The cannabis cultivation market is a relatively new frontier for many nations around the globe, including the United States. As a growing number of states legalize cannabis for medicinal and recreational use, it has been fascinating to witness new trends emerge.
Legalization of recreational cannabis has not only decreased the black market in some states, but has also opened the door to a new stream of government revenue through taxation. As demand for new cannabis-derived products such as edibles and oils continues to gain steam, there is no doubt that the market will experience even more changes and growth.
Additionally, the use of medicinal cannabis to manage pain and treat certain conditions is expected to drive significant demand in the forthcoming years. So what does all of this mean for cannabis producing companies, such as grow facilities and dispensaries?
Cannabis Cultivation Market Projections
The U.S. cannabis industry is projected to reach $30 billion by 2025, according to a 2019 industry outlook report. This figure represents a whopping 20% increase over the next six years, highlighting just how quickly the cannabis cultivation market is growing.
The data focuses on legal sales of cannabis in current legal states, and includes both medicinal and recreational usage. Medical cannabis sales alone are projected to grow at a 17% compound annual growth rate through 2025, reaching an estimated $13.1 billion.
2019 statistics about cannabis use in the United States:
- 38.4 million U.S. adults consume cannabis at least once annually
- 36% of cannabis consumers report using cannabis daily
- 59% of cannabis consumers report using cannabis weekly
- People between the ages of 25 – 44 represent 45% of all cannabis consumers
Globally, the cannabis industry is projected to reach $45.4 billion by 2026, according to another 2019 report. North America currently leads the global cannabis cultivation market, with the U.S. and Canada ranking among the largest cannabis producing countries.
The data is crystal clear: the national and global cannabis market is expanding rapidly, which means there are abundant opportunities for cultivators and distributors to increase their share.
If you manage a cannabis grow operation or dispensary, right now is the ideal time to focus on maximizing your yields and increasing your earnings potential. Here’s how to do it:
How to Maximize Cannabis Yield with Mobile Racks
Spacesaver ActivRAC heavy-duty mobile shelving was originally designed for optimizing storage in heavy-duty industrial applications. In recent years, it has found a new purpose: increasing yields in the cannabis cultivation market.
ActivRAC consists of shelving mounted on carriages that move along rails, allowing your cannabis grow facility to effectively eliminate wasted aisle space. With this shelving system, you can fit double the amount of cannabis plants in the same grow space.
Additionally, ActivRAC can accommodate up to four vertical tiers of trays or shelving, meaning you can increase yields by up to four times—all without purchasing additional space. This system allows each plant plenty of space to grow and sufficient exposure to light and airflow, ensuring healthy plants.
Spacesaver High Density Mobile Storage is also an ideal solution for cannabis dispensaries. Compact and versatile, it can be utilized in the back storeroom as well as the sales floor. Keep your growing inventory of products secure and organized with optional features like PIN or badge-swipe access.
Are you involved in the cannabis cultivation market? Contact Systems & Space today to learn how you can improve your yields and increase your profits at this pivotal time of market growth.