It’s crazy to look at how things have changed over the past few decades when it comes to the cultural acceptance of cannabis.
A sweep of legalization for even casual marijuana consumption has occurred across much of the country. This shift in outlook towards the product seems like it will continue.
The cannabis market is only going to continue to grow over the next few years. It’s already come quite a long way. It doesn’t matter whether you’re hoping to get into this kind of business yourself or you’re only curious about the nature of the industry. It can be helpful to understand how the business has changed.
Cannabis companies are existing in a very different world in 2022 than they have in years previous. What all has changed? Read on, and we’ll walk you through what you need to know.
Table of Contents
A Look Back
Let’s take a walk back, a journey through the past, to the cannabis reality of yesteryear. When President Barack Obama won the presidency back in 2008, the state of marijuana sales across the US was very different than how it is today.
At that time, a measly 13 states had legalized the use of marijuana, though for medicinal purposes only. At the time of his swearing-in? Exactly zero states across the country were permitting the use of marijuana in a recreational manner.
This was despite the fact that marijuana had taken up a central role in the public consciousness of the American spirit. Marijuana use was common to see in films and television, sung about in music, and was still a favorite pastime of the teenage generation.
This would eventually lead to a change over the course of the Obama presidency. By the time Obama was out of office and President Donald Trump was sworn in, the number of states allowing medical marijuana had doubled. 28 states, and D.C. itself, had now permitted the use of cannabis for medical reasons.
It wasn’t too long after the Trump inauguration that the first steps towards recreational legalization occurred. Vermont, actually, was the first to take such a step. The state legislature of Vermont passed a recreational legalization bill in 2016, though it was vetoed and shot down by the governor.
This bill was evidence that the times they were a-changing. Many states around the country began to consider the potential benefits of introducing their own legalization bills.
Public Opinion Soars
The introduction of legalization bills into the public consciousness coincided with a surge of positive public sentiment towards these legalization efforts.
Public support polls came back overwhelmingly in favor of the legalization process, and with it, more pressure was put on government officials standing in the way of these new bills.
As more legalization efforts were put underway, there was increased pressure on the federal government to consider their own outlook on cannabis. For decades, cannabis use of any sort was strictly prohibited. Federal punishments for the possession and sale of cannabis were strict and severe.
With legalization underway, there was more urgency for the public for the federal government to step in and provide a more consistent pathway towards safe regulation. While the federal government still has not completely changed its outlook on cannabis products, changes are expected to be made soon.
Cannabis Companies & Industry Growth
For years, the growth, transport, and sale of marijuana was a shadow operation conducted outside of the eyes of the law. Today, with legalization efforts paving the way towards a very different future, the layout of the industry is going to change completely.
The cannabis industry has grown dramatically in size in the past few years alone. Legalization has a big part to do with this, but it’s really what that legalization has led to.
The idea of a legal cannabis market has made many looking to make their fortunes get interested in stepping into this huge emerging market.
For this reason, millions and millions of dollars from venture capitalists and other investors have flooded into the market.
At this moment in time? Many of these new companies are still somewhat hampered by the refusal of the federal government to come around on cannabis reform. It can be hard to do business with the threat of federal punishment hanging over you.
Cannabis companies both big and small have begun to pop up in states where recreational use has been legalized. Within a few years, it will be common to see cannabis dispensaries on street corners in these states, in fact, early adopters such as Colorado already have them.
These dispensaries will sell various strains of marijuana but also all sorts of cannabis-adjacent products. That could be everything from bongs to the much-loved blackbird rolling machine.
Global Cannabis Market Changes
It isn’t just in the United States. The legalization and sale of cannabis products are advancing worldwide as well. The sales of cannabis globally are expected to nearly double between 2020 and 2025.
That’s a huge amount of growth, with the global cannabis industry being expected to hit highs of nearly $34 billion dollars. It could be closer to $100 billion by the end of the decade.
Those looking to break into the cannabis business will need to contend with IPOs and huge cannabis companies that are looking to create something of a global empire. Mergers with cannabis companies mean that even huge national brands are looking to take up some of this massive global market.
Changes in the Cannabis Market
If you’re looking to make a dent in the emerging cannabis market, you’ll want to understand the history of how we came to the present moment. The above information can help you to get up to date on what the cannabis market looks like today and why.
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