+353-1-416-8900REST OF WORLD
+44-20-3973-8888REST OF WORLD
1-917-300-0470EAST COAST U.S
1-800-526-8630U.S. (TOLL FREE)

PRINTER FRIENDLY

Cannabis Testing Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

  • ID: 4987039
  • Report
  • April 2021
  • Region: Global
  • 112 pages
  • Mordor Intelligence

FEATURED COMPANIES

  • AB Sciex Pte. Ltd.
  • Aurum Labs
  • Danaher Corporation
  • Digipath, Inc.
  • ENCORE Labs
  • PerkinElmer Inc.
  • MORE
The Cannabis Testing Market was estimated to be USD 950.9 million in 2020 and is poised to grow at a CAGR of 11.29 % to reach USD 1,801.51 million by the year 2026.

The impact of COVID-19 on this industry is still being studied. On one hand, due to the shutdown of non-essential labs and testing facilities across the world in response to COVID-19 induced lockdowns, sales for cannabis testing equipment and services were a bit low. However, there has been positive news too. In April 2020, two Israel-based companies, Eybna and CannaSoul collaborated to work on a patented cannabis terpene formulation for treating COVID-19. The companies are examining the efficacy of the cannabis terpene formulation NT-VRL which is being used to treat a diverse range of inflammatory conditions, including the cytokine storm syndrome caused by COVID-19. Collaborations and increased research into this segment are likely to create demand for cannabis testing services to isolate novel compounds.

The major factor attributing to the growth of the market is the increasing approval for the use of medical cannabis. The legal usage of cannabis for medical purposes is steadily growing, but varies across countries, based on the possession, distribution, cultivation, and medical indications for its consumption. In addition, there is an increasing volume of research, supporting the use of marijuana for medical purposes, while some studies demonstrated it to be a potential means of fighting the opioid epidemic. Government bodies of several countries across North America, Europe, and South America have legalized the use of medicinal marijuana completely or for limited usage in certain forms on a strict basis. Globally, there are about 40 countries that allow the legal use of marijuana that is distributed through prescription, or limited use in ayurvedic medicines. The use of hemp-based products has seen favorable legislation since the passage of the United States Farm Bill in 2018. The bill allowed the broad-based cultivation of hemp while restricting it to pilot programs for studying market interest in hemp-derived products. The bill explicitly allowed the transfer of hemp-derived products across state lines for commercial or other purposes. Additionally, it puts no restrictions on the sale, transport, or possession of hemp-derived products, so long as those items are produced in a manner consistent with the law. In February 2021, law-makers in the United States stated that they were planning new legislations that would end the federal prohibition on marijuana, which has been legalized to some degree by many states. These initiatives are likely to impact the demand for cannabis testing equipment in a positive manner. As cannabis-based products find increased legislations and come under the ambit of law, demand for testing equipment are expected to increase during the study period.

Cannabis extracts are also used to treat many neurological and mental disorders. As the incidence of these disorders increase along with the increase in use and production of cannabis, the growth of the cannabis testing market is also expected to increase during the forecast period. According to the World Health Organization, as of the year 2019, approximately 450 million people suffer from such conditions, placing mental disorders among the leading causes of ill-health and disability globally. Depression is the most common mental disorder. Globally, more than 264 million people of all ages suffer from depression. More number of women are affected by depression than men. Furthermore, growing awareness and adoption of software services in labs testing cannabis is another factor boosting the market. However the high cost involved in the cannabis testing instruments is major drawback of the market growth.

Key Market Trends

Analytical Instruments Segment is Dominating the Cannabis Testing Market.

The COVID-19 impact on analytical instruments has been positive. In general, due to the COVID-19 pandemic, there has been an increase in demand for analytical instruments as the production of equipment has increased significantly. Additionally, since cannabis extracts are being used for medical research, there has been sustained demand for these equipment even during the pandemic. Finally, many regions in the United States tagged cannabis dispensaries with the title of 'essential business'. Thus, these developments are expected to positively affect market development.

Cannabis extracts need to be tested for heavy metals, potency, pesticides, terpene profile, residual solvents, moisture, microbial and fungal growth, and mycotoxins/aflatoxin. Testing makes sure that the products are safe, while concurrently generating revenues and a return on investment. Instruments, like HPLC, Gas chromatography, Liquid Chromatography, and so on are used extensively. A study was conducted by researchers at the Suez Canal University in Egypt between 2015 and 2018, and the results were published in January 2019. The researchers studied some of the most widely used Cannabis analytical techniques. These techniques ranged from liquid chromatography (LC) to gas chromatography (GC) and others.

Chromatography techniques are used extensively for contaminant reduction. They can be cost-effective too while efficiently removing contaminants like fungicides, pesticides, herbicides, synergists, and heavy metals from cannabis and hemp extracts. Chromatography can also be used for reducing THC content in cannabis extracts. They are used to separate cannabinoids like CBD, THC, CBN, CBG, etc from cannabis extracts. Many companies like Sorbent Technologies, Inc. offer exclusive chromatography based testing and extraction products. The company manufactures dedicated chromatographic products like Adsorbents, TLC Plates, Flash Cartridges, Flash Chromatographic Systems, FPLC Columns, HPLC Columns, GC Columns, Gel Filtration, SPE Cartridges and Syringe Filters. Many other companies like Aurum Labs, WATERS and CannaSafe Inc. amongst others offer diversified products too. The presence of major companies is expected to boost market growth as it is leading to greater product availability.

North America Dominates the Market and Expected to do Same in the Forecast Period

North America is expected to dominate the overall market, throughout the forecast period. The market growth is due to factors such as the high prevalence of chronic diseases in the region, favorable legislation and the presence of large companies are some of the key factors accountable for the growth of the market in this region.

According to UCB Canada Inc., a major biopharmaceutical company based in Canada, there were over 100,000 cases of Parkinson’s disease in 2018, with about 6,600 new cases of Parkinson’s diagnosed each year in Canada. The Parkinson's Foundation of the United States estimated that around 60,000 people are diagnosed with Parkinson’s Disease each year. Cannabis-derived CBD products are used to treat some symptoms of neurological disorders like Parkinson's. Such high incidence rates are expected to have a positive effect on market growth. Canada was one of the first countries in the world to legalize the production and use of cannabis. In October 2019, it updated its laws to establish rules for the legal production and sale of three new classes of cannabis which included edible cannabis, cannabis extracts, and cannabis topicals. These products need advanced purification and testing equipment for their extraction from Cannabis sativa plants. Thus, regulatory changes like the one in Canada are expected to have a positive effect on market development.

Furthermore, collaborations between major companies and an increase in the number of research efforts are some of the drivers expected to increase market growth. In this region, the United States is expected to have the maximum share due to supportive healthcare policies and the high number of patients.

Competitive Landscape

The cannabis testing market is moderately consolidated and consists of some major players. Some of the companies which are currently dominating the market Agilent Technologies, Inc., Shimadzu Scientific Instruments., Merck KGaA, Restek Corporation, PerkinElmer Inc., Danaher Corporation, Accelerated Technology Laboratories, Inc., Steep Hill Halent Laboratories, Inc., Digipath, Inc., Pharmlabs LLC.

Reasons to Purchase this report:
  • The market estimate (ME) sheet in Excel format
  • 3 months of analyst support

This report will be delivered within 2 business days.
Note: Product cover images may vary from those shown

FEATURED COMPANIES

  • AB Sciex Pte. Ltd.
  • Aurum Labs
  • Danaher Corporation
  • Digipath, Inc.
  • ENCORE Labs
  • PerkinElmer Inc.
  • MORE
1 INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study

2 RESEARCH METHODOLOGY

3 EXECUTIVE SUMMARY

4 MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Legalization of Cannabis for Various Medical Purposes
4.2.2 Increasing Awareness regarding Cannabis for Treating Neurological Diseases
4.3 Market Restraints
4.3.1 High Cost of Analytical Instruments
4.4 Porter's Five Force Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry

5 MARKET SEGMENTATION
5.1 By Product and Software/Service
5.1.1 Analytical Instruments
5.1.2 Spectroscopy Instruments
5.1.3 Consumables
5.1.4 Cannabis Testing Software and Services
5.2 By Type
5.2.1 Potency Testing
5.2.2 Terpene Profiling
5.2.3 Residual solvent screening
5.2.4 Heavy metal testing
5.2.5 Mycotoxin testing
5.2.6 Others
5.3 By End-User
5.3.1 Laboratories
5.3.2 Cannabis Drug Manufacturers & Dispensaries
5.3.3 Others
5.4 Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.1.3 Mexico
5.4.2 Europe
5.4.2.1 Germany
5.4.2.2 United Kingdom
5.4.2.3 France
5.4.2.4 Italy
5.4.2.5 Spain
5.4.2.6 Rest of Europe
5.4.3 Asia-Pacific
5.4.3.1 China
5.4.3.2 Japan
5.4.3.3 India
5.4.3.4 Australia
5.4.3.5 South Korea
5.4.3.6 Rest of Asia-Pacific
5.4.4 Middle East and Africa
5.4.4.1 GCC
5.4.4.2 South Africa
5.4.4.3 Rest of Middle East and Africa
5.4.5 South America
5.4.5.1 Brazil
5.4.5.2 Argentina
5.4.5.3 Rest of South America

6 COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Agilent Technologies, Inc.
6.1.2 Shimadzu Scientific Instruments.
6.1.3 Merck KGaA (Sigma Aldrich)
6.1.4 Restek Corporation
6.1.5 PerkinElmer Inc.
6.1.6 Danaher Corporation
6.1.7 Accelerated Technology Laboratories, Inc.
6.1.8 Steep Hill Halent Laboratories, Inc.
6.1.9 Digipath, Inc.
6.1.10 Pharmlabs LLC
6.1.11 Sartorius AG
6.1.12 AB Sciex Pte. Ltd.
6.1.13 ENCORE Labs
6.1.14 Aurum Labs
6.1.15 WATERS

7 MARKET OPPORTUNITIES AND FUTURE TRENDS
Note: Product cover images may vary from those shown
  • Agilent Technologies, Inc.
  • Shimadzu Scientific Instruments.
  • Merck KGaA (Sigma Aldrich)
  • Restek Corporation
  • PerkinElmer Inc.
  • Danaher Corporation
  • Accelerated Technology Laboratories, Inc.
  • Steep Hill Halent Laboratories, Inc.
  • Digipath, Inc.
  • Pharmlabs LLC
  • Sartorius AG
  • AB Sciex Pte. Ltd.
  • ENCORE Labs
  • Aurum Labs
  • WATERS
Note: Product cover images may vary from those shown

Loading
LOADING...

Adroll
adroll