Medical Marijuana Inc (MJNA)

[nopancakemix]

Three Pillars of the Marijuana / Hemp Industry
1. Medical
2. Recreational
3. Industrial

I am not going to provide links but if you want to see where I pull most of the figures discussed below, you will find the links and a lot more information in this blog I wrote. This is just an expansion on some of the points discussed there.
(http://seekingalpha.com/user/8529191/instablog).

Medical
Epilepsy, cancer, arthritis, autism, depression, insomnia are just a few of the conditions that can be treated with cannabis. The irony here is now that states are passing "medical" marijuana laws which directly contradicts DOJ Schedule I status. Unfortunately, since the US government long banned testing of the medical benefits of cannabis, effectually saying there are no benefits, it has only been a few years since proper clinical testing has begun. Anyone who has regularly used cannabis for medicinal purpose, or knows people suffering from terminal illness who use it for treatment and relief, can tell you about the medical benefits.

But thats probably not why you're reading this. Lets remove the sentimental reasoning and look at how this could relate financially. Epilepsy, cancer, arthritis, autism, depression and insomnia are each individually billion dollar markets. Cancer treatment alone is estimated around $80. Epilepsy, depression, arthritis and insomnia are all treated with incredible strong, addiction forming drugs with terrible side effects including death. Cannabis is 100%, undeniably non-lethal. Once again, each of those markets are $10b empires.

The medical value of cannabis could easily be in the $100s of billions. THC and CBDs crossover so many different conditions unlike so many other conditions that can only be treated by one specific drug. I find it insane that big pharma companies are not all over this right now!

So how does this effect MJNA? Who knows but the company is in an excellent position being the industry leader in THC and CBD delivery. Dixie brands has an extensive product line up offering measure doses. CanChew is also another division of MJNA specializing in CDB delivery. There is potential for Dixie or CanChew to license extraction processes or products or even be bought out by a pharmaceutical company. If you were to invest in the marijuana industry based on medical criteria, companies like CBIS have made concerted efforts to expand the drug, but the absolute leader is Medical Marijuana Inc.

Recreational
Obviously the legal implications here are the biggest roadblock. Colorado and Washington have paved the way, successfully voting for recreational legalization. The legislation is in the works but from what is being reported, Colorado must implement Amendment 64 by 2014. The United Nations estimates the worldwide cannabis market to be roughly $150b. According to a 1998 NORML crop report, an estimated street value of $43b worth of cannabis was produced in the US alone and that is 1998 numbers not adjusted for inflation! And those both those figures are for primarily "recreational" use.

Cleary, despite many country's best efforts to combat marijuana by using the mightiest forces of police, militaries, politicians and legislators, there is a strong demand for cannabis. And once again, MJNA meets those demands with Dixie products. One often overlooked fact is the likelihood of new or casual users to prefer drinkable or edible forms of THC delivery, especially if they are not tobacco users. Because of the legal status of marijuana, major liquor conglomerates cannot even enter the market, giving Dixie a running start on the industry. Like big pharma, Dixie and MJNA could license their products or be bought out.

Industrial
While the medical and recreational markets hold enormous promise, it is perhaps the industrial market for hemp that holds the most potential. Hemp has been used for over 10,000 years with documented use in the MIddle East in ancient times. George Washington passed legislation in Virginia requiring by law that citizens grow hemp. The industrial use of hemp is not only proven throughout history but special interests and greedy industrialists have marginalized it over the past century.

It is nearly impossible to estimate the value of hemp as an industrial product because the uses are so vast. Textiles, oils, fuels, building materials, plastics, food, paper products, foods, supplements.....the list could go on for paragraphs. The potential is so vast that putting a dollar value on it can be mind boggling. MJNA has access to international supplies of hemp on a massive scale and the HempMeds subsidiary is making progress in this sector.

It is rare that one product can crossover so many different business sectors. In fact, marijuana and hemp are in a category of their own because the uses are so varied. MJNA is uniquely positioned in each of these sectors; medical, recreational and industrial. The potential is enormous and could quickly propel MJNA's revenues into the billions of dollars. Of course, there are risks involved such as traditional investment risks, as well as risk regarding the existing prohibition. The investment risks are inherent and dependent upon the individuals personal finances. The legality issues of cannabis are evolving and full federal legalization, or at the very least a "states right to choose" approach seems to be the most likely direction.

The ball is rolling. The question is will it roll right past you, or will you hop on an go for a ride?