Canada’s Cannabis Industry Fuels $16B GDP Boost and 227,000 Jobs in 2024

A $16 billion contribution to GDP and over 227,000 jobs. This is the tangible gain the Canadian economy will see in 2024 thanks to the legal cannabis market. A recently published report shows that behind the ideological dispute over cannabis lies a thriving sector that has become a key driver of Canada’s national economy.

These impressive numbers come from the “High Impact, Green Growth” study prepared by experts from the Canadian Chamber of Commerce. They examined the entire legal supply chain—from seed in a licensed grow facility to the finished product on the shelf. Let’s see how this green revolution translates into real-world value.

How the Cannabis Industry in Canada Generates Billions? Learn Its 3 Pillars

You’re probably wondering where this enormous sum came from. It’s not just the profit from dispensary sales. Economists divide this impact into three main categories, which together create a powerful effect on the entire economy.

1.Direct Impact: Profits from Crops and Sales

This is the heart of the entire operation. We’re talking about the money directly generated by cannabis companies. In 2024, this amounted to $8.4 billion in GDP and over 168,000 jobs. This includes the salaries of growers, processing plant workers, and retail store clerks.

2. Indirect Impact: Companies that Grow with the Market

The cannabis industry doesn’t operate in a vacuum. It needs partners. This is precisely the indirect impact, which last year amounted to $4.4 billion in GDP and nearly 30,000 jobs. Who benefits from this?

Packaging manufacturers.
Security agencies monitoring crops.
Electricity and water suppliers.
Logistics and courier companies.
Marketing agencies.

3.Induced Impact: Employee Wages Drive Consumption

This is the third, often overlooked but incredibly important element. Employees of the cannabis industry and its partner companies earn money and then spend it. They pay for housing, buy food, and go to the movies. In this way, their wages are reinvested in the market, generating an additional $3.2 billion in GDP and over 29,000 jobs in completely different sectors.

Cannabis Economy Map: Where Does the Most Money Flow in Canada?
The industry’s influence isn’t uniform across the country. As the chart below shows, some provinces have become true cannabis powerhouses.

OGI GDP Cannabis Report

The clear leader in Canada is Ontario, which accounts for over half (51.5%) of the total GDP contribution. Here’s how the top 10 countries rank:

Ontario : $8.3 billion GDP and 89,000 jobs.
British Columbia : $2.9 billion in GDP and 46,000 jobs.
Quebec : $2 billion GDP and 41,600 jobs.

These three provinces collectively generate a whopping 82% of the cannabis industry’s economic footprint in Canada. But smaller players like Alberta ($885 million in GDP) and New Brunswick ($1 billion in GDP) are also experiencing a powerful, positive impact.

Every dollar invested in hemp returns with interest

The report highlights another fascinating phenomenon – the multiplier effect. This means that every dollar invested in an industry generates more in the economy than its nominal value.

On average, every dollar spent on cannabis production adds $1.06 to Canadian GDP. The situation is even better in retail: every dollar a customer spends in a cannabis store generates $1.23 for the entire economy! This proves that the cannabis industry is strongly integrated with other sectors and effectively drives overall economic growth.

One Market, Different Data? We Analyze Cannabis Impact Reports

Other numbers may have appeared in the media, such as from a recent Deloitte report, which cited a $76.5 billion contribution to Canada’s GDP. Is this a contradiction? Absolutely not. Context is key. The Deloitte report summarized the entire period from legalization in 2018 to 2024.

However, the $16 billion figure applies only to 2024. This demonstrates how the market is growing dynamically year after year. This trend is confirmed by official Statistics Canada data – Canadians spent a record $1.7 billion on legal cannabis in the second quarter of 2025.

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(Featured image by nattanan23 via Pixabay)

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First published in FaktyKonopne. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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