Cannabis Industry Growth Potential For 2022

marijuana-dispensary

News Americas, NEW YORK, NY, Tues. Jan. 18, 2022: The cannabis industry is not only for recreational and medical use. It is also a part of thriving industries such as cosmetics, food, lighting, cooking, tobacco, building materials, and alternative fuels. As the world searches for sustainable solutions, leading countries are looking at cannabis as the new green alternative.

The industry has proven its worth as well as resilience during the COVID-19 crisis. And this is despite the fact that for many years the substance obeyed the rules, and it was believed that there are more marijuana deficiencies than advantages. Canadian and American cannabis growers are moving forward towards building empires. In this review, we look at the reasons why 2022 promises to be an important year for marijuana investors.

Cannabis Industry Growth Statistics

Based on current and forecast data, the cannabis industry is poised for growth. It is currently valued at more than $21 billion, according to BDSA analytics. This figure does not include the share of the black cannabis market, which analysts believe is dwarfing the legal market by orders of magnitude. Although this figure may already seem high, this is the baseline, according to leading market researchers.

According to analysts at Grand View Research, the legal cannabis market will be worth a mind-boggling $84 billion by 2028 (CAGR 14.3% from 2021 to 2028). That is, the cannabis industry has many prospects. In addition, the estimates are likely to increase significantly after the United States formally decriminalizes marijuana or when countries in the European Union decide to legalize cannabis.

The Position of Cannabis in Canada and North America

Canada and the United States are currently the largest consumers of cannabis. At the same time, Canada is the second country after Uruguay to legalize the use of marijuana for recreational purposes. America’s attitude continues to lean toward legalizing marijuana, but cannabis is still considered illegal there under the Controlled Substances Act.

With or without full-scale legalization of marijuana in the US, cannabis stocks are attracting interest from a growing number of investors. Based on data from corporate research platform Sentieo and legal marijuana industry investment analysis agency MJResearchCo, market liquidity has increased since the US election.

Liquidity has also improved for many Canadian companies due to their ability to trade on the NYSE and Nasdaq, in addition to OTC and Canadian exchanges. Some companies will be able to show promising growth this year. For example, Village Farms International (TSX: VFF), whose share has grown by 50% since the beginning of the year, and net sales are expected to grow by 31.89%.

The following companies can also be distinguished:

  • Curaleaf Holdings (CSE: CURA);
  • Green Thumb Industries (CSE: GTII);
  • Cresco Labs (CSE: CL);
  • GrowGeneration Corp (NASDAQ:GRWG);
  • Innovative Industrial Properties (NYSE: IIPR).

All of the above companies are expected to report net sales growth of over 45% over the next 12 months, with Curaleaf targeting net sales growth of around 82%. The ETMG Alternative Harvest ETF has also shown an uptrend over the past few months. This is just the beginning of the journey, and industry experts believe it to grow significantly in the future.