News

The coronavirus may hit the cannabis industry

 

The economic fallout, that is. So far, the coronavirus outbreak has resulted in lower sales and some cannabis-related events have been canceled. And a lot of inexpensive cannabis hardware is made in China.

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File under: So what does this mean for the industry?

Trump’s new chief of staff, Rep. Mark Meadows (R-NC) is anti-marijuana and has  consistently opposed efforts to scale back the war on marijuana. He was one of 12 GOP lawmakers who sent a letter thanking a committee chairman for delaying consideration of a House-passed bill to increase marijuana businesses’ access to banks.

“We remain opposed to liberalizing drug laws (including around banking), and we see these as some of our areas of greatest concern,” Meadows and his colleagues wrote. “We must protect our youth by preventing investment into companies that would prey upon them.”

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Give us banking, already! 

 

So says 50 state banking associations, which demanded the U.S. Senate vote on marijuana banking legislation. The group sent a letter to the chairman and ranking member of the Senate Banking Committee on Friday, imploring them to advance a bill protecting financial institutions that service state-legal marijuana businesses.

“Although there are admittedly broader public policy questions at play, we ask that you evaluate and address this pressing banking problem, which is within your power to resolve,” the letter concludes. “Doing so will reap immediate public safety, tax and regulatory benefits while Congress continues to grapple with broader decisions about national drug policy.”

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Check out these women leaders in cannabis 

In honor of International Women’s Day, Vice looks at eight female leaders in the cannabis industry. They are  pretty amazing. 

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Photo credit: Jennifer Skog/MJ Lifestyle

Colorado Leads Members: In their own words 

Bob Eschino

President of Medically Correct, LLC

What do you/your company specialize in? 

We are one of the country’s largest infused edible manufacturers and extract companies. We specialize in quality, consistent edibles using multiple delivery methods and cannabinoid ratios for patients and customers in need.

What prompted you to enter the cannabis industry?

I watched cannabis work for my grandmother when pharmaceuticals had failed her.  It helped with her pain, appetite and sleep.  Seeing cannabis work as medicine compelled me to figure out a way to get quality medicine to patients in need.  Since that time, we have worked to get easier, safer access to cannabis for patients.  We have been on the forefront of accurate and clean product manufacturing and legitimate health alternatives.

What do you consider to be your most significant business accomplishment?  

We sell over one million products a year in Colorado alone to patients and I’m proud that we are able to help so many people.  We also employ over 100 people in Colorado and help contribute to the local economy.  We also provide assistance to our local schools and shelters, giving back to our community where we can.

What do you consider to be your most significant business failure? 

Not being able to effectively navigate the banking regulations to allow us to grow at a quicker pace.  Not having access to capital has slowed the companies growth at times.

What is your next business goal?  

To continue to help shape cannabis regulations not only in Colorado, but at the federal level as well.  I want to see the industry become federally legal, so we can help patients across the globe.

On the border

Expansion of legal cannabis markets in the U.S. has fundamentally disrupted demand for illegal cannabis imports. Overall, the amount of cannabis intercepted along all U.S. borders fell 89% from 2011 to 2019.  Along the southwestern border, where 99% of all intercepted cannabis has been collected, those incidents have decreased by 90% since 2011 Why? 

  • Consumers are increasingly transitioning to legal markets
  • As legal product options improve, consumer incentives evaporate for the purchase or jeopardy of low-quality cannabis.
  • The vaping crisis underscored risks about unregulated products.

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Related:

The DEA admits – buried within a 190-page submission to Congress – that state-level cannabis legalization reduces illegal market demand.

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Republicans – and the Kochs – for Cannabis?

Why, yes. Republican state lawmakers, a former federal prosecutor, Koch Industries, NBA champion Kevin Garnett and criminal justice reform advocates delivered a letter to President Trump, imploring him to grant pardons or commutations to people serving time in federal prison for non-violent marijuana offenses.

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I was so much older then, I’m younger than that now

Joe Biden is running to be the Democratic presidential nominee and wants to make sure you know something: He really, really, really doesn’t believe marijuana is a gateway drug. He did once, but he was younger back then (67 years old in 2010 when he said it was). 

He does continue to oppose legalization, but supports reforms such as decriminalizing possession, expunging past records, allowing medical cannabis and letting states set their own laws without federal interference. 

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Complex marijuana laws leave lawyers in legal limbo

The limbo where “legal” cannabis exists is keeping many of the country’s best lawyers and law firms from representing any business that in any way receives income from cannabis sales, no matter how tenuous.

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Under the Dome 


Senate Bill 16,
which would have required parental notification if a school employee is caught providing marijuana or alcohol to a student, died in the House Judiciary Committee. The concern among some members was that the notification was required when a person was charged, not after the person is tried in court.  

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Colorado lawmakers advance bill to eliminate the industry’s residency requirement.