Legal Cannabis Market Expected to Grow 1,000% Globally over Next Decade

04:44 06/23/2018

Data by Arcview Market indicates that while California gets the media attention and Canada gets the investment dollars, as the country expects to legalize cannabis for recreational use, it's the recent changes in European nations that made the biggest news of 2017 from a worldwide perspective. According to a research report provided by European investment bank, Bryan, Garnier & Co., the legal global cannabis market is expected to grow more than 1,000% over the next decade and could reach USD 140 Billion dollars by 2027. For example, Germany's move to make cannabis flower available for medical use in pharmacies. In the U.S., the potential financial benefits from legalization are important economically as well as politically. Earlier this year California had started legal sales of recreational cannabis. While sales are rising, there are fears that supply will fall short of demand. According to a report by the Chicago Tribune, Charles Boldwyn, Chief Compliance Officer of ShowGrow in Santa Ana, explained, "We're looking at … hundreds of licensed cultivators and manufacturers coming out of an environment where we literally had thousands of people who were cultivating and manufacturing… So the red tape is a bit of a bottleneck in the supply chain." Despite the concerns, the market in California is expected to witness strong growth. The State Department of Finance expects Californians to purchase about 1 million pounds of cannabis over the first full -year of legalization, between July 1st, 2018, and June 30th, 2019. Stocks in the news: 22nd Century Group, Inc. (NYSE:XXII) XXII , is a plant biotechnology company that is focused on tobacco harm reduction and cannabis research, announced last year, that the Company's research collaboration with strategic partner Anandia Laboratories, Inc. in Vancouver, Canada, has resulted in new industrial hemp plants that have zero tetrahydrocannabinol (THC), the principal psychoactive constituent in cannabis. "We are delighted that our exciting research with Anandia Labs has created zero THC plants and altered levels of cannabinoids suitable for both industrial hemp and medical marijuana," explained Dr. Paul Rushton, 22nd Century's Vice President for Plant Biotechnology. "We anticipate that our zero THC hemp plants will form the basis of a new generation of industrial hemp and medical marijuana varieties. These markets are projected to be multi-billion dollar markets in the near term." Zynerba Pharmaceuticals, Inc. (NASDAQ:ZYNE) ZYNE , a clinical-stage specialty neuropsychiatric pharmaceutical company dedicated to developing and commercializing innovative pharmaceutically-produced transdermal cannabinoid treatments. GW Pharmaceuticals plc (NASDAQ:GWPH) GWPH , is a biopharmaceutical company focused on discovering, developing and commercializing novel therapeutics from its proprietary cannabinoid product platform. The U.S. Food and Drug Administration (FDA) unanimously recommended supporting the approval of the New Drug Application (NDA) for the investigational cannabidiol oral solution (CBD). If approved, Epidiolex would be the first pharmaceutical formulation of purified, plant-based CBD, a cannabinoid lacking the high associated with marijuana, and the first in a new category of anti-epileptic drugs (AEDs). Cara Therapeutics Inc. (NASDAQ:CARA) CARA  is a clinical-stage biopharmaceutical company focused on developing and commercializing new chemical entities designed to alleviate pruritus and pain by selectively targeting peripheral kappa opioid receptors (KORs). Studies on the effects of cannabis (marijuana) have led to the recent discovery of an endogenous system of ligands in humans involved in a number of physiological processes including pain and inflammation. Cara is developing lead molecules that selectively modulate peripheral CB receptors without targeting CNS cannabinoid receptors. Peripheral CB receptor modulators will be initially developed as a novel therapeutic approach for neuropathic pain, a condition currently without consistently effective therapies.

This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purpose only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets.
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