US legal cannabis market to be worth over 43 billion in 2025

A study of the New Frontier Data recently published says that the legal cannabis market in the United States of America is expected to generate more than 43 billion dollars (36 billion euros) by 2025, reported to Forbes. There are now 19 states that have legalized adult cannabis use in the US, opening the door to a market worth billions of dollars in legal revenue.

The report, entitled “Cannabis in the US 2021 Mid-Year Market Update” concluded that 141 million Americans (43 percent of the adult population), reside in 18 adult-use states, “representing a diverse and widely distributed consumer base for merchants to segment and observe.”

The same study projects that by 2025, 42 percent of total annual U.S. cannabis demand will be met by legal purchases in regulated markets, up 24 percent from 2020. New Frontier Data cites an increase in spending. from the legal market, as well as the conversion of existing illicit market consumer spending into legal regulated sources as reasons for the estimated increase in consumer demand.

About 5,4 million Americans, or 2,4 percent of all US adults, by 2025 will be registered patients in states with medical cannabis. As more states legalize and increase cannabis use, investor confidence also increases. The study found that in May 2021, revenue from funds in the legal cannabis market had more than tripled, accumulating 6 billion.

During the 2020 pandemic, illicit cannabis use in the US was estimated at over €65 billion.