Cannabis Insights | Legalization, Houseplant Launch With $CGC, & Beverage Sales

03/02/21 09:53AM EST

Below is a brief excerpt from a complimentary research note written by our Cannabis analysts Howard Penney and Daniel BiolsiWe are pleased to announce our new Sector Pro Product Consumables Pro. Click HERE to learn more.

Cannabis Insights | Legalization, Houseplant Launch With $CGC, & Beverage Sales  - 3 2 2021 9 49 37 AM

New Mexico House passes legalization bill

The New Mexico House of Representatives passed marijuana legalization for the second time on Friday. The bill now passes to the state Senate, which will have three weeks in the session to consider it. In 2019 the bill never made it to a full floor vote in the Senate.

The bill would legalize the sale of cannabis to adults over 21. It is estimated that sales in the third year would produce more than $44M in state tax revenue and $24M in local revenue from an 8% state excise tax and 4% local tax.

The bill would also expunge past criminal convictions for offenses that would be legal under the new law. 

Houseplant CA launch (CGC) 

"Pineapple Express" actor Seth Rogen announced that the company he co-founded, Houseplant, is launching in the U.S. The company will launch with marijuana flower and ceramic home products in California next week.

Houseplant was founded in May 2019 and is partly owned by Canopy Growth. The Houseplant website crashed after the actor tweeted the launch announcement. The actor is well known by his fans for his fondness for cannabis. 

Cannabis beverages pick up

Across California, Colorado, Nevada, Oregon, and Washington cannabis infused beverage sales have outpaced the total market in 2020 and have continued in 2021. Last year cannabis infused beverage sales grew 40% as seen in the following chart. 

Beverage sales still have a small market share at 1.2% of cannabis sales, but have gained share in the past year after being at about 1% for several years.

Several manufacturers have been working to improve both the taste as well as onset which appears to have made the product more popular. 

Cannabis Insights | Legalization, Houseplant Launch With $CGC, & Beverage Sales  - cannabis insights 3121

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