Cannabis Data Corporation New Frontier Data chest “Increasing Franchise: Seven Ways to Improve Cannabis Cultivation in New Legal Markets” on September 7, which highlights seven key issues that new cannabis producers must consider in order to succeed.
“The continued activation of new legal markets will continue to push existing cannabis producers to expand their operations and attract new producers to the market.” New Frontier Data CEO Gary Allen said:. “By basing their strategic plans around the seven key factors identified in this report, operators can take advantage of this massive market opportunity.”
In a press release, New Frontier Data predicts that more than 27.7 million pounds of cannabis will be grown in the United States in 2030 (compared to 7 million pounds planted in 2020). These numbers are reflected in the total amount of cultivation, which includes plants grown indoors, in a greenhouse, or outdoors.
The New Frontier Data report notes that with the shift in legal cannabis available on the East Coast, cultivation trends are also beginning to change. “As the legal cannabis industry moves east from West Coast markets, several factors will influence how hemp is grown in new markets.” The report mentions. “Different climatic conditions will favor controlled environments over outdoor cultivation, whether given the length and depth of winter in the north, and summer humidity in the south.”
Between 2022-2030, New Frontier Data indicates that California will remain on top of producing the largest number of cannabis at 26.4 million, followed by Florida 18.4 million, New York 15.1 million, Illinois 11.9 million, and many other states producing 10 million or less.
The first point in the report refers to the difference in temperatures in summer and winter on the western and eastern coasts. As a result, most East Coast states will rely on indoor growing facilities, while California remains a leader in both greenhouses and outdoor farms.
Among other discussion points, New Frontier Data notes that automation will continue to grow, but it requires experienced staff to manage it. The report also reviews the pros and cons of building or purchasing an agricultural facility, now that established markets offer the option to choose. Demand for certain products is changing as well, with Venus continuing to lead, according to average data from 2021, but other products are also increasing in popularity. “Value-added products (vapes, edibles, themes, etc.) now account for half of all legal product sales, and consumer interest in these new products is trending for sustainable growth as innovation drives increased product quality and variety, enabling consumers to integrate cannabis into their lives in new ways. Increasingly , ” The report mentions. “While the demand for florals is also increasing, especially for pre-rolls, it is growing more slowly than the demand for non-paper products.”
There is also a shift in resource efficiency, which remains important due to various factors. Energy costs from indoor lighting can put a strain on the electrical grid, but new LED technologies are helping to reduce electricity use. Likewise, irrigation through automated systems versus manual irrigation can also help save water, in addition to focusing on water reclamation systems.
On the water theme Nevertheless, the report indicates that Climate change It represents a threat to many countries, especially those experiencing drought. The report describes: “Cannabis producers must consider the looming effects of climate change on their operations.” “Longer and hotter summers will add premiums to increased cooling requirements and increased energy demand to operate HVAC systems at higher levels for longer periods. Severe droughts – such as those we are currently seeing in the western US states – will lead to water shortages, and increased water losses from evaporation. and the high costs of water from municipal or community sources.”
Finally, the report concludes that the industry’s success will come from those who adapt to the future. “While producers in new markets may enjoy a period of high margins and low competition, the most successful operators will be those who plan where the market is headed, not where it is now.”
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