There exists a massive, life-changing opportunity for anyone who ventures into the legal cannabis markets of India. It is often easy to ignore the potential of cannabis from an economic point of view since the visual image of someone smoking it often draws discussions towards pleasure seeking and claims of morality. Yet, the matter on hand is about using every valuable part of the plant and put it into use by building markets for each its applications either from scratch or take away market share from traditional non-cannabis focused incumbents.
Where will the raw material come from?
It is prudent to reason that the world contains a lot of problems and often, it is easy to believe that one is powerless to do anything about it. However, that being said, the individuals who can imagine and execute a real world value proposition based on the upcoming principles of Web 3.0 will stand to make a lot of money and create value for the whole community who wishes to use the plant for various purposes. How exactly the business model will look like is up to the founders in question. It is their decision to choose the market they want to operate in. However, for the next 5 years, most of the action will remain confined to medicines, foods and beverages.
Law enforcement officials are fighting a losing battle and they know it so.
It is better if their resources and intelligence is focused on more potent, expensive synthetic drugs which are manufactured in India’s chemical plants owing to a large domestic market for chemicals and pharmaceuticals. When individuals really believe in the myth of a ‘drug-free’ nation, it is a problem because the very word violates the most scared principle of economics – the law of supply and demand. Since the cannabis plant grows in the wild, in addition to being cultivated clandestinely by famers, there is no way to rationally say this, but the fact is that no matter what the law enforcement officials think and do, there is zero chance to prohibit the cannabis trade. Since it has been going on for more than 2000 years, it will continue to do so in the present. India’s domestic market is too large for people to not take risks in order to make money.
Yet, there is change in the air. The state and central governments need all the cash they can in order to stimulate demand in the economy and bump up private investments. For years, India’s private investments have been lagging. Investments in setting up enterprises that can make economic use of the cannabis plant will put money in the hands of the farmers who grow it. Regulating its supply by creating a framework for selling cannabis plants to processors who want to work with various parts of the plant, is in a way already being implemented by state excise departments with regards to regulating alcohol sales. The same is needed for cannabis, the key difference being that since cannabis’ medicinal uses are so broad, it needs a better framework to be executed properly.
It is heartening for me to say that I will be entering the legal cannabis markets soon. The time is ripe.