The cannabis product market continues to expand each day. Companies large and small are recognizing the vast potential that the cannabis plant has to make helpful, consumer friendly products. One massive company making news in the cannabis community recently is Coca-Cola. The beverage giant has said that they are currently monitoring the cannabis beverage market and that they are “in talks with Canadian marijuana producer Aurora Cannabis to develop (CBD infused) beverages,” according to a report from BNN Bloomberg Television.
Coca-Cola Not Alone
While Coca-Cola is certainly the most well-known beverage company to attempt to introduce themselves into the cannabis market, they are not alone. Beer makers Lagunitas recently released a beer that is made out of hops and brewed with cannabis called Hi-Fi Hops. The beer is alcohol free in accordance with most regulations that stipulate cannabis infused products with alcohol are prohibited. Along with Lagunitas, other brewers like Corona have expressed interest in cannabis related products.
The interest in cannabis infused beverages comes as no surprise to many in the business community. CBD is being featured heavily in the media in a generally positive light. Its anti-inflammatory properties sell easily in a society obsessed with such products. Though high THC (the psychoactive compound in cannabis) products are loved by many recreational cannabis users, CBD products are used primarily by medicinal cannabis users.
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Thanks to new products and recent legalization, the size of the cannabis industry has grown astronomically in recent months and years. California’s newly legalized cannabis program is expected to bring in $1 billion in tax revenue this year alone. For possible Coca-Cola partner Aurora Cannabis, the business boon was instantly recognizable. According to Time, “Aurora’s shares surged on the news (of a possible Coke partnership), jumping as much as 23 percent Monday in New York to $8. Other stocks in the cannabis industry got a boost, with Tilray Inc. adding as much as 9.4 percent in response to Coca-Cola’s interest.”
The skyrocketing of Aurora and other cannabis related stocks surprised many outside of the industry. However, within the cannabis industry, big business is the new normal. Since a majority of the United States has legalized cannabis use for medicinal purposes as well as Canada near legalizing cannabis outright in October of 2018, businesses are set to rake in cannabis related profits.
Though some small companies may find the involvement of a massive corporation like Coca-Cola into a still budding cannabis industry frightening, consumers should be giddy. A larger cannabis market means more competition and better products tailored towards many different forms of cannabis users.