Regulations for cannabis are undergoing some major transformations around the globe. A number of U.S states have legalized recreational use of cannabis. Legalization has widened the scope for innovative ideas pouring into the weed market.
The cannabis industry is producing some of the largest consumer-friendly products. Two industries feeling the most innovation are the beverage and edibles market. These markets are seeing a significant tide of cannabis-infused products, and consumers can’t wait to access them. To understand, how the cannabis and hemp revolution is altering these two sectors, we need to delve into them separately first.
Cannabis and CBD Beverages Are the Next Big Thing
The Zion Market Research report stated that global cannabis beverage market was worth approximately $1,613 million in 2018.
These numbers are only going to increase. The report further states the market can expect to grow to nearly $4,464 million by 2025.
2018 was the year we saw a lot of big brands entering the market. Constellation Brands, an international leader in beer (Corona, Modelo, Pacifico), wine (Wild Horse Winery, Mark West, Ruffino) and spirits, raised their stakes to 38% from 10% in Canopy Growth. That amounts to an investment of over $4 billion.
Another big name, Molson Coors, made a recent announcement. They indicated that their focus will be more on non-alcoholic, cannabis-infused beverages. CBD beverages are hitting shelves each day and with beer on the way, the market is certain to explode. This kind of support from big players is boosting the market even more. The analysis depicts a $600 million mark for the beverage market by 2022.
Cannabis and CBD beverages can be either alcoholic (beer, spirits, wine, etc.) or non-alcoholic (tea, soda, coffee, elixirs, etc.). The recent interest in cannabis-infused beverages could be due to the rise in popularity of CBD and THC.
Both elements have considerable pain relieving, anti-anxiety, anti-depression, and several other health benefits. Some believe that cannabis-infused drinks may aid in avoiding exhausting hangovers.
This green wave of cannabis beverages may also be the result of a change in recent trends. With many more open to the idea of trying cannabis, alcohol sales have continued to drop. Another recent study indicates an increase in preference of cannabis over cigarettes and alcohol among the youth.
Cannabis Edibles among Top 10 Food Trends
The Specialty Food Association placed cannabis-enhanced edibles as the 8th most popular food trend of 2018. According to Arcview Market Research, the sale of cannabis edibles is likely to hike up to $21.6 billion by 2021.
Another report stated $180 million worth of cannabis-infused edible sales in 2016. In 2017, sales of Cannabis edibles accounted for 40% of the legal market in four states (California, Colorado, Washington and Oregon), BDS Analytics reported.
Future of Cannabis Beverages and Edibles
Cannabis, when made legal federally in the U.S., is likely to generate sales of $75 billion by 2030. This is likely only the beginning. Heineken’s Lagunitas just launched a non-alcoholic cannabis beer in two varieties. One contains 10mg of THC and the other with an equal amount (5gm each) of THC and CBD.
Despite everything else, there is one thing for certain: the rise of cannabis is attracting traditional companies to expand their product offerings.