Cannabis Capsule Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The cannabis capsule market size has grown exponentially in recent years. It will grow from $38.75 billion in 2024 to $47.37 billion in 2025 at a compound annual growth rate (CAGR) of 22.2%. The growth in the historic period can be attributed to advancements in research and development, increased medical requirements, and growth in research and developments.

The cannabis capsule market size is expected to see rapid growth in the next few years. It will grow to $93.59 billion in 2029 at a compound annual growth rate (CAGR) of 18.6%. The growth in the forecast period can be attributed to increasing neurological disorders, increasing legalization, and growing consumer preferences. Major trends in the forecast period include product innovations, strategic partnerships, and technological advancements.

The rising prevalence of neurological disorders is expected to drive the growth of the cannabis capsule market. Neurological disorders refer to conditions affecting the central and peripheral nervous systems, impacting the brain, spinal cord, and body nerves. Cannabis capsules, containing compounds like cannabidiol (CBD), have shown potential benefits for managing neurological disorders, including preventing memory deficits associated with conditions such as Alzheimer’s disease. For example, in October 2023, the World Federation of Neurology, a UK-based association of national neurological societies, reported that over 40% of the global population currently suffers from a neurological condition, with this burden projected to nearly double by 2050. Consequently, the increasing incidence of neurological disorders is fueling demand in the cannabis capsule market.

Leading entities in the cannabis capsule market are strategically focusing on introducing innovative solutions, including oral cannabis capsules, to strengthen their competitive foothold in the industry. Oral cannabis capsules represent a convenient and discreet form of cannabis consumption, wherein cannabis compounds such as oils and decarboxylated flowers are encapsulated into pill form. For instance, in January 2023, Holistic Industries, a prominent organic medical cannabis company based in the United States, unveiled CANNACEUTICA in the USA - an oral cannabis capsule tailored with dosing guidelines specifically designed for individuals grappling with chronic pain. As a groundbreaking product, CANNACEUTICA offers an opioid alternative supported by evidence-based dosing guidelines and an Easy Dose Chart included in each bottle to facilitate users in determining the optimal dosage. The recommended initial dosage comprises 2.5 milligrams of THC (Tetrahydrocannabinol), underscoring its user-friendly approach and potential therapeutic efficacy. Through such pioneering innovations, companies such as Holistic Industries aim to cater to the burgeoning demand for cannabis-based therapeutic solutions and capitalize on opportunities within the burgeoning cannabis capsule market.

In February 2024, Aurora Cannabis Inc., a Canadian producer of medical and consumer cannabis products, acquired MedReleaf Australia for an undisclosed amount. This acquisition is a strategic step for Aurora Cannabis to expand its market presence, boost performance, and strengthen its leadership in the global cannabis industry. MedReleaf Australia, an Australian manufacturer of medical cannabis products, including cannabis capsules, adds to Aurora’s portfolio and international reach in the cannabis market.

Major companies operating in the cannabis capsule market report are GW Pharmaceuticals PLC, Trulieve Cannabis Corp., Green Thumb Industries Inc., Tilray Inc., Columbia Care Inc., Aphria Inc., Curaleaf Holdings Inc., Canopy Growth Corporation, Cresco Labs Inc., Aurora Cannabis Inc., Organigram Holdings Inc., Harvest Health & Recreation Inc., Cronos Group Inc., TerrAscend Corp., Vireo Health International Inc., Charlotte's Web Holdings Inc., The Valens Company Inc., Acreage Holdings Inc., Neptune Wellness Solutions Inc., CannTrust Holdings Inc., Valens Company Inc., HEXO Corp., Cann Group Limited, Plus Products Inc., Heritage Cannabis Holdings Corp., PharmaCielo Ltd., MediPharm Labs Corp., Sundial Growers Inc., MedReleaf Corp., Wana Brands.

North America was the largest region in the cannabis capsule market in 2024. The regions covered in the cannabis capsule market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the cannabis capsule market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The cannabis capsule market consists of sales of infused oil bases, isolated cannabinoids, and decarboxylated flowers. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

A cannabis capsule, also known as a marijuana pill, is a psychoactive substance that contains single cannabinoids, such as THC (tetrahydrocannabinol), CBD (cannabidiol), or the full spectrum of compounds present in the source cannabis plant. These capsules are used for both medical and recreational purposes, providing relief from conditions such as restlessness, muscle contractions, chronic discomfort, and reducing vomiting and nausea caused by chemotherapy.

The main types of cannabis capsules include high-tetrahydrocannabinol capsules, tetrahydrocannabinol or cannabinol balance capsules, and high-cannabinol capsules. High-tetrahydrocannabinol (THC) capsules contain a high concentration of THC, the primary psychoactive compound in cannabis. These capsules may also include various ratios of compounds such as tetrahydrocannabinol (THC)-dominant and cannabidiol (CBD)-dominant. They are used by various end users, including hospital pharmacies, retail pharmacies, drug stores, and online sales platforms.

The cannabis capsule market research report is one of a series of new reports that provides cannabis capsule market statistics, including cannabis capsule industry global market size, regional shares, competitors with a cannabis capsule market share, detailed cannabis capsule market segments, market trends and opportunities, and any further data you may need to thrive in the cannabis capsule industry. This cannabis capsule market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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