Cannabis use rates will continue to rise as legalized medical and adult-use programs spread across the U.S. and become normalized.
Rising usage rates coupled with natural population growth will result in a growing illicit market.
However, the rate of growth for an illicit market will be tempered (roughly 2% average per year through 2025) due to the activation and growth of regulated dispensary sales in key state markets, i.e., California, Massachusetts, and Florida.
While the legal market equated to less than 1/3 the size of the illicit market in 2017, it is projected to grow to roughly 3/4 the size of the illicit market by 2025.
