You could buy more cannabis in Nevada if a proposed law gets passed

Published: May. 4, 2023 at 7:48 AM PDT
Email This Link
Share on Pinterest
Share on LinkedIn

LAS VEGAS, Nev. (FOX5) - You could buy more cannabis in Nevada if a proposed law gets passed, as cannabis businesses are calling for more purchasing power at the register in response to a slump in sales and impact on jobs.

If SB 277 is passed, customers could purchase up to 2.5 ounces of cannabis flower, up from 1 ounce per current state law. Customers could purchase 7 grams of concentrate, up from 3.5 grams currently.

Nationwide, the once-booming green industry is undergoing its own economic slowdown. In Nevada, sales ballooned from $685 million in 2020 to $1 billion in 2021, dipping to $965 million in 2022.

According to month-to-month data from the Cannabis Compliance Board, sales for the 2023 fiscal year were $87,661,731 from July 2022 to February 2023. By comparison, sales for the 2022 fiscal year during the same timeframe were $100,379,173-- a 13% drop. The latest month-to-month numbers are closing in on recent gaps, mirroring similar figures to 2022 sales.

State officials note that overall transactions are up across the state, but the average purchase at the register has dropped as customers are choosing to spend less.

Reasons for the downturn vary, according to state officials: 2021 saw a boom of sales due to stimulus checks. Inflation and economic slowdowns have certainly led to customers watching their wallets. Nevada also has more competition from states that have legalized cannabis.

“We are struggling as an industry. Revenues are down. It’s one way that we can drive commerce for not only our industry, but the entire state,” said Dani Baranowski of the Chamber of Cannabis, noting that some businesses have cut jobs in response to a sales slump. Other wholesalers have slashed prices due to rising inventory, though Baranowski said Nevada businesses face far less of a “surplus” than other states.

Other businesses like Tree of Life Dispensary are calling for change to give customers more purchasing power-- and save them a drive.

“A person in Las Vegas can can walk into a bar casino and buy however much alcohol they want. Customers will be able to simply purchase more. It’ll probably be better for the customer overall. More customers should be able to buy more than an ounce at a time, because it’s really not the government’s business to to regulate that,” said MJ Jameson of Tree of Life.

“We think it’s absolutely it would help the industry as well as the customer,” Jameson said, noting a very successful recent “4-20″ day of sales.

The bill has until May 26 to pass both chambers of the legislature.