Close Menu
  • Home
  • News
  • Lifestyle
  • Law
  • Business
  • Education

Subscribe to Updates

Get the latest creative news from FooBar about art, design and business.

What's Hot

Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

May 30, 2025

U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

May 29, 2025

Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

May 28, 2025
Facebook X (Twitter) Instagram
Sunday, June 1
  • Home
  • Contact
  • Privacy Policy
  • Terms & Conditions
Facebook X (Twitter) Instagram LinkedIn VKontakte
Smoke Professional
  • Home
  • News

    More Than 1,000 Arrested in Sweep of U.K. Weed Grows

    July 8, 2023

    Scotland Calls On UK To End ‘Failed’ Drug War With Decriminalization And Harm Reduction Approach

    July 8, 2023

    Germany’s draft law for first phase of cannabis reform

    July 8, 2023

    High Times Cannabis Cup Illinois: People’s Choice Edition 2023 Kicks Off

    July 8, 2023

    Pennsylvania Committee Advances Expansion to State Medical Cannabis Program

    July 7, 2023
  • Lifestyle

    How Watching the News Can Trigger Anxiety and Panic Attacks

    October 28, 2024

    Record High Cannabis and Hallucinogen Use Among Adults

    October 27, 2024

    Weekend Sleep Catch-Up May Lower Heart Disease Risk by 20%

    October 27, 2024

    Energy Drinks Linked to Poor Sleep Quality and Insomnia

    October 26, 2024

    First Psychedelic Church for Magic Mushrooms

    October 26, 2024
  • Law

    Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

    May 30, 2025

    Federal Lawmakers Call for Medicaid Fraud Investigation Into Florida Anti-Cannabis Political Group

    May 26, 2025

    Minnesota Ends Criminal Penalties for Bong Water

    May 23, 2025

    Minnesota Bill to Set Up Adult-Use Cannabis Industry Moves to Governor

    May 22, 2025

    Pennsylvania House Passes Cannabis Legalization Bill

    May 8, 2025
  • Business

    U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

    May 29, 2025

    Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

    May 28, 2025

    Minnesota Tribe Signs Agreements to Open Adult-Use Dispensaries Off Tribal Land

    May 28, 2025

    Washington to Issue New Social Equity Cannabis Licenses This Summer

    May 27, 2025

    DEA Raid Confiscates Over 29,000 Cannabis Plants in New York

    May 26, 2025
  • Education

    CBD and the Aging Population—What Science Says Today

    March 12, 2025

    Wholesale Nootropic Skincare: Boost Your Product Line

    March 10, 2025

    Ideal for Your Business Needs

    March 8, 2025

    A Must-have For Every Smoke Shop

    March 3, 2025

    The Perfect Addition to Your Product Line

    March 1, 2025
Smoke Professional
You are at:Home»Law»Saving Oregon’s Cannabis Industry – Canna Law Blog™
Law

Saving Oregon’s Cannabis Industry – Canna Law Blog™

adminBy adminApril 1, 2024No Comments4 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest Email

Though the cannabis industry is one of America’s most lucrative new industries — with estimates that it will reach approximately $58 billion in sales by 2028 — the markets in several recreational states are suffering severe financial harm. In states like Oregon, the problems have gotten so out of hand that businesses are even pulling out of the state. And these problems are far from over.

California is probably the best example of such a problematic state, as I wrote last week. Last year, reports from the California Department of Tax and Fee Administration showed that the California cannabis industry’s total sales went down by a total of over eight percent from 2021 to 2022, which means approximately $400 million less of annual sales in a market as gargantuan as California’s — at least that was the case with the legal market, which California is doing little to protect. And according to recent sales figures for 2023, it looks like the total financial loss was even more substantial. Whereas nearly $5.4 billion in total sales occurred in 2022, a full $250 million less in overall sales when compared to the already troubled year of 2022. Unfortunately though, California’s problems are only a microcosm of the greater issues that the other states face or will soon face.

Oregon is not much better off. Its cannabis industry has been experiencing its own significant financial issues. Along with freefalling retail prices, Oregon’s cannabis industry has experienced a very similar pattern of two consecutive years of declining sales — just like California. And although Oregon’s market isn’t as vast as California’s, the proportionate financial losses are still just as observable.

Outright, the Oregon cannabis industry only broke $1 billion in total annual sales once, that being during the aftermath year of the pandemic that was 2021. In that year, the Oregon cannabis industry’s total sales peaked at a staggering $1.2 billion. Since then, total sales have continuously and noticeably dropped throughout the state. In total, licensed cannabis retailers in Oregon sold approximately $944 million worth of cannabis products in 2023, down a considerable $39 million from 2022, which itself was already a year of declined overall sales.

While the usual suspects are at play when it comes to the continuing decline of the Oregon cannabis industry, such as their own illicit market issues to big cannabis companies exiting the state, a then-progressive decision made during the state industry’s infancy may be a major culprit in the current widespread problems and struggles plaguing that very industry. While other states such as Nevada and Washington put a limit on how many recreational cannabis licenses could be allocated, Oregon didn’t implement any such restriction.

Although this was a unique regulation at first, the aftermath was a gross market oversaturation seen in almost no other state of its size. In total, Oregon has approved an astonishing 3,000 licenses for cultivation, production, or retail sales of cannabis. For a state with a population of 4.2 million and a tourism industry that doesn’t reach the magnitude of other west coast states, it shouldn’t require an economics degree from an Ivy League school to see why this would cause significant issues. This fierce imbalance of supply and demand made overall retail prices decrease to historic lows also not seen in any other state’s legal industry, with the average item price dropping $15.01 in February 2023 to $13.93 in February 2024 according to data aggregate site Headset.io.

From both a total sales and simultaneously a job creation standpoint, Oregon has suffered tremendously over the past year due to many high-profile exits from the state’s slumping industry. We expect to see even more exits, downsizing, and restructuring in the coming months as businesses struggle to stay afloat and make ends meet.

The oversaturation of Oregon’s cannabis industry is on the front end of problems the state and interested parties are trying to address. Moratoriums have been set up over the years starting in 2018 to cease from assigning further licenses, and the Cannabis Industry Alliance of Oregon (CIAO) is requesting that lawmakers and officials with the Oregon Liquor and Cannabis Commission continue this most recent moratorium set to expire in April. The bill has already passed through both houses and CIAO believes it will be signed by the Governor.

While there’s no way to directly address and possibly remedy the millions in total lost annual revenue, the moratorium on licenses may provide a small but assured remedy to the substantial problems that the Oregon cannabis industry has continuously been facing. Or at least it might be a first step. Oversaturation is certainly not the only problem facing Oregon’s cannabis industry, but if it is not addressed it could be devastating.

Source link

Blog Canna cannabis industry Law Oregons Saving
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
Previous ArticleThe Grand History of Cannabis
Next Article Entering The Chambers Project / Experiencing the Godfathers Show
admin
  • Website

Related Posts

Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

May 30, 2025

U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

May 29, 2025

Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

May 28, 2025

Comments are closed.

Our Picks

Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

May 30, 2025

U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

May 29, 2025

Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

May 28, 2025

Minnesota Tribe Signs Agreements to Open Adult-Use Dispensaries Off Tribal Land

May 28, 2025
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo
Don't Miss
Law

Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

By adminMay 30, 20250

Republican lawmakers in Ohio are seeking to make changes to the 2023 cannabis legalization law approved…

U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

May 29, 2025

Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

May 28, 2025

Minnesota Tribe Signs Agreements to Open Adult-Use Dispensaries Off Tribal Land

May 28, 2025

Subscribe to Updates

Get the latest creative news from Smoke Unlimited about Weed & CBD vaping.

From Our Partners
About Us
About Us

Get all the current news stories, latest trends and legislation regarding cannabidiol, products, usages and its benefits. So don’t miss out any buzz and stay tuned! We offer a minute to minute updates regarding Marijuana industry.

Facebook X (Twitter) Instagram Pinterest
Our Picks

Ohio GOP Seeking to Change Voter-Approved Adult-Use Cannabis Law

May 30, 2025

U.S. Court of Appeals Rejects Legal Challenge Claiming Cannabis Prohibition is Unconstitutional

May 29, 2025

Montana Gov. Signs Bill Reserving $12M of Cannabis Tax Revenues for ‘Habitat Legacy Account’

May 28, 2025
Sponsors
Copyright © 2025. SmokeProfessional
  • Home
  • Contact
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.