The rise of the Cannabis industry in California to corporate dollars has triggered a scramble for entrepreneurs and cannabis retailers nationwide. Investors all around the United States are eager to take part in California’s large-scale marijuana farms that are generating tremendous profits for medical marijuana.
Marijuana businesses, being banned to turn a profit since 1996, has been granted by government to generate income in full throttle after being the first state to legalize it for medicinal use together with the removal of the number of plants farmers can grow.
On top of that, a ballot that is to be approved this November of 2016 will allow California Marijuana Users the grant of using cannabis for recreational purposes following states like Colorado and Washington.
Cities across California are now racing for approval for permits regarding commercial marijuana cultivation. Land in areas approved tripled in price over night, but still investors bought every inch of property where it could be cultivated legally.
“Legalizes marijuana and hemp under state law. Designates state agencies to license and regulate marijuana industry. Imposes state excise tax on retail sales of marijuana equal to 15% of sales price, and state cultivation taxes on marijuana of $9.25 per ounce of flowers and $2.75 per ounce of leaves. Exempts medical marijuana from some taxation. Establishes packaging, labeling, advertising, and marketing standards and restrictions for marijuana products. Allows local regulation and taxation of marijuana. Prohibits marketing and advertising marijuana to minors. Authorizes resentencing and destruction of records for prior marijuana convictions.”
Celebrities and advocates of cannabis that have been in the media’s spotlight for decades have also joined in the action.
Snoop Dogg, Tommy Chong and Ky-Mani Marley to name a few, have already been working towards farming marijuana in large legal areas in California and mass producing cannabis paraphernalia which can also turn a profit, catering to the popular culture surrounding it.
With all the chaos surrounding the number one cash crop and the rise of corporate sharks in the market, a big number of long time growers, hippies and small business owners fear the rush of a corporate takeover in the industry. In Humboldt county California, there is mutual respect for the plant and how it is grown.
The culture of cannabis, they fear, should not be in the hands of people with suits.
Adelanto, another city in California, has also plans in mind in turning its city into a marijuana mecca. Unlike Humboldt, which is rich in farmland and natural resources, Adelanto is flat and desert like. The city is envisioning a row of state of the art, high-tech grow houses that will be sustained by solar power. Adelanto Mayor, Rich Kerr said that with solar panel technology, 100 tons of marijuana could be produced in Adelanto grow houses each year.
It is estimated by 2020, following the legalization of cannabis for recreational use, the California Marijuana Industry will double in profits.
In the past year alone, marijuana has already contributed 2.7 billion dollars in Medical Marijuana sales. The influx of Marijuana growers in the state can even hit 10 million dollars in annual tax revenue, which is almost equivalent to last years State budget.