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Are Women The Answer To The Weed Rebound?

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While we keep hearing about trouble in the cannabis industry, there are positives. Legal U.S. cannabis sales reached $26 billion in 2021, up from $20 billion in 2020. With this growth, the industry continues to be a source of opportunity for women.

According to a 2022 report by MJBizDaily, “Diversity, Equity & Inclusion in the Cannabis Industry,” women holding executive positions in the cannabis industry grew to 23.1%. But this falls short of the greater US business world where women hold 35% of leadership.   

Also, the number of cannabis consumers in the U.S. who identify as women is also growing, A recent report from Headset determined that the rate of growth for female consumers in the U.S. is outpacing that of males — 55% vs. 49%, respectively.  

woman rolling a marijuana joint
Photo by evrim ertik/Getty Images

To help woman have a bigger impact, Green Market Report has chosen Women’s History Month as the perfect time to host its second annual Women’s Summit. It will be held on March 23 in New York City. Last year’s sold-out event was noted for its diversity among established CEOs and up-and-coming entrepreneurs. In a survey  by Peterson Institute for International Economics of 21,980 publicly traded companies in 91 countries demonstrated that the presence of more female leaders in top positions of corporate management correlates with increased profitability of these companies. 

Debra Borchardt, founder of Green Market Report, states, “There’s no doubt the industry has faced some tough headwinds, but this current disruption will lead to a stronger industry overall. The get-rich-quick folks will get pushed aside and those that truly perform well will remain. The upheaval creates a buyer’s market in the industry and could create opportunities for new entrants into the market.

“There are numerous cannabis properties for sale at bargain prices. New owners will be able to snap up these businesses with right-sized pricing. If women can get the financing, there could be some seriously good deals for them. Samantha Gleit of Feuerstein Kulick will be speaking at the Summit about the decision on raising capital and debt decisions that come with growing your brand.”  

RELATED: CannaMoms: The Key To Global Marijuana Legalization?

Curt Dalton, the founder of Cannabis.net, one of the leading voices for the stoner consumer, noted that “Debra and GMR has helped give creditability to the industry, lifted up women and called BS on players who have played fast and lose”. 

“Leave it to Debra Borchardt and Green Market Report to be the champion of female cannabis entrepreneurs!,” shared Kim Ring, President of Ring Communications. “With the industry starting to catch fire again, it’s great to see that Debra is ensuring women have a seat at the table. By sharing the facts as a journalist, reporting on the good, bad, and ugly, she has helped provide the industry with creditability. Over the course of my cannabis career, not only has GMR has become my go-to woman-run cannabis publication, but I have powerhouse women in media (including Debra) to thank for educating me and helping me grow as a respected publicist in this industry.”  

marijuana dispensary
Photo by whitebalance.oatt/Getty Images

Anne Donohoe, Managing Director at KCSA Strategic Communications, echoed those sentiments. Deb is a true pioneer in this industry. She was among the first financial journalists to see that this was a serious market with incredible potential. There were one off articles, full of puns and innuendo, but no one else was really covering it from a business perspective as a dedicated beat. She took the time to research, talk to everyone she could, and really got to know this industry inside and out — and has provided fair and honest reporting through the highs and the lows. No one knows this industry better than she does.”  

RELATED: More And More Women Are Taking CBD As A Daily Supplement — Here’s Why

Shawna Seldon McGregor, founder of Maverick PR had this to say about the value of the Summit. “This will be the second year in a row that I have attended the Green Market Report Women’s Summit. Last year, the room was packed with women and our male allies. It was one of the most energetic and informative summits of the year. Now I’m coming back and can’t wait to hear the unique perspective of the moment from the female cannabis industry leaders curated by Debra & GMR, while providing outstanding coverage of the expansion of the cannabis industry and ensuring diverse voices from female leaders are heard.” 

In the fall of 2021, Green Market Report was acquired by Crains in a deal negotiated by David Feldman of Skip Intro Advisors. 



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Can Marijuana Give A Break From All The Drama

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It is a summer of political news, students protests, family gathering and just every day drama – can marijuana help with a temporary break?

This summer will be filled with ongoing political news as the presidential election is in the fall. Add oversees wars and campus protests and conversations with some people could be fraught with drama. And summer is the time of family gatherings, birthdays, weddings or a 4th of July picnic, it can be stressful. Can marijuana give a break from all the drama. The answer is heck yes! And you will feel better than overindulging in booze.

RELATED: Beer Sales Flatten Thanks To Marijuana

While taking a break, breathing, or going for a walk can help, sometimes you get overwhelmed. Avoiding putting yourself in these situations by reducing your news and social media input, putting boundaries around certain people and other healthy habits are import, a quick, easy solution is needed in some situations. Cannabis can provide a temporary relief as it is a proven help against anxiety. To use this tool, there are a few things to know and also not to be over reliant on it as a solution.

Photo by Anton Petrus/Getty Images

Part of the way marijuana chills you out with the active cannabinoid THC. It acts through cannabinoid receptors which activates the brain’s reward system. These includes regions that govern the response to healthy pleasurable behaviors.  It also adjusts perception of time, which is what makes movies and music sound better as it allows you to stop and really absorb the moment.

The younger generation has taken advantage of consumption methods to have marijuana on-the-go.  Vaping is the second, and trends show soon to be first, most popular method of use.  Like gummies (the third most popular way to consume), it is easy, discreet and portable for those with an active lifestyle. You can also manage dosing so you are not too high or suddenly have couch lock.

Done right, a high, even a moderate one, can last 2-10 hours.  Smoking a joint provides the quickest and most powerful, while a gummy takes 30-45 minutes to kick it, but it is much easier to manage the dosage. Vaping is a way to maintain a steady chill.

RELATED: 8 Ways to Enjoy Marijuana Without Smoking It

One good thing about taking a “time out” and breathing from the drama, it is a better on our mental and physical health.

One recent survey discovered

  • 1 in 5 had lost sleep over politics
  • 20 percent reported feeling fatigued because of political news
  • 29 percent reported losing their temper over politics
  • One quarter said they felt hateful toward those with opposing political views
  • More than 20 percent have had political disagreements damage their friendships

However you do it, be mindful of where you are and make sure you don’t let outside forces squash you happiness and enjoyment of each day.



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BDSA

Consumer Spending Validates Marijuana Rescheduling

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It is a historic move for a country which had prohibition, but consumers are using their wallets to show they support it,

Culture wars have been an American tradition – from the battle over TicTok to the alcohol prohibition in the 1920s. It was said the only thing to come out of the anti-liquor period was it taught good citizens how to break the law.  But in general, if the public wants it, the public will have it, legal or not. The perfect is example is the Pornhub ban in Utah and Texas, which has sent VPN sign ups sky high. And consumer spending validates marijuana rescheduling in a major way.

RELATED: Beer Sales Flatten Thanks To Marijuana

Some politicians and leaders believe in the nanny state option.  Those include a few governors lead by Ron DeSantis, Mitch McConnell, and a few other special interest groups.  But the Biden’s administration’s decision to reschedule cannabis lines up with public opinion. Over 85% believe it should legal in some form, and more importantly, they are putting their money toward what they want.  Leading analyst firm, BDSA, shared the public’s spending habit’s match their thoughts on rescheduling.

Photo by Anton Petrus/Getty Images

Following the tradition, cannabis sales moved higher again this year. Sales on 20 April 2024 sales were $167M, a 33% increase over the previous year.  Trends like California sober are going strong and Gen Z continues to move away from alcohol and move toward marijuana vapes and gummies. Lifestyle habits are starting to adjust slightly away from alcohol and more low alcohol drinks, mocktails, and cannabis eat away at the traditional market.  Alcohol is much rougher on the body, so many are opting for a semi-healthier option.

It is a benefit for fully recreational states as even Missouri makes significant tax income on cannabis. Most governors are on board with rescheduling at it is not only the public’s will, but it helps the state’s coffers and actually helps in other areas. Even New York State, with over 1,500 non tax paying illicit stores making money, made some income.  They have less than 100 licensed dispensaries generating over $175 million.

RELATED: How To Microdose Marijuana

On an interesting sidebar, like holidays, there are some holidays where cannabis use is up. Here are the largest for 2023

  1. 420
  2. Green Wednesday
  3. Black Friday
  4. St Patrick’s Day
  5. Veteran’s Day

In comparison, alcohol’s largest days are:

  1. New Year’s Eve
  2. St. Patrick’s Day
  3. July 4th
  4. Day Before Thanksgiving/ Blackout Wednesday/ Drinksgiving
  5. Black Friday

Let’s see how the next 12 months works for the industry, the government and the public.

 



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Andrew Cooper

The Future Of Cannabis After Rescheduling

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The federal government has decided to move toward marijuana rescheduling.  So what’s next and how long until it done?

The Drug Enforcement Agency (DEA) has agreed with Health and Human Service’s (HHS) recommendation for cannabis to be rescheduled to Schedule III, with Schedule III drugs defined as having a moderate to low potential for physical and psychological dependence (Schedule III drugs include ketamine, anabolic steroids, and testosterone). This rescheduling will have a significant impact on state-legal cannabis businesses, but some uncertainty remains. Once the DEA publishes its proposed rule, it will be reviewed by the White House Office of Management and Budget (“White House”) and if approved, it would then proceed to a public comment period. Notably, the DEA could reschedule cannabis by issuing a final order and bypass the notice and comment period which would allow the change to become effective 30 days after publication in the Federal Register.

RELATED: Pakistan Makes Positive Move On Cannabis

However, it seems certain that the DEA will elect to do so by proposed rule, which is followed by a comment period of between 30-90 days. This comment period will be followed by a formal administrative hearing if requested, which rescheduling opponents will most certainly want, along with a flood of comments ranging from why cannabis should remain in Schedule I to why it should not be rescheduled lower than Schedule II. While rescheduling to Schedule III is almost certain, it is critical that proponents submit comments as well in order to ensure a robust record supporting marijuana’s reclassification.

Once the comment period and administrative hearing have concluded, the DEA will review the entire record and issue its final rule based on its analysis, HHS’ analysis, the comments submitted, and the administrative hearing record. The timeframe for issuing a final rule is uncertain and not statutorily defined, but since the DEA is required to review and respond to every comment submitted during the notice period, it could take some time.

Photo by 2H Media via Unsplash

Whether the DEA goes straight to issuing a final order or allows notice and comment, after the final decision/order is issued, it will not become effective until 30 days after it is published in the Federal Register. During this time, an aggrieved party that participated in the notice and comment period has 30 days to file a lawsuit to seek judicial review of the agency’s decision. In the event of a lawsuit, it is possible the effective date of the reclassification is delayed by a court order.

RELATED: Senate Leadership Pushes End of Federal Prohibition Of Cannabis

Federal Regulations

Cannabis rescheduling is likely to inspire further federal regulations, but the nature of said regulations is uncertain. Since 2009, during the Obama administration, the federal government has declined to enforce federal law against the overwhelming majority of state compliant marijuana businesses. The federal government’s reluctance since the 2013 Cole Memorandum continued despite the DOJs enforcement guidance being rescinded during the Trump administration. It is possible we will see the DOJ reissue another enforcement memo. While it is still uncertain, enforcement action may follow cannabis rescheduling in an attempt to form a more cohesive national industry. For example, rescheduling cannabis to Schedule III may push the FDA to enforce against false and misleading drug claims as it has for hemp products. The DEA would continue to regulate cannabis as it had under Schedule I, however, they could now require dispensaries to conform to pharmacy regulations and the significant requirements associated with such. It is unclear but unlikely that the DEA will enforce pharmacy requirements upon state-legal dispensaries, since the difficulties and required resources associated with such enforcement will likely be too burdensome for the DEA immediately following rescheduling.

RELATED: Cannabis Industry Employs The Same As These Companies

The FDA may also become more involved in the regulation of cannabis, particularly concerning cannabis products’ dietary supplements and conventional food claims. While regulatory clarity would be welcome, we must be careful as to over-regulating the various cannabinoids (or compounds found in cannabis). It is likely that the FDA receives an influx of new drug applications following cannabis rescheduling, as FDA approval of any specific cannabinoids as drugs may be quite valuable. However, since FDA-approved medications cannot typically be legally added to conventional foods or dietary supplements, FDA approval of certain cannabinoids would create a complicated regulatory environment and spur subsequent consumer confusion (similar to the FDA’s approval of CBD in the form of Epidiolex).

Timeline

As for the timing of the rescheduling process, it will not happen overnight. Following approval by the White House, the DEA will likely initiate a public comment period. While this comment period itself will likely last from 30 to 90 days, the overall rescheduling process may take much longer. A previous drug rescheduling via rulemaking, for Hydrocodone Combination Products, took years to fully reschedule (though the timeline from HHS’ recommendation to the new rule taking effect was within one year). Following the quick turnaround by HHS to recommend cannabis rescheduling, it is possible that the DEA publishes its final rule as early as 2024.

Terran Cooper is a regular contributor to The Fresh Toast.  He is part of Falcon Rappaport & Berkman LLP. This article was developed in part with the help of Andrew Cooper and Matthew Foreman.



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