The status of legal cannabis varies widely state by state. Federal legalization could radically change that, ushering in a wave of innovation, tax revenue and billions in new capital.. The president pardoned people with simple federal cannabis possession convictions and ordered an administrative review of cannabis’ status as a banned drug.Today, 21 states and the District of Columbia allow legal recreational use.
Investment bank Cowen estimated U.S cannabis sales at $27 billion in 2021. New states are pushing sales totals higher, and more are on the way, including New York. The state hopes to begin retail sales by the end of the year, birthing a market that by one estimate could top $1 billion in 2023 and exceed $4 billion in 2027.
There is no national repository of cannabis sales data. State data is rarely comparable and is murky as markets shift from medical to recreational sales. To assess the cannabis economy as it is now, the Business Journal collected tax, revenue and dispensary information from state governments, supplemented by research firms and other private sources. To enable comparisons, the Business Journal estimated some sales figures by combining recreational and medical sales.