The cannabis industry is abuzz over ArcView’s latest in-depth nationwide report. The Forbes-featured report summarizes the entire American cannabis market for the 2015 fiscal year. The cannabis industry grew from $351 million in 2014 to $998 million in 2015.
New Frontier Financials, in association with ArcView Market Research, released the 4th edition of The State of Marijuana Markets, which was released Monday. Cannabis sales soared to $5.4 billion this year.
“You won’t find another industry growing at that kind of clip,”said Troy Dayton, CEO of the ArcView Group.
The industry grew as a whole, with a compound annual growth rate of 30 percent. While teen rates remained relatively flat, adult use grew the fastest at a rate of 184 percent. “Many in the business and financial sector have taken a ‘wait and see’ approach to the legal cannabis industry. The new data confirms what pioneer investors and entrepreneurs suspected. Legalization of cannabis is one of greatest business opportunities of our time, and it’s still early enough to see huge growth,” Dayton wrote in the report.
Demand also increased in 2015, at a rate of 25 percent to $6.7 billion last year. ArcView predicts that the legal cannabis market will grow to $21.8 billion by 2020. Colorado generated $135 million from cannabis tax revenue, a 77 percent increase from last year. The cannabis industry consumes $6 billion in electricity each year.
“It is undeniable that cannabis is one of the fastest growing industries in the U.S. Twenty-three states already permit medical cannabis use, along with four states and the District of Columbia allowing full adult use. With nearly a dozen states debating changes to their cannabis laws in the coming year, 2016 will be the tipping point in which a majority of U.S. states transition from cannabis prohibition to some form of regulated legal market,” wrote New Frontier CEO, and Founder, Giadha DeCarcer.
An extensive version of the report will be available shortly and can be purchased for $495. ArcView provides the best and most comprehensive big data in the cannabis financial industry.