When it was first proposed, the concept of legalizing cannabis seemed solid. Take the world’s most popular illicit substance, established a taxed and regulated marketplace and watch all of the evil associated with the herb, the criminal activity, the youth consumption, fade away into a footnote of american history. It was a plan that should have worked. We weren’t dealing with a new idea or anything. It awsome that advocated borrowed from a time when alcohol was once prohibited across the United States, causing an uprising in crime, death and a vast array of other debaucherous behavior that could be tamed in a legal regime. Rather than reinvent the wheel, the cannabis community forged ahead along the same path. Thing a are not quite shaking out of the same way they did for booze. At some level, cannabis legalization in its present form is failing.
One of the biggest arguments made by cannabis advocates when trying to sell their spiel to politicians and voters that legal we’d would eliminate the black market. This, they said, would make it more difficult for children to get their hands on marijuana than in decades past while generating tax revenue for the states. But the underground pot trade hasn’t gone anywhere. It is only growing stronger now that criminal organizations have the luxury of being domestically based instead of running distribution from Mexico.
While the Golden State was predicted to take in $463million in cannabis taxes in the first hear, it only collected right around half of that. This is because the black market continues to dominate leaps and bounds over the legal sector. High taxes ( The highest in the nation) and licensing issues are said to be the cause of this mess. A recent forecast from BDS Analytics and Arcview Market Research suggests that it could take five years before the legal market begins to outsell the black market.
The black market in legal states is carrying over to areas of prohibition, as well. It is part of the reason the counterfeit vapes said to be making people severely ill (and even killing some) have become so prevalent. Law enforcement agencies all across the country have also been complaining that people trafficking marijuana in from legal states are making their jobs more difficult.
Diehard cannabis advocates might argue that all of the black market madness exists because of conflicting federal and state law. In Canada, where cannabis has been legal nationwide for the past year, it’s black market pot trade is still way stronger than the legal sector.
A recent report from the Associated Press indicates that nearly 45% of the country’s consumers continue to buy weed from illegal sources. Doing away with the black market i s the whole reason that Prime Minister Justin Trudeau set out to legalize weed in the first place.
Many consumers complain that they cannot afford to buy marijuana through legal channels. It’s one of the reasons that some pot firms have started producing budget weed for broke stoners. Meanwhile the cannabis industry continues to perpetuate the myth that most cannabis users are upscale and have no qualms whatsoever about dropping beaucop on craft cannabis.
While the growing and selling of marijuana was once texted as a great job creator. Lately many leading cannabis firms have been laying off hundreds of jobs. Canadian-based producer HEXO is slashing 200 jobs, while CannaTrust is cutting 140. In the U.S., Eazr recently announced that It was eliminating 36 positions. Weedmaps also says It will hybrid of 100 employees.
While some market analysis show that legal cannabis is set $66billion by 2025, that doesn’t automatically mean that the companies that make up the industry will reach profitability.
Believe it or Not, in spite of more states bringing cannabis mainstream, the latest FBI crime data show a that police forces in America still busted more people for pot last year than they did in 2016 and 2017. Well over half a million people went to jail for marijuana possession at that time.