The medicinal cannabis sectors in Australia and New Zealand are entering a more mature, data-driven phase marked by rising THC use, evolving patient access models, and closer regulatory scrutiny, fresh data from Prohibition Partners has revealed.
The Australia & New Zealand Cannabis Data Pack – produced in collaboration with Cannabiz – outlined how both markets have expanded rapidly since legalisation, while taking different paths toward stability and oversight.
In Australia – the second-largest medical cannabis market outside the US – forecasts suggest sales are expected to exceed $1 billion by the end of 2025.
Growth had been fuelled by telehealth prescribing, broader product choice, and the rise of specialised clinics. Meanwhile, dried flower and other inhalable formats recorded the fastest gains through 2023 and 2024.
While CBD and balanced oils continued to serve patients seeking “non-intoxicating options”, THC-dominant products underpinned most commercial activity.
“High-THC products…account for the majority of both prescription volume and total sales value,” the report said.
Pricing remained stable across product types, and “total category values point to sustained double-digit growth over the past year”.
Domestic production also climbed – licensed cultivators produced 41 tonnes in 2024, up from 25 tonnes the year before – while exports to Germany were expected to double in 2025.
The report also pointed to one of the sector’s major concerns – the ongoing Therapeutic Goods Administration (TGA) review triggered by concerns about the industry’s rapid expansion.
Over in New Zealand, the data showed the market – although only valued at NZ$78 million (A$68m) – continued to consolidate following the introduction of the Medicinal Cannabis Scheme in 2020.
The scheme simplified access for patients and allowed all licensed doctors to prescribe cannabis-based medicines without ministerial approval.
The report said New Zealand’s market – unaffected by the TGA review – had been defined by “steady, sustainable growth and a measured approach to regulation”.
Access remained open to all licensed physicians, supported by telemedicine and a small group of specialist clinics such as Cannabis Clinic.
Prescribing data showed a sharp rise in THC-only medicines – climbing from fewer than 100 monthly items in early 2020 to more than 22,000 by March 2025 – reflecting the impact of the scheme.
Over the same period, CBD-only prescriptions climbed to about 6,900 per month and combined THC and CBD formulas to 3,100, underscoring patient and prescriber preference for THC-dominant flower and inhalable products used for pain management.
The Australia & New Zealand Cannabis Data Pack, part of Prohibition Partners’ wider Asia-Pacific series, provides detailed breakdowns of both regions through to 2029.
It is available to purchase here.