentation

The Australia legal cannabis market share is classified into source, derivative, and end use.

• The hemp segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to grow at a significant CAGR during the forecast period       

On the basis of source, the Australia legal cannabis market is divided into marijuana and hemp. Among these, the hemp segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to significant CAGR during the forecast period. The market for hemp-based building materials is anticipated to rise due to the expanding use of hemp-based products for a variety of industrial applications and the rising demand for green buildings as a result of environmental degradation.    

• The CBD segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to grow at a significant CAGR during the forecast period       

On the basis of derivative, the Australia legal cannabis market is divided into CBD, THC, and others. Among these, the CBD segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to significant CAGR during the forecast period. CBD has been approved to treat a number of ailments, including arthritic pain, chemotherapy-induced nausea, and epileptic seizure. The Alcohol and Drug Foundation states that two CBD products- cannabidiol from the Epidyolex brand and nabiximols from the Sarivex brand- are authorized in Australia.

• The industrial use segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to grow at a significant CAGR during the forecast period             

On the basis of end use, the Australia legal cannabis market is divided into medical use, recreational use, and industrial use. Among these, the industrial use segment accounted for the largest share of the Australia legal cannabis market in 2023 and is anticipated to grow at a significant CAGR during the forecast period. The demand for hemp oil and fibers is rising in the food and beverage, textile, construction, personal care, and automotive sectors, supporting their industrial use.      

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Australia legal cannabis market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Zelira Therapeutics
• Cann Group Limited
• EPSILON
• AusCann Group Holdings Ltd.
• Little Green Pharma
• Bod Australia
• ECOFIBRE
• Botanix Pharmaceuticals
• Althea Group
• Incannex
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• In February 2024, Collective Project and Peak Processing Solutions, a subsidiary of Althea Group Holdings, are collaborating to use contract manufacturing to create six cannabis-based beverage products.  

• In January 2024, Althea Group Holdings Limited, a producer and distributor of cannabis-based goods, increased the variety of softgel capsules it offers and launched two new products: Althea THC10 and Althea CBD3:THC2.  

Market Segment

This study forecasts revenue at Australia, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the Australia legal cannabis market based on the below-mentioned segments:

Australia Legal Cannabis Market, By Source  

• Marijuana
• Hemp

Australia Legal Cannabis Market, By Derivatives

• CBD
• THC
• Others

Australia Legal Cannabis Market, By End Use

• Medical Use
• Recreational Use
• Industrial Use