In recent years, the cannabis industry has witnessed immense support from countries across the world. Numerous national governments have their own unique perspective regarding the plant, however, most still have not moved to legalize cannabis because of the stigma surrounding its psychoactive nature. Nonetheless, cannabis has already tapped into several of the largest global markets. For instance, Canada became the first and only G-7 nation to legalize cannabis entirely in late 2018. Meanwhile, among the other G-7 nations, France, Germany, Italy, the United Kingdom and the U.S. have all adopted partial or full medical cannabis legislation. The only G-7 nation to not have adopted any form of cannabis legislation is currently Japan. Overall, many Asian countries enforce stricter regulations, which result in severe consequences if violated. As such, cannabis companies have not had much luck tapping into the Asian markets. However, South Korea and Thailand are two Asian nations that decided to take steps forward and dive into the cannabis industry. South Korea’s medical cannabis program launched in early March and paved the way for select THC and CBD-based medication imports. In particular, Canopy Growth Corporation is among the several Canadian multinational firms looking to enter the South Korean market. Similarly, Thailand has moved to legalize medical cannabis, with many expecting the legislation to be implemented next year after Thailand’s military-appointed National Legislative Assembly voted 166 to 0 in favor of legalizing medical cannabis. The profound movement stirring throughout Asia further highlights the impact that cannabis is making on a global scale. Moreover, ongoing international legalization efforts are expected to accelerate and further bolster the market in the near future. According to data compiled by MarketsandMarkets research, the cannabis market was valued at USD 10.3 Billion in 2018. By 2023, the market is expected to reach USD 39.4 Billion while registering a CAGR of 30.7% during the forecast period. Pasha Brands Ltd. (OTC: CRFTF) (CSE: CRFT), Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aphria Inc. (NYSE: APHA) (APHA.TO), HEXO Corp. (NYSE-A: HEXO) (TSX: HEXO)
The burden of symptoms associated with medical conditions has ravaged millions of people around the globe. Every day, people suffering from medical conditions are distraught by the harsh effects of the symptoms derived from their ailments. For instance, patients receiving cancer therapy can face a plethora of side effects such as nausea and severe pain. Generally, patients may take other medicines in order to subdue these side effects, and in particular, cancer patients suffering from chronic pain may be prescribed opioids from their physician. The major downside of these treatments is that opioids have life-threatening consequences. Overall, cancer patients suffer from side effects associated with cancer therapies as well as the treatments used to control their side effects. As a result, more medical institutions are beginning to recommend cannabis as an alternative to treat the adverse associated with cancer. The American Cancer Society has cited studies that determined that marijuana can be helpful in treating the side effects of cancer chemotherapy. A few studies have even uncovered that inhaled (smoked or vaporized) marijuana can help with the treatment of neuropathic pain. And more recently, scientists have also reported that THC and other cannabinoids such as CBD can slow the growth of and possibly eliminate cancer cells, ultimately reducing the spread of certain forms of cancer. Other studies have suggested that cannabinoids can be safe for humans in treating cancer, which has led to the wide spread of medical cannabis around the world. As more global government agencies collect positive data from clinical trials, more countries will move towards legalizing medical cannabis because of its valuable therapeutic effects. And as a result, the global legal marijuana market is expected to reach USD 146.4 Billion by 2025 while registering a CAGR of 34.6%, according to data compiled by Grand View Research. Pasha Brands Ltd. (OTC: CRFTF) (CSE: CRFT), Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), HEXO Corp. (NYSE: HEXO) (TSX: HEXO).
The cannabis industry experienced uplifting news after the U.S. Food and Drug Administration announced it is expediting processes to address the matter regarding cannabidiol or CBD. FDA Principal Deputy Commissioner and Acting Chief Information Officer Amy Abernethy announced in a series of tweets that the matter is an “important national issues with public health impact.” Moreover, Abernethy says that the FDA is enthusiastic about researching regarding the therapeutic benefits of CBD products. Similarly, former FDA commissioner Scott Gottlieb also made it a goal to expedite research regarding CBD. The conjoined efforts of the public and the FDA ultimately led to the passage of the U.S. Farm Bill and the descheduling of CBD by the U.S. Drug Enforcement Administration. Additionally, the FDA approved the use of Epidiolex, a CBD-based drug, to treat epilepsy common among children. Following the passage, CBD products rapidly emerged throughout the U.S. from local brick-and-mortar stores to giant e-commerce portals. However, the FDA has made it clear that the addition of CBD in foods and beverages is still prohibited. Nonetheless, consumers can still obtain these health and wellness products containing CBD in some areas. Furthermore, CBD has also become prevalent in nations such as Australia, Chile, Colombia, France, Germany, and Spainas they have legalized cannabis for medical applications. Primarily, most of the regions are using CBD to treat patients suffering from conditions such as multiple sclerosis, cancer, chronic pain, epilepsy, and depression. While the CBD marketplace is thriving globally, the THC market is experiencing growth in regions where recreational cannabis is legal. Overall, the combination of the two markets is causing the broader cannabis industry to undergo exponential growth and development. According to data compiled by Mordor Intelligence, the global cannabis industry was valued at USD 14.5 Billion in 2018. By 2024, the market is expected to reach USD 89.1 Billion while registering a CAGR of 37% during the forecast period from 2019 to 2024. MediPharm Labs Corp. (OTC: MEDIF) (TSX-V: LABS), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), The Green Organic Dutchman Holdings Ltd. (OTC: TGODF) (TSX: TGOD), Charlotte’s Web Holdings, Inc. (OTC: CWBHF) (TSX: CWEB)
As hemp production increases, Californian legislators have extended the duration of thousands of cannabis cultivation licenses to support the state’s thriving industry.
Canada made headlines in 2018 after it became the second country in the world to completely legalize adult cannabis use. Canada’s Prime Minister Justin Trudeau was a strong advocate for legalization and ultimately, the country decided to pass new legislation and initiate legal adult-use in late 2018. However, despite Canada’s legal market, the enormous U.S. market continues to cast a cloud over its northern neighbor, even though the U.S. has not yet moved to federally legalize cannabis. Instead, U.S. states are given the jurisdiction to legalize cannabis for either medical or recreational purposes. And as of June 2019, 33 states and the District of Columbia allowed the use of cannabis for medical applications. Moreover, 11 of those states, including the District of Columbia, have legalized adult recreational use. The U.S. adopted cannabis as early as the late 1990s when states such as California, Oregon, Alaska, and Washington were the first to implement a medicinal cannabis program. However, the industry was completely reshaped when Colorado and Washington legalized recreational cannabis in 2014. Throughout the beginning phases, legal cannabis sales were slow. For instance, Colorado reported total marijuana sales of USD 683 Million in 2014. But by the end of 2018, Colorado’s legal cannabis market delivered revenues of USD 1.54 Billion, according to the Colorado Department of Revenue. Furthermore, Colorado is on pace to report another record-breaking year in marijuana sales for 2019. As of January 2019 to April 2019, the state had already reported sales of USD 522 Million. While Canada’s market may seem minuscule in comparison to the U.S. market, it is still positioned to become a major global growth driver. Unlike the U.S., Canada has federally legalized cannabis, meaning that its market penetration is much greater, even as Canada’s legal market still remains relatively new. Nonetheless, the market will continue to mature as the legal business progresses. And according to data compiled by ArcView Market Research and BDS Analytics, the legal cannabis spending in Canada was USD 569 Million in 2018. By 2024, the spending is expected to reach USD 5.2 Billion while exhibiting a CAGR of 44.4%. Canopy Rivers Inc. (OTC: CNPOF) (TSX-V: RIV), Tilray, Inc. (NASDAQ: TLRY), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Curaleaf Holdings, Inc. (OTC: CURLF) (CSE: CURA), Green Thumb Industries Inc. (OTC: GTBIF) (CSE: GTII)
Facility Advances Partnership with Ginkgo Bioworks;
Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) (“Cronos Group” or the “Company”) today announced that Dr. Todd Abraham has been appointed as the Company’s Chief Innovation Officer. In this role, Dr. Abraham will be responsible for advancing Cronos Group’s research and development initiatives in cannabinoids with a focus on identifying new disruptive technologies and adopting best practices and innovations from adjacent consumer goods industries. Dr. Abraham will report to Cronos Group CEO Mike Gorenstein.
Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) (“Cronos Group” or the “Company”), will announce its financial results for the second quarter ended June 30, 2019, and hold its Second Quarter 2019 Earnings Conference Call on Thursday, August 8, 2019 at 8:30 a.m. EDT. Senior management will be available for questions from the investment community after prepared remarks.
Cannabis has become one of the most trending topics worldwide because of its widespread legalization movements. While the plant has been heavily involved in the news cycle, cannabis has been around for centuries and was primarily used for medicinal applications. However, cannabis became listed as a controlled substance under international regulations due to the psychoactive nature of its marijuana derivative. In particular, the U.S. prohibited the sale and use of cannabis in the early 20th century, but by the 1990s, a select few states began to legalize it for the use of medical purposes. Now, as the months go by, more consumers and politicians view cannabis as a medicinal treatment option rather than a drug to simply get “high,” which completely reshaped the stereotypes revolving around the plant. Notably, California became the first state in North America to legalize the medical use of cannabis. And following its decision, a series of other states began to legalize cannabis medical as well. Now, more than half of the U.S. has legalized the use of medical cannabis. Additionally, throughout the past twenty years, the cannabis industry has rapidly changed and evolved. For instance, Colorado was one of the first states to legalize the recreational use of cannabis in 2014 and during Colorado’s first year of legal adult-use, the state delivered USD 683 Million in marijuana sales. By the end of 2018, Colorado reported record sales of USD 1.54 Billion. And as of April 2019, Colorado’s marijuana sales were on track to deliver yet another record year. Primarily, U.S. states such as Colorado, California, Washington, and Nevada are the main growth drivers for the global cannabis industry. However, as other nations, such as Australia, Canada, Germany, France, and Spain begin to accelerate their programs, the global cannabis industry is positioned for exponential growth. According to data compiled by Ameri Research, the global legal marijuana market was valued at USD 14.3 Billion in 2016. By 2024, legal marijuana global sales are projected to reach USD 63.5 Billion while exhibiting a CAGR of 21.1% from 2017 to 2024. MediPharm Labs Corp. (OTC: MEDIF) (TSX-V: LABS), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aphria Inc. (NYSE: APHA) (TSX: APHA), Organigram Holdings Inc. (NASDAQ: OGI) (TSX-V: OGI), Curaleaf Holdings, Inc. (OTC: CURLF) (CSE: CURA)
The medical cannabis marketplace has been around for quite some time in the North American region. Notably, California was among the first regions to legalize medical cannabis back in the 1990s. Following California, several more U.S. states such as Oregon, Alaska, Washington and Maine legalized medical cannabis as well. Now, more than half the U.S. has legalized cannabis for medical purposes and Canada had moved to legalize medical cannabis for specific medical purposes back in 2001. Health Canada split medical patients into two different categories based on their medical diagnosis: Category 1 patients are eligible for a medical cannabis prescription if they suffer from severe pain, muscle spasms, anorexia, weight loss, nausea from cancer, HIV/AIDS, and epilepsy. Meanwhile, Category 2 patients are those who have debilitating symptoms of medical conditions, other than the ones listed in Category 1. Typically, most patients are prescribed with cannabis in the form of flower, which is usually smoked via joints or other paraphernalia. However, as the industry continued to evolve, new products have emerged within the marketplace. Nowadays, traditional flower is quickly becoming outdated as more consumers are demanding alternative products. Predominantly, concentrates and extracts are quickly becoming favorites among consumers because of their high potency and immediate effectiveness. Yet, making potent concentrates or extracts still requires high-quality strains, meaning there is still an underlying demand for flower. Nevertheless, the Canadian government has imposed regulations and certain restrictions on cannabis-based products, despite having fully legalized adult-use cannabis in 2018. These emerging products are expected to deliver annual revenue of more than CAD 2.5 Billion and generate higher profits for retailers than cannabis products that are already legal, according to Deloitte’s annual cannabis industry report, such as regular flower. Additionally, while concentrates and extracts are gaining popularity swiftly, Deloitte expects edibles to make up the majority of the market share for emerging products, as Canadian companies are hastily competing against one another to dominate in the next wave of legalization. Pasha Brands Ltd. (OTC: CRFTF) (CSE: CRFT), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aphria Inc. (NYSE: APHA) (TSX: APHA), Organigram Holdings Inc. (NASDAQ: OGI) (TSX-V: OGI), Neptune Wellness Solutions Inc. (NASDAQ: NEPT) (TSX: NEPT)