The cannabis market is projected to reach $48 billion by 2027 with much of the growth being driven by the U.S.
As more nations legalise cannabis, the market is anticipated to continue its accelerated growth.
Recent nations to legalise cannabis providing greater access to the market for consumers include Thailand. Germany is set to follow, although with watered-down plans from their initial proposals.
Other nations continue to invest in research for medicinal marijuana, including Australia, Chile, Greece, and Peru.
However, up to 90% of the growth in the cannabis market is expected to arise from the U.S.
One key driver of this growth will be the increase in e-commerce coming into the cannabis market. The Colorado House of Representatives has approved a bill that allows adults to buy cannabis online.
Moving businesses online helps reduce operational costs and overheads. E-commerce also allows for cannabis companies to expand their businesses further afield rather than being limited to local patronage.
There remains risks associated with the growth of the cannabis market. Recent reports indicated that the THC in cannabis was 23% lower than what was reported on the label.
Within the CBD industry, it was found that nearly 60% of CBD products had been mislabelled with some even containing heavy metals.
This lack of standards and oversight in both the cannabis market and the CBD market could cause problems as the industry continues to expand.
Legalising cannabis in a nation also brings its issues. Thailand is still struggling to adapt to their new laws while Germany has had to restrict their plans for cannabis due to the legal frameworks of the European Union.
The CBD industry is likewise expected to see significant growth with estimates of the market reaching $5.3 billion. The key factor behind this growth is anticipated to be the growing millennial market and the reported health benefits of CBD products.
