Global sales of cannabis are rising and don’t show signs of slowing down
The global medical cannabis market is exploding, but in a good way. According to Ameri Research, a company that provides data on a variety of topics, the compound annual growth rate (CAGR) for the market is expected to climb 18.2% within the next six years. Given that the market was valued at $8.9 billion in 2016, that makes for a substantial increase. Specifically, it is expected to reach $30 billion by 2024.
The growth is being driven by legalization and decriminalization in both North America and Europe. However, federal suppression of the market, as well as the same by several states in the US, are keeping its potential from being completely realized.
A recent report released by Arcview Market Research, in conjunction with analytics firm BDS Analytics, showed that 25% of all adults in states where it has been legalized use cannabis. In California, 23% of adults 21 years old or older said that they have consumed in the past six months, while that number in Oregon was 35%.
According to Arcview Group CEO Troy Dayton, “The end of marijuana prohibition is in sight and what that means for this market cannot be overstated. There are billions of dollars in institutional capital chomping at the bit to take advantage of this shift, but so far haven’t found a major way in. This leaves a limited window for businesses to get a foothold and build value for liquidity events that might come sooner than any of us thought possible just a few months ago.”
Cannabis, marijuana, hemp – all are being used in some form and all have proven to have significant health benefits. As innovators continue to introduce more vaporizers, more foods, more drinks, more apparel and more oils, this growth is only going to continue.
