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Cannabis Industry Statistics 2024: Facts and Stats About the Cannabis Industry

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Ameer Asghar
Ameer is an enthusiastic writer who believes in the remarkable potential of the cannabis plant to lead people towards natural health alternatives, steering them towards a path of improved well-being and health.

Learn about the Canadian Cannabis Industry, and how it’s grown over the past year!.

Annual Canadian Cannabis Sales Revenue

Unveiling the Green Wave: Canada’s Recreational Cannabis Industry on the Rise

Canada’s recreational cannabis industry is proving to be a resilient force, showcasing steady growth throughout the year. The latest data from Statistics Canada reveals a noteworthy surge in sales, particularly in August, with the industry reaching new heights. Let’s dive into the key insights that underscore this flourishing sector.

August Highlights: A $339 Million Milestone

In August, the recreational cannabis industry reached a remarkable milestone, registering sales of 464.2 million Canadian dollars ($339 million). This represents a substantial 4% increase over July, showcasing the industry’s robust momentum.

Year-Over-Year Growth: A Striking 13.7% Surge

The year 2024 has proven to be a prosperous one for recreational cannabis, witnessing an impressive year-over-year growth of approximately 13.7%. The cumulative sales for the year have soared to an estimated CA$3.34 billion, underlining the sustained demand for cannabis products across the country.

Ontario: Powering National Growth

Ontario, Canada’s largest provincial economy, emerges as a significant contributor to the national upswing, according to Statistics Canada. In August alone, recreational cannabis sales in Ontario surged by CA$12.4 million, translating to a notable 7% increase, reaching a total of CA$188.5 million. The province’s robust performance is a driving force behind the overall industry growth.

While Ontario leads the pack, other provinces also experienced noteworthy shifts in sales. Here’s a snapshot of sales totals and month-over-month changes across different regions:

  • British Columbia: CA$73.9 million (+4.1%).
  • Quebec: CA$55.9 million (+2.7%)
  • Manitoba: CA$15.4 million (-7.5%)
  • Alberta: CA$78.6 million (even)
  • Nova Scotia: CA$10.6 million (+2.9%)
  • New Brunswick: CA$8.5 million (+6%)
  • Newfoundland and Labrador: CA$7.6 million (+5.1%)
  • Saskatchewan: CA$20.5 million (+3.3%)
  • Prince Edward Island: CA$2.3 million (+2.2%)

Canadian Cannabis Consumption Trends

With the legalization of cannabis in Canada, the nation has experienced a perceptible shift in cannabis consumption patterns. As we delve into the latest data from Statistics Canada, a nuanced picture emerges, revealing not only the prevalence of cannabis use but also shedding light on its dynamics across different provinces, age groups, and legal sources.

Post-Legalization Surge: Cannabis Use on the Rise

Since the legalization of cannabis, a notable increase in usage has been observed. In 2021, a staggering 22% of Canadians aged 15 years and older reported using cannabis in the past year. This surge in usage is particularly pronounced in certain provinces, with British Columbia, Alberta, Ontario, Nova Scotia, and Prince Edward Island reporting higher rates compared to the national average. However, Quebec stands out with lower rates of cannabis use, showcasing the diverse regional dynamics at play.

Pandemic Influence: A Catalyst for Increased Consumption?

The tumultuous landscape of the COVID-19 pandemic has left an indelible mark on various aspects of life, including cannabis consumption. Studies conducted during the pandemic suggest that cannabis use may have increased in response to the changed daily routines and heightened stress levels. The intriguing question remains: will the elevated rates of cannabis use observed during the pandemic persist as normalcy returns? As daily routines are reinstated, and new data becomes available, researchers are poised to explore this intriguing aspect further.

Age Disparities: 18-24 Demographic Dominates Cannabis Use

Cannabis use exhibits distinct patterns across age groups. Notably, the 18- to 24-year-old demographic emerges as the most common users. However, it’s worth noting that the legalization of cannabis hasn’t led to an increase in use among 15- to 17-year-olds, presenting a notable contrast.

The Rise of Legitimate Cannabis Sources

Recent data indicate a remarkable shift in the legal landscape of cannabis consumption. By the first half of 2023, more than 70% of the total value of cannabis consumed in Canada originated from legal sources, encompassing both licensed medical and non-medical channels. This marks a significant leap from the mere 22% reported in the fourth quarter of 2018, at the inception of legalization.

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Canadian Cannabis Export

In the fiscal year 2022-23, Canadian exports of medical cannabis products experienced a significant surge, reaching a value of 160 million Canadian dollars ($118 million). This marks a notable 50% increase compared to the previous fiscal year, where exports amounted to CA$107 million. The data, provided by Health Canada to MJBizDaily, underscores the robust growth and increasing international demand for Canadian medical cannabis products.

Biggest Canadian Cannabis Producer

According to a report published by CIBC, Village Farms has taken the top spot in Canada’s cannabis producer ranks. The company now accounts for 7.8% of the Canadian market’s cannabis sales, slightly beating second-place Tilray, which has a 7.3% share in national cannabis sales. Both companies are far ahead of the Decibel Cannabis Company, which has a 6.5% share in total Canadian cannabis sales.

Health Canada Cannabis Market Data

Health Canada is a great source for cannabis research and cannabis market data because they frequently update and share sales, licensing, and cultivation metrics on their website. Here are some highlights of the 2020 Canadian cannabis market.

For the reporting period ending in October 2023, Health Canada reported the following:

  • Dried Cannabis represented 53% of total sales (10,626,768 units sold)
  • Edible Cannabis represented 22% of total sales (4,411,111 units sold)
  • Cannabis Extracts represented 24% of total sales (4,812,121 units sold)
  • Indoor growing area: 1,570,299 m2
  • Processing area: 375,254 m2
  • Outdoor growing area: 571 hectares (5,705,700 m2)

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Canadian Government Revenue from The Sale of Cannabis

In the fiscal year 2021/2022 (the most recent data available), the cannabis authorities in Canada demonstrated a robust financial performance. With cannabis authority sales reaching an impressive 3,108,932 thousand dollars, the deductive cost of goods sold amounted to 2,453,286 thousand dollars. This resulted in a substantial gross profit of 655,646 thousand dollars. After accounting for administrative and general expenses, which totaled 349,946 thousand dollars, and factoring in other income amounting to 26,619 thousand dollars, the net income of cannabis authorities stood at a commendable 332,319 thousand dollars. The financial success of the cannabis authorities is a testament to the thriving cannabis industry in Canada.

Income from Cannabis Sales Made a Significant Contribution to Government Fiscal Revenue

The substantial net income generated by cannabis authorities contributed significantly to the government’s fiscal revenue. The total taxes and other revenue in connection with cannabis-related activities amounted to an impressive 1,219,842 thousand dollars. This included federal excise tax and customs duties totaling 160,241 thousand dollars, provincial and territorial excise tax at 592,225 thousand dollars, harmonized sales tax amounting to 236,100 thousand dollars, goods and services tax of 110,674 thousand dollars, provincial/territorial sales tax totaling 110,818 thousand dollars, and other provincial/territorial revenue of 9,783 thousand dollars. In aggregate, the net income of cannabis authorities, combined with total taxes and other revenue, reached a substantial 1,552,161 thousand dollars, highlighting the significant financial contribution of the cannabis industry to the Canadian economy.

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Canadian Cannabis Licensing Statistics

There weren’t a lot of new cannabis production licensing applicants in 2023, as compared to previous years. Sources such as MJ Biz Daily, are citing that large licensed producers (LPs) are facing challenging business prospects amid:

  • Falling prices due largely to oversupply.
  • A burdensome federal taxation regime.
  • Stiff competition from smaller, more specialized and nimble companies.
  • Large government-owned wholesalers earning most of the profit in the industry.

As of September 30, 2023, there were 947 federal license holders in Canada.

In September 2022 and September 2021, there were approximately 906 and 771 licensees, respectively.

As of September 2023, licenses issued stood at:

  • 472 standard licenses.
  • 410 micro-class licenses.
  • 25 nursery licenses.
  • 40 licenses for ‘Sale for medical purposes only’

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