The cannabis market is forecasted to hit $130 billion by 2029 granted that legalization continues to unfold across the United States, Europe, and South America, says Jeffries Group, LLC in a recent article from the International Cannabis Busines Conference. Read the posting below for more information on the driving forces behind our industry’s predicted growth!
“Last week ended with wealth advisor Pepper International telling CNBC’s “Squawk Box Europe” that the cannabis industry was a wise, sound investment and this week begins with a financial report that backs up that assertion. Hardly a day goes by without some type of industry news that demonstrates positive political momentum, a major milestone, or a huge business deal. The International Cannabis Busines Conferencewill provide the latest developments on the market AND help keep the momentum to legalize more freedom, jobs, and revenue, as the events sweep across Europe in the coming months. As BNN Bloomberg reports, if the industry continues to make progress, great growth can be expected over the next decade:
The global cannabis industry could be worth as much as US$130 billion a decade from now if a wave of legalization sweeps the U.S., Europe and Latin America, according to a report by New York-based investment bank Jefferies Group LLC, which initiated coverage of several companies in the space on Monday.
Jefferies’ projection for the global pot sector is based on the prospect that in the coming years the U.S. and all countries in Europe and Latin America will legalize cannabis for recreational and medical purposes, as well as the potential penetration of other industry sectors in those markets, such as pharmaceuticals, alcohol, health and wellness and pet care.
The liberalization of the cannabis space in those markets is estimated to be worth about US$80 billion by 2029 and is added on top of Jefferies’ base valuation for the global cannabis industry of US$50 billion by 2029, a conservative figure that only includes the 22 countries which have already legalized marijuana for medical or recreational purposes.
On one hand, it is easy to see that the global cannabis industry will thrive over the next decade as legalization is gaining and popularity and politicians follow votes and tax revenue. However, to maximize the benefits for everyone, cannabis legalization supporters must stay engaged and involved, or the profits will be controlled by very few as overregulation remains a huge hurdle to overcome and some corporate interests will work to curtail individual freedoms, such as the right to cultivate a personal garden. Also, political headwinds change, so it is imperative to support officials that support the industry. All in all, the future looks very bright, but the cannabis community must remain vigilant.”