New Rules, Old Challenges: California’s Cannabis Industry Grapples With Regulations
Ahead of the Benzinga California Cannabis Market Spotlight event this November, it’s crucial to understand the history and current status of California’s cannabis industry.
As one of the most complex legal markets in the U.S., California has experienced both progress and ongoing hurdles since legalizing medical marijuana in 1996.
Here’s a breakdown of how the state became a leader in cannabis legalization and the latest issues shaping the market.
See Also: THC Potency Isn’t Everything: Here Are Some Strategies To Deal With Industry Challenges
California’s Cannabis Journey
California’s cannabis story began with the approval of Proposition 215 in 1996, making it the first state to legalize medical marijuana. In 2016, the passage of Proposition 64 legalized recreational use for adults, marking a major shift in cannabis policy. Legal sales for recreational use officially began on January 1, 2018, setting the stage for California to become the largest legal cannabis market in the U.S.
Despite its pioneering role, California has faced persistent challenges. One of the most pressing issues is the illicit market, which continues to compete with legal businesses. Enforcement efforts have intensified, as seen in the recent announcement that the state’s Unified Cannabis Enforcement Task Force seized over $120 …