California’s impending legal cannabis market could mean a $5 billion boost for its economy, a new state-sponsored study by the University of California Agricultural Issues Center has revealed.
About 29 percent of all cannabis consumers, however, may continue to fuel the illegal market at the get-go to avoid the costs of new regulations that require cannabis to be tested, tracked and taxed at 15 percent of its retail value.
Officials hope to eventually bring the grand majority of consumers on board with the legal market, according to Lori Ajax, director of the state Bureau of Marijuana Control.
“It’s going to take some time,” said Ajax, whose department hired the center to predict the economic impact of the new regulations.
“While it’s unlikely that everyone will come into the regulated market on Day One, we plan to continue working with stakeholders as we move forward to increase participation over time.”
State officials are on track