Cannabinoid biosynthesis market set to boom with estimated $30 billion NPV

Edison Group’s new report Biosynthesis: Taking the cannabinoid market to new heights explores the growth potential for biosynthesis in the production of high-quality cannabinoids, following predictions that the global market for CPG and pharma cannabinoid biosynthesis products could reach $92 billion by 2040.

The report explores the potential of biotechnology to enable the growth of rare cannabinoids at a lower cost and faster pace than allowed by conventional methods such as fields, greenhouses or chemical synthesis. This will meet increasing demand driven by new legislation in geographies including the USA and Canada, as well as decreasing stigma associated with cannabis and growing consumer interest across sectors.

The production process of biosynthesis, which involves inserting an enzyme into a living organism such as bacteria or fungi, is already well-established in industries including pharmaceuticals, vitamins and fragrances. Biosynthesis cannabinoid products are considered to be non-GMO and natural, and are bioidentical to those that must be extracted from a plant via a resource intensive process. The report notes that biosynthesis can enable more sustainable and cost-efficient growth of cannabinoids, avoiding the expense and high environmental impact of conventional production in greenhouses and fields.