Emerging Cannabis Markets

New Cannabis Opportunities Abound

Cannabis sales data from 2020 is in, and BDSA announced that the global cannabis market reached nearly $21.3 billion in 2020, an increase of 48% over 2019.

In any year, this growth rate is admirable but to have this growth during a global pandemic in 2020 shows the resilience of the cannabis sector.

Global cannabis sales are projected to reach $55.9 billion in 2026, equating to more than a 17% Compound Annual Growth Rate (CAGR) from 2020. This past election gave new momentum to the Cannabis Industry, propelling it toward the future of broader legalization that continues to unfold.

In November, voters approved legalization ballot measures in Arizona, Mississippi, Montana, New Jersey, and South Dakota. Since then, lawmakers across the country are developing and passing legislation to expand existing programs and create new ones.

After November’s election, the momentum toward broader legalization continues to build. Lawmakers across the country are developing and passing legislation to expand existing programs and create new ones. Below are some of the current emerging opportunities across North America.

Arizona

  • Before the March 9, 2021 deadline, three-hundred and seventy-seven (377) applicants, each paid a $25,000 non-refundable application fee to the state for a chance at thirteen (13) new Marijuana Establishment licenses. These licenses are for sparsely populated counties with fewer than two (2) licensed Marijuana Establishments.
  • The Arizona Department of Health Services is currently developing the rules for twenty-six (26) social equity Marijuana Establishment licenses. Municipalities are tasked with setting local regulations prior to April 5, 2021, and draft social equity rules will most likely be released in April.
  • Considering there are only one-hundred and thirty (130) licensed Marijuana Establishments to date and there were nearly four-hundred (400) applicants for thirteen (13) licenses in rural counties, the social equity licenses will be extremely valuable. The upcoming social equity licensing round will be the last chance to get into Arizona’s cannabis market for quite some time.

California

  • Nearly fifty (50) municipalities are in the process of developing and implementing commercial cannabis ordinances, including Costa Mesa, Encinitas, and Monterey.

New Jersey

Massachusetts

  • Marijuana Courier (delivery-only) licenses are currently available for social equity applicants.
  • Marijuana Delivery Operator licenses (wholesale purchaser and delivery business) are in the works and will soon be available to social equity applicants.

Michigan

Mississippi

Virginia

Additional States

Mexico

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