The first third of 2021 has already brought massive changes and progress on a slew of cannabis initiatives. In a four-week period between the end of March and mid-April alone, lawmakers in three states approved bills for adult-use legalization, and the U.S. House passed the SAFE Banking Act for the third time. Eighteen states have now legalized cannabis for adult use.
Several other states are on the cusp of ushering in their own full legalization initiatives, including Minnesota and Connecticut.
Although these sweeping changes present opportunities for established cannabis companies and those aspiring to join the industry, there are still many details to iron out in both states with approved measures and those yet to get the green light.
One example is New York, which has a regulated market projected to reach $4.2 billion by 2027, according to data prepared by MPG Consulting for the New York Medical Cannabis Industry Association and reported by Forbes. All eyes are on The Empire State, which up until this point has operated a restrictive medical program with only 10 licensed, vertically integrated companies and 148,500 registered patients in a state with a population of 19.45 million.
“Right now, the thing that we are really just anxious about but can’t really comment on is regulation, or how this is going to work,” Hillary Peckham, chief operating officer of New York-based Etain, noted in The Last Word interview. “There are still a lot of unanswered questions that I think have left everybody in limbo.”
While many focused on the provisions of the New York bill that legalized cannabis for adults 21 and over, Peckham noted the important improvements to the medical program—namely expanded access for patients and that medical dispensaries will soon be able to offer whole flower. But details on how the newly created Office of Cannabis Management will oversee both the medical and adult-use programs remain to be seen.
In Montana, where voters approved adult-use legalization in the November 2020 election, Republican lawmakers introduced three competing bills to determine exactly how to regulate the new program. Democrats criticized the measures over concerns the bills do not align with what was outlined to voters.
Beyond legalization, the legal cannabis industry continues to adapt as knowledge increases about the cannabis plant and its potential. One hot topic widely covered by industry and consumer publications since January is delta-8 THC. Products containing the cannabinoid are becoming increasingly popular and easy to access, although there is skepticism about its legality. There also are questions about delta-8’s potency and its market potential. Drs. Allison Justice, Markus Roggen and Miyabe Shields examine what is known about delta-8 from published research and what remains to be determined in a guest column.
If the first part of the year is any indication, then 2021 will see broad legislative changes and a still young industry continuing to evolve.
