Cannabis Extraction Market by Method (Alcohol Extraction Method, CO2 Extraction Method, Hydrocarbon Extraction Method), End-Use

List of Tables

[180 Pages Report] The Cannabis Extraction Market size was estimated at USD 3.82 billion in 2023 and expected to reach USD 4.43 billion in 2024, at a CAGR 17.26% to reach USD 11.66 billion by 2030.

Cannabis extraction is a process used to isolate and concentrate the desirable compounds from the cannabis plant, such as cannabinoids while eliminating unwanted material, including plant waxes and lipids. This extraction typically involves using solvents such as butane, CO2, ethanol, or water, which dissolve the active ingredients from the plant material. The resulting extract is a highly potent substance that can be used in various products, including medicinal remedies, recreational cannabis products, and infused edibles. The increasing need for pharmaceutical and nutraceutical manufacturing and the growing investments propels the demand for cannabis extractions. However, the stringent government regulations associated with cannabis extractions are a significant challenge faced by manufacturers and suppliers. Companies are continuously focusing on complying with international and national regulations and guidelines to remain agile within the landscape. Moreover, the adoption of high-tech equipment in cannabis extractions and the development of novel delivery systems offer a significant opportunity for manufacturers and suppliers.

KEY MARKET STATISTICS
Base Year [2023]	USD 3.82 billion
Estimated Year [2024]	USD 4.43 billion
Forecast Year [2030]	USD 11.66 billion
CAGR (%)	17.26%

Regional Insights

In the Americas, particularly in the United States and Canada, the cannabis extraction landscape is rapidly expanding due to the increasing legalization of cannabis for medical and recreational use. The United States remains a significant market with advanced extraction technologies and strong consumer demand for high-quality cannabis products. Canadian companies are also at the forefront, benefiting from nationwide legalization, and are actively investing in research and development. Both countries are witnessing a surge in patents related to solventless extraction methods and purification techniques, along with a growing number of startups receiving substantial investment for scaling production capabilities. At the same time, the European Union (EU) is experiencing an emerging cannabis extraction market as countries such as Germany, the Netherlands, and Portugal are increasingly permitting medical cannabis use. Consumer demand in this region is growing, with an inclination towards products with high purity levels and clear provenance due to stringent EU standards. On the other hand, countries in the Asia-Pacific region, including China, Japan, and India, show a diverse cannabis extraction landscape, with China and Japan establishing a strong position in hemp production and extraction, primarily for textiles and increasingly for cannabidiol (CBD) extraction.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Cannabis Extraction Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers
- Increased social acceptance, legalized production, and sales of infused products globally
- Attractive investment prospects and collaborative market landscape
- Cannabis has been proven non-psychoactive and has increasingly accepted for medical and nutraceutical application

Market Restraints
- Complex cannabis extraction process and limited certification of extraction facilities

Market Opportunities
- Increased availability and adoption of high-tech equipment and the development of scientific methods
- Collaborating Cannabis industry ecosystem development
- Pharmaceutical companies and beverage companies eyeing the cannabis industry

Market Challenges
- Heavy taxes imposed on the cannabis industry discourage commercialization
- Negative social stigma and loosely defined legal framework

Market Segmentation Analysis
- Method: Utilization of varied cannabis extraction methods to ensure safety, purity, and solvent removal
- End-Use: Increasing uses of cannabis extractions in the pharmaceutical and food & beverage industry in preference to their various health benefits

Market Disruption Analysis
Porter's Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Cannabis Extraction Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Cannabis Extraction Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Verano Launched On The Rocks, New Multi-Format Brand Anchored Around Solventless Extraction Methods, Across Core Markets

Verano Holdings Corp. launched its latest innovation, 'On The Rocks,' a premium collection of solventless cannabis extracts. These meticulously crafted extracts are the epitome of purity and authenticity, designed to deliver the essence of the cannabis plant in its most unadulterated form. This process ensures the collection of the most potent and flavorful trichomes, providing connoisseurs with an unparalleled cannabis experience. Verano's commitment to excellence is reflected in this small-batch, artisanal product line, setting a new standard for quality and taste in the cannabis extract market. [Published On: 2023-06-14]

CULTA Signs Definitive Agreement to Acquire Two Dispensaries, Broadening Presence in Maryland

CULTA, a cannabis extraction company, fortifies its market position by strategically acquiring two female-operated dispensaries, Growing Ventures and K&R Holdings. The acquisition of Greenhouse Wellness, in particular, represents a significant stride in enriching its retail footprint and underscores CULTA's dedication to fostering inclusivity within the cannabis industry. [Published On: 2023-06-12]

Humble & Fume Inc. Announces Partnership with EvoLife & LocalsOnly Concentrates

Humble & Fume Inc., a distributor in the North American cannabis sector, entered into a significant partnership with EvoLife, the creators behind the esteemed LocalsOnly Concentrate Brand. With this partnership, Humble & Fume Inc. aims to take on the role of exclusive distributor, managing sales and distribution for the current range of EvoLife's high-quality concentrates and any forthcoming products. This partnership is poised to propel the LocalsOnly line of concentrates to a broader customer base, enhancing market presence and fulfilling the escalating consumer demand for premium cannabis extracts. [Published On: 2023-06-06]

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Cannabis Extraction Market. This critical assessment involves a thorough analysis of the organization's resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Cannabis Extraction Market, highlighting leading vendors and their innovative profiles. These include Aurora Cannabis Inc., Canopy Growth Corporation, Colorado Cannabis Company, Cronos Group, CURE Pharmaceutical, Dabble Extracts, Decibel Cannabis Co. Inc., Decibel Cannabis Company Inc., Encore Labs LLC, Evolved Extraction Solutions Ltd., Halo Labs Inc., Imperial CBD Extraction, Indiva Limited, Jazz Pharmaceuticals PLC, JULABO GmbH, Kase Manufacturing, Inc., Maricann Inc., Medical Marijuana, Inc., Medipharm Labs Corp., Neptune Wellness Solutions Inc., Nextleaf Solutions, Optimum Extracts, Organigram Holdings Inc., Peak Extracts, Prospiant by Gibraltar Group, Rocky Mountain Extraction Services, LLC, SNDL Inc., STENOCARE A/S, Sugarmade, Inc., Teva Pharmaceutical Industries Ltd., Tikun Olam, and Tilray Brands, Inc..

Market Segmentation & Coverage

This research report categorizes the Cannabis Extraction Market to forecast the revenues and analyze trends in each of the following sub-markets:

Method
- Alcohol Extraction Method
- CO2 Extraction Method
- Hydrocarbon Extraction Method
- Solvent-free Extraction Method
- Traditional Extraction Method
- Ultrasound-assisted Extraction Method

End-Use
- Cosmetics
- Food & Beverages
- Medicine
- Pet Care
- Recreational Use

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

Product Code: MRR-4332DEEC66D1

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Increased social acceptance, legalized production, and sales of infused products globally
  - 5.1.1.2. Attractive investment prospects and collaborative market landscape
  - 5.1.1.3. Cannabis has been proven non-psychoactive and has increasingly accepted for medical and nutraceutical application
- 5.1.2. Restraints
  - 5.1.2.1. Complex cannabis extraction process and limited certification of extraction facilities
- 5.1.3. Opportunities
  - 5.1.3.1. Increased availability and adoption of high-tech equipment and the development of scientific methods
  - 5.1.3.2. Collaborating Cannabis industry ecosystem development
  - 5.1.3.3. Pharmaceutical companies and beverage companies eyeing the cannabis industry
- 5.1.4. Challenges
  - 5.1.4.1. Heavy taxes imposed on the cannabis industry discourage commercialization
  - 5.1.4.2. Negative social stigma and loosely defined legal framework
5.2. Market Segmentation Analysis
- 5.2.1. Method: Utilization of varied cannabis extraction methods to ensure safety, purity, and solvent removal
- 5.2.2. End-Use: Increasing uses of cannabis extractions in the pharmaceutical and food & beverage industry in preference to their various health benefits
5.3. Market Trend Analysis
5.4. Cumulative Impact of High Inflation
5.5. Porter's Five Forces Analysis
- 5.5.1. Threat of New Entrants
- 5.5.2. Threat of Substitutes
- 5.5.3. Bargaining Power of Customers
- 5.5.4. Bargaining Power of Suppliers
- 5.5.5. Industry Rivalry
5.6. Value Chain & Critical Path Analysis
5.7. Regulatory Framework Analysis

6. Cannabis Extraction Market, by Method

6.1. Introduction
6.2. Alcohol Extraction Method
6.3. CO2 Extraction Method
6.4. Hydrocarbon Extraction Method
6.5. Solvent-free Extraction Method
6.6. Traditional Extraction Method
6.7. Ultrasound-assisted Extraction Method

7. Cannabis Extraction Market, by End-Use

7.1. Introduction
7.2. Cosmetics
7.3. Food & Beverages
7.4. Medicine
7.5. Pet Care
7.6. Recreational Use

8. Americas Cannabis Extraction Market

8.1. Introduction
8.2. Argentina
8.3. Brazil
8.4. Canada
8.5. Mexico
8.6. United States

9. Asia-Pacific Cannabis Extraction Market

9.1. Introduction
9.2. Australia
9.3. China
9.4. India
9.5. Indonesia
9.6. Japan
9.7. Malaysia
9.8. Philippines
9.9. Singapore
9.10. South Korea
9.11. Taiwan
9.12. Thailand
9.13. Vietnam

10. Europe, Middle East & Africa Cannabis Extraction Market

10.1. Introduction
10.2. Denmark
10.3. Egypt
10.4. Finland
10.5. France
10.6. Germany
10.7. Israel
10.8. Italy
10.9. Netherlands
10.10. Nigeria
10.11. Norway
10.12. Poland
10.13. Qatar
10.14. Russia
10.15. Saudi Arabia
10.16. South Africa
10.17. Spain
10.18. Sweden
10.19. Switzerland
10.20. Turkey
10.21. United Arab Emirates
10.22. United Kingdom

11. Competitive Landscape

11.1. Market Share Analysis, 2023
11.2. FPNV Positioning Matrix, 2023
11.3. Competitive Scenario Analysis
- 11.3.1. Verano Launched On The Rocks, New Multi-Format Brand Anchored Around Solventless Extraction Methods, Across Core Markets
- 11.3.2. CULTA Signs Definitive Agreement to Acquire Two Dispensaries, Broadening Presence in Maryland
- 11.3.3. Humble & Fume Inc. Announces Partnership with EvoLife & LocalsOnly Concentrates

12. Competitive Portfolio

12.1. Key Company Profiles
12.2. Key Product Portfolio