Global Statistics Representing Cannabis Testing Market Scenario
The popularity of cannabis testing is increasing in the medical field. Today, cannabis is used in various therapeutic applications such as pain management, and treatment of anxiety, depression, and inflammatory bowel diseases. For instance, the U.S. FDA and European CHMP have approved ‘Epidyolex’ a cannabis based oral solution for treating epilepsy seizures such as Dravet syndrome and Lennox-Gastaut syndrome. Apart from this, rising research and development activities in the area of cannabis compound is driving the market. In the U.S., the demand for testing services is increasing rapidly, which, in turn, is creating a significant rise in the market growth opportunities. In California, the inability to test harvested cannabis and marijuana products following the release of phase 3 rule has increased the demand and supply gap.
Global cannabis testing market was valued at USD 1,140.27 million in 2018 and is expected to reach USD 2,727.59 million at a CAGR of 11.6% during the forecast period 2019–2026.
For a better understanding of the cannabis testing market, we have segmented it by component and end users.
By component, the global cannabis testing market is segmented into devices, software, and services.
Services segment holds the largest market share following the rise in legalization of cannabis for medical use. Moreover, growing demand for cannabis in the market has increased the demand for safety testing and accurate potency testing. In the U.S., it is mandatory for the companies to test the cannabis for impurities like heavy metal, microbes or pesticides, and then label it as Tetrahydrocannabinol (THC). However, the high price of the cannabis testing equipment may hamper the market demand to some extent.
By end user, the cannabis testing market is segmented into testing laboratories and pharmaceutical manufacturers.
Pharmaceutical manufacturers segment is projected to grow at the fastest CAGR over the forecast period due to growing research and development activities. Moreover, companies are increasing the practice of drug testing as it is difficult to maintain accurate proportion of ingredients. Apart from this, pharmaceutical companies are collaborating with LIMS developers for internal testing of cannabis based products.
We have segmented the global cannabis testing market based on geography into Americas, Europe, Asia Pacific, and MEA
The Americas is projected to hold the major market share as a result of growing use of cannabis for medicinal purpose. For example, in the U.S., over 25 states have legalized the use of cannabis for medical purpose, following the trend, the Minnesota Department of Health has also approved two laboratories, ‘Aspen Research Corporation’ and ‘Legend Technical Services, Inc.’ for medical cannabis testing. Significantly, high funding for the research and development of cannabis is increasing the market growth. For example, NIH spent over USD 111 million on cannabis research in 2015.
Europe is one of the most prominent economy in terms of medical cannabis. For example, European countries such as the Netherlands, Romania, Poland, Germany, Norway, and Italy have legalized access to cannabis for medical use. Asia Pacific is emerging region in the cannabis testing market as a result of huge investments in research and development for cannabis. The Middle East and Africa are witnessing a slow growth in the cannabis testing market as a result of stringent policies and low investments in research and development.
Some of the key players in the global cannabis testing market are CloudLIMS, GenTech Scientific, Synfine Research Ltd, Agilent Technologies, Inc., CannaSafe, Demeter Laboratory, PharmWare Cannabis LIMS, Shimadzu Scientific Instruments, Merck KGaA, and WATERS.
Our Report Covers
Cannabis Testing Market Segmentation
By End Users