Global CBD food market worth US$6.6bn by 2024

The global cannabis and CBD food market is set to be worth US$6.6 billion by 2024, a new report has found.

The report, published by cannabis market intelligence and consultancy firm Prohibition Partners estimates the market is worth US$2.57 billion in 2020.

However, it has the potential to grow to US$6.56 billion by 2024, with 27 percent cannabis and CBD food consumers entering the market in the last six months.

Edibles are a popular choice among adults, with almost a third of adult cannabis consumers (31 percent) trialling this category in the past year.

The report also found that the coronavirus pandemic has already proven to be a boost to cannabis and CBD-infused food products.

Despite the current economic downturn, cannabis is still set to record impressive growth as consumers look for products to help them relax and de-stress.

Pricing data shows that despite the wide range of prices by item and by milligram of CBD seen across all products, the mean average is consistent across categories.

The report – The Impact Series: Disrupting Food –  is the latest in Prohibition Partners’ market-leading consumer research reports, providing proprietary data on over 15,000 adults from seven key markets, product pricing databases and a detailed analysis of the competitive landscape and regulatory environment.

Ahead of the launch, Stephen Murphy, co-founder and managing director explained: “Cannabis is becoming one of the most disruptive forces in the food market for decades, impacting everything from mood-food to confectionery and fine-dining. With such disruption comes considerable attention, from consumers, cannabis companies and multinational FMCG firms, who are looking to harness the commercial potential of cannabis and CBD.”

The report found that established FMCG brands are circling the cannabis opportunity and identifying the best point of entry – but remain wary due to legislative hurdles.

Meanwhile the European Commission is now reconsidering whether to reclassify CBD ‘extracts and tinctures’ as a novel food. If they continue to be classified as a ‘narcotic’ much of the CBD food market in Europe will be deemed illegal.

In the UK, the FSA has committed to rescheduling CBD extracts and tinctures as a novel food, opening the door for the UK to become a key CBD food market.

Mr Murphy added: “We’re constantly seeing the regulatory landscape shift with potential changes abound from both the UN and the European Commission. This, coupled with the fact that the modern CBD consumer is changing in their attitudes, uses and behaviours, means that market entrants and established producers are fighting an uphill battle. Disrupting Drinks helps to provide clarity to the market with over 150 pages of data, intelligence and insight from our experienced consultants and our network of industry experts.”