It is a mixed bag for the cannabis industry. BDSA, a leading analytics firm which covers the cannabis industry, just released numbers and data revealing the cannabis industry earned $29.5 billion dollars in 2023. Missouri generated a whopping $1 Billion, something making everyone take a second look. Use has become mainstream and Gen Z is moving inches away from alcohol to marijuana. But there are underlaying problems. Price compression in flower, the chaos in New York and California, and he federal government restrictions are crushing for the small businesses which make up the majority of the industry. A little hope? Biden buoys Bloomberg’s marijuana prediction in his State of the Union speech.
Bloomberg is a leader in economic news and has been following the cannabis industry. Due to Biden’s slow campaign commitment to help the industry, Bloomberg has been hesitant about the industry’s growth. But with Biden’s head on mentioning cannabis, Bloomberg now predicts an 80% chance of rescheduling in the upcoming months. This will have a dramatic upswing impact on the growing economic business community.
When the DEA reschedules marijuana, the industry will experience relief from certain tax burdens it currently faces under Section 280E of the Internal Revenue Code, a needed help for the mom and pop businesses representing the majority of owners/operaters. It should make banking easier also by reducing the potential liability with a higher scheduled product.
A longer term benefit of rescheduling is it would bring many products and manufacturers more squarely within FDA’s regulatory authority, which will open up the medical marijuana market significantly and also allow larger mainstream retailers to begin consideration of carrying products.
Rescheduling would not make it federal legal, which is something this administration can do, rather it gives the legal businesses in states more traditional business rights and benefits. In the handful of full holdout states, it would still be crime.
He is known for working hard and this new tradition is helps him relax. Why not give Santa this special treat at Christmas?
A new holiday tradition is taking root in regions where cannabis is legal: leaving cannabis-infused treats for Santa Claus. This twist on the classic milk and cookies is gaining popularity among adults who want to add a festive and relaxing touch to their Christmas celebrations. As cannabis legalization spreads, more people are incorporating it into their holiday rituals. Instead of the traditional glass of milk and plate of cookies, some households are opting to leave Santa a special treat that might help him unwind during his busy night of gift-giving.
The tradition may have originated with the feast of St. Nicholas, a 4th-century Greek bishop known for his generosity. Children would leave food and drink for St. Nicholas and his attendants on December 6, and in exchange, they would receive gifts. Over time, this tradition evolved into leaving cookies and milk for Santa Claus. The new playful adaptation of a beloved custom reflects changing attitudes towards cannabis and its increasing acceptance in mainstream culture. In fact, BDSA, a leading analytics firm which covers cannabis, shared over 50% of people who use marijuana has had an edible. In fast, even the AARP has embraced medical marijuana since so many of their members are using it for a variety of issues.
Cannabis-infused edibles, particularly cookies, are a popular choice for this new tradition. These treats not only provide a tasty snack for Santa but also offer a potential moment of relaxation during his hectic Christmas Eve journey. However, it’s crucial to remember that these treats are strictly for adult consumption and should be kept safely out of reach of children and pets.
For those interested in trying this new tradition, here’s a recipe for Cannabis Christmas Sugar Cookies Santa (and other adults) might enjoy:
Preheat the oven to 375°F (190°C) and lightly grease a baking sheet or line it with parchment paper
In a large bowl, cream together the cannabutter and brown sugar until light and fluffy
Beat in the egg and vanilla extract
In a separate bowl, whisk together the flour, hemp hearts, baking powder, nutmeg, and salt
Gradually mix the dry ingredients into the wet ingredients until a dough forms
Roll the dough into balls and place them on the prepared baking sheet, leaving space between each cookie
If desired, sprinkle the cookies with red and green sprinkles for a festive touch
Bake for 10-12 minutes or until the edges are lightly golden
Allow the cookies to cool on the baking sheet for a few minutes before transferring to a wire rack to cool completely.
This new tradition of leaving cannabis treats for Santa adds a modern twist to holiday celebrations in areas where it’s legal. Make sure they are accessible to adults only. Have a merry holiday.
After a chaotic and, some would say, failed rollout of legal marijuana, the lead official is stepping down
The failed legal marijuana rollout in New York cost taxpaying jobs, state revenues and crushed dreams. It was another painful blow to the weed industry and it made the Governor look foolish as she flailed to find a solution. Finally, New York get cannabis leadership change, but will it be able to fix the issue is anyone’s guess.
Chris Alexander, the executive director of New York State Office of Cannabis (OCM) Management, is stepping down in June. Earlier this month, the governor. announced the OCM will be restructured. The decision came after an investigation found inefficiencies and mismanagement bungled the transition, costing the state millions.
The state has a strong plan for the transition from medical to recreational market and had worked closed with existing medical dispensaries. Weeks before the change, the OCM scrapped the entire plan and bumbled through a system where the state now has less than 100 legal retailers and over 1,500 illicit dispensaries in NYC alone. BDSA, a leading analyst firm which covers marijuana, estimated last year’s legal and illicit market would have been close to $2 Billion. As it was, the licensed market brought in $175 million.
The change comes at time where thing are moving forward federally with rescheduling, yet the state is struggling. Adding to the pain, the state is grappling with a variety of lawsuits over the chaos. Another issue the office has seen it self as more of advocacy organization, focused on messaging rather than being a state department in charge of licenses of a billion plus dollar segment. Players who wanted to follow the rules so they can build a long term business future feel stymied. Some were shocked to find illicit players sometimes got to jump the line to open licensed stores at the same time they are running ones with no license.
The change is positive news for the the legal industry and players since New York’s OCM has operated in a persistently opaque and inefficient manner, contributing to the slow growth. For years the office has released conflicting information about its own rules and licensing processes, and hasn’t responded to applicants and licensees in a timely manner.
Time will tell if New York is able to solve the current mess or if this will be another opportunity to cost taxpayers more money.
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.
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.
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.