India Cannabis Product Market Assessment, By Product Type [Edibles, Capsules/Tablets, Raw Extracts, Powder Mixes, Fluid Topicals, Others], By Application [Medicinal, Food and Nutrition, Tobacco, Personal Care, Fashion and Accessories, Pet Products, Others], By Distribution Channel [Online; Offline-Pharmacies/Drug Stores, Flagship/Brand Stores, Hotels, Spa and Wellness Centres, Derma/Skin Care Clinics, Others], By Region, Opportunities, and Forecast, FY2018-FY2032F

The India Cannabis Product market size was estimated to be USD 1.3 billion in FY2024 and is projected to reach USD 4.7 billion in FY2032, growing at a CAGR of 17.34% during the forecast period FY2025-FY2032. The market is being driven by factors such as increasing demand of cannabis for medical use coupled with government initiatives to legalize its usage in medical sector in the country. A traditional use of cannabis in ayurvedic medicine also adds to the list of drivers fuelling the market growth of cannabis in India.

Cannabis sativa plants yields three types of cannabis: herbal cannabis, which is made from leaf extracts and flowering tops also referred to as "cannabis," "ganja," or "weed"; cannabis resin, which is made from pressing the plant's secretions is called "charash"; and cannabis oil, which is a mixture made from the distillation or extraction of the plant's active components. Our country being one of the largest consumer marketplaces in the world, is a natural fit for a crop like cannabis which is indigenous to the country which offers a great potential to turn cannabis market into a big industry.

Easy Availability of Ayurvedic Cannabis Products Drives India Market Demand

The easy accessibility of cannabis products is a key driving factor for the India cannabis product market demand. The surge in online platforms has made it easy for consumers to access a diverse range of cannabis and Ayurvedic cannabis products from their homes. Online platforms offer everything, including quick and reliable service, coupled with information concerning the advantages and usages of cannabis products. In addition, the regulatory changes and growing government support for medical cannabis have led to acceptance and easy availability of products. This easy accessibility is propelling the requirement for cannabis products in different segments, including health and others. Companies in the market are increasing their sale of cannabis products by listing them on online platforms that further offer doorstep delivery of products.

For instance, in May 2024, Calmosis Vedic Wellness Private Limited announced that it would offer online delivery of Ayurvedic cannabis products to alleviate stress, promote restful sleep, and relieve pain.

Increasing Demand of Cannabis for Medical Usage

Cannabis has been used in traditional medicine in India for centuries, and recent research has shown that it may have potential therapeutic benefits for a range of medical conditions, including pain, inflammation, anxiety, and epilepsy. In 2018, the Indian government approved the use of medical cannabis under certain conditions, but the regulations surrounding its use are still unclear. In 2020, the state of Jammu and Kashmir approved a policy to legalize the cultivation and use of cannabis for medicinal purposes. Other states, such as Maharashtra and Uttarakhand, have also expressed interest in legalizing medical cannabis.

Conventional Use of Cannabis in Ayurvedic Medicine

Cannabis has been used in Ayurvedic medicine in India for centuries. In Ayurvedic medicine, cannabis is believed to have a balancing effect on the body's energy and is used to treat imbalances in the doshas (vata, pitta, and kapha). The plant is considered to have a heating and drying effect on the body, making it particularly useful for treating conditions that are associated with excess moisture or dampness. The usage of cannabis in ayurveda gives opportunities to treat neuro problems and other lifestyle disorders making it a more legitimate natural alternative to heavy opioids or drugs.

Government Initiatives to Legalize Cannabis for Medical Use

The legalization of cannabis cultivation in Himachal Pradesh marks a significant milestone in India's approach to cannabis. This policy shift is expected to boost the state's economy by generating employment opportunities and attracting investments in the cannabis sector. The regulated cultivation aims to curb illegal trade and ensure quality control, aligning with global trends where cannabis legalization has led to economic benefits. Moreover, it opens avenues for research into industrial hemp and medicinal cannabis, potentially positioning Himachal Pradesh as a leader in India's emerging cannabis market.

For instance, in September 2024, the Himachal Pradesh Assembly passed a resolution to legalize cannabis cultivation for medicinal and industrial purposes. The committee, led by Revenue Minister Jagat Singh Negi, emphasized the plant's economic potential and its suitability for cultivation in the state's climate.

Impact of COVID-19 on India Cannabis Product Market

The widespread COVID-19 had a significant impact on the Indian cannabis market. During the pandemic, the Indian government imposed strict lockdown measures, which disrupted supply chains and caused a shortage of cannabis products. The restrictions also forced many cannabis farmers to halt production, resulting in a decline in the overall supply of cannabis in the country.

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India Cannabis Product Market Assessment, Opportunities and Forecast: Report Scope

"India Cannabis Product Market Assessment, Opportunities and Forecast, FY2018-FY2032F,” is a comprehensive report by Markets and Data, providing in-depth analysis and assessment of cannabis product market in India, industry dynamics and challenges. The report includes market size, segmental shares, growth trends, COVID-19 impact, opportunities and forecast between FY2025 and FY2032. Additionally, the report profiles the leading players in the industry mentioning their respective market share, business model, competitive intelligence, etc.

Report Attribute	Details
Base Year of the Analysis	FY2024
Historical Period	FY2018-FY2023
Forecast Period	FY2025-FY2032
Market Size in FY2024	USD 1.3 billion
Projected Growth Rate	CAGR of 17.34% from 2025-2032
Revenue forecast in FY2032	USD 4.7 billion
Units	Revenue in USD and Volume in Units
Segments Covered	By Product Type By Application By Distribution Channel
Regions Covered	North East West & Central South
Key Companies Profiled	India Hemp and Co., Hemp Organics Pvt Ltd (India Hemp Organics), Ananta Hempworks Solutions Pvt. Ltd., Bombay Hemp Company Pvt Ltd. (BOHECO), HempCann Solutions Pvt. Ltd. (Vedi), Indian Industrial Hemp Association, Namrata Hempco Limited, Hemp Horizons Pvt. Ltd. (Health Horizons), VLD Food Products, Private Limited (Elinor Organics), Trueo Naturals Pvt. Ltd. (Noigra)
Customization Scope	15% free report customization with purchase.
Pricing and Purchase Options	Avail the customized purchase options to fulfil your precise research needs.
Delivery Format	PDF and Excel through Email (We can also provide the editable version of the report in PPT/PDF format on special request)

 

In this report, India Cannabis Market has been segmented into following categories:

1. India Cannabis Market, By Product Type
   • Edibles
   • Capsules/Tablets
   • Raw Extracts
   • Powder Mixes
   • Fluid Topicals
   • Others
2. India Cannabis Market, By Application
   • Medicinal
   • Food and Nutrition
   • Tobacco
   • Personal Care
   • Fashion and Accessories
   • Pet Products
   • Others
3. India Cannabis Market, By Distribution Channel
   • Online
   • Offline
     • Pharmacies/Drug Stores
     • Flagship/Brand Stores
     • Hotels
     • Spa and Wellness Centres
     • Derma/Skin Care Clinics
     • Others

4. India Cannabis Market, By Region
   • East
   • West and Central
   • North
   • South

Key Player Landscape and Outlook

The combination of changing attitudes, economic potential, and a practice of cannabis use in traditional medicine are driving the cannabis market in India. However, it is important to note that cannabis remains illegal in India and there are still significant legal and regulatory hurdles that must be overcome before the market can fully develop.

For example, Boheco is focussed on developing a scale-centric approach for industrial hemp-based goods and raw materials along with cannabis-based pharmaceuticals. Additionally, the company is making significant efforts to create a value chain for the growth of cannabis-based medicines in India.

Key Players operating in India Cannabis Product Market

• India Hemp and Co.
• Hemp Organics Pvt Ltd (India Hemp Organics)
• Ananta Hempworks Solutions Pvt. Ltd.
• Bombay Hemp Company Pvt Ltd. (BOHECO)
• HempCann Solutions Pvt. Ltd. (Vedi)
• Indian Industrial Hemp Association
• Namrata Hempco Limited
• Hemp Horizons Pvt. Ltd. (Health Horizons)
• VLD Food Products Private Limited (Elinor Organics)
• Trueo Naturals Pvt. Ltd. (Noigra)

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