We recently reviewed that Digipath Inc. was included in the Insight Partners list of the most influential operators in the canalysis laboratory sector of the cannabis industry globally. Professionally executing cannabis lab testing in Las Vegas puts Digipath Labs in the middle of the the fastest growing marijuana industry in the country. Marijuana lab testing in Nevada comes with many stringent regulations and a cannabis lab testing facility in Nevada may face more scrutiny than any other business associated with this sector as we are the vanguard for quality control. New commodity based markets do not come along often, and so the emerging cannabis market needs special attention and we are proud to represent a short list of pioneers participating in this industry.
ACCESSWIRE / February 21, 2019 / Earlier this week, cannabis testing lab Digipath Inc. (DIGP) found out that the Company had been identified as one of the “The top 10 industry players operating in the market of cannabis testing across the globe” alongside some of the largest and most popular brands in the industry. In a highly competitive emerging market, this is strong news for the Nevada-based operator with an evolving business model that includes expansion into Colombia and California for cannabis and hemp testing and North Carolina, Oregon and Arizona for hemp testing.
But what might have been most beneficial to Digipath isn’t the prestigious inclusion among industry stalwarts. What might be most important is that independent research firm Insight Partners believes that the international cannabis testing market will expand from $1 Billion in 2017 to $2.5 Billion in 2025, with a compound annual growth rate of 11.9% from 2017-2025.
Factor in that more and more countries are legalizing cannabis, which in nearly every instance requires testing, and the market expansion is understandable. It is worth noting that the report, which has an end date assumption of 2025, may not fully consider other countries or states that could decide to legalize closer to 2025 and aren’t a part of that projection. Of course, the report likely does not factor in any possible contraction or adverse regulation to growth either but at present we’re seeing little of the sort.
It also warrants consideration that broad use of CBD could create a Malcolm Gladwell-esque tipping point, and that there could be an accelerated market appetite for CBD and hemp.
Perhaps it’s the nexus of the report’s inclusion of Digipath in the list of top 10 industry players in the cannabis testing industry and the bold prediction of market growth that are compelling because if Digipath can ratify that Top 10 designation with relative market share the Company will certainly be worth watching.
With the legalization of hemp nationwide has come with enthusiasm for hemp-based products such as CBD extracts. The emerging cannabis market involves many different products and Digipath Labs not only tests medical and recreational marijuana, we are also conducting CBD lab testing in Nevada and are expanding outside of the state as well. Hemp lab testing in Nevada has become very important with a focus mainly on potency testing for now. We will continue to bring industry best standards to cannabis analytical testing in Nevada and abroad.