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Cannabis-based Alcoholic Beverages Market Size, Share & Industry Analysis, By Type (Cannabis-based Wine, Cannabis-based Beer, Cannabis-based Spirits), By Distribution Channel (On Trade, Off Trade) and Regional Forecast, 2024-2032

Region :Global | Report ID: FBI103166 | Status : Ongoing



Cannabis is a well-known plant recognized due to its various therapeutical and medicinal benefits. Cannabis-based alcoholic beverages are made through the infusion of cannabis flowers, hemp seeds, Cannabidiol and tetrahydrocannabinol (THC) into alcoholic beverages such as vodka, wine, whiskey, gin, and beer. The rising popularity of innovative and premiumized alcoholic beverages is anticipated to drive the market in forthcoming years.

The prominent players operating in the global market of cannabis-based alcoholic beverages are focused on the innovation and new product launches to increase their footprint in the market. For instance, in July 2019, Top Beverages, craft spirit start-up, has expanded its product portfolio with the launch of a gin and a rum infused with CBD. The product is widely available in the UK market.

The global cannabis-based alcoholic beverages market is driven by the rising popularity of flavored alcoholic beverages, especially among the youth generation. The utilization of cannabis in potential treatment of chronic pain, cancer, insomnia, neurological diseases, epilepsy, and anxiety, is expected to further accelerate the market trend of consuming cannabis-based alcoholic beverages. The favorable rules and regulations about the utilization of cannabis in various countries such as Canada and the U.S. are anticipated to leverage the market of cannabis-based alcoholic beverages positively. For instance, Cannabis is legalized in U.S. and Canada and decriminalized in some cities of India, and some parts of Europe for medicinal as well as recreational use which is expected to boost the production of cannabis-based alcoholic beverages within these countries. Furthermore, the increasing number of bars, pubs, clubs, and lounges in the developed and developing regions along with the rising popularity of premiumized alcoholic beverages is anticipated to propel the sale of CBD-infused beverages.

Key Market Driver -

Rising Popularity of Cannabis-based Alcoholic Beverages

Key Market Restraint -

Stringent Rules and Regulations about the Launch of Cannabis Infused Beverages

The strict rules and regulations about the consumption and production of cannabis-based alcoholic beverages in various regions are expected to hamper the market growth. For instance, the cannabis-based alcohol beverage should first meet the requirements of TTB (Alcohol and Tobacco Tax and Trade Bureau) before launch. The lengthy approval process before the launch of CBD-infused drinks is anticipated to restraint market growth.

Key Players Covered:

The prominent players operating in the global cannabis-based alcoholic beverages market are, Heineken, Aurora Cannabis, Canna Wine, Molson Coors Brewing Company, Mary Jane’s Magical Hemp Wines, Dutch Windmill Spirits, Lagunitas, Diageo, SK Rodnik, Hexo Corp, and Others.

The cannabis-based wine is anticipated to hold a considerable share in the global market of cannabis-based alcoholic beverages owing to its tremendous popularity among millennials. The prominent market players are advertising CBD-infused wine as a healthy drink with low alcohol content and various health benefits are anticipated to propel the sale of CBD-infused wine worldwide. For instance, Cannawine, CBD infused wine producer and distributor claimed that the consumption of Cannawine gives a quick sensation of calmness and relaxation and it’s a healthy alternative to regular wine. Furthermore, many people on a tight budget are resorting to CBD-infused wine as there is no need to buy two products separately. CBD-infused wine offers a cheap way of enjoying beneficial effects from two products in a single drink.

The on-trade distribution channels of cannabis-based alcoholic beverages such as clubs, pubs, bars, various restaurants, lounge, and others are anticipated to hold the significant chunk of CBD-infused alcoholic beverages sales. The rising trend of nightlife culture across developing regions is increasing the sales of alcoholic beverages in on-trade distribution channels which are anticipated to impact the cannabis-based alcoholic beverages consumption positively. The tremendous growth of the HoReCa sector and rising demand for premiumized and innovative alcoholic drinks among the population is expected to leverage the sales of global cannabis-based alcoholic beverages.

Regional Analysis:

Asia Pacific is anticipated to witness substantial growth in the global cannabis-based alcoholic beverages market. Countries such as New Zealand, Australia, Japan, and India are demanding cannabis-based alcoholic beverages due to its tremendous popularity, increasing disposable incomes in the countries and increasing alcohol consumption trends. The adaption of various western cultures and habits is expected to influence the consumption of cannabis-based alcoholic beverages within the various countries of Asia Pacific.

North America is expected to hold a prominent share in the global market of cannabis-based alcoholic beverages owing to the increasing popularity of innovative and premiumized alcoholic beverages. The favorable rules and regulations for the growth of the market in countries such as the U.S. and Canada are anticipated to leverage the sale of cannabis-based alcoholic beverages within the region. The consumers are willing to try every new flavored alcohol beverage owing to the popularity of alcohol beverages among consumers. The high purchasing power of the consumers is anticipated to drive the market of premium cannabis-based alcoholic beverages within the region.

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By Type

  • Cannabis-based Wine

  • Cannabis-based Beer

  • Cannabis-based Spirits

By Distribution Channel

  • On Trade

  • Off Trade

By Geography

  • North America (U.S., Canada, and Mexico)

  • Europe (Germany, France, Italy, Spain, U.K., Russia, and Rest of Europe)

  • Asia Pacific (China, India, Japan, Australia, and Rest of Asia Pacific)

  • South America (Brazil, Argentina, and Rest of South America)

  • Middle East & Africa (South Africa, UAE, and Rest of ME&A)

Key Industry Developments:

  • In April 2019, A group of alcohol and cannabis companies in Canada formed The Cannabis Beverage Producers Association to push the industry developments once cannabis edibles are leglized in Canada.

  • In September 2018, CannTrust signed a strategic partnership with Breakthru Beverage Group to establish a cannabis-focused sales brokerage company.

  • Ongoing
  • 2023
  • 2019-2022

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