The Canadian market for cannabis-infused drinks and edible products is forecast to be worth $2.7 billion annually, according to a new report by financial consultants Deloitte.
This nearly $3 billion in spending is expected to be on top of the $6-billion domestic market for recreational cannabis, the consultancy said when unveiling its report on Monday.
Canadian consumers are looking to snap up new cannabis products in addition to the dried flower, oils, plants and seeds they have been buying from legal retailers since legalization of the drug last fall, a recent survey of 2,000 Canadians conducted by Deloitte suggests.
The first wave of marijuana and cannabis legalization last October was limited to use of the recreational drug itself. Canada is gearing up to legalize cannabis-infused foods, beverages, topicals and other next-generation products in the coming months, once Ottawa implements its final regulations this autumn.
Canada’s federal government wrapped up its consultation on the draft edible rules this past February, and has said the regulations must be brought into force no later than October 17, 2019.
Deloitte estimates that roughly $1.6 billion will be spent on cannabis edibles in Canada, followed by cannabis-infused beverages at $529 million and topicals at $174 million. Spending on concentrates is expected to hit $140 million, followed by tinctures at $116 million and capsules at $114 million. The global market for alternative cannabis products is expected to nearly double over the next five years, the consultancy added.
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