In the next six years the global cannabis testing market will be worth approximately double what it is currently, according to Vantage Market Research.
On Tuesday, the market analysis and consulting firm released data from its new industry report.
Company testing services factored into the organization’s data include potency evaluation, heavy metal testing, microbial analysis and residual screening. VMR has also examined products, software, cultivators, labs and other research facilities applicable to the market.
According to VMR, the aforementioned market was worth approximately US$1 billion in 2020 and will ascend in value to US$2.7 billion by 2028 with a compound annual growth rate (CAGR) of 12.72 per cent.
VMR says the projected market growth can be attributed to increasing rates of pertinent investments in developed and developing countries, rapid urbanization and technological advancement.
North America accounted for the largest share of the market last year and is expected to maintain dominance throughout the 2022-2028 forecast period. VMR says this can be attributed to the prevalence of cannabis testing companies within the continent.
Additional factors promoting market growth include a rising rate of governments recognizing the benefits and therapeutic applications of medical cannabis, an escalating rate of investments in research for medical cannabis by pharmaceutical and biotechnology companies, a rising level of legalization globally and an inherent demand for analytical testing services verifying the safety of pot products before human consumption.