Numerous States and Countries to Re-evaluate Stance on Cannabis as Global Sales Grow

NEW YORK, January 29, 2019 /PRNewswire/ --

FinancialBuzz.com News Commentary 

Cannabis has recently become the global rage, driven by the spur of legalization efforts ongoing in many states and abroad. Despite cannabis still being illegal in most countries, the movement for legalization is stronger than it's ever been. Recent trends, such as Canada legalizing cannabis entirely back in October, followed by U.S. states Missouri, Michigan, and Utah legalizing cannabis to a degree during their mid-term elections, are causing the industry to witness a period of tremendous strength. According to data compiled by Mordor Intelligence, the global cannabis market was valued at USD 7.7 Billion in 2016 and is expected to reach USD 65 Billion by 2023. Additionally, the market is projected to grow at a CAGR of 37% throughout the forecast period from 2016 to 2023. Globally, the cannabis market growth is being accelerated by legalization for medical applications. The U.S. and Canada, however, are fueling the recreational market. The industry is specifically expected to be driven by the U.S., as it accounted for more than 85% of the global market value in 2017. Even though cannabis is still illegal Federally in the country, states such as California, Colorado, Nevada, and Washington are already, or are expected to, deliver billions of dollars in sales. SLANG Worldwide Inc. (CSE: SLNG), Tilray, Inc. (NASDAQ: TLRY), Canopy Growth Corporation (NYSE: CGC), Aurora Cannabis Inc. (NYSE: ACB), Pyxus International Inc. (NYSE: PYX)

In the near future, other states such as New Jersey, New York, Illinois, Connecticut and New Mexico are all likely candidates to legalize cannabis as well. Additionally, some states like Rhode Island, Kansas, Wisconsin, and Pennsylvania are all open to exploring opportunities within the industry. On a global scale, Mexico's newly elected President is also pushing for the legalization of cannabis entirely, while European nations Switzerland and the United Kingdom are seeing growing support for legalization as well. Although most of the market value is expected to be delivered by the medical segment throughout the next few years, there could be a shift in the industry trend. According to ArcView Market Research and BDS Analytics, the global spending on legal cannabis is expected to reach USD 57 Billion by 2027, with adult-use sales delivering USD 38.3 Billion and medical sales accounting for USD 19.1 Billion. "The industry is at about 5 percent of what it will be someday," concurs Tyler Stratford, Director of Client Operations for cannabis consulting firm Canna Advisors. "Even if the path forward isn't straight, we're certainly on a path forward. The tide has changed, and there's no turning it back now."