It’s 2018 and marijuana is still illegal in the United States.
But the continued federal ban has not stopped the marijuana industry from growing like a plant and being very profitable.
The emerging industry had nearly $ 9 billion in sales in 2017, according to Tom Adams, director of BDS Analytics, which tracks the cannabis industry. Sales are equivalent to the entire snack business or annual Pampers diaper earnings.
This was true before California opened its massive retail market in January. The addition of the State of Dorado is very important to the marijuana industry, and Adams estimates that nationwide sales of that substance will increase to $ 11 billion in 2018, and to $ 21 billion in 2021.
The industry has also created jobs and opportunities. There are 9,397 active licenses for marijuana businesses in the United States, according to Ed Keating, chief information officer for Cannabiz Media, which tracks marijuana licenses. This includes growers, manufacturers, retailers, dispensaries, distributors, and testing labs.
More than 100,000 people work around the cannabis plant, and that number is growing, according to BDS Analytics. The industry employed 121,000 people in 2017. And if it continues its growth trajectory, the number of workers the field could reach by 2021 could be 292,000, according to BDS Analytics.
The economic benefits have helped states where marijuana has been legalized to channel tax revenues from the sale of the drug to fields like education and infrastructure.
BDS Analytics estimates that the industry owed $ 1 billion in state taxes in 2016 and owes another $ 1.4 billion by 2017.
“It’s a great thing because the money was already being spent [when it was illegal]; now it’s being taxed, ”said Tick Segerblom, Nevada state senator, a state that has reaped $ 25 million in tax revenue since recreational sales began in July. “And the cops don’t have to waste time arresting users.”
Marijuana is no longer just marijuana. Products offered in legal dispensaries range from traditional flowers to processed products like oil, hash, and rosin, which can be smoked or ‘vaped’, and a wide variety of edible products, such as baked goods, sweets, and jelly beans.
Its roots are also expanding to the health and wellness industry.
CBD, or cannabidiol, is a product in the form of oil or caramel that is used as a treatment for epilepsy or pain despite facing a federal ban. The CBD industry,
The CBD industry, derived from both hemp and marijuana, totaled $ 360 million last year, according to Sean Murphy, editor of the Hemp Business Journal. He said it is expected to grow to $ 1.1 billion in 2020 and $ 1.8 billion in 2022.