The Cannabis Industry Turns to Innovative Technologies to Preserve Growth
Last month, Illinois became the 11th state to legalize the recreational use of cannabis within the United States. The state’s decision marks another high point in the movement that continues to sweep through the U.S. Specifically, Colorado, Washington and Oregon account for 42% of the total U.S. cannabis sales. Meanwhile, smaller markets such as Illinois, Massachusetts, Michigan, New Jersey, and New York only make up 11% of the total U.S. market, according to the Chicago Tribune. However, analysts from Brightfield believe that by 2023, the market share will flip, with eastern states accounting for 34% of the market, while western states drop by 20%. However, the market is still progressively maturing across the whole country, and even abroad. Furthermore, similar to other prominent global industries, the need for adaptation is prevalent within the cannabis market. The integration of technology has often made daily tasks for companies exponentially easier, further driving their financial growth. In the cannabis industry in particular, technology is being leveraged among cultivators, distributors, and retailers to create seed-to-sale blockchain ledgers. Seed-to-sale technology is a tracking and reporting system that the government and businesses both rely on. The technology keeps track of each and every single gram of cannabis from when it has been planted to when it is purchased by a consumer at the store. Moreover, throughout the process, the details are also relayed back to the government in order to ensure quality control and prevent mixture with illicit products. The advanced technology benefits both businesses and consumers by ensuring that products are delivered from a safe channel and are properly grown. Additionally, the regulatory matters that the government and businesses are implementing are further promoting the legal marketplace. And consumers who have access to information regarding where the cannabis was grown, what it was treated with, and where it has been before it was delivered will further drive sales growth. 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. Codebase Ventures Inc. (OTC: BKLLF) (CSE: CODE), The Supreme Cannabis Company, Inc. (OTC: SPRWF) (TSX: FIRE), MariMed Inc. (OTC: MRMD), Aleafia Health Inc. (OTC: ALEAF) (TSX: ALEF), Terra Tech Corp. (OTC: TRTC)