The global psychedelic drugs market size was estimated at around USD 1.83 billion in 2023 and it is projected to hit around USD 5.77 billion by 2033, growing at a CAGR of 12.17% from 2024 to 2033. Factors contributing to the market's growth during the forecast period include the rising incidence of mental health disorders and the growing understanding of the need of treating mental health concerns.
The psychedelic drugs market has experienced a notable paradigm shift, transitioning from historical stigma to a burgeoning field of research and therapeutic exploration. This overview delves into the key facets of the market, encompassing its historical roots, current research landscape, regulatory dynamics, market players, and the potential challenges and opportunities that lie ahead.
The growth of the psychedelic drugs market is propelled by a confluence of factors fostering a paradigm shift in societal attitudes and therapeutic approaches. Firstly, the expanding body of scientific research demonstrating the potential efficacy of psychedelic substances in treating mental health disorders, including depression and PTSD, has ignited a surge in interest and investment. Additionally, evolving regulatory landscapes in various jurisdictions are opening avenues for responsible exploration and clinical trials, creating a more conducive environment for market development. The endorsement of psychedelic therapies by reputable institutions and influential figures is contributing to destigmatization, paving the way for broader acceptance. Moreover, the collaboration between pharmaceutical companies, startups, and research organizations is driving innovation and the development of standardized protocols for psychedelic-assisted therapies. As the market gains momentum, its growth is further propelled by a shift in societal perspectives, emphasizing the potential for these substances to address unmet mental health needs and redefine treatment modalities.
Report Coverage | Details |
Growth rate from 2024 to 2033 | CAGR of 12.17% |
Market Size in 2023 | USD 1.83 billion |
Revenue Forecast by 2033 | USD 5.77 billion |
Base Year | 2023 |
Forecast Period | 2024 to 2033 |
Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
Increasing Research and Clinical Trials:
Changing Regulatory Environment:
Stigma and Public Perception:
Safety Concerns and Lack of Standardization:
The psychedelic drugs market is categorized by drug type, with segments including Gamma Hydroxybutyric Acid (GHB), Ketamine, Psilocybin, Lysergic Acid Diethylamide (LSD), 3,4-methylenedioxymethamphetamine, and other drug types. As of 2023, the psilocybin segment has emerged as the market leader. Psilocybin, a naturally occurring compound, is utilized in the treatment of various mental health conditions. The market is anticipated to experience growth, driven by factors such as increased product approvals and the establishment of research centers dedicated to psychedelic drugs. Notably, the University of Wisconsin–Madison initiated a new research center in August 2021, aiming to coordinate ongoing studies and educational efforts focused on psychedelic compounds.
The psychedelic drugs market is segmented by application, including categories such as treatment-resistant depression, opiate addiction, post-traumatic stress disorder, narcolepsy, panic disorders, and other applications. As of 2023, the dominant segment in the market is treatment-resistant depression. The prevalence of depression worldwide is on the rise, contributing to the growth of the market. Notably, a 2023 report by the World Health Organization (WHO) reveals that approximately 3.8% of the global population, encompassing 5% of adults (4% in men and 6% in women), and 5.7% of adults aged over 60, are affected by depression. The report estimates that around 280 million people globally are grappling with depression. These statistics are expected to be key drivers for the continued expansion of the psychedelic drugs market.
The psychedelic drugs market is divided based on distribution channels, with segments including hospital pharmacies, retail pharmacies, and other distribution channels. The hospital pharmacy segment is poised for substantial growth, primarily driven by the growing awareness and acceptance of psychedelic drugs in mental health treatment. The segment is expected to benefit from the rising number of patients seeking mental health treatment in hospital settings. Additionally, collaborative efforts between pharmacists, researchers, and healthcare professionals are creating an environment conducive to the integration of psychedelic treatments into mainstream medical practices, thereby contributing to the overall growth of the market.
North America region dominated the market with the largest market share in 2023. The region's heightened awareness of mental health issues and the prevalent occurrence of mental disorders have led to an increased demand for diagnostics based on psychedelic drugs. Notably, a report by Mental Health America (MHA) in 2022 revealed that 19.86% of adults in North America, approximately 50 million Americans, experienced a mental illness. The well-established research ecosystem and robust healthcare infrastructure in the region create a conducive environment for the adoption and development of psychedelic drugs. Furthermore, the growing acceptance of these drugs by mental health professionals and the broader medical community has solidified their integration into treatment protocols, fostering an upsurge in demand. Significant investments and collaborations within the pharmaceutical and biotech sectors are driving research and development efforts, with a focus on unlocking the therapeutic potential of psychedelic drugs for innovative therapies.
By Drug Type
By Application
By Distribution Channel
By Region
Chapter 1. Introduction
1.1. Research Objective
1.2. Scope of the Study
1.3. Definition
Chapter 2. Research Methodology
2.1. Research Approach
2.2. Data Sources
2.3. Assumptions & Limitations
Chapter 3. Executive Summary
3.1. Market Snapshot
Chapter 4. Market Variables and Scope
4.1. Introduction
4.2. Market Classification and Scope
4.3. Industry Value Chain Analysis
4.3.1. Raw Material Procurement Analysis
4.3.2. Sales and Distribution Drug Type Analysis
4.3.3. Downstream Buyer Analysis
Chapter 5. COVID 19 Impact on Psychedelic Drugs Market
5.1. COVID-19 Landscape: Psychedelic Drugs Industry Impact
5.2. COVID 19 - Impact Assessment for the Industry
5.3. COVID 19 Impact: Global Major Government Policy
5.4. Market Trends and Opportunities in the COVID-19 Landscape
Chapter 6. Market Dynamics Analysis and Trends
6.1. Market Dynamics
6.1.1. Market Drivers
6.1.2. Market Restraints
6.1.3. Market Opportunities
6.2. Porter’s Five Forces Analysis
6.2.1. Bargaining power of suppliers
6.2.2. Bargaining power of buyers
6.2.3. Threat of substitute
6.2.4. Threat of new entrants
6.2.5. Degree of competition
Chapter 7. Competitive Landscape
7.1.1. Company Market Share/Positioning Analysis
7.1.2. Key Strategies Adopted by Players
7.1.3. Vendor Landscape
7.1.3.1. List of Suppliers
7.1.3.2. List of Buyers
Chapter 8. Global Psychedelic Drugs Market, By Drug Type
8.1. Psychedelic Drugs Market, by Drug Type, 2024-2033
8.1.1 Gamma Hydroxybutyric Acid
8.1.1.1. Market Revenue and Forecast (2021-2033)
8.1.2. Psilocybin
8.1.2.1. Market Revenue and Forecast (2021-2033)
8.1.3. Ketamine
8.1.3.1. Market Revenue and Forecast (2021-2033)
8.1.4. Lysergic Acid Diethylamide
8.1.4.1. Market Revenue and Forecast (2021-2033)
8.1.5. Other
8.1.5.1. Market Revenue and Forecast (2021-2033)
Chapter 9. Global Psychedelic Drugs Market, By Application
9.1. Psychedelic Drugs Market, by Application, 2024-2033
9.1.1. Treatment Resistant Depression
9.1.1.1. Market Revenue and Forecast (2021-2033)
9.1.2. Opiate Addiction
9.1.2.1. Market Revenue and Forecast (2021-2033)
9.1.3. Post-Traumatic Stress Disorder
9.1.3.1. Market Revenue and Forecast (2021-2033)
9.1.4. Narcolepsy
9.1.4.1. Market Revenue and Forecast (2021-2033)
9.1.5. Panic Disorders
9.1.5.1. Market Revenue and Forecast (2021-2033)
Chapter 10. Global Psychedelic Drugs Market, By Distribution Channel
10.1. Psychedelic Drugs Market, by Distribution Channel, 2024-2033
10.1.1. Hospital Pharmacies
10.1.1.1. Market Revenue and Forecast (2021-2033)
10.1.2. Retail Pharmacies
10.1.2.1. Market Revenue and Forecast (2021-2033)
10.1.3. Other
10.1.3.1. Market Revenue and Forecast (2021-2033)
Chapter 11. Global Psychedelic Drugs Market, Regional Estimates and Trend Forecast
11.1. North America
11.1.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.1.2. Market Revenue and Forecast, by Application (2021-2033)
11.1.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.1.4. U.S.
11.1.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.1.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.1.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.1.5. Rest of North America
11.1.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.1.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.1.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.2. Europe
11.2.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.2.2. Market Revenue and Forecast, by Application (2021-2033)
11.2.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.2.4. UK
11.2.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.2.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.2.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.2.5. Germany
11.2.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.2.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.2.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.2.6. France
11.2.6.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.2.6.2. Market Revenue and Forecast, by Application (2021-2033)
11.2.6.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.2.7. Rest of Europe
11.2.7.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.2.7.2. Market Revenue and Forecast, by Application (2021-2033)
11.2.7.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.3. APAC
11.3.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.3.2. Market Revenue and Forecast, by Application (2021-2033)
11.3.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.3.4. India
11.3.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.3.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.3.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.3.5. China
11.3.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.3.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.3.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.3.6. Japan
11.3.6.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.3.6.2. Market Revenue and Forecast, by Application (2021-2033)
11.3.6.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.3.7. Rest of APAC
11.3.7.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.3.7.2. Market Revenue and Forecast, by Application (2021-2033)
11.3.7.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.4. MEA
11.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.4.4. GCC
11.4.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.4.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.4.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.4.5. North Africa
11.4.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.4.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.4.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.4.6. South Africa
11.4.6.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.4.6.2. Market Revenue and Forecast, by Application (2021-2033)
11.4.6.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.4.7. Rest of MEA
11.4.7.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.4.7.2. Market Revenue and Forecast, by Application (2021-2033)
11.4.7.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.5. Latin America
11.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.5.4. Brazil
11.5.4.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.5.4.2. Market Revenue and Forecast, by Application (2021-2033)
11.5.4.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
11.5.5. Rest of LATAM
11.5.5.1. Market Revenue and Forecast, by Drug Type (2021-2033)
11.5.5.2. Market Revenue and Forecast, by Application (2021-2033)
11.5.5.3. Market Revenue and Forecast, by Distribution Channel (2021-2033)
Chapter 12. Company Profiles
12.1. Jazz Pharmaceuticals, Inc. (U.S.).
12.1.1. Company Overview
12.1.2. Product Offerings
12.1.3. Financial Performance
12.1.4. Recent Initiatives
12.2. Janssen Global Services, LLC (a subsidiary of Johnson & Johnson Services, Inc.) (U.S.).
12.2.1. Company Overview
12.2.2. Product Offerings
12.2.3. Financial Performance
12.2.4. Recent Initiatives
12.3. Hikma Pharmaceuticals PLC (U.K.).
12.3.1. Company Overview
12.3.2. Product Offerings
12.3.3. Financial Performance
12.3.4. Recent Initiatives
12.4. COMPASS (U.S.).
12.4.1. Company Overview
12.4.2. Product Offerings
12.4.3. Financial Performance
12.4.4. Recent Initiatives
12.5. Verrian (Germany).
12.5.1. Company Overview
12.5.2. Product Offerings
12.5.3. Financial Performance
12.5.4. Recent Initiatives
12.6. Pfizer Inc. (U.S.)
12.6.1. Company Overview
12.6.2. Product Offerings
12.6.3. Financial Performance
12.6.4. Recent Initiatives
12.7. F. Hoffmann-La Roche Ltd (Switzerland).
12.7.1. Company Overview
12.7.2. Product Offerings
12.7.3. Financial Performance
12.7.4. Recent Initiatives
12.8. Avadel (Ireland)
12.8.1. Company Overview
12.8.2. Product Offerings
12.8.3. Financial Performance
12.8.4. Recent Initiatives
12.9. Celon Pharma SA.(Poland).
12.9.1. Company Overview
12.9.2. Product Offerings
12.9.3. Financial Performance
12.9.4. Recent Initiatives
12.10. Cybin Corp. (Canada)
12.10.1. Company Overview
12.10.2. Product Offerings
12.10.3. Financial Performance
12.10.4. Recent Initiatives
Chapter 13. Research Methodology
13.1. Primary Research
13.2. Secondary Research
13.3. Assumptions
Chapter 14. Appendix
14.1. About Us
14.2. Glossary of Terms