Cannabis market across the country has been setting industry records since the start of the coronavirus pandemic.
Whether it be recreational users looking for a distraction from quarantine-boredom, or medical patients stocking up on their prescription, COVID-19 has been a boon for the cannabis industry.
According to The Department of Revenue’s Marijuana Enforcement Division, recreational shops in Colorado have sold about $160 million worth of products in June 2020, alone.
Representing a 6% increase compared to the previous month’s (May 2020) record of $149 million, June officially marks the most sales in a single month in Colorado history.
“In existing adult-use states, there are three main drivers of continued growth,” stated a BDS Analytics report. “Further proliferation of new cannabis products that appeal to the needs and desires of new consumers; improved product availability; and growing acceptance of cannabis use.”
Overall, the state Department of Revenue collected $33.62 million in taxes and fees.
Legalization Could be the Economic Boost we Need
Considering the wrecking ball that coronavirus has taken to the American economy, and the 50 million Americans that have filed for unemployment as of July 9th, 2020, these numbers provide further evidence of the economic benefits of legalization.
In fact, according to a 2018 Washington Post report, legal cannabis could generate more than $132 billion in federal tax revenue and 1 million jobs.
While medical cannabis sales in Colorado dropped to $40 million in June after setting a record high $43 million in May, in combination, recreational and medical dispensaries sold a total of $200 million worth of products in June.
Thus, as previously reported by the Emerald, states across the nation are more heavily considering legalization in the wake of the pandemic.
New Jersey Governor Phil Murphy, for example, explained on the Jim Kerr Rock and Roll Morning Show, “We still need federal cash assistance directly into the states.”
“That’s something that I hope Congress will get to, sooner than later, that the President will sign,” said Gov. Murphy. That’s another big slug that we need. We’ll look at revenues that we can potentially raise on our own.”
As the pandemic continues, stay tuned for updates on state-to-state legalization efforts and more by clicking here.
Written by Rita Thompson