March 21, 2016 Budly

Cannabis Industry projected to top $40 billion by 2020

45ab60a0-ea0a-11e5-8f99-cf5ffbf339aa_Marijuana-econ-impactIt’s no surprise that the legal weed business is blooming (no pun intended).

Marijuana Business Daily recently published its annual report on the U.S. cannabis industry and predicts up to $44 billion in economic impact by 2020. They have been producing this publication since 2012 and they predicted $14 billion to $17 billion in impact for 2016. This very comprehensive report accounts for all the fringe benefits the industry produces from light manufacturers, grow properties and transport, just to name a few. Their rough estimate is that for every dollar spent directly on the marijuana economy that it adds $3 for all the support services.

All this positive economic impact though hinges on many varying factors and most notably the next federal election.  While most Republican leaders mostly oppose the legal cannabis industry, front runner Donald Trump though commenting about his pro stance to medical marijuana, there is still potential to see all this progress come to a screeching halt.

However should we be fortunate to see another Democratic president things are looking good.  While Hilary Clinton isn’t pro to completely legalizing cannabis, she isn’t against it either.  Bernie Sanders though is an industry advocate and leading the charge for a completely legal and federally regulated industry and finally putting and end to the enormous failure that is the “War on Drugs.”

With the momentum on the side of legalization, 24 states and DC now having legal cannabis industry, things are looking good.  More regulation will bring more certainty and more safety. President Obama has given financial institutions the go ahead to start accepting deposits from the legal weed industry. As the industry moves forward the financial benefit to the country will be huge and we look forward to welcoming all this progress and the projected $40 billion it will add to the economy.

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