The DEA’s August 11, 2016 decision not to remove marijuana from Schedule 1 of the Controlled Substances Act will affect different players in different ways. The DEA Drug Schedule web page states: “Schedule I drugs, substances, or chemicals are defined as drugs with no currently accepted medical use and a high potential for abuse.”
Who are the different players in the new marijuana industry?
The DEA’s decision affects growers, dispensaries, extraction companies, patients and other consumers, all those employed by the new industry, and the states whose economies have been positively impacted by the sale of marijuana products.
In addition, big business is watching and waiting for an opening to be a player. California’s legal market for cannabis, currently at $2.7 billion, is predicted to grow to a $6.4 billion market by 2020, when including both medical and adult use markets. Markets will increase even more as users who are now buying illegally switch to legal purchases.
Growers and Dispensaries
The longer the DEA holds off on making the decision to reschedule marijuana, the more marijuana growers will benefit. They will enjoy a market unfettered by large corporations which will not enter the market until it is legal to sell across state lines and America’s borders. California businesses will also benefit because current high prices at $2,000 per pound will not be compromised for years to come as competition heats up slowly and deliberately without the aggressive competition of, for example, the large tobacco companies.
Tips for Entrepreneurs
The cultivation side of marijuana involves entrepreneurs who follow up on each city that passes ordinances allowing medical use to take advantage of variations in the new laws. Entrepreneurs should shop the various cities for the best deals, the most cooperative city apparatus, utility companies and most convenient location for their executives.
As you scout new locations where medical marijuana has been legalized, remain aware and concerned about the level of assistance the city can provide; it can make or break an enterprise.
Looking for Desert Hot Springs and Coachella Valley Cultivation or Dispensary Properties and Info? Contact Rick
If you are interested in finding cultivation or dispensary properties in the Desert Hot Springs, CA or the greater Coachella Valley, contact Rick Teisan here or call 760.835.8363