According to research published by Oristep Consulting, the global medical cannabis market was valued at $12.67 Billion in 2016 and will reach $33.41 Billion by 2022 while expanding at a CAGR of 17.53 percent during the forecast period. The two main cannabinoids from the cannabis plant are THC and CBD, both of which are used for medical purposes for various conditions including lack of appetite, nausea, pain, inflammation (swelling and redness), as well as muscle control problems.
As for recreational cannabis products, the continued legalization across North America is pushing market value projections to new highs. On June 19th, Canada had legalized cannabis on a federal level. Additionally, earlier this year, California began legal sales of cannabis products for recreational use. California is currently the largest market.
A report by CNBC quotes MedMen CEO and Co-Founder, Adam Bierman, who explains the current state of the industry, “There is so much excitement now around legalization nationally coming in Canada. There is so much excitement about the fact that California, Nevada, Maine, and Massachusetts all legalized recreational marijuana. The Canadian public markets offer access to a lot of capital, with a lot of certainty and a lot of speed, and there is this appetite among global investors to invest in a U.S. play. Specifically, global investors want to invest in a U.S. play that has California exposure. Now is the time where it makes the most sense.”