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Medical Marijuana Inc Reviews State Of The Industry And Prospects For Future Growth


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Medical Marijuana Inc Reviews State of the Industry and Prospects for Future

Growth

 

PR Newswire

 

SAN DIEGO, Feb. 27, 2013

 

SAN DIEGO, Feb. 27, 2013 /PRNewswire/ -- Medical Marijuana Inc (OTC Pink:

MJNA) a leading cannabis and hemp industry innovator is pleased to provide a

comprehensive update to shareholders on the state of the medical cannabis and

hemp industry. Many legislative actions have occurred, particularly since the

November elections, which are providing significant positive momentum in our

rapidly expanding markets.

 

Marijuana within the United States – A Growing and Expanding Market

Marijuana legalization initiatives have been in full swing. In November two US

States, Colorado and Washington passed laws regarding full legalization of

marijuana for recreational purposes.  Since 1996, eighteen total states and

Washington DC have approved marijuana for medical usage.  The list in

chronological order of legalization for medical purposes includes:

 

Year   State                Means

1996 California              Proposition 215 with 56% of the vote

1998 Alaska                   Ballot measure and 58% of the vote

1998 Oregon                Ballot measure # 67 with a 55% majority

1998 Washington         Initiative # 692 with a 59% majority

1999 Maine           Ballot Question # 2 with a 61% majority

2000 Colorado            Ballot amendment 20 with 54% of the vote

2000 Hawaii            Bill # 17 (32-18 House and 13-12 Senate)

2000 Nevada               Ballot Question # 9 with a 65% majority

2004 Montana             Initiative 148 with 62% of the vote

2004 Vermont                Senate Bill # 76 (52 – 10) and HB 645 (82 –

59)

2006 Rhode Island            Bill # 0710 (52 – 10 House and 33 – 1

Senate)

2007 New Mexico           Bill # 523 (36 – 31 House and 32 – 3

Senate)

2008 Michigan              Proposal # 1 with 63% of the vote

2010 Arizona                 Proposition 203 with a 50.13% vote

2010 New Jersey            Bill # 119 (48 – 14 House and 25-13 Senate)

2010 Washington DC         Amendment Act B18-622 (13-0 vote)

2011 Delaware                    Bill # 17 (27-14 House and 17-4 Senate)

2012 Connecticut               Bill # 5389 (96-51 House and 21-13 Senate)

2012 Massachusetts   Ballot Question # 3 with a 63% majority

 

Nine other States have pending legislation to legalize medicinal marijuana

including: Illinois, Iowa, Kansas, Kentucky, Maryland, New Hampshire, North

Carolina, New York and Oklahoma

 

Several states have also decriminalized marijuana, which typically means no

prison time or criminal record for first-time possession of a small amount of

marijuana for personal consumption.  The conduct is treated like a minor

traffic violation.  This list includes: Alaska, California, Colorado,

Connecticut, Maine, Massachusetts, Minnesota, Mississippi, Nebraska, Nevada,

New York, North Carolina, Ohio and Oregon

 

In the most recent example, New York City's marijuana decriminalization law

was signed by Mayor Michael Bloomberg.  The US leading city's new actions

signify a change in attitude toward marijuana in general and certainly toward

medicinal uses of marijuana. 

 

Starting on March 1^st 2013, having possession of a small amount of marijuana

will not necessarily mean jail time, like it does under current law.  As long

as the possessor has an ID and no outstanding warrants, the Officer will be

allowed to let the offender go free.  Statistics show that more than 50,000

people are arrested for marijuana possession in New York City every year.

 

Mayor Michael Bloomberg said on Thursday, February 14^th, "We know that

there's more we can do to keep New Yorkers, particularly young men, from

ending up with a criminal record.  It's consistent with the law, it's the

right thing to do and it will allow us to target police resources where

they're needed most."  According to the Drug Policy Alliance, New York City

spent over $150 million on marijuana arrests in 2010 and 2011 combined. 

 

US Federal Legislation Update

Recently two US Congressmen, Jared Polis (D-CO) and Earl Blumenauer (D-OR)

have introduced two pieces of legislation to de-federalize marijuana policy

while simultaneously creating a system of federal taxation of cannabis. 

 

Polis' legislation titled Ending Federal Marijuana Prohibition Act would

remove the DEA's authority over marijuana and turn this regulatory authority

over to the States.  The States could then choose to allow marijuana – then to

allow for medicinal or recreational use.

 

Blumenauer's Marijuana Tax Equity Act would establish a federal excise tax on

marijuana sales and use.  Together these two bills would provide a system of

regulation and taxation for marijuana in states where it is legal. 

 

Both congressmen have also co-authored a report titled: The Path Forward:

Rethinking Federal Marijuana Policy which outlines opportunities to reform and

clarify marijuana laws at the federal level.  A link to the document can be

found here: http://polis.house.gov/uploadedfiles/the_path_forward.pdf

 

More information on the two Congressional Bills:

http://polis.house.gov/news/documentsingle.aspx?DocumentID=318723

 

Marijuana Legalization Fiscal Impact

Given projections by Washington State in their Fiscal Impact Report, they

estimate that the total revenue generated by the State, from marijuana

legalization, could be as high as $1.9 billion over five years.  The same

report estimates the annual State revenues to exceed half a billion dollars

starting in FY 2015 but are expected to be about half a million dollars in FY

2013.  In effect, in two years this Washington State market is expected to

grow by a factor of 1,000. 

 

Washington's projections include sales of cannabis only and do not account for

cannabinoid-based pharmaceuticals, hemp-derived supplements, cosmeceuticals /

nutraceuticals, edibles, etc.  Extrapolating these projections throughout the

nation gives analysts the impression that this is a market in its total

infancy. 

 

In Colorado things could get further amplified, as the State will apparently

allow for "Pot Tourism".  In Washington one is required to be a state resident

in order to purchase marijuana and the financial projections above are based

on those assumptions.  However in Colorado the current trend from the

legislative task force on marijuana is that the State will allow for

out-of-state residents to also purchase marijuana.  The caveat is that this

marijuana must stay or be consumed within Colorado's borders.  Given this, the

financial projections may significantly escalate versus that for Washington. 

A link to an article from the Denver Post is here:

http://www.denverpost.com/news/marijuana/ci_22623624/pot-tourism-colo-marijuana-regulators-ok-idea?IADID=Search-www.denverpost.com-www.denverpost.com

 

Even with a purchasing cap placed on tourists, many experts are calling for at

least a doubling of the Washington projections for Colorado, given the

marijuana tourism aspect.  That would place annual State tax revenues in

excess of $1 billion by 2015 from marijuana products alone, much less from all

the ancillary products such as found in smoke shops, cannabis edible products

or the cannabis oils used with electronic cigarettes. 

 

MMJ Business Daily mentions in an article from Feb 20, 2013: "If the state

(Colorado) actually adopts this (marijuana tourism) proposal, the initial

market for marijuana would skyrocket beyond initial estimates of $1 billion,

possibly doubling or even tripling that number and leading to thousands of new

jobs.  Link:

http://mmjbusinessdaily.com/2013/02/20/marijuana-tourism-could-generate-billions-in-additional-revenues-for-cannabis-industry-in-colorado/

 

Furthering the nationwide momentum for marijuana legalization, on Thursday Feb

21^st a Maryland lawmaker introduced a bill (House Bill # 1453) to legalize

recreational marijuana sales for adults 21 years and older.  Just like

Colorado, the Maryland bill would create a system to tax and regulate

marijuana like alcohol is presently regulated.  The measure would direct the

Maryland Comptroller to license marijuana retail stores, wholesale and testing

facilities.  The bill creates an excise tax of $50 per ounce on wholesale

sales and directs certain proceeds to fund treatment programs involved with

alcohol, tobacco and drug abuse.

 

Along with Maryland's action on Feb 21, similar legislation was also

introduced on this date in Maine to legalize marijuana for adult consumption. 

This now brings a total of six states (Maine, Maryland, New Hampshire,

Pennsylvania, Rhode Island and Vermont) with pending legislation to legalize

marijuana for recreational purposes.  The winds of reform are clearly

favorable and MJNA is poised to take advantage of the positive legislative

moves throughout the country. 

 

Medicinal Marijuana Around the World

 

Around the globe, there are more and more countries recognizing the medicinal

values of marijuana – many have either decriminalized marijuana or approved it

for medical usage. 

 

Countries that have legalized medical marijuana for prescription by a

physician include: Canada, the Netherlands, Germany, Austria, Finland, Italy,

Spain, Israel, Portugal and most recently the Czech Republic

 

Countries that are considering or have considered legalizing recreational

marijuana include: Uruguay, Guatemala, Mexico  

 

In Uruguay President Jose Mujica had considered fully legalizing marijuana as

a way to curtail drug trafficking and begin to rein in the illegal drug

cartels that have wreaked havoc with many citizens.  Although President Mujica

has recently offered a slowdown in order to educate the Congress and the

populace, he steadfastly endorses legalization.  More info here:

http://articles.timesofindia.indiatimes.com/2012-11-19/india/35204451_1_cultivation-marijuana-uruguayan-president-jose-mujica

and here:

http://abcnews.go.com/ABC_Univision/News/uruguayan-president-time-ripe-marijuana-legalization/story?id=18029022 

 

In Guatemala, President Otto Perez Molina broke new ground by proposing legal

regulation of marijuana in September 2012.  A link can be found here:

http://www.tokeofthetown.com/2012/09/guatemalas_president_lets_legalize_drugs.php

 

After the November 2012 ballot victories in Colorado and Washington States,

the country of Mexico has decided to explore legalization of marijuana. 

Mexico has suffered mightily in the war on drugs and the new President,

Enrique Pena Nieto says that the recent victories in the US "could bring us to

rethinking the strategy."  More information here:

http://www.yakimaherald.com/photosandvideos/internationalphotos/708287-8/mexico-considers-marijuana-legalization-after-ballot-wins-in 

 

Billionaire businessman Richard Branson has weighed in on the cannabis issue. 

He believes that it should be taxed and regulated at the federal level and has

given personal testimony to the UK Parliament about his vision for cannabis. 

This testimony was as part of a global commission on drug policy that included

five ex-country presidents and former UN Secretary General Kofi Annan. 

Portions of his testimony are highlighted here:

http://www.guardian.co.uk/politics/2012/jan/24/cannabis-tax-branson-mps-virgin

 

US Industrial Hemp

Legislation is also underway to legalize the growing of industrial hemp. The

following states have made industrial hemp legal but have not begun to grow it

because of resistance from the federal Drug Enforcement Agency (DEA): North

Dakota, Maine, Hawaii, Kentucky, Maryland, Oregon, California, Montana, West

Virginia and Vermont  

 

The Kentucky Senate has passed recently (February 14, 2013) an additional bill

regarding industrial hemp.  The vote was 31 – 6 in favor of the bill that

would license farmers to grow industrial hemp, hoping to force the federal

government to legalize the crop at least within the State.  Supportive

Kentucky lawmakers hailed the move.  "Industrial hemp won't make us high but

it might make us happy" said Sen. Kathy Stein (D-Lexington). 

 

Colorado will soon have legislation on industrial hemp as well and full

legalization of hemp was included along with the passage of Amendment 64 on

Election Day 2012 which legalized marijuana within the State. 

 

On Friday February 21^st California introduced legislation to both the State

House and Senate (S.B. 566 and A.B. 1137) to legalize industrial hemp

production in the State.  The legislation notes that California already

imports "tens of thousands of acres' worth of hemp seed, oil and fiber

products that could be produced by California farmers at a more competitive

price."  California Governor Brown has supported changes in federal law –

previously he has stated "Products made from hemp – clothes, food and bath

products – are already legally sold in California every day.  It is absurd

that hemp is being imported into the state, but our farmers cannot grow it."

 

Article:

http://www.rawstory.com/rs/2013/02/24/hemp-legalization-bills-introduced-to-california-legislature/

 

In Massachusetts, a bill to legalize hemp was recently refilled by state Rep.

Chris Walsh (D-Framingham) that would legalize regulated production of the

hemp plant in Massachusetts.  More here:

http://www.metrowestdailynews.com/features/x1522326785/Hemp-proponents-call-for-crops-legalization

 

In Washington State, a bill to legalize industrial hemp was introduced on Feb

13 2013 by State Rep. Matt Shea (H.B. 1888) which would permit the development

of an industrial hemp industry within the state.  More info:

http://www.examiner.com/article/wash-state-lawmakers-attempt-to-legalize-industrial-hemp 

 

Industrial Hemp Around the World

The world-leading producer of hemp is China, with smaller production in

Europe, Chile and North Korea. Over thirty countries produce industrial hemp,

including Australia, Austria, Canada, Chile, China, Denmark, Egypt, Finland,

France, Germany, Great Britain, Hungary, India, Italy, Japan, Korea,

Netherlands, New Zealand, Poland, Portugal, Romania, Russia, Slovenia, Spain,

Sweden, Switzerland, Thailand, Turkey and Ukraine.

 

The United Kingdom and Germany resumed commercial production in the 1990s.

British production is mostly used as bedding for horses; other uses are under

development. Companies in Canada, the UK, the United States and Germany, among

many others, process hemp seed into a growing range of food products

and cosmetics; many traditional growing countries still continue to

produce textile-grade fiber.

 

In Canada, commercial production of hemp has been permitted since 1996 under

licenses and authorization issued by health Canada.  It is expected that hemp

will contribute over $100 million to the Canadian economy.  France is the

largest hemp producer in Europe where specialty pulp is used for cigarette and

other "rolling" papers.  It has been estimated that 11,000 hectares of land

were used for hemp cultivation in Europe during 2010 (about 26,000 acres).  

 

Medical Marijuana Inc. spends millions of dollars annually to grow and harvest

industrial hemp overseas.  Most of this hemp is used for our specialty high

concentration Cannabidiol (CBD) hemp oil, which is produced via a proprietary

extraction process.  MJNA hopes to soon have industrial hemp cultivation

operations and production facilities in the United States, although it remains

to be seen whether the specialty high concentration Cannabidiol (CBD) cultivar

will grow well here.

 

Medical Marijuana's Prospects for 2013 and Beyond

In 2012 Medical Marijuana Inc's Red Dice Holdings team built the Colorado

market with the Dixie Elixirs family of products. The Company has captured a

90% market share with the Dixie products being sold in over 500 retail

locations. During 2013, we expect to increase market share by developing

licensing agreements in selected states across the United States as well as in

countries around the world. The Company is currently negotiating licensing

agreements and distribution contracts in California, Arizona Washington and

the District of Columbia.

 

Internationally many similar opportunities exist to bring the MJNA portfolio

of products to countries that have legalized medicinal marijuana.  With the

recent legalization of medical marijuana in the Czech Republic, Medical

Marijuana Inc. is uniquely poised to provide its line of products throughout

the country. The Company is well established in the Czech Republic and has

been developing beneficial distribution relationships for some time.

 

In serving the non-marijuana community, the Red Dice Holdings team has

developed several dietary and cosmecuetical products under the Dixie

Botanicals brand. These products are legally sold within the US and throughout

the world.  The Dixie Botanicals products are infused with the Company's

unique high concentration Cannabidiol (CBD) hemp oil; ranging from 25mg to

500mg of Cannabidiol (CBD).  The Company expects sales to increase

significantly through the development of new sales channels, market awareness

and a broader understanding of the health and wellness benefits derived from

the Dixie Botanicals products. 

 

MJNA has spent the past year building its brand and product platform.  Today

the Company has the most recognizable name brands in the industry.  The core

business focuses on the Dixie brand of products, Wellness Managed Services and

CanChew Biotechnologies.  Dixie is expected to have substantial growth through

licensing and the acquisition, development and distribution of additional

products.  Wellness Managed Services focuses on growth through the acquisition

of retail health and wellness facilities and management contracts.

CanChew Biotechnologies is purely focused on its "Over the Counter" (OTC)

product line, starting its clinical trials and expanding on its patents and

intellectual property.

 

To illustrate the growth potential, Medical Marijuana Inc recently announced

in their annual report growth projections for 2013 and 2014.  For 2013, MJNA

forecasts revenue to be $47 million with operating cash flows of $32 million

and has the potential to increase revenues in 2014 to $155 million with

operating cash flows of approx. $96 million.  

 

FORWARD-LOOKING DISCLAIMER

This press release may contain certain forward-looking statements and

information, as defined within the meaning of Section 27A of the Securities

Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is

subject to the Safe Harbor created by those sections.  This material contains

statements about expected future events and/or financial results that are

forward-looking in nature and subject to risks and uncertainties. Such

forward-looking statements by definition involve risks, uncertainties and

other factors, which may cause the actual results, performance or achievements

of Medical Marijuana, Inc. to be materially different from the statements made

herein.

 

About Medical Marijuana, Inc.

Our mission is to be the premier cannabis and hemp industry innovators,

leveraging our team of professionals to source, evaluate and purchase

value-added companies and products, while allowing them to keep their

integrity and entrepreneurial spirit.  We strive to create awareness within

our industry, develop environmentally friendly, economically sustainable

businesses, while increasing shareholder value. 

 

 

 

Medical Marijuana, Inc.'s portfolio company Red Dice Holdings CEO, Tripp Keber in an Exclusive Interview on StockTradersTalk.com

 

 

 

By: Latest eTeligis Press Releases with 'Plus' ranking

 

Medical Marijuana, Inc. (OTC: MJNA) a leading hemp industry innovator, is pleased to announce that Tripp Keber , CEO of portfolio company, Red Dice Holdings will be a featured guest in an exclusive interview today on StockTradersTalk.com.

 

 

 

 

The interview will be held today, February 15th, at 1:00 pm EDT.  An archived recorded version can be found by clicking on the following link http://www.youtube.com/watch?v=8atfW84MWjcor on the homepage of Stock Traders Talk at www.stocktraderstalk.com, following the interview.

 

 

 

During this interview, Mr. Keber reviews the overall set of portfolio companies under the MJNA umbrella and how they inter-relate to each other. Further, he discusses the Dixie brand of products, both medical marijuana infused Dixie Elixirs and the hemp wellness products known as Dixie Botanicals, and the growth each are experiencing as a result of industry expansion throughout the US.

 

 

 

About StockTradersTalk :

 

StockTradersTalk specializes in radio interviews, and believes that when a CEO has the ability to demonstrate their passion, and personally cover talking points for their company it serves as the ultimate delivery platform. Press Releases have value, however, they lack the effectiveness of a webcast in helping a CEO connect with both current and potential shareholders on a personal level.

 

 

 

Stock Traders Talk Radio is an uncensored, comprehensive approach to disseminating vital facts about public companies trading on the OTC Markets.

 

 

 

About Medical Marijuana, Inc.:

 

Our mission is to be the premier cannabis and hemp industry innovators, leveraging our team of professionals to source, evaluate and purchase value-added companies and products, while allowing them to keep their integrity and entrepreneurial spirit. We strive to create awareness within our industry, develop environmentally friendly, economically sustainable businesses, while increasing shareholder value.

 

 

 

Medical Marijuana Inc. does not grow, sell or distribute any substances that violate United States Law or the controlled substance act.

 

 

 

For more information, please visit the company's website at:

 

www.MedicalMarijuanaInc.com

 

Edited by purple pimpernel
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