The cannabis market is showing robust signs of growth in the first six months of the year, will it continue to rise?

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The global demand for cannabis is shaping the way we look at the emerging market. What used to be a taboo product is now being viewed as a powerful substance for a number of major health concerns. It has become so big that governments of powerful nations have begun or already included the cannabis industry into their federal laws, covering cultivation, production, distribution and retail of cannabis products -- and for very good reasons.

Creating a secure channel for the growing cannabis industry will help curb its illegal market and keep both industry and consumers safe. The projected growth of cannabis products could also add another lifeline or infuse a healthy cash flow to any nation.  

Though currently still up for debate, the projected graph of Cannabis in America has shown signs of it becoming legal nationally in the near future. And thanks to significant events like Canada legalizing cannabis for recreational use and the FDA’s approval of the first cannabis-infused drug, the world is now anticipating a more robust market as early as 2018.

According to recent data gathered by Viridian Capital Advisor, the Marijuana industry has raised as much as $4.3 billion by the end of July. The projected earnings are $8 billion which is more than double from the $3.5 billion earned in the year 2017.

Global events shaping the cannabis industry

The year 2018 has been a good year for the cannabis industry and there might be more to come (Source).

Looking at the market as a whole, there are significant events that are contributing to the recent boom of the cannabis industry.

First, the stocks for Marijuana has seen steady growth in the recent years and there is more and more trust being put in them by investors. Reports show that private companies were able to raise $1.04 billion whereas public entities projected $3.2 billion value in cannabis stocks. The cultivation as well as retail has a combined sales of $2.5 billion.

In Canada, legal marijuana sales have already begun in October 2017, and ever since they have been trying to bring in more shareholders to the same. This has created an exciting arena where the cannabis industry truly flourishes.

Canadian pot producer Tilray, for example, has recently become the first major exchange marijuana IPO. Company takeovers to grow the industry in Canada is fairly active as well. Emerald health therapeutics Inc., for example, a company that sells dried cannabis products as well as cannabis oils and is now one of the top licensed producers of marijuana stocks working under Canada’s “Access to Cannabis for Medical Purposes Regulations (ACMPR).”

The firm aims at acquiring the remaining shares for Northern Vine which is currently owned by Abbatis Bioceuticals corp., a licensed Canadian analysis and testing company.

Even companies in the U.S. have decided to get into the Canadian cannabis frenzy to get a head start in the burgeoning business.

Livewell, for example, a major marijuana player which has rights to Willie Nelson’s Marijuana Brand, plans to extend their operations to Canada in the times to come. Cannabis group Medmen have begun trading in the Canadian securities exchange last year. The company deals in the production and distribution of several cannabis oils, vape pens and other easily consumable products.

U.S. cannabis industry boom

In America, U.S. President Donald Trump also revealed last June that the government may probably back up a bipartisan bill on cannabis cultivation in the times to come. This would mean that state efforts of crafting an independent marijuana policy would not be affected or influenced by the federal government.

This is a welcome announcement for marketing groups like Acreage Holdings, an investment company with interest in the cannabis industry, which said that for now, they are currently content with keeping their operations confined to the United States.

"If you go to Canada, you're going to be competing with folks that have been raising piles of capital at a fundamentally different price point than our capital," said Acreage President George Allen in an interview.

Running along this sentiment, then there’s a good chance that the U.S. cannabis scene in America would continue to grow. As of this moment, there are already a good number of companies that are showing robust development.

Nevada based CLS holdings USA. Inc., for example, has just completed a year’s worth production of recreational cannabis products in the state. The company’s production activities are so strong that the company accounts for 13 percent supply of infused edibles, 25 percent in concentrates and 50 percent in the combination of medical and recreational sales of cannabis. CLS is now generating a monthly gross revenue of $850,000. And with the acquisition of Oasis Cannabis, the firm will only go up from here.

Another player, PotNetwork Holdings Inc. (OTCMKTS:POTN), which strength lies in hemp-derived cannabidiol (CBD) products, reflects an exciting growth of the cannabis industry. Hemp-derived CBD is considered to be the safer alternative to marijuana products because it contains small amounts of tetrahydrocannabinol, the compound associated with getting high in marijuana.

This revolutionary frontrunner in the CBD industry is dedicated towards research and development as well as global marketing of high-quality hemp extracts that contain a wide range of natural hemp derivatives and cannabinoids via its subsidiary, Diamond CBD.

POTN is a public traded company that focuses on delivering long-term growth to its shareholders. The company produces high-quality CBD merchandise that is currently being sold to over 10,000 retail stores across the country.

Part of their products include best-sellers like vape pens, edible gummies, pet products, and CBD oils among others. In the past year, the firm has seen tremendous growth and they aim at taking things to newer heights by the end of 2018. In fact, the company posted $2 million in revenue by end of June, an 80 percent increase in sales compared to the same month last year.

All the companies mentioned above are just a few of the many companies that will contribute to the growth of the cannabis industry this year. 2018 is without a doubt one of the most crucial times when the future of the cannabis industry shall take its course. Keeping in mind government policies, demand and supply chain as well as production, research and development of the product, the industry is on its verge of major changes which could very well mean major success in the near future.