House passes legislation to expand cannabis research.
The Medical Marijuana Research Act, which would expand the number of federal cannabis research producers and allow scientists to study cannabis produced within legal state markets, passed the House on Monday by a 343-75 vote. The same bill passed the House in December 2020 by a voice vote. Cannabis research is virtually non-existent dues to the fact marijuana is a Schedule I drug on the CSA. Scientists have been pushing for years for the federal government to expand and improve its production of cannabis for federally-approved medical research. The Senate passed its cannabis research bill last month, but the two bills are different. The Senate's bill, for example, does not include a process for scientists to acquire and use cannabis produced within state markets. I suspect the procedural process for bringing the two bills together will take some time.
Cannabis Industry Sales SLOW in MARCH
For March and 1Q22, MA and IL saw a significant slowdown in Adult-Use sales YoY. On nearly every earnings call, most companies were cautious about current sales trends, but the pace of the deceleration in two essential limited licence states is a concern.
Illinois Sales Tracker
- Illinois Adult-use sales in March slowed to +20% YoY from +41.2% in February but increased by +14.9%, MoM
- For 1Q22, Adult-use sales in IL slowed to +30% YoY from +61% in 4Q21
Massachuttes Sales Tracker
- Massachuttes Cannabis sales in March slowed to +23% YoY from +48% in February and increased 5% MoM (Hedgeye Estimate).
- For 1Q22, Adult-use sales in MA slowed to +33% YoY from +51% in 4Q21
