Happy 4/20: The Weed Industry is Worth Billions

Marijuana legalization has challenged the classic stereotype of a stoner: A tie dye-clad college student whose Phish catalogue is only rivaled by his varied assortment of Rastafari-themed accouterments.

Today, a grandmother easing the aches of old age, a cancer patient recovering from chemotherapy or a corporate CEO unwinding after a long week could all technically be labeled as “stoners.”

United under the umbrella of marijuana legalization, all walks of life can now frequent dispensaries across the nation for their marijuana needs.

Fortunately for us, legalization administered a $5.7 billion shot of adrenaline to the heart of our post-recession economy in 2015 alone – up 24 percent from 2014. Should we continue along this trajectory, we’re likely to reach $22.8 billion in sales by the year 2020, according to a report on legal marijuana markets from Arcview Market Research.

Money really does grow on trees

There are currently 25 states with some type of legal marijuana legislation in place, with Pennsylvania joining the roster just this week (not pictured).

Twenty states including California, Michigan and New York have legalized the use of medical marijuana, permitting users with a doctor’s note or other certifications to purchase marijuana from state dispensaries. Qualifying medical conditions include headaches, anxiety, chronic back pain, arthritis and many more.

Oregon, Washington state, Colorado and Alaska fall under the “recreational” umbrella, legalizing the selling and regulation of marijuana strains and products to any licensed patron over the age of 21.

The weed dispensary industry has proven lucrative, with Colorado shops selling more than $58 million worth of pot products in February 2016 alone – almost doubling the profits of a year prior, according to the Cannabist.

On average, pot shops can bring in anywhere from $100,000 to a few million a year, depending on the size, location and surrounding culture of the dispensary.

“The marijuana industry typically benefits states through tax revenue, job creation and saving money on law enforcement and incarceration,” said Danny Danko, Senior Cultivation Editor of High Times Magazine, to GenFKD.

“A state like Colorado makes billions of dollars in taxable revenue and generates thousands of new jobs through the growing and selling of marijuana.”

Danko also sees economic viability in weed cultivation – a term that covers the growing and nurturing of marijuana plants, marijuana delivery services, doctor referrals, the making of weed concentrates or edibles and more.

Green making the green

Since legalizing medical marijuana in 2000, the state of Colorado has long been regarded as a marijuana lover’s haven.

Recreational legalization in 2012 transformed the state into a nationally recognized symbol of the weed industry’s economic prowess, with the word “Colorado” becoming nearly synonymous with “legal pot.”

Colorado currently houses over 200 licensed dispensaries and counting, which sold roughly $996 million worth of marijuana products in 2015, according to the state Department of Revenue. Taxes and licensing fees topped out at roughly $135 million for that same year.

Colorado residents have been reaping the benefits of such a lucrative marijuana industry.

“There’s five weed shops in a little strip mall on Airport road in Breckenridge — we call it AirPOT road,” said Breckenridge, Colo. resident Lindsay Sevec.

“Anyone who is 21 and older can walk in, learn about the different strains and buy whatever they want regardless of where they are from. People grow weed out of their homes, but mostly people just walk into shops and buy pre-rolled joints, candies, drinks, cookies, brownies and raw THC.”

These pot shops are all a part of what experts have dubbed “the Green Rush,” or a surge in marijuana-based business innovation. Weed industry professionals have forged new pathways within the marijuana production, distribution and tourism industries.

Interested buyers can now purchase weed-infused waxes, oils, concentrates, juices, natural medicines, sprays and your run-of-the-mill edibles throughout Colorado. Tourists can even sign up for pot tours (similar to bar crawls) or stay at weed-friendly hotels during their visit.

The future of the legalization movement

While marijuana legalization is a highly politicized topic, there’s no denying the economic potential of the weed industry.

If we were to legalize marijuana nationwide, the weed industry could bring in $100 billion by the year 2050, according to Newsmax. The Huffington Post reported that it could even overtake the popular organic food industry.

“Now that [the government] is seeing what legalization looks like in some places, they’re coming to the conclusion that it’s beneficial economically and culturally,” said Danko.

Opinions aside, legal weed could be the answer to at least some of America’s economic woes. Maybe our nation needs marijuana more than we’d like to think.

Have an opinion on marijuana legalization? Comment below or join the discussion on Facebook.