Cannabis Testing Services Market Estimated to Witness High Growth Owing to Legalization of Medical and Recreational Cannabis in Various Countries
Cannabis testing refers to the use of analytical sciences to determine the chemical composition and constituents of cannabis and cannabis-derived products. Testing for cannabinoid content profiles, toxins, and other contaminants helps to ensure safety and quality standards. Cannabis testing enables the cannabis industry to deliver products that patients and customers trust. The global cannabis testing services market is estimated to be valued at US$ 1881.19 Mn in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The legalization of medical and recreational cannabis in various countries has led to an increase in the number of cannabis cultivators and product manufacturers. This has resulted in augmented demand for testing services to check product quality and safety. According to the report published by the World Health Organization (WHO) in December 2020, around 53 countries have legalized the use of medical marijuana. This increasing cannabis production and consumption is expected to propel the demand for cannabis testing services during the forecast period. Moreover, lack of product consistency and presence of contaminants in some cannabis products have raised concerns regarding public health. This has necessitated comprehensive testing of cannabis to ensure its quality and potency during each stage of production and distribution. Therefore, the necessity for quality assurance and standardization will continue to drive the cannabis testing services market over the next few years.
SWOT Analysis
Strength: The cannabis testing services market has seen increased adoption in North America and Europe due to legalization of cannabis in many countries. Easy accessibility and favorable regulations have boosted the demand for cannabis testing services in this region. Standardized testing helps ensure product quality and safety.
Weakness: Lack of uniform regulations and standards for cannabis testing across various regions poses challenges. Testing requirements differ in each state/country making compliance complex. High costs associated with advanced testing equipment and analyst skills.
Opportunity: With increasing legalization of medical and recreational cannabis, emerging markets in Asia and Latin America are expected to drive the need for testing. Novel technologies such as portable devices for on-site cannabis testing provide opportunities.
Threats: Presence of black market and illegal cannabis trade poses threat to standardized quality assurance. Delays in setting global standards could affect market growth negatively. Strict regulations in some countries continue to impede market expansion.
Key Takeaways
The Global Cannabis Testing Services Market Demand is expected to witness high growth. According to recent estimates, the market was valued at US$ 1881.19 Mn in 2024 and is projected to reach US$ 2504.78 Mn by 2030, registering a CAGR of 5.3% during the forecast period.
Regional analysis: North America currently dominates the global market for cannabis testing services accounting for over 40% share in 2024. Favorable regulations and growing demand for legal cannabis products have boosted market growth. Canada and U.S. are major revenue generators. Europe is the second largest regional market supported by national legalization initiatives in countries like Germany and U.K.
Key players analysis: Key players operating in the cannabis testing services market are B. Braun Melsungen AG, Fagron NV, PharmaTech LLC, GreenLeaf Lab, Eurofins Scientific, PACE Analytical, Agilent Technologies Inc., Merck Group, AB SCIEX, and Thermo Fisher Scientific Inc. Major players are focusing on capacity expansion, offerings of multiple testing services, and development of portable on-site devices to gain market share.
For more details on the report, Read- https://www.marketwebjournal.com/cannabis-testing-services-market-trends-size-and-share-analysis/
Get more insights on this topic: https://www.pressreleasebulletin.com/data-governance-market-trends-size-and-share-analysis/
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