Last week, the U.S. Department of Agriculture (USDA) approved Florida’s plan to let farmers grow hemp in the Sunshine State.
On Thursday, the USDA announced the approval of Florida’s and Kansas’ plans for hemp production.
March was a strong month for pot sales. As the coronavirus pandemic put consumers on edge, many people loaded up on cannabis, presumably in anticipation of prolonged stays at home. However, the data suggest that sales surged during the first half of the month, while sales began to decline toward the end of the month. Some industry experts went so far as calling pot "recession-proof" and similar to alcohol in its resiliency.
Alan Brochstein, founder of 420 Investor and New Cannabis Ventures, joined Benzinga’s PreMarket Prep show Monday to discuss how the cannabis industry and its main players are navigating the looming recession.
In recent weeks, some financial commentators have viewed the recent spikes in cannabis sales as a predictor of a bright future for the industry. Brochstein’s expectations paint a less rosy picture for cannabis companies.
Efforts to put recreational marijuana on the ballot in Missouri were suspended Wednesday because of the coronavirus, but the state says it still hopes to meet its goal of having medical marijuana available by this summer.
"We had hoped that it might be possible to persuade the state of Missouri to allow online signature gathering under the extraordinary circumstances we find ourselves in this spring," said Dan Viets, coordinator for Missouri NORML.
Marijuana investors have seen a massive erosion of wealth over the past 12 months. Companies in the cannabis sector were expected to consolidate sales in a high-growth market in 2019; instead, they were affected by lower-than-expected growth, high inventory levels, regulatory issues, health concerns arising from the use of vaping products, and more.
In a time when there seems to be little good news in agriculture, hemp is offering hope for Leigh Barry. While the Minnesota grower’s vision for growing hemp on his traditional corn, soybean, and alfalfa operation began about three years ago, 2019 marked his first season growing this new, yet old, crop for CBD.
The Florida Supreme Court for the first time will hear arguments via teleconferencing as a precaution because of the coronavirus outbreak, the court announced Tuesday.
The arguments scheduled for May 6 include an advisory opinion on whether a recreational marijuana ballot proposal can go before voters in 2022. Justices will also hear arguments on whether the state's tight regulation of the medical marijuana industry violates the state constitution.
The cannabis lobby is flexing its muscle in Washington and seeking aid for small businesses in the next coronavirus relief package.
The marijuana industry has already found help at the state level. Twenty states, the District of Columbia and Puerto Rico are allowing medical cannabis dispensaries to remain open during the pandemic, and eight states allow both licensed recreational and medical cannabis dispensaries to operate. Cannabis groups are pushing for more states to allow legal marijuana markets to remain open and are seeking funds in state aid packages.
As the coronavirus spread across the country in March, and stay-at-home orders began to go into effect, every state with a regulated cannabis system allowed weed sales to continue in some form, deeming medical-marijuana businesses
Before it ends, the coronavirus crisis described by the U.S. government as "our Pearl Harbor moment" will likely kill hundreds of thousands of Americans while the nation sinks further into recession, if not a full-blown depression. Small businesses will shutter. Hourly workers will become homeless. Unemployment will continue to soar, exposing a fragile system left in place after decades of globalization.
