Cannabis Today and Tomorrow the #1 Cash Crop for 2019
There is little doubt that cannabis has had a great past few years especially with the legalisation of recreational use in Canada on October 17, 2018. What’s next for 2019?
Canadian companies will look to expand as the US may legalise further states in 2019
With other legal cannabis spending projected to reach $100 billion in the US by 2029, industry insiders see big things ahead for the American cannabis movement. This could also see Canadian companies look to the US to expand their ever growing portfolios. Currently there are ten US states that have now legalized cannabis, and 33 that allow medical use. The following US states are considered a reasonable chance to legalise cannabis in 2019 – Connecticut, Illinois, Minnesota, New Hampshire, New Jersey, New Mexico, New York, Rhode Island, and Vermont.
Other countries that may legalise cannabis soon
The following are some countries that look likely to follow the Canadian lead in making recreational use of cannabis legal: Colombia, Jamaica, Spain, Portugal, Australia, and perhaps the United States.
Canada cannabis sales should boom but more retail outlets will be needed
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Recreational use of cannabis has been legal in Canada since Oct. 17, 2018; however so far Ontario consumers have only been able to buy the product online. A lottery system will be used to select who will be issued a retail license as only 25 of the first wave will be issued by April 1, 2019. So far in Alberta the province has approved 65 cannabis stores throughout the province, though it initially said there could be 250 by late 2019. Demand for quality marijuana since legalization remains strong however there is reported to be a shortage of retail outlets.
Some Cannabis companies will look to expand into hemp products
The recent passing of the farm bill by the US congress legalizes hemp, an industry estimated to be worth $867 billion. This will lead to a very strong 2019 for hemp products especially in the US.
A brief view of some of the cannabis participants listed in Canada
FinCanna Capital Corp. (CSE: CALI | OTCQB: FNNZF) is one of two publicly traded pure-play Cannabis royalty companies uniquely focused on investing in licensed medical cannabis businesses with a focus on California. The Company’s vision is to be the capital partner of choice for high growth, best-in-class businesses, focused on the licensed U.S. medical cannabis industry.
Global Cannabis Applications Corp. (CSE: APP | OTCQB: FUAPF) is a global leader in designing, developing, marketing and acquiring innovative data technologies for the cannabis industry. They are doing this by applying artificial intelligence, blockchain, and cryptocurrency to improve cannabis health sciences, under their Citizen Green platform.
NanoSphere Health Sciences Inc. (CSE: NSHS) is a nano biotechnology company paving the way in the development of innovative delivery systems for cannabinoids and medications. The Company provides the only patented “nano-particle delivery system” to transport therapeutic agents directly into the bloodstream for maximum absorbency.
SOL Global Investments Corp. (CSE: SOL | OTCQB: SOLCF) is an international cannabis company with a focus on legal U.S. states. With recent hemp law changes in the US, the Company is energized by the opportunities and looks forward to developing a hemp strategy in this still-evolving industry. They have partnered with the University of Miami in a R&D program that compliments its strategic investments and partnerships across cultivation, distribution, and retail complement.
WeedMD Inc. (TSXV: WMD | OTCQX: WDDMF) is a Canadian producer and distributor of medicinal cannabis. The Company also collects vital data that also contributes to ongoing research. By doing so, they are able to provide healthcare providers and their patients with the information they need to fully comprehend the role medical cannabis can play in their pain-management regimen.
Cannabis can clearly become one of the world’s largest cash crops. With so many byproducts and potential in a growing market investors will need to be to be patient for governments to sort out procedures and legal licensing.
2019 looks to be the year when we may start to see greater opportunities in the US as attitudes change towards the plant and more states are possibly legalised. Just remember the legal cannabis industry is in its infancy and will need time to grow, both in Canada and abroad.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment, and a Graduate Diploma in Financial Planning. He ... <Read more about Matthew Bohlsen>