While the overall record-breaking sales and revenue numbers don’t tell the entire picture about the cannabis industry, they do paint an illustrative picture about the economic benefits legal cannabis bring to Oregon. After back-to-back record breaking sales months, the Oregon cannabis industry topped $110 million in sales for the very first time last April, with adult-use transactions crossing the $100 million mark and medical sales adding about $10 million. While April 20th always sparks cannabis sales, as Pete Danko at the Portland Business Journal reported, business is booming beyond just connoisseurs stocking up for celebrations:
“With the 4/20 cannabis “holiday,” April always brings big promotional efforts by retailers. But sales this April were 23% higher than last year and a whopping 77% higher than April 2019.
“For the first four months of 2021, sales are running 31% above last year, at $409.4 million.
“About 91.2% of that total, $373.4 million, was spent on adult-use products that are taxed at 17% by the state and 3% by cities or counties. Medical sales are not taxed.”
And as MJBizDaily found, the economic impact of the cannabis industry goes far and beyond just the total sales numbers:
“In this case, for every $1 consumers and patients spend at retail locations, an additional $2.50 will be injected into the economy, much of it at the local level.
“That impact comes directly from the day-to-day needs of workers in the cannabis industry, including spending on life’s necessities such as housing, transportation, entertainment and more.
“Marijuana businesses, consumers and patients also pay hundreds of millions of dollars in state and local taxes that are used to fund state and local government activities, including schools and roads.”
According to analysis from the the recently published 2021 MJBizFactbook, the Oregon cannabis industry will generate over $10 billion for the state over the coming years, bringing in nearly $1,500 per resident. On a per capita basis, the Beaver State ranks among the highest, with Nevada topping the list at about $1,900 per citizen. While California reigns supreme on bulk numbers, per capita the Golden State’s industry contributes a little more than $500 of economic impact per person.
It’s rather amazing how well the Oregon cannabis industry has done overall, especially considering how entrepreneurs have had to endure a lot of regulatory hurdles. Throw in federal prohibition, a lack of banking services, and the ridiculous 280e IRS tax code, and it is a testament to Oregonians hard work, dedication, and perseverance that craft cannabis boutiques like Kind Leaf have managed to survive and thrive. With momentum clearly on the cannabis community’s side, the future’s looking brighter and brighter. And greener and greener.
When you shop at Kind Leaf, you are helping spur the local economy and supporting a small business that gives back to the local community. Come see the best selection in the Great Northwest or order online via Leafly pickup. There are always great deals for everyone and discounts for military veterans, OMMP patients, and all senior citizens.