It is difficult to provide an accurate estimate to the overall value of the legal cannabis industry as most of the legal markets are in still in their infancy, however I predict that the cannabis industry will mature into one of the top five largest industries in the World.
It is also not
always clear what legalisation will do in terms of sales volumes, numbers of
consumers and prices, and indeed legalisation can take many forms and models,
some more restrictive than others.
A report by the ArcView Group (a US investment firm) predicts:
“By 2019, all of the (US) state-legal marijuana markets combined will make for a potential market worth almost $11 billion annually”
The report goes on to say:
“Total market value of all US states legalizing cannabis would top $36.8 billion”
Read more: Here
From concept to launch and beyond.
Jeff can advise on all aspects of company start-ups:
· Topical applications (Medical & cosmetic)
· Suppositories (Medical)
· Vape juices (Medical & Adult markets)
· Concentrates (Medical & Adult markets)
· Capsules & tablets (Medical)
· Cannabis seeds (Adult & Medical)
Edibles (Adult & Medical)
Business development is the creation of long-term value for an organization from customers, markets, and relationships.
If you require an experienced Consultant to review your cannabis business Jeff has a unique set of skills that will identify opportunities for development and growth.
By Jeff Ditchfield
In a jurisdiction where cannabis is prohibited by law there is little if any protection for the cannabis consumer.
In an uncontrolled, unregulated market it is very common to find cannabis contaminated with pesticides, heavy metals, toxins and microorganisms. It is also quite common to find products containing mould spores, bacteria and fungus, these contaminants can have a detrimental effect on health, which can be compounded if people are using cannabis for medicinal purposes.
Producers of pharmaceuticals, food or drink products are regulated and required to provide third-party testing to verify the safety of their products, unfortunately, there is no basic level of safety or quality control under a decriminalised (cannabis) system.
As well as testing for contaminants the potency of cannabis products is also important to cannabis consumers. To protect the consumer and the general public a testing and labelling scheme for cannabis and cannabinoid preparations is essential, imagine the chaos if alcohol was not tested and labelled accordingly. The effects of drinking a full glass of over proof rum is very different to drinking a glass of beer.
As the legal cannabis market develops and matures so will the demand for cannabis concentrates and cannabis extractions many of which are used by seriously ill people to treat their condition(s).
Many cannabinoid extractions are made with the use of a solvent, butane, hexane, isopropyl alcohol and ethanol are commonly used to produce cannabis concentrates, however unless the products are tested for solvent residues some of the solvent used in the extraction process will remain in the final product and these residues can be detrimental to health.
For accurate analysis HPLC testing is required to determine the terpene and cannabinoid content, cannabis producers should have (minimum) access to the following tests:
There are two main types of testing, Gas Chromatography (GC) and High-Performance Liquid Chromatography (HPLC).
Gas chromatography (GC) is a common type of chromatography used in analytical chemistry for analysing compounds that can be vaporized without decomposition. Typically, GC analysis is used to determine the purity of a substance, samples are converted to a gas which is analysed.
High-performance liquid chromatography (HPLC) is another process used in analytical chemistry to separate, identify, and quantify the individual components in a mixture of compounds, HPLC analysis is more suited to the testing of cannabis extractions and preparations than the plant material itself.
Cannabinoids produced by the plant are in their natural acid state and to be bioavailable they require transforming from their acid form to a neutral form, this is achieved by the application of heat (or UV light), this process is called decarboxylation. For example, to make THC-acid effective against cancer it has to be converted from THC-a to THC, when cannabis is inhaled via smoking or vaporization a significant amount of the cannabinoids are converted (by heat) from their acid form to their neutral form.
However, if THC-a is orally ingested the acidic cannabinoids will remain in their original state and bioavailability will be greatly reduced.
HPLC analysis allows us to identify the major cannabinoids present in both their acid and neutral forms, GC testing converts cannabinoid acids into cannabinoids so therefore is unsuitable for the testing of orally administered cannabinoid preparations. As HPLC testing does not use heat it can be used to identify and quantify both the acidic and neutral cannabinoids in a sample and this is our preferred testing method. We would require HPLC analysis for cannabinoid extractions, preparations and other products such as medibles, edibles and topicals.
The decision to use GC or HPLC testing will depend on the type or form of the sample and its end purpose.
Terpenes are the chemical substances responsible for the aroma of cannabis and many express their own medicinal properties, e.g. anxiolytic and neuroprotective effects.
Common terpenes present in cannabis varieties are α-Pinene, β-Pinene, limonene, myrcene, linalool, and β-caryophyllene.
Mould and bacteria are everywhere and while not all are harmful some microorganisms such as E. coli are extremely harmful for humans and cannabis can become contaminated at any stage during cultivation, drying or processing.
High levels of microorganisms can be avoided by following good hygiene practises during the cultivation, processing and storage stages.
In Spain in 2014 our colleagues at Fundación CANNA at Valencia University carried out a study in cooperation with 31 Cannabis Social Clubs (CSC’s), over 50 individual samples of cannabis were analysed. The aim of the study was to identify and determine the microorganisms present and they were present in 80% of the samples analysed. We would like to conduct a similar exercise in SVG.
Aspergillus genus, the spores of these fungi are generally found in the environment and they develop with high humidity levels, they can lead to the production of mycotoxins (aflatoxins) which are highly carcinogenic substances. They can also invade human tissues resulting in aspergillosis and ill people with a compromised immune system struggle with this fungus which and its prescence creates a high risk to immunosuppressed users.
Penicillium genus, creates problems with people who are allergic to its presence.
Enterobacteriaceae, are normally found in soil and faeces and their presence is generally indicative of poor hygiene measures, the use of poorly or incorrectly formulated organic fertilisers can also result in contamination. Two enterobacteriaceaes which can be present in cannabis are E.coli and salmonella.
The spores of fungi are often inhaled during smoking and although some of the spores are destroyed (via incineration) the ones not subject to the source of combustion can easily reach the lungs. Cannabis that has not been correctly dried, cured or stored provides an ideal medium for their development.