This market is displaying some phenomenal signs of growth and current indicators suggest that, particularly in the US, it has the potential to be a very large industry. The reality is that globally there are still big disagreements as to how the drug should be regulated ranging all the way from outright banning and prison sentences through to complete legalization and many countries see the matter differently. The US example however (in the states where it has been legalized for recreational use) shows that even with relatively stable levels of consumption, the industry has enormous potential for growth and those investors and companies not put off by the political arguments, are seeing big returns.
Key Questions Answered
- Why is the marijuana industry doing well and how good does its future look?
- Where is the industry likely to spread?
- Is the industry in any danger from regulation being reversed in future?
- Learn just what the regulation on Marijuana is and where it is being steadily allowed.
- See the various segments developing that are selling marijuana products.
- Examine the major players and their products.
- The cannabis industry in the US has spawned from the political argument that decriminalization, legalization and medicinal use exceptions might be the best way to handle public consumption of this drug. Whilst arguments remain over whether or not to allowing recreational use, the medicinal benefits are largely accepted in 2017.
- The market is effectively split down the lines of two different products, hemp and marijuana. Both types of cannabis offer varying degrees of what are called cannabinoids, chemical compounds unique to the plant. Marijuana tends to contain much higher levels of Tetrahydrocannabinol (THC), which is the drug that recreational users would be buying the product for, whilst hemp contains higher levels of Cannabidiol (CBD) which is the compound that has multiple medicinal uses.
- As the industry transitions from “medical dispensaries” to catering as well for recreational use, the players are changing. Players are starting to automate, moving from smaller boutique type premises and operations, to introducing economies of scale.
Marijuana industry: The unusual growth industry displaying just how much potential it has
Marijuana: The unusual growth industry displaying just how much potential it has
The cannabis industry is believed to be the fastest growing US industry
Hemp and Marijuana are two very different products and this effects legality
Industrializing marijuana production is the main aim for players
The types of opportunities in this market are wide-ranging
Licensing is still unusual and alcohol companies are trying to muscle in
Black market cannabis and heavy regulation is a problem for the market players
Trump administration has been adversarial but won’t stop the momentum
Canada is about to become a boom market for the cannabis industry
Ask the analyst
List of Tables
Table 1: Largest US Cannabis companies in 2017
List of Figures
Figure 1: Cannabis legality US, by state
Figure 2: Global legislation towards cannabis use
Figure 3: North American legalized cannabis market growth 2016 and CAGR 2017-2021
Figure 4: Cannabis oil versus traditional flower products market share 2015 and 2016
Figure 5: Marijuana index three year price fluctuations
Figure 6: Cannabis sales North America, legal, illegal and global estimates ($bn)