CD International Enterprises, Inc. (OTC: CDII) is competing in a burgeoning but complex cannabis market estimated to reach $2.1 billion by 2020, according to a new report by Consilium Global Research (http://dtn.fm/PTuL0). Cannabidiol (CBD) is one of the fastest growing segments of the hemp and legal marijuana industries, growing from almost nothing to $202 million by 2015 and growing at a compound annual growth rate (CAGR) of some 80%, per the report. CBD-based products have been shown to relieve pain and inflammation and may treat some neurological disorders.
In that fast-expanding environment, Consilium Global Research found, there are “no brand leaders,” and a lot of entrants into this “nascent market.” The large Chinese population that CDII serves makes for an addressable audience, it said. CDII is active in a variety of industries with a number of worldwide businesses. Among these is a new Green Products Distribution Division and an online store which will target the sale of non-euphoric CBD products at retail to a worldwide Chinese-speaking population, potentially reaching some two billion people globally.
As part of that strategy, CDII has entered into a wholesale distribution agreement with a U.S. manufacturer of CBD-based products. CDII will buy the products at a wholesale price and market them to the Chinese-speaking population.
Consilium Global Research found that the CBD market is quickly expanding, yet is wide open because it has so many entrants. Also, the fluid nature of international and U.S. laws regarding the legality of medical marijuana and related products is ever changing. Currently, the report said, in the 28 states where the product is legal, CBD products are covered by the same medical marijuana protections. It noted that some 16 states have passed CBD-only laws.
The research identified at least six different companies in this burgeoning sector, saying that “it will take a lot to stand out,” and entrants will require funding to remain competitive in this complex but fast-growing market. It added that companies will need to have appropriate resources to address the constantly-changing legality requirements both within the U.S. and abroad.
CDII has a history of activity in a number of global businesses, including the sourcing and sale of minerals and commodities from iron ore and manganese ore to scrap metals and copper for Chinese-based industrial clients. CDII is also a worldwide consultant. CDII has increased its services to also include financing and logistics. Growing its activity in cross-border transactions, CDII has built a number of important international relationships.
For more information, visit the company’s website at www.CDII.net
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