CBD, or Cannabidiol, is being used extensively for medical and therapeutic purposes globally. CBD is unique in that it does not entail the psychoactive elements that are associated with marijuana. The non-psychoactive elements of CBD are known to be useful for a gamut of ailments, such as aches, pains, anxiety, insomnia, and arthritis. In 2016, CBD sales through dispensaries had almost touched $202 million, making it a $6.7 billion market.
There are myriad reasons for its accelerated growth in the recent past.
Rise in the number of MMJ patients
The number of MMJ patients (or Medical Marijuana patients) is steadily on the rise. According to the Medical Cannabis Program, Department of Health, as many as 6,184 patients are actively enrolled in the patient registry. They have witnessed an increase of 1,047 from 5,137 patients enrolled in March 31, 2017.
In March 2016, the state of Colorado had the highest patient-to resident-ratio. There were 19.8 patients per 1000 state residents.
CBD, which does not contain any THC, provides relief from a number of ailments. This makes it ideally suited for sportspersons who don’t want THC traces in their bloodstream.
More Practitioners and Dispensaries
There has been a surge in the number of dispensaries and practitioners per state. As of 2017, there are 102 certified physicians and 7 certified advanced practice nurse practitioners in Hawaii alone. According to a 2017 report, the US has 736 registered practitioners of CBD. With more and more physicians recommending CBD use for chronic pains and other health conditions, the CBD industry has inevitably found widespread acceptance.
CBD use is no longer restricted to medicinal purposes. It is extensively used for recreational purposes as well. By 2020, adult use sales will comprise 53% of all sales in $22.8 billion dollar industry. Many countries have already begun paving the way to legalize recreational marijuana. Prime Minister Justin Trudeau is one of the few who is at the forefront of legalization of marijuana in Canada by 2018. If this trend continues, Canada alone will fetch $22.8 billion dollars annually from CBD sales.
According to Headset Research data, there are over 800 CBD products in Washington’s marketplace. GFarmaLab offers hundreds of products including cannabis-infused beverages and pre-rolled cannabis flower called G Stiks. By 2020, the CBD market is predicted to expand exponentially. The $736 million CBD product sales will be driven by pharmaceutical, natural and specialty retail, mass market retail, smoke shops, practitioners - with online shopping being the largest player by capturing 28% market share.
Declassification of Cannabis
Recently Federal drug officials released a statement pointing out that they’re considering removing marijuana from Schedule 1 classification. A favorable decision in this regard is set to make it easier for researchers to do conduct more in-depth studies.
According to ArcView Market Research forecasts, CBD market growth will reaccelerate in 2018 due to the heightened adult-usage in Canada, California, and Massachusetts – in addition to growing medical sales in Florida. If this growth is to be believed, CBD market will witness a growth of 27% in 2021, which will catapult it into a $22.6 billion dollar industry.
Clearly, the CBD market has created the right buzz so far for the right reasons. By dispelling the myths surrounding its safety and applicability, it has demonstrated its multifaceted efficacy across a range of industries – all over the world.