South Africa and the Middle East represent the smallest share of the international medical cannabis market and the region is showing ‘gradual’ growth, led by South Africa’s progressive policies and Israel’s research eco-system.
That’s the assessment of the Medical Cannabis Market 2026 Report which identifies Asia as the fastest growing medical cannabis market in the world, while the USA remains the market leader.
The world’s medical cannabis market was valued at US$30 billion in 2025 and is projected to grow at 23% over the next eight years. That’s according to the 2026 Report, released this month, which predicts that by 2035 the market will be worth US$96 billion.
The growth is being driven by increasing legalization, expanding medical research and rising demand for alternative therapies. As of 2023, 40 countries had legalized medical cannabis to varying degrees, allowing patients to use cannabis-based products for specific treatments.
It says medical cannabis is being used to treat a range of conditions, including chronic pain, epilepsy, multiple sclerosis, and nausea associated with chemotherapy and that further growth is being fuelled by clinical trials exploring the efficacy of cannabis in a wider array of diseases, including neurological disorders and mental health issues such as anxiety and depression.
The report says that as more research validates the therapeutic benefits of cannabis and more governments loosen restrictions , the medical cannabis market will grow significantly, led by North America followed by Europe and the emerging markets of the Asia Pacific region.
Led by Thailand and Australia, the Asian Pacific region is showing the strongest growth with anticipated growth of around 25% until 2034. South Korea and New Zealand are emerging as regulatory pioneers in the region.
Overall, North America is the dominant force, accounting for 45% of market share and is growing at rate supported by strong patient access networks.
Europe captured a substantial share of the world market in 2024, fuelled by increased government approvals, easier insurance coverage and an expansion of dispensaries.
Latin America is showing steady growth based on low-cost cultivation, with Colombia and Uruguay making export headway.
Africa and the Middle East have the smallest market share but is experiencing modest growth, led by Israel’s research eco-system and South Africa’s progressive policies.
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