Cannabis Science, Inc. (OTCMKTS:CBIS), a company specialising in the development of cannabis-based medicines and based in California said on Thursday that if the US state votes for Proposition 64 it will boost the image of the drug.
California Proposition 64, the California Marijuana Legalization Initiative, will be a referendum of state citizens on November 8. A yes vote may open up a $4.5bn market in the state, say supporters.
The company said in a statement that it felt “empowered to be based in California, representing one of the largest cannabis markets in the USA, on the eve of what could be one of the most important cannabis votes yet: California vote yes to Proposition 64.”
If Proposition 64 passes, the company said it expects public perception of cannabis use to improve dramatically. In addition, the drug will become easier to study, and thus studied more prevalently.
With more laws in support of cannabis consumption, it is expected that the market for adults of legal age will increase substantially due to less uncertainty and it will successfully help eliminate the fear of being imprisoned for usage.
The Nation watches closely as this November the vote to legalize marijuana in California can eradicate the stigmas against cannabis as it will become legal for adult use. The proposition details a plan to protect children and potentially generate over $1B in tax revenue for the state of California.
“We have never been in a better time and place for Cannabis Science; the timing for this Historic vote in California could not be better for us, as we are currently ramping up our medicinal product lines to fulfill a potential windfall of new self-medicating patients. We are focusing our efforts on creating natural, cannabis-based medications. It is no surprise that more recreational marijuana markets open up, especially in our home state; this will be outstanding for our medicinal drug development business,” said President, CEO & Co-Founder, Raymond C. Dabney.
“It will help increase access to education, research opportunities, and improve overall market quality and size. There is a lot for us to be excited about, right now, pending Proposition 64′s approval,” he added.
With the election being held very soon, the company is releasing even more new product lines at such a great time. These early launches will allow the products to gain a following, which can then be amplified via word of mouth to new patients.
Additionally, Cannabis Science is hard at work creating an e-commerce platform to serve clientele in Californian markets, pending legislation. Getting products available for sale online early gives the company an edge, especially as the legal market expands to other states. This additional digital infrastructure comes with low overhead and high acceptance potential. It also smoothes future product releases by cutting the time and cost of shipping products to third-party vendors.
The total retail value of medical marijuana consumed in California can be estimated at between $1.5 and $4.5bn per year, assuming a market of 2% to 3% of the population, average use of 0.5 to 1 gram per day, and an average cost of $320 per ounce. With the Passage of Proposition 64, Cannabis Science expects these numbers will at least triple.
“The potential for growth if Proposition 64 passes is tremendous. Think how many consumers are willing to try a new pain, sleeping, or other type of medication if they can get it without a prescription. This is the new industry sector that we could have access to, and that is very exciting to us. Not to mention the potential we have for online, direct-to-consumer sales with our new e-commerce infrastructure being built,” said Dabney.
With early polling by UC Berkeley, as recent as September 23, showing near two-to-one support in California for Proposition 64 passing, the company is moving full-steam ahead to prepare even more new products for launch and get its infrastructure and distribution capability ready to serve the potentially large influx of new consumers.
Story by ProactiveInvestors