Medical and Recreational Marijuana Growing in the US Industry Market Research Report Now Available from IBISWorld

The legalization of recreational marijuana in some states is spurring rapid revenue growth for cannabis growers. For these reasons, industry research firm IBISWorld has added a report on the Medical and Recreational Marijuana Growing industry to its growing industry report collection.

New York, NY (PRWEB) April 09, 2015

The Medical and Recreational Marijuana Growing industry has flourished over the five years to 2015. For decades, all marijuana transactions in the United States were conducted under implicit or explicit prohibition. However, states have increasingly moved to legalize nonprofit marijuana for medical purposes, as well as to implement regulations for organizations that sell cannabis. "The growing acceptance of medical marijuana is providing growers and investors with unprecedented opportunities," says IBISWorld Industry Analyst Dmitry Diment. "There has been no shortage of demand in recent years, as the industry has benefited from increased acceptance of the legitimacy of medical marijuana products."

Recently, the legalization of recreational marijuana in Colorado and Washington has spurred additional demand for the industry. In 2014, the licensing of commercial recreational marijuana growers in these states contributed to industry revenue growth of 54.7%. In addition to the favorable regulatory environment in these states, medical marijuana growers have continued to benefit from the steadily aging population. Chronic illnesses have become more prevalent as the population continues to age, driving demand for medical marijuana. Overall, the industry is expected to experience annualized revenue growth of 30.2% to $1.9 billion in the five years to 2015, including growth of 25.1% during the current year.

According to Diment, however, "The industry will remain at risk until the federal government definitively changes its position on the legality of marijuana. Until then, a growing number of medical marijuana patients, as well as a burgeoning recreational cannabis legalization movement, will spur demand for the industry." Rising demand is also forecast to widen profit margins, as is the success of the for-profit recreational marijuana business in Colorado and Washington. In particular, the next five years are expected to see the growth of large commercial cultivators, who will benefit from strong recreational demand across a number of states, including Alaska, Oregon and the District of Columbia.

For more information, visit IBISWorld's Medical and Recreational Marijuana Growing in the US industry report page.

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IBISWorld industry Report Key Topics

This industry's establishments grow marijuana for medical and recreational use. Most operators are nonprofit collectives that provide medical marijuana to other collective members. Transactions are typically conducted on a donation basis because the sale and distribution of marijuana is illegal in most states that permit medical marijuana. The industry also includes operators in Colorado and Washington, who grow medical and recreational marijuana on a for-profit basis.

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About IBISWorld Inc.
Recognized as the nation's most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

For the original version on PRWeb visit: http://www.prweb.com/releases/2015/04/prweb12639577.htm