Brazil Announces 12-Year Cannabis Cultivation Research Effort

Brazil is home to an emerging legal cannabis industry, and the nation is also home to a national agricultural research agency named Embrapa. Embrapa recently announced that it will launch a research project focused on cannabis cultivation, which is expected to last 12 years.

“Brazil’s agricultural research agency Embrapa, which helped turn the country into a leading grains exporter, is preparing a 12-year research program that could do the same for cannabis cultivation in the farming powerhouse.” stated The Gazette in its original reporting.

“Embrapa’s plans include creating a cannabis seed bank and adapting varieties to the Brazilian soil and climate, while helping to identify and develop regional cannabis production hubs around the country.” the media outlet also reported.

Kaya Mind estimates that Brazil is now home to about 672,000 medical cannabis patients, which is a 50% increase compared to 2023. The market researchers estimate that only one-third of those patients currently make their purchases legally through the nation’s pharmacies and another 22% access medical cannabis products through collectives.

According to leading international cannabis economist Beau Whitney, the overall region’s growing cannabis market is worth a considerable amount of money.

“Central and South America together are an $8 billion total market; however, its low-cost manufacturing and drive towards EU GMP and GAP certifications is making the region an attractive source of supply for the EU.” Whitney stated in a recent newsletter.

Whitney’s analysis was originally provided as part of his presentation at the inaugural Andean Hemp and Cannabis Trade Summit in October where he presented on the Central and South American hemp and cannabis markets.

In addition to the overall market value analysis, Whitney Economics also provided the following market information:

• Five countries in Central and South America make up 89% of the regional demand
• Brazil is home to the largest domestic market ($2.5 billion)
• Total Central and South American market demand requires 6.3 million pounds of cultivated output
• Peru is an estimated $0.8 – $2.2 billion domestic market
• Peru’s hemp industry has strong opportunities in fibers, grains, and isolated cannabinoids

A separate market analysis by Coherent Market Insights projects that the global cannabis cultivation market size “is expected to reach US$ 136 Bn by 2030, from US$ 42.9 Bn in 2023, at a CAGR of 17.9% during the forecast period.”