NEW YORK - According to a research report published by Mordor Intelligence, the global cannabis market was valued at USD 7.7 Billion in the year 2016 and is expected to reach USD 65 Billion by the year 2023 while keeping a CAGR of 37% during the forecast period. The report clarifies that the growth rate can be attributed to the legalization of cannabis in various countries, as well as to the increasing demand of cannabis products for medical and recreational purposes.
North America accounts for more than 95% of the global market, with the U.S. alone making up more than 90% of the North American region, as well as global market. Koios Beverage Corp. (OTC: KBEVF), GB Sciences, Inc. (OTC: GBLX), Future Farm Technologies Inc. (OTC: FFRMF), InMed Pharmaceuticals, Inc. (OTC: IMLFF), mCig, Inc. (OTC: MCIG)
So far, 2018 has been a year of positive developments for the cannabis industry. Canada has legalized cannabis on a national level earlier this June and the state of California has legalized sales of cannabis products for recreational use. These recent developments are projected to have significant financial and economic implications.
A report by Fortune indicates that, "In order to collect USD 1 Billion a year in taxes, the state will need to reach a projected USD 7 Billion in annual legal recreational cannabis sales. At that rate, California would easily be the country's largest legal marijuana market, as the entire legal cannabis industry in the U.S. is expected to pull in roughly USD 10 Billion in total sales for 2017. That number would almost certainly get a boost in the coming years, as legal markets grow in California and other states, such as Nevada and Massachusetts."
Koios Beverage Corp. (OTC: KBEVF) is also listed on the Canadian Stock Exchange under (CSE: KBEV). Last week, the Company announced that it has, "entered into a distribution agreement with Western Functional Beverages, a leading distributor of healthy, functional drinks targeting the fitness crowd in the state of Wyoming.
'We expect we'll be hitting store shelves early next month,' said Gina Burrus, Vice-President of sales for Koios. 'The Wyoming team is working very hard with us to ensure solid growth.'
Koios is a leading innovator in the nootropic beverage industry, making functional beverages that are augmented with nutrients and/or supplements to convey a health benefit to the consumer.
Western Functional Beverages, a division of Western Distributing Co., distributes healthy drinks to cafes, gyms, yoga studios and other retail locations. It will now add Koios brands to its portfolio of beverages, which include teas, kombucha, coconut water, cold-brew coffee and the popular Jones Soda. It will begin distributing peach mango and pear guava immediately, eventually carrying the entire line of Koios beverages as they become available.
'The owners of Western are a lot like us, in that they have a passion for healthy products that create real benefits for their customers,' said Chris Miller, Chief Executive Officer of Koios. 'As a company, but also as people, they walk the walk when it comes to living and encouraging a healthy lifestyle and achieving a high level of fitness. Their focus is on products that are healthy, usually organic and that are environmentally sustainable.'
'In that way, our beliefs and our philosophies are very similar. We believe they are the ideal team to work with in helping spread our message and our brand throughout the state of Wyoming,' he added."
GB Sciences, Inc. (OTCQB: GBLX) is a diverse cannabis company, focused on standardized cultivation and production methods, as well as biopharmaceutical research and development. The Company recently announced that its first cannabis crop is now in production at their high-tech 36,000 sq. ft. grow facility in Baton Rouge. Teams from GB Sciences and the LSU AgCenter are working closely with Louisiana pharmacists who will serve patients starting in November. Some three years after the passage of the Alison Neustrom Act, the Louisiana Pharmacy Board has issued permits to nine pharmacists who will dispense medical marijuana in their nine respective regions of the state, with a potential 10th license to be awarded at a later date in a high-demand area. "We are on the front edge of this wave of research into the cannabis plant," said John Davis, President of GB Sciences Louisiana. "And vital to that is our strategic partnership with the nine pharmacies that have been licensed by the Louisiana Board of Pharmacy."
Future Farm Technologies Inc. (OTCQX: FFRMF) is a Canadian company with holdings throughout North America including California, Massachusetts, Florida, Maine, Puerto Rico and Newfoundland. Future Farm Technologies Inc. recently announced that it has completed its acquisition of a 50% interest in CEPG Consulting and Design Inc. of St. John's, Newfoundland. CEPG will participate in the cannabis and hemp breeding program under the previously announced joint venture between Future Farm and Rahan Meristem Ltd., a world renowned global agro-biotechnology company based in Israel. The joint venture will operate out of both an existing building to be transferred to CEPG by Snellen Holdings (1994) Co. Ltd. and 6,000 sq. ft. of newly constructed laboratories. "We are delighted to continue the path that Chris and CEPG have forged over the years in St. John's," says Bill Gildea, Chief Executive Officer of Future Farm. "The relationships that Chris has made will streamline the process of getting the R&D facility up and running so that we can get down to the business of developing elite strains of cannabis and hemp with our partners at Rahan."
InMed Pharmaceuticals, Inc. (OTCQX: IMLFF) is a pre-clinical stage biopharmaceutical company that specializes in developing novel therapies through the research and development into the extensive pharmacology of cannabinoids coupled with innovative drug delivery systems. InMed Pharmaceuticals Inc. recently announced that it has filed a Patent Cooperation Treaty ("PCT") application pertaining to the Company's proprietary biosynthesis program for the manufacture of cannabinoids that are identical to those found in nature. This application will provide protection of the biosynthesis technology in over 150 different countries including the United States and claims a priority date from September 5th, 2017 (PCT/CA2018/051074). The PCT filing, which is a conversion from the provisional patent filed in September 2017, is an important step in providing intellectual and commercial protection for InMed's biosynthesis platform technology. "With the conversion of this patent application, we are continuing the process of pursuing commercial protection for our biosynthesis platform technology. As we undertake scale-up activities towards commercialization, today's patent announcement is an important step forward for the Company," said Dr. Eric Hsu, Ph.D., InMed's Vice President of Preclinical Research and Development. Dr. Hsu continued, "This application protects our effort to modulate E. coli's own internal machinery to increase the metabolites needed for the biosynthesis of the cannabinoid. Beyond this patent, we are actively pursuing additional patent applications to further protect our know-how in cannabinoid manufacturing through biosynthesis. These patent applications collectively represent the culmination of three years of dedicated time and resource investment by an extended scientific team."
mCig, Inc. (OTCQB: MCIG), headquartered in Jacksonville, Florida, is a diversified company servicing the legal cannabis, hemp, and CBD markets via its lifestyle brands. mCig, Inc. recently announced that it will begin harvesting its first crop of organic hemp from NYAcres in two to three weeks time. After harvested and dried, cannabidiol (CBD) will be extracted from the plant source material. The particular strains of hemp grown at NYAcres, Cherry Wine and Berry Blue sourced from the Colorado Hemp Project are known for their high concentrations of CBD. Once extracted, CBD distillate can be used as a component for a diverse range of end user products, from CBD capsules to CBD vape. Initial projections from its Advisory team and based upon their collective years of farm production and development; the Company expects revenues greater than USD 10 Million annually from the 40-acre yield. With 212 total acres available, the NYAcres Project could potentially yield up to USD 50 Million per year in high demand CBD retail products with this unique approach. "MCIG will continue to seek strategic partnerships in hemp agriculture," says Paul Rosenberg, MCIG Chief Executive Officer. "The success of this venture with NYAcres is just the beginning. As the public demand for CBD and other hemp products grows, so does the need for a consistent hemp supply. With true hemp legalization on the horizon in the US, MCIG is well-positioned to capitalize on the growth of this soon-to-be billion dollar industry."