The Changing Regulatory Environment Propels Innovation in Various Industries
Cannabinoids are seeing increasing usage in medicine, leading to rising interest in many industries, such as pharmaceuticals, nutraceuticals, food and beverage, and personal care. CBD is the most-researched cannabinoid and is used widely in all types of industries.
The cannabinoids industry faces manufacturing, cultivation, supply chain, and other challenges. In addition, the stigma around cannabinoid usage due to its psychoactive effects is a major challenge, slowing adoption due to regulatory authorities' stringency in terms of the approval and marketing of cannabinoid-infused products. Nevertheless, countries are gradually relaxing their regulations around the use of cannabinoids in products and allowing a certain amount of it to be infused in products.
Despite these challenges, the industry is witnessing the rise of many participants and intense competition. It is a wide playing field for many stakeholders as it offers opportunities to many industries and cultivators. Although stakeholders are slow to open to this industry as their returns may not be instant due to multiple challenges, gradual uptake could enable a rise in private and federal funding and fuel growth.
In terms of technology, improving the bioavailability of cannabinoid-based products has seen a lot of innovation. Innovation is also seen in the development of novel cannabinoid formats for use in various industries.
This study identifies drivers and restraints, new technology platforms, and growth opportunities. It also provides an overview of the stakeholder ecosystem, identifying notable mergers and acquisitions, funding, and partnerships for stakeholders and market participants to leverage.
