Cannabis Is Now Canada’s Fifth-Largest Cash Crop says new report

Marijuana has become Canada’s fifth-largest cash crop, generating approximately CA$3 billion in farm revenue during 2025, according to a new report released October 7 by Statistics Canada.

The report, which examines more than five decades of Canadian agricultural production, found that marijuana accounted for 5.8% of all crop-related farm cash receipts in 2025. That placed it ahead of potatoes, which ranked sixth with approximately CA$2.1 billion in receipts.

Only four crop categories generated more revenue, with canola leading the country at CA$12.1 billion, followed by wheat at CA$8.5 billion.

The findings highlight the economic significance of marijuana within Canada’s agricultural industry less than eight years after the country legalized recreational marijuana nationwide in October 2018.

Statistics Canada previously reported that marijuana farm receipts increased by CA$432.7 million in 2025, a 16.9% increase from 2024. The amount of marijuana marketed by producers grew 38.9%, marking the largest increase in production since 2020.

The federal agency also reported that some producers accumulated additional inventory during 2025, indicating that not all of the increased production immediately reached the market.

More recent figures suggest the industry’s agricultural revenue continued growing into 2026. During the first six months of this year, marijuana farm cash receipts reached CA$1.374 billion, compared with CA$1.260 billion during the same period in 2025, an increase of 9%.

The October 7 report also places marijuana’s rise within a broader transformation of Canadian agriculture. In 1971, tobacco was the country’s third-largest cash crop and accounted for 7.2% of crop receipts. By 2025, tobacco represented just 0.3%, while marijuana had established itself among Canada’s most valuable agricultural commodities.

Across all agricultural sectors, Canadian farm cash receipts reached a record CA$102.2 billion in 2025, an increase of 4.7% from the previous year. Crops accounted for 51% of that total, while livestock represented 44.3% and direct payments to producers made up the remainder.

The CA$3 billion marijuana figure represents revenue received by agricultural producers, rather than retail marijuana sales or industry profits. Canada’s retail marijuana market generated more than CA$5.6 billion in sales during 2025, reflecting the additional economic activity occurring after products leave cultivation facilities.

With marijuana already outperforming numerous traditional crops and farm receipts continuing to increase in 2026, the latest figures reinforce the industry’s substantial position within Canada’s agricultural economy.

Marijuana Is Now Canada’s Fifth-Largest Cash Crop

Tobacco receipts in 2025 were almost of the same as in 1971, but accounted for a much smaller share of total crop cash receipts (0.3% in 2025 versus 7.2% in 1971). Today, the tobacco leaf has given way to the cannabis bud. In 2025, cannabis was Canada’s fifth most important cash crop with $3.0 billion or 5.8% of total crop receipts—almost $1 billion more than sixth-place potatoes.