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The cannabis market, swinging across prices and quality

Considering the available data, the volatile situation of the prices in the cannabis market makes us question its quality. In some cases the product, depending on the different regions and countries, has suffered periods of dramatic increase of demand and others of sharp decline. The relevant factor to take into account though is the quality, in fact, regardless of the market price going down in some periods, the demand was static or in decline.

This fact can only be explained with a simple word: quality. The quality of the flowers produced at the end of spring was of low quality and consequently they did not attract the market. From this finding we can understand that yes, the market wants the product, but not at all costs and prefers high quality cannabis. We can assume that a cannabis market in decline that overlooks its quality won’t work and this is definitely good news.

The future of cannabis

The sector will obviously grow a lot in the next years together with the interest of consumers and sellers. The dealers will work as amplifiers of the market and the new openings of coffee shops will fuel the demand, which will definitely focus on quality for the right price, without any competition against low quality products. This is a positive thing given that if demand is higher for quality products, then any bearish competition will be destroyed.

All we can expect from the cannabis market that is currently evolving, is only a constant growth with thousands of new shops in the world, This is a positive sign for the sector that will benefit of the increasing popularity among the non-consumers who will become potential clients. We can also expect governments to favour this change as they will see the promoting the sector as an opportunity of economic growth. Just as cannabis has been banned in the past, in the future it will go back to being a product just like many others with a market regulated by clear and punitive laws.

Investing in the cannabis market

We wrote about this in other occasions, investing in cannabis today means investing in the future and feeling like Bill Gates in the Seventies. There is a whole world to build in this sector and for sure the first “builders” will be the ones taking the biggest advantages. We are clearly talking about the legal market, which hopefully will replace the illegal one with all the imaginable social advantages it entails. There are really many possibilities and it is nor impossible nor complex seizing them, even more if you are a consumer.

After the slowdown in august, the stocks of the major companies linked to cannabis have started again with great gains, something that indicates that the market welcomes the product, the stock market supports it, and investors can count on its future growth without problems. Of course when we say “investing” we do not necessarily mean in the stock market, although you can support the cannabis market and make money also this way!