The worldwide marijuana industry is forecasted to reach as much as $31.4 billion by 2021. This high projection is the reason why the marijuana industry is booming.
A recent report was compiled by CB Insights, a tech, and data company that predicts major industry trends, on industries that are mostly affected by cannabis. Here are a few of the industries.
Beauty and Health
If you go to downtown Los Angeles and then you’re going to see the ever-present advertisements related to cannabidiol (CBD) products. Non-psychoactive cannabis ingredients like CBD oil, skin care products and CBD edible gummies, has heavily taken over the wellness and beauty industry. In 2017, CBD was named as the second popular wellness trend by Elle Magazine.
CBD activist believes that it can be used as a treatment for anxiety, physical pain and more. There is also the highly emerging CBD makeup, CBD mascara and brow gel which are being sold at Sephora in Canada. An analytics company that specializes in cannabis called New Frontier Data, reports that the sales of CBD could reach as high as $1.9 billion by 2022. In 2017, the sale of CBD products reached a total of nearly $370 million.
Agriculture
The longtime ban on marijuana prevented the manufacturing of hemp, but things changed in 2014 when the federal farm bill was passed. Hemp is a non-potent form of the cannabis plant that generates powerful fibers that can be used to produce papers, ropes, fiberboard and more. It also carries a lot of distinct advantages like needing a small amount of space in contrast to different materials used to produce similar products, like cotton.
A report from the National Conference of State Legislatures, states that at least 38 states have considered legalizing industrial hemp legislation in 2018. In states such as Kansas, Missouri, Arizona, Alaska, and Oklahoma, the amendment has been enacted this year to permit the research of hemp and cultivation programs related to industrial hemp.
It is estimated that the worldwide industrial hemp market will reach about $10.6 billion by 2025. This booming market has made more cannabis enthusiasts consider cultivating industrial hemp.
Billboard Advertising
People living in cities such as Toronto or Denver have surely noticed the rise of billboards from cannabis companies like Starbuds and Weedmaps. After so many years of cannabis prohibition, these cannabis billboards must be seen by everyone.
In 2014, these billboard campaigns began in the United States, after Colorado and Washington became the first states to legalize the recreational use of cannabis two years ago. Currently, some cannabis companies, including MedMen, have designed trucks which displays big cannabis advertisements which move around cities such as Los Angeles.
These types of large billboard ads are not legal in Colorado. This has made dispensaries and cannabis companies to associate with Adopt-A-Highway programs, which thrives to enhance roadways and the environment. The creation of these programs permits dispensaries such as Starbuds to implement roadside signs that illustrates good statements which can be easily be seen by those driving in and out of major cities including Denver.
Alcohol
Some industries have been highly affected by the evolution of cannabis than the alcohol industry. It is estimated that the sale of legal cannabis could lead to more than $2 billion in losses for the beer industry alone.
In 2014, the sale of legal cannabis went live in Colorado, leading to the rise of cannabis tax revenues which quickly outpaced those from alcohol. Recent studies have proven that binge drinking has fallen in states that have established legal recreational cannabis laws. This has made some beer companies to join the cannabis industry.
A few months ago, Constellation Brands which is the parent company of Corona beer signed a million dollar deal with Canadian Licensed Producer, Canopy Growth Corp.
