US cannabis sales reached record levels over Thanksgiving weekend, prompting industry forecasts to signal a combination of COVID-19 concern and a trend toward legality has triggered a permanent upsurge in demand.
After official sales remained sluggish, purchases ceased in March and early April, and consumers resorted to the drug when they suspected supply disturbances.
Although many had expected the initial gains to fade, monthly sales have broken records.
One of the top cannabis data aggregators and research companies, Akarna said Green Wednesday sales, known as the eve of Thanksgiving, climbed 80% above the daily average this year, capturing an all-time one-day record took.
The company’s calculations are based on data collected from its partner dispensaries in 19 US states and adjusted for a full-market project, up nearly 14% over the previous year, to about $ 238 million during the Thanksgiving weekend. Shows total cannabis sales.
By keeping people at home, limiting their entertainment options and adding to stress, the epidemic has helped drive demand for too much cannabis for the year.
Four out of 10 users increased their overall consumption and more than half said they turned to cannabis to improve mental health, an advance copy of a report from research firm New Frontier Data, published the following week Have to go, shown.
‘Remembered in Jesus’
Even though COVID-19 vaccines may bring back degrees of normality, insiders and observers say that by 2020, like many other fields, the cannabis industry is likely to mark a watershed.
Chief executive of cannabis consultancy Siva Enterprises, Avis Bulbulan, said, “The shutdown brought a real ‘moment for Jesus for a lot of stakeholders.” “Consumer acceptance went through the roof.”
As a result, operators upgraded their plans and attracted mainstream investors who had previously shown little interest in the nascent industry.
Further legality came from state regulators’ decision to designate cannabis retailers as “essential businesses” during the lockdown, and in the U.S. elections on November 3, an initiative to legalize recreational or medical marijuana, which five states Sent via ballot. .
Thirty-five states allowed the use of medical marijuana, with few restrictions, and 15 states, as well as the District of Columbia, have legalized their recreational use.
However, the opposition states with some groups that it causes addiction and that not enough research has been done to prove its therapeutic benefits.
The states of Idaho and Nebraska have restrictions. Activists are seeking votes in favor of cannabis to try to repeal them in the 2022 midterm elections.
Stuart Titus, an early cannabis investor and CEO of Medical Marijuana Inc., says 2021 could be the year that cannabis becomes readily available in the form of alcohol and tobacco.
“In no time at the restaurant, consumers will have the choice of an alcoholic beverage or a cannabis-based drink,” he said.
Federal years state
Marijuana is illegal under federal law, which has limited the industry’s access to banking services and financing.
Vice President-Elect Kamala Harris’ has promised to bring that change and reducing weeds is part of the platform of Democrats.
Industry insiders acknowledge that it can take years for any changes to make their way through the legislative process, but changes in sentiment are moving more quickly.
Gallup polling in November showed support for marijuana legalization at 68% support, the highest level yet and above 66% last year.
At the same time, a separate Gallup poll found that 70% of American adults consider smoking marijuana to be “morally acceptable”, an increase of 5 points a year.
Solid prominence for legitimacy in traditionally conservative states, such as North and South Dakota or Missouri, could also help win over Republican lawmakers and local politicians, said Steve Allen, chief executive of California-based parent company The Parent Company .
“With many Republican senators now representing states that have passed cannabis legalization measures by a wide margin, we will likely see increased support from Republicans for federal cannabis reforms.”
Acarna CEO Jessica Billingsley said her company received a record number of research requests from state governments that lost tax revenue and were looking for new sources of income due to the trade-off during the epidemic.
“Lawmakers see the legalization of cannabis as a great way to shield their balance sheets and provide employment during their uncertainty,” she told Reuters.
Experience in Canada may yet serve as a cautionary tale.
It became the first major country to legalize recreational weed in 2018, but industry expectations were dashed by oversupply, black markets and lack of profitability.
Producers and research firms say the United States is better placed to succeed due to greater awareness of potential markets, new products, and the therapeutic benefits of cannabis.
“Being used as a recreational drug is being understood as a complex compound with a long list of potential benefits for both mind and body,” said Allen of the parent company.
(This story has been published from a wire agency feed without textual modifications. Only the title has been changed.)
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