The Gross domestic product (GDP) for the cannabis sector in Canada was $9.1 billion in Q1 2025, continuing an ongoing trend.
The most recent, seasonally adjusted figures from Statistics Canada show that the cannabis industry’s contribution to Canada’s GDP was $9.104 billion in the first three months of 2025. This is an increase from $8.3 billion in 2024.
Licensed cannabis production saw a 10.6% increase from March 2024 to March 2025 and a 1.2% increase from February 2025 to March 2025, while the unlicensed sector saw a 4.5% and 0.2% decrease, respectively.
Licensed cannabis stores saw a 4.7% year-over-year increase from March 2024 to March 2025 but a 0.2% decrease from February 2025 to March 2025. Unlicensed cannabis stores saw a 4.4% and 0.1% decrease over the same time periods.
Household final consumption expenditure on cannabis in Q1 2025 was $11.7 billion. To compare, alcohol accounted for $23.2 billion, and tobacco for $11.9 billion.
The combined revenue, expenditure and budgetary balance of provincial and territorial administration from cannabis taxes and cannabis trading profits was $1.5 billion in Q1 2025, down from $1.032 billion in Q4 2024 but up from $868 billion in Q1 2024.
Contributions to the annual percent change in real household final consumption expenditure on cannabis in Canada declined for the fourth straight year in 2024. Tobacco and alcohol expenditures declined at an even greater rate.
The household final consumption expenditure for non-medical cannabis products (legal) in the first quarter of 2025 was $1,525,000,000 in current prices, seasonally adjusted. This was down slightly from the previous quarter but up year-over-year. Meanwhile, cannabis purchased from non-legal sources saw its fifth quarter of declines.
Household expenditures on medical cannabis remained level at $116,000,000 from Q4 2024 to Q1 2025, and up slightly from Q1 2024.
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