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Florida Marijuana Sales Ranks Third In Country for 2020

Florida Marijuana Sales Ranks Third In Country for 2020

Florida marijuana sales rank third in the country for 2020
Florida’s medical cannabis marketplace generated an estimated $1.3 billion in sales last year, ranking third in the country for 2020 cannabis sales.

Although Florida has just a medical cannabis system, the state emerged as one of the nation’s most active cannabis markets in 2020, according to the recent cannabis jobs report by Leafly and Whitney Economics.

Florida ranked third in the country for cannabis sales in 2020 with an estimated total reaching $1.3 billion, only behind Colorado and California, which both have adult-use cannabis markets and have had medical cannabis systems since the 1990s.

Home to 331 dispensaries spread across the state, Florida added 170,000 patients in 2020, bringing the total of registered patients to nearly a half million at 485,693. The state also added roughly 15,000 cannabis jobs in 2020, bringing the total number of Floridians employed by the medical cannabis sector to 31,444. The report suggests Florida’s cannabis receipts could easily double if the state adopted adult-use cannabis, estimating the potential for up to $2.1 billion in sales, $800,000 per month in taxes, and up to 80,000 local jobs by 2025.

“With a state population of nearly 22 million, Florida could reasonably double its current total of cannabis jobs if it chose to legalize for all adults.” — Excerpt from the Leafly and Whitney Economics job report

Despite the high sales numbers, Florida’s medical cannabis structure has led to some issues. Additionally, there are a handful of adult-use and medical cannabis reform bills currently stalled in the Florida legislature.

Currently, a case working its way through the courts seeks to overturn the state’s vertically integrated regulatory structure on grounds that it is unconstitutional, The Center Square reports. Already having won its challenge in Tallahassee District Court, the case will be considered next by the Florida Supreme Court on March 1.

At least one bill seeking to limit THC levels in medical cannabis products will reach committee consideration, however, setting up a potential contest between the growing cannabis prevention movement, a tax-hungry state budget, and medical cannabis patients.

Dozens of companies apply for six Georgia medical marijuana licenses

Dozens of companies apply for six Georgia medical marijuana licenses

Dozens of applicants apply for just six Georgia marijuana licenses

From nearly 70 applicants, six companies will be chosen to begin manufacturing medical marijuana oil for Georgia patients.

The Georgia Access to Medical Cannabis Commission announced this month it will review the proposals and then award licenses to six companies, possibly in late spring or early summer.

The winning companies will then have one year to begin operations, according to state law, providing medicine for 14,000 registered patients for conditions including seizures, terminal cancers and Parkinson’s disease. Though they’re allowed to consume the medicine, there’s no legal way to buy it until the companies come online.

“The goal is to ensure that patients have access to the highest-quality medicine that we can arrive at in our state with these production facilities,” said Andrew Turnage, the commission’s executive director. “I’m very impressed with the quality and caliber of applicants.”

Licenses will be awarded based on criteria set in a state law creating the cannabis oil program in 2019. Companies submitted plans for production, business operations, facilities and seed-to-sale tracking, Turnage said.

Under the law, six companies will be licensed to cultivate medical marijuana, which can have no more than 5% THC, the compound that gives marijuana users a high. They’ll be allowed to grow the drug on a total of 400,000 square feet of indoor growing space statewide.

“The only thing we should be thinking about is how we can get the safest oil and the best medicine to Georgia patients,” said state Rep. Micah Gravley, a Republican from Douglasville who sponsored legislation starting the program. “The licensees should be the six companies who are capable of creating a lab-tested, trusted, safe oil, and have a tested and proven product in other states.”

Lawmakers limited the number of licenses as part of a compromise between House and Senate leaders who had struggled to strike a balance between providing access to legitimate patients while preventing illegal marijuana distribution.

US cannabis jobs surpass 321,000 full-time jobs

US cannabis jobs surpass 321,000 full-time jobs

cannabis jobs surpass 300,000 in the US

How many jobs are there in America’s legal marijuana industry?

The 2021 Leafly Jobs Report, issued earlier today, found 321,000 full-time equivalent (FTE) jobs supported by legal cannabis as of January 2021. That total includes both plant-touching and ancillary jobs—everyone from budtenders to bean-counters.

To put that in perspective: In the United States there are more legal cannabis workers than electrical engineers. There are more legal cannabis workers than EMTs and paramedics. There are more than twice as many legal cannabis workers as dentists.

cannabis jobs exceed 300,000 in the US

The annual Leafly Jobs Report, produced in partnership with Whitney Economics, is the nation’s cornerstone cannabis employment study.

Federal prohibition prevents the US Department of Labor from counting state-legal marijuana jobs. Since 2017, Leafly’s news and data teams have filled that gap with a yearly analysis of employment in the legal cannabis sector.

Whitney Economics, a leading consulting firm that specializes in cannabis economics, policy, and business consulting, has partnered with Leafly on the project since 2019.

Twice the job growth as 2019

Cannabis job growth in 2020 represents a doubling of the previous year’s US job growth. In 2019, the cannabis industry added 33,700 new US jobs for a total of 243,700.

Despite a year marked by a global pandemic, spiking unemployment, and economic recession, the legal cannabis industry added 77,300 full-time jobs in the United States in 2020. That represents 32% year-over-year job growth, an astonishing figure in the worst year for US economic growth since World War II.

Cannabis now an $18.3 billion industry in the United States

In 2020, Americans purchased $18.3 billion worth of cannabis products, a 71% increase over 2019.

When the COVID-19 pandemic hit the United States in March, many in the cannabis industry worried about a potential industry-wide shutdown. Instead, governors in most states declared cannabis an essential product. Dispensaries and retail stores responded by offering online ordering, curbside pickup, and delivery as COVID-safe options for their customers.

Customers responded by stocking up for months of stay-at-home advisories and social distancing. After a brief dip in late-March revenue, most stores saw a significant bump in April—and then the bump became a plateau.

Is now the time to invest in cannabis stocks?

Is now the time to invest in cannabis stocks?

How to invest in cannabis stocks

Legalization talk and Reddit stock warriors are driving more people to invest in cannabis stocks, but the stocks aren’t returning on the investments yet.

The industry is booming and growing at an exponential rate, but due to federal law, there are very few publicly traded “cannabis” companies. For this reason, investors in the US looking to cash in on cannabis will look to Canada.

Aphria, Tilray, and Canopy Growth are a few of the big players in Canada, with billions in investment assets. However anybody who actually follows the industry in Canada could see plain as day that these companies are not performing.

So why are people just now deciding to invest in these companies?

Legalization and Reddit

Unless you’ve been living under a few rocks for the last month, you have likely heard about the GameStop Reddit controversy. If not, here’s what happened; hundreds of users of the social media platform’s subreddit r/WallStreetBets found out that a billion dollar hedge fund was shorting GameStop stock, buying stock in advance to drive down price with the goal of being bought out at their original buying price.

Investors from r/WallStreetBets decided to buy up as much GameStop stock as possible, forcing the hedge fund to cover its losses and pay out for the increased stock price. If it hasn’t become obvious, I’m not a stock expert, so excuse the lazy explanation.

Long story short, GameStop’s stock price rose from $34 to $340 in a couple days, making those who cashed out a lot of money, while others bought in late thinking the stock would continue to rise, only to watch it tank days later.

Now, with a democrat majority in the House and Senate and control of White House, the party is pushing for cannabis reform, and likely federal legalization. With multiple party members publicly speaking about their intentions, the Reddit swarm caught wind and started talking cannabis stocks. But unlike GameStop, Reddit couldn’t manipulate the cannabis stocks in the same way.

Tilray and Aphria Merger

After news surfaced that two of the largest cannabis companies in Canada would be merging together, a lot of investors tried to cash in on the opportunity. In December of 2020 when the merger was initially announced, the stock began to sore as more began to invest.

The investment experts at Reddit appear to have caught on a little too late, pushing everybody on the platform to invest in these companies just in the last week. Unfortunately they couldn’t drive up the price in the same way as GameStop, and the stock eventually fell 4% despite the increased activity.

In other words, the stock spiked temporarily, and smart investors who already bought in at $23/share at the beginning of February were able to cash out at $63/share on February 10th. By February 11th the stock price was halved.

All of this drives the questions a lot of enthusiasts and investors are asking; is now the time to invest in cannabis stocks?

Wait for legalization?

The reality is that for most Americans trying to cash in on cannabis, the market is very small, niche and not very profitable in the United States market. This is why you see so much attention focused on Canada’s cannabis companies, because they federally legalized cannabis in 2018.

While there are some companies in the United States that work within the cannabis industry and are listed on the stock exchange, they are typically ancillary businesses, in other words businesses that don’t work directly with the plant. Equipment supply companies, pharmaceutical companies that research cannabis, etc. are the typical companies you’ll find in the US market.

With little information and education regarding these companies and the industry as a whole in the US due to no federal reporting, now is not the best time to invest in cannabis stocks in the US. Keep in mind that THIS IS NOT FINANCIAL ADVICE, WE ARE NOT FINANCIAL EXPERTS, WE JUST LOVE CANNABIS.

Politicians in the US have been talking about legalizing cannabis for close to a decade, and it has yet to even be decriminalized. To put hope into our politicians and betting money on them (literally) actually making progress toward legalization would be unwise at this time.

Consider that it wasn’t Republicans, but moderate Democrats in the House that refused to pass the MORE Act last October, opting to wait until after the election because they had their own seats to protect. With more elections coming up in 2022, we can expect a similar approach by moderates in the party, inadvertently blocking any sort of legalization from passing.

For now, the smart move is to closely watch the Canadian market, and push your local legislators to support legalization in your state and on the federal level. It’s your money, so spend it wisely!

Jamaica faces marijuana shortage as farmers struggle

Jamaica faces marijuana shortage as farmers struggle

Jamaican cannabis industry struggles due to supply and demand

Jamaica is running low on ganja.

Heavy rains followed by an extended drought, an increase in local consumption and a drop in the number of marijuana farmers have caused a shortage in the island’s famed but largely illegal market that experts say is the worst they’ve seen.

“It’s a cultural embarrassment,” said Triston Thompson, chief opportunity explorer for Tacaya, a consulting and brokerage firm for the country’s nascent legal cannabis industry.

Jamaica, which foreigners have long associated with pot, reggae and Rastafarians, authorized a regulated medical marijuana industry and decriminalized small amounts of weed in 2015.

People caught with 2 ounces (56 grams) or less of cannabis are supposed to pay a small fine and face no arrest or criminal record. The island also allows individuals to cultivate up to five plants, and Rastafarians are legally allowed to smoke ganja for sacramental purposes.

But enforcement is spotty as many tourists and locals continue to buy marijuana on the street, where it has grown more scarce — and more expensive.

Heavy rains during last year’s hurricane season pummeled marijuana fields that were later scorched in the drought that followed, causing tens of thousands of dollars in losses, according to farmers who cultivate pot outside the legal system.

“It destroyed everything,” said Daneyel Bozra, who grows marijuana in the southwest part of Jamaica, in a historical village called Accompong founded by escaped 18th-century slaves known as Maroons.

Worsening the problem were strict COVID-19 measures, including a 6 p.m. curfew that meant farmers couldn’t tend to their fields at night as is routine, said Kenrick Wallace, 29, who cultivates 2 acres (nearly a hectare) in Accompong with the help of 20 other farmers.

He noted that a lack of roads forces many farmers to walk to reach their fields — and then to get water from wells and springs. Many were unable to do those chores at night due to the curfew.

Wallace estimated he lost more than $18,000 in recent months and cultivated only 300 pounds, compared with an average of 700 to 800 pounds the group normally produces.

Activists say they believe the pandemic and a loosening of Jamaica’s marijuana laws has led to an increase in local consumption that has contributed to the scarcity, even if the pandemic has put a dent in the arrival of ganja-seeking tourists.

“Last year was the worst year. … We’ve never had this amount of loss,” Thompson said. “It’s something so laughable that cannabis is short in Jamaica.”

Tourists, too, have taken note, placing posts on travel websites about difficulties finding the drug.

Read the Full Story from AP

Will 2021 be the year of cannabis delivery?

Will 2021 be the year of cannabis delivery?

Cannabis delivery could become more available in 2021

With more sales than any other year and demand for cannabis higher than ever, will 2021 be the year cannabis delivery becomes widespread?

2020 was a difficult year, as if that even needs to be said. But there was one thing that helped millions of Americans get through the year.

Cannabis.

That’s not an exaggeration either. Americans bought 67% more cannabis in 2020 than the year before to deal with the stress of COVID-19, record unemployment and peak division in the country.

However despite the huge increase in sales, only a handful of states offer delivery options for recreational cannabis consumers.

Cannabis Delivery

Arizona, Arkansas, California, Colorado, Maine, Maryland, Massachusetts, Michigan, Nevada, New Mexico, New York, Oregon, Rhode Island and Vermont, are all technically states that offer some form of delivery service for consumers.

Strict regulations and limitations however have made it so only a few of the states listed actually have a current, implemented delivery system. For example, Massachusetts has been dealing with resistance to their new delivery rules, with the cannabis dispensary association in the state going so far as to sue. Colorado, while passing a law allowing delivery in 2019, has yet to implement it for medical patients, while recreational consumers might have to wait until 2022 for access to the same service.

Other states in the list have only recently legalized medical or recreational cannabis with inclusions for delivery in their legislation. These states such as Arizona, Arkansas, New Mexico and others, while passing legalization bills in 2020, have yet to begin sales of cannabis in general, meaning delivery also hasn’t begun.

The question that a lot of consumers are asking, especially after going through a year of the country’s worst pandemic since the early 1900s and bolstering cannabis sales like never before, is where the hell is the delivery option?

COVID and cannabis

The impact of COVID-19 on businesses across every industry in the country has been stark. Yet while thousands of businesses suffered and even closed down, cannabis businesses everywhere thrived. But almost every single sale was done in-person.

This doesn’t seem to fit the overarching narrative of the last year that social distancing and avoiding others is all but paramount. In this same time Drizly, an alcohol delivery app, became available in 26 states.

In other words, half the country can get alcohol delivered to their door, yet only a couple states allow those with legal access to cannabis to have it delivered. And that is all missed revenue. Bud.com, a delivery service that operates in Northern California, experienced a 500 percent increase in sales after lockdown orders in mid-March, according to Dean Arbit, the chief executive of the company.

So if there’s no shortage of evidence that cannabis delivery can be highly profitable, what are we, or more accurately, what are states waiting for?

Will 2021 be the year?

The events (and profits) of 2020 definitely have more states and cannabis businesses talking about delivery. With no end to social distancing and COVID restrictions in sight, we should expect cannabis sales to continue to grow through 2021, with demand for delivery options growing as well.

Similarly to legalization in general, no state has the same cannabis delivery laws. In other words, there is no single template for states to follow that has seen continued success. Like legalization, some states may be waiting to see another implement delivery successfully from the start, and copy them.

Other states have issues with the laws they already have, such as competition against brick and mortar stores in states that allow delivery straight from distribution centers.

There is little doubt the more states will legalize some form of cannabis delivery in 2021. To expect every state with recreational or medical cannabis to make it available however is a big ask. One that is highly unlikely to happen in just one year.

But if there is any way to describe the cannabis legalization movement, it’s unpredictable.

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