Sales of Medical Cannabis Products Are Expected To Grow

NEW YORK: According to a report by Grand View Research, the global medical cannabis market is projected to reach a value of USD 55.8 billion by 2025. After the elections in 2016, Washington D.C., along with 28 states have legalized cannabis for medical use. The growing number of states and countries receiving approval for use in therapeutic applications are one of the crucial factors driving the demand over the next few years. Grand View Research indicates that several regulatory frameworks such as the Medical Marijuana Regulation and Safety Act, will require individuals or companies to obtain permission and also an annual state license from 2018. Companies such as growers, retail operators, and makers of processed pot products will be focused on, and an increasing number of issued licenses are also among factors helping to drive the market.

In the shorter term, a report by Arcview Market Research indicates that legal cannabis will grow at 22% CAGR in 2017, as eight states that voted to open or expand their cannabis markets on Election Day in November 2016, work to implement the new programs. According to the report the industry accelerated at a remarkable pace in 2016. North American consumers spent $6.7 billion on legal cannabis products, or up 34% from 2015. The 34% compound annual growth rate (CAGR) from 2014 to 2016 was driven primarily by Colorado and Washington initiating adult-use sales.

Arcview Market Research forecasts that growth in the legal cannabis industry will reaccelerate beginning 2018, as recreational sales ramp up in CanadaCalifornia, and Massachusetts along with medical sales in Florida. These developments will grow the $6.7 billion market of 2016 at a robust 27% CAGR to $22.6 billion in 2021. Arcview includes 30 states plus Canada with active legal markets by 2021 in its model.

Legal Cannabis Market Gaining Traction

NEW YORK: The global medical marijuana market is expected to reach a value of USD 55.8 billion by 2025, according to a new report by Grand View Research, the report indicates that together with Washington D.C. 28 states have legalized marijuana for medical uses.

In 2016, states such as ArkansasFloridaNorth DakotaOhio, and Pennsylvania were approved to use the drug in medical applications such as chemotherapies and pain management. The growing number of states and countries getting approval for using it in therapeutic applications is one of the crucial factors driving the demand over the coming few years. In addition, successful legalization for recreational use in states like California.

Florida by itself is projected to become a major market after voters overwhelmingly chose to legalize medical marijuana with more than 70% of the vote. According to Arcview Market Research, the potential growth of the medical market in Florida is strong. The market is projected to reach $1.6 billion by 2020, growing at a compound annual growth rate of 140%.

“The opportunity for good jobs, tax money and wealth creation created by Amendment 2 passing cannot be understated. Savvy entrepreneurs and pioneering investors are rightfully exuberant about the Florida market. And, thankfully, seriously ill patients will no longer need to go to high school parking lots or drug dealers to get their medicine,” said Troy Dayton, CEO of the Arcview Group.