The global cannabis extract market size was valued at USD 3.5 billion in 2022 and is expected to reach USD 15.5 billion by 2030, expanding at a compound annual growth rate (CAGR) of 20.0% from 2023 to 2030. This strong growth outlook is primarily driven by the increasing demand for cannabis extracts such as oils, tinctures, and concentrates, which are widely used for both medical and wellness applications. The rising legalization of marijuana across various regions for the treatment of chronic conditions including arthritis, Alzheimer’s disease, anxiety disorders, and cancer is significantly contributing to market expansion. As clinical research continues to demonstrate the therapeutic potential of cannabinoids, more patients and healthcare providers are adopting cannabis-based products as complementary or alternative treatment options, further accelerating market growth.

The marijuana industry is flourishing largely because of growing awareness of the diverse medical benefits of cannabis extracts. In many countries, the decriminalization and legalization of medical cannabis has led to a decline in illicit trade, as consumers increasingly prefer to purchase products through regulated and safe legal channels. Unlike traditional smoking forms, extracts such as tinctures and oils can be used in a variety of applications including topicals, edibles, and beverages, making them attractive to both medical and recreational users. These products are widely regarded as effective in addressing conditions such as nausea, cancer-related symptoms, and mental health disorders, while also being popular for recreational activities like vaping. Moreover, regulatory frameworks surrounding medical cannabis extracts tend to be more lenient than those for dried cannabis buds intended for smoking, which further supports the expansion of the extract market.

Key Market Trends & Insights:

• North America accounted for a high revenue share of 78.5% in 2022, supported by widespread cannabis legalization, strong consumer awareness, and rising use of cannabis extracts for therapeutic and wellness purposes, all of which drive regional market growth.
• The Middle East and Africa region is anticipated to register the fastest growth rate of 37.8%, driven by a gradual shift in regulatory attitudes and increasing recognition of the economic and medical potential of cannabis extract products.
• By product type, the oil segment held the largest revenue share of 62.8% in 2022 and is expected to record the fastest growth rate of 20.3%, as oils are versatile, easy to dose, and widely used in both medical formulations and consumer health products.
• By source, marijuana accounted for the highest revenue share of 83.5% in 2022, reflecting its extensive use in pharmaceutical and therapeutic applications. Hemp is also projected to experience lucrative growth over the forecast period due to its increasing use in managing high cholesterol, constipation, arthritis, and other conditions, as well as its favorable legal status in many regions.
• By extract type, the full-spectrum segment held the leading revenue share of 70.7% in 2022 and is anticipated to register the fastest growth rate of 21.0%, owing to its comprehensive cannabinoid profile, potential “entourage effect,” and increasing consumer preference for natural, minimally refined cannabis products.

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Market Size & Forecast:

• 2022 Market Size: USD 3.5 Billion
• 2030 Projected Market Size: USD 15.5 Billion
• CAGR (2023-2030): 20.0%
• North America: Largest market in 2022
• Middle East and Africa: Fastest growing market

Key Players

• Tikun Olam
• CANOPY GROWTH CORPORATION
• Tilray
• Aurora Cannabis
• The Cronos Group
• Maricann Inc
• Organigram Holdings Inc.
• The Cronos Group
• Aphria Inc

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Conclusion:

The global cannabis extract market is set for substantial expansion as legalization trends, medical acceptance, and product innovation continue to reinforce demand worldwide. Growing evidence supporting the therapeutic benefits of cannabis extracts for chronic conditions such as arthritis, Alzheimer’s, anxiety, and cancer will further strengthen their adoption in healthcare applications. At the same time, the availability of diversified product formats including oils, tinctures, topicals, edibles, and vaping solutions will broaden consumer reach and enhance market penetration. Supportive regulatory frameworks for extracts compared with smoked cannabis are also expected to facilitate faster commercialization and industry investment. Regional growth will be led by North America, while emerging markets such as the Middle East and Africa present significant future opportunities. Overall, rising consumer awareness, expanding legal access, and continuous product development together underpin a highly positive outlook for the cannabis extract market over the forecast period.