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Chicago’s hemp sector braces for collapse as city ban looms

Published

2 months ago

December 17, 2025

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Whitney Economics analyzed the potential state and national effects of bans on the sale and production of hemp-derived cannabinoid products. The company conducted a survey in Illinois in March 2025 of Illinois hemp sellers, manufacturers and distributors from the perspective of revenue, state and local taxes, as well as employment and profits.

“The hemp-derived cannabinoid market is a major contributor to the economy of Chicago and Illinois. It is a major source of employment, wages, and state and local tax revenue. Based on a March 2025 survey, respondents indicated that if bans were imposed on the sale and production of hemp-derived cannabinoid products, these companies would go out of business entirely, or otherwise lose state employment. revenue. and increased spending by state and local governments to support displaced workers,” says Beau Whitney.

Illinois hemp derived retail analysis
The state has approximately 1,014 businesses supporting hemp-based retailers. These merchants generate more than $870 million in revenue and have a statewide economic impact of $2.1 billion. Including wholesale and manufacturing, revenue increases by $2.7 billion, with an economic impact of $6.5 billion. These numbers are based on a March 2025 survey of Illinois businesses. These businesses generate about $169.1 million for the state.

Income based on hemp-derived cannabinoids
Annual revenue from hemp cannabinoid products is $2.7 billion.

Employment and wages
Overall, Illinois’ hemp-derived cannabinoid industry, including cultivation, employs nearly 13,500 workers statewide and pays more than $545 million in wages annually.

There are approximately 4,750 retail jobs associated with hemp-derived businesses. Wholesalers add 6,300 jobs and manufacturers add 2,500 jobs. Wholesale jobs are important because Illinois serves as a regional hub for other states.

Distribution of sales of hemp-derived products in Illinois
The sector breakdown of sales percentages shows a fairly even split between THCA flowers, vaporizers, edibles, and beverages. Beverages were projected to grow in 2025 in terms of total market share, primarily at the expense of vapes and edibles, but also at the expense of THCA flower. High state and local marijuana taxes are driving consumers to the hemp-derived market at every level.© Whitney EconomicsSource: Whitney Economics Illinois Hemp Cannabinoid Survey (March 2025)

The effect of excessive taxes on marijuana on consumer purchasing behavior
A separate report examining the impact of cannabis taxes on consumer purchasing decisions shows that lowering state and local marijuana taxes will increase marijuana sales and tax revenue. However, a simple hemp ban will not have a similar effect, as consumers will buy marijuana and hemp products online or in other states, such as Michigan or Missouri, where prices and taxes are significantly lower. (Source: Cannabis Tax in Illinois – Whitney Economics – April 2025)

Chicago specific data
Chicago has identified approximately 220 retail businesses. (These are merchants with a Chicago address). Wholesaler, distributor and manufacturing data is more difficult to obtain. They generate about $475 million in sales from these retailers. CBD sales add roughly $30 million to that number, but this is a rough estimate because CBD is so common in cosmetics and other non-toxic products. Retail sales tax revenue is estimated at $31 million a year from sales tax alone. This does not include $5.0 million – $7.5 million in license fees.

Retail employment is also significant with 1,030 – 1,250 workers, generating $37,214,900 in wages.

The effect of bans on companies and employment
A majority of survey respondents indicated that if there were severe restrictions or legislation banning sales, they would move to another state or go out of business. “One by one, survey respondents told me they were moving away from retail operations in favor of a distribution model,” says Beau Whitney.

Effects of statewide cuts
Across the state, the impact of restrictions or bans is significant. Negative numbers represent losses in the chart below.

For more information:
Whitney Economics
Beau Whitney
(503) 724-3084
www.whitneyeconomics.com

Related Topics:Ban braces Chicagos City collapse Hemp looms sector

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Oklahoma Governor wants to shut down medical cannabis program

Published

4 hours ago

February 4, 2026

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Oklahoma Governor Kevin Stitt he said He wants to return the state’s medical marijuana program to voters. In his State of the State address, Stitt called for a state question in 2026 for citizens to decide whether to end the program, citing concerns about “bad actors” and criminal influence.

Dispensary owner Dana Herrick he reacted to the adHe noted that in 2018 medical cannabis was approved by voters. Herrick said the program gave patients access to drugs and raised questions about what returning the issue to a public vote would mean for existing companies.

The state’s medical cannabis system has grown since 2018. The Oklahoma Medical Marijuana Authority oversees growers, processors and dispensaries with more than 1,500 active licenses. Regulators have implemented measures such as credential checks and a temporary moratorium on new licenses to manage the industry’s growth.

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Virginia Senators Approve Bills To Legalize Marijuana Sales And Provide Resentencing Relief To People With Prior Convictions

Published

4 hours ago

February 4, 2026

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Virginia senators have passed a pair of bills to legalize the sale of recreational marijuana and reduce penalties for people with prior cannabis convictions.

The Senate Judiciary Committee voted 9-6 on Wednesday to advance legislation for Sen. Lashrecse Aird (D) to sell marijuana. Members also voted 12-TK3 to approve Senate President Louise Lucas’ (D) anti-cannabis measure.

Both measures then go to the Senate Finance and Appropriations Committee, potentially before reaching a date.

Aird told colleagues in Wednesday’s speech that his bill “establishes a marketplace that protects consumers and puts health and safety first, ensures a balance in our regulatory framework that ensures legalization is consistent with public health and safety goals, and avoids past mistakes built into alcohol laws that allow the legal substance to continue to be criminalized.”

“I know there’s interest in aligning the approach we take in this legislation with (the Alcoholic Beverage Control Authority’s) enforcement structure, but if we do that too narrowly, we risk building a legal system that relies on arrests, mandatory fines, mandatory minimums, prison sentences and low-level offenses,” he said. “And that approach has failed with alcohol and will fail again for cannabis.”

The panel accepted several amendments from Sen. Scott Surovell (D), the panel’s chairman, over Aird’s objection.

Among the changes are amendments to “essentially align the penalties for the illegal sale of alcohol with the illegal sale of marijuana,” Surovell said, bringing the penalties for minors in possession of cannabis on par with those for alcohol.

Another bench-approved amendment adds criminal penalties for buying marijuana from an unlicensed dealer.

Marijuana Justice’s Chelsea Higgs Wise supported the overall bill, but expressed concern about the recently passed criminal amendments, calling it “a step backwards.”

A representative of the Virginia State Conference of the NAACP also said, “If we really want to prepare our children for success, we’re not going to criminalize them, but we’re going to figure out how to support them so they can make better choices.”

JM Pedini, director of development for advocacy group NORML and executive director of Virginia NORML, told Marijuana Moment that the organization is “deeply concerned about committee members’ re-criminalization of cannabis users and mandatory minimum approvals for marijuana.”

“It is particularly troubling that as this body moves to address resentment of marijuana-related penalties, it is simultaneously entertaining new ways to further criminalize consumers,” Pedini said.

Approval of the amended sales invoice comes in about a week The House General Laws Committee approved a supplemental version of the legislationDel. Paul Krizek (D).

As passed in committee, the legislation is largely in line with recommendations released by the legislature in December. Joint Commission to Oversee the Transition to the Commonwealth Retail Cannabis Market.

Since legalizing cannabis ownership and home cultivation in 2021, Virginia lawmakers have been working to establish a commercial marijuana market– Only for those efforts to stall under former Gov. Glenn Youngkin (R), who twice vetoed measures sent to his desk by the Legislature.

the senate the version calls for sales to begin on January 1, 2027, while the House bill stipulates that the sale of cannabis for adult consumption can begin on November 1 of this year.

Here are the main details of Virginia’s legal marijuana sales legislation:

Adults would be able to purchase up to 2.5 ounces of marijuana in a single transaction, or up to an equivalent amount of other cannabis products, as determined by regulators.
The Virginia Cannabis Control Authority would oversee licensing and regulation of the new industry. Its board of directors would have the authority to control the possession, sale, transportation, distribution, delivery and testing of marijuana.
A tax of up to 12.625 percent would apply to the retail sale of any cannabis product. That would include a 1.125 percent state retail and use tax on top of a new 8 percent marijuana-specific tax. Local governments can charge an additional 3.5 percent.
The tax revenue would be divided between the costs of administering and enforcing the state’s marijuana system, a new Cannabis Equity Investment Fund, pre-kindergarten programs, substance use disorder prevention and treatment programs, and public health programs such as awareness campaigns designed to prevent drug-impaired driving and discourage underage use.
Local governments could not allow marijuana companies to operate in their area.
Delivery services would be allowed.
Serving sizes would be limited to 10 milligrams of THC, with no more than 100 mg of THC per package.
Existing medical cannabis operators could enter the adult-use market if they pay a $10 million license conversion fee.
Cannabis businesses should implement peaceful labor agreements with their employees.
A legislative committee would direct the addition of local consumer licenses and micro-enterprise cannabis event permits that would allow licensees to hold sales at farmers markets or pop-up locations. The Virginia Alcoholic Beverage Control Authority would also investigate the possibility of involvement in marijuana regulation and enforcement.

Just sworn Gov. Abigail Spanberger (D) supports legalizing the sale of marijuana to adults.

Another cannabis law passed by a Senate committee Wednesday would require people with certain felonies to automatically receive resentencing hearings and adjust their sentences. A Del. Rozia Henson, Jr. Also advanced House Companion version of (D). recently

The legislation would create a process for people who are incarcerated or under community supervision for certain crimes involving the possession, manufacture, sale or distribution of marijuana to receive an automatic sentencing hearing.

The invoice It applies to people with convictions or convictions for conduct that occurred before July 1, 2021, when a state law that legalized personal possession and home cultivation of marijuana went into effect.

The panel approved some technical changes before passing the legislation.

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It’s Marijuana Time tracking hundreds of cannabis, psychedelic and drug policy bills in state legislatures and Congress this year. Patreon supporters by pledging at least $25/month, you’ll get access to our interactive maps, charts, and audio calendars so you never miss a development.

Learn more about our marijuana bill tracking and become a Patreon supporter to gain access
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Meanwhile, Virginia lawmakers have introduced other marijuana-related legislation for the 2026 session, among other things. allow terminally ill patients to use medical marijuana in hospitals.

Separately, the Virginia Department of Labor and Industry has published a new defining workplace protections for cannabis users.

Mike Latimer’s photo.

Marihuana Moment is made possible with the help of readers. If you rely on our pro-cannabis journalism to stay informed, consider a monthly Patreon pledge.

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Gavita International launches Agrolux Operating System

Published

1 day ago

February 3, 2026

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During Fruit Logistica, Gavita International launches the future Agrolux Operating System and the LYRA modular product platform. “The latest developments highlight Gavita International’s evolution into a fully integrated solution that supports growers throughout the crop cycle,” says CEO Marc Salvany.

After the management buyout on October 1, 2025, Gavita International is led by Marc Salvany (CEO) and Ad van der Vorst (CFO). With the launch of the Agrolux Actuator System, Gavita International is presenting not only a future-ready platform, but also its new strategic location: this presentation is the basis for the future developments of the globally operating lighting systems supplier.

The launch of the Agrolux brand underlines the company’s strategic move towards a fully integrated solution for professional growers.

Agrolux Operating System
“The Agrolux Operating System is a future-proof and user-friendly platform that enables professional farmers to improve performance, efficiency and return on investment, while actively contributing to a more sustainable, circular and resilient horticultural ecosystem,” explained Marc. “It supports electrical power and wireless communication, the Horticultural Lighting Protocol (HLP), and can work seamlessly with a climate computer or standalone. The system is also fully compatible with all generations of Agrolux (LED) luminaires as well as third-party brands.”

The Agrolux Operating System has capabilities on its development page, such as AI-based lighting strategies and integration with sensors, providing advanced automation, monitoring and control for modern greenhouse operations. The Agrolux Operating System protects existing investments while enabling smarter and more sustainable farming.

LYRA: the modular product platform of the future, fully complementary to the Agrolux portfolio
Together with the Agrolux Operating System, Gavita International is proudly developing LYRA; A new modular and future product platform to support current and next generation greenhouses. “At the heart of the LYRA platform is a modular design that supports multiple applications, including multi-channel configurations to enable lighting strategies, combined with a flexible power range from 340W to 1200W, depending on the producer’s requirements.”

The LYRA is designed around a single driver housing concept that allows LED modules to be added, upgraded and adjusted, ensuring the luminaire adapts to evolving technology, regulations and grower needs. Together with LYRA, the Agrolux OS system will continue to offer renewed features and innovations to the product platform.

LYRA complements the entire Agrolux (LED) luminaire portfolio, and the Agrolux Operating System supports all generations of Agrolux (LED) luminaires. “Together, they are designed to offer the professional greenhouse grower as much as possible
flexibility and long-term certainty in a rapidly evolving technology innovation landscape.”

LYRA will initially be available in a 4-channel version.

The defining moment
“Unveiling the Agrolux Operating System and previewing LYRA at Fruit Logistic is a defining moment for our company. This presentation marks a significant and exciting chapter for Gavita International, thanks to our dedicated team and the continued support of our trusted partners and respected growers. We look forward to meeting visitors in Berlin and showcasing our new developments,” said Marc.

Live demonstration at Fruit Logistica
At Fruit Logistica 2026, Gavita International will demonstrate the Agrolux operation
System live at stand A-46 in the Dutch Pavilion (Hall 3.2), seen first hand.
LIRA

Appointments for a demonstration can be booked online.

For more information:
Gavita International
(email protected)
www.agrolux.com