With the 2020 elections just a week behind us, a number of US states are now open to the realities of marijuana legalization and the potential economic benefits of the cannabis industry. Reports show that 18 states have used this year’s ballot as a tool for easing up their state laws on marijuana use and possession.
States such as Montana, New Jersey, and Arizona voted on legalization of cannabis while Mississippi sought to legalize the use of marijuana for medicinal purposes. On the other hand, the State of South Dakota voted on the enactment of both medical marijuana and recreational programs.
The President-Elect’s Stance on Marijuana
President-elect Joe Biden, and future vice president, Senator Kamala Harris, have promised reforms on decriminalization and expungement of all marijuana-use convictions. Additionally, the Biden-Harris administration intends to put a stop to incarceration of drug use solely.
One major win from the current regime was the lifting of barriers such as restrictions to banking services, crop insurance and water rights that hemp farmers faced. Even though during the 2016 campaigns the Trump administration had indicated that it would give states the power to decide on marijuana, it has since implemented some hostile legislation against the cannabis industry. These include ending safeguards for state medical cannabis legislation in the 2021 fiscal budget proposal and implementing unfavorable policies that prevent immigrants who are employed in the marijuana industry or consume cannabis from applying for US citizenship. Perhaps the new administration will reverse some of these damaging positions on the cannabis industry.
What Should Cannabis Producers Expect After the 2020 Election?
The coronavirus pandemic effects have negatively impacted many states across the US, forcing them to seek alternative sources of income. This is the reason why so many states took to the ballot regarding recreational and medicinal marijuana. Similarly, the Biden-Harris administration is more likely to favor cannabis producers by giving them the ultimate 280E tax reform through the States Act. Should this happen, cannabis businesses will enjoy tax reductions on their expenses like their counterparts in other industries. Cannabis producers would be the biggest beneficiaries because of increased demand.
Even with stalled progress of federal legalization of marijuana, interstate compact deals for the industry are underway. The Alliance for Sensible Markets are campaigning for states that have legalized or are in the process of legalizing marijuana to start cross-state trade with proper frameworks for transportation and marketing of their cannabis products. If this campaign succeeds, the states will present their compact agreements to Congress for codification. This would portend huge investments for cannabis producers.
In the long run, cannabis business has the potential to transform the economies of several states. The impact of the recent election will determine whether or not the cannabis producers will grow and access banking services as well as enjoy tax reprieves or continue waiting for favorable laws.
How Cannabis is Used?
There are several points of reference to consider when talking about how cannabis is used by those who buy it. Among the main alternatives it is possible to mention the purchase of cannabis with the aim of increasing relaxation and addressing the problem of insomnia, which has increased a lot since the health emergency broke out.
The emergence of a new market needs to which the world of cannabis is able to respond is also interesting. What are we talking about? Masks. Thanks to hemp fiber, a plant that by virtue of its sustainability requires very little water resources, it is possible to make washable masks and, consequently, useful for the wallet.
The changes that have invested our lives in recent months have not overshadowed some historical products for cannabis connoisseurs. We are obviously talking about the inflorescences, characterized by an aroma much appreciated by true cannabis enthusiasts.
A dutiful mention must be dedicated to cultivation. More and more people are choosing to undertake this home ‘adventure’. Doing so is legal. What matters is to have the certificate of registration of the seeds in the European Seed Register issued by the trusted dealer or e-commerce. As for the cost of the kits, we point out that the price varies a lot, but that with a few hundred euros you can appreciate great satisfaction.