In the U.S. alone, just in the past couple of years since legalization, states like Washington and Colorado have seen better sales than predicted, resulting in rather handsome tax revenues being generated.
In Colorado, the state collected more than $302 million in fees and taxes from marijuana sales in 2019. That same year, experts estimated sales in the entire continental U.S. at roughly $12.2 billion.
What’s more is that, beyond 2021, cannabis sales in the U.S. are expected to reach up to $31.1 billion by the end of 2024 and into 2025.
For countries such as the U.S., the cannabis industry is poised to become a sector that can help the national economy recover from the uncertain economic conditions left in the wake of the COVID-19 pandemic.
In fact, according to New Frontier, the cannabis company suggests that federally legal pot could generate more than a million jobs and an additional $105.6 billion in aggregate federal tax revenue by 2025.
But even with such impressive predictions for the future, there’s still a lot of work to be done for the cannabis industry as a whole. The Challenges Ahead For Cannabis Brands Whether farmer, wholesaler, retailer, consumer, lover, or hater, the laws and regulations that continue to shape the industry will affect everyone.
As a growing number of states and international jurisdictions develop their industries, businesses should expect to see changing regulations surrounding the import and export of cannabis products, resulting in potential price fluctuations at an industry level.
Consumers should expect to see fluctuating cannabis prices. But in general, countries such as Canada have seen an overall decline in cannabis prices since it first legalized pot back in 2018.
We also believe that the ongoing development of the cannabis industry will continue to see an increase in business mergers and acquisitions with businesses from other sectors, such as the alcohol, tobacco, food and beverage industries.
For instance, it wouldn’t be all that unexpected to see restaurants or other establishments serving cannabis products in the future, much in the same way beer, wine, and different kinds of alcohol are served.