The economic benefits of legalization and the impact on tax revenue
In recent years, cannabis sales to Colorado en California and Washington were larger than expected, which resulted in very high tax revenues. In 2019, Colorado collected more than $ 302 million in taxes and fees on medical and recreational weed. State sales amounted to more than $ 1,7 billion. Sales in the United States were $ 12,2 billion in 2019, and are projected to reach $ 31,1 billion by 2024. Local research recently found that the legal cannabis industry has contributed to local economy amounting to more than $ 80,8 million in 2017, mainly through taxes and other fees.
Income and employment : A survey of Nevada in 2016 indicates that recreational legalization in the state could support more than 41000 jobs until 2024 and generate more than $ 1,7 billion in labor income.
Investment opportunities : Legal cannabis presents the potential for huge benefits to local and national economies. It could also help secure the investment portfolios of investors across the country and beyond. While investors have the opportunity to work with over-the-counter exchanges, many of the most successful companies in the field of legal cannabis have been based in Canada or other countries.
Save money : Currently, the fight against drugs at the federal level costs several billion dollars per year. According to a 2013 report, the costs then amounted to around $ 3,6 billion per year. The more states that legalize cannabis, the lower the cost of enforcing the law. If the herb were removed from the list of controlled substances, far fewer lawsuits would be brought against it, which would reduce the number of incarcerations and, therefore, save money.
Legalization should also benefit consumers of cannabis-based products for medical purposes.
May 2020: The total global cannabis market (regulated and illicit) is estimated at US $ 344 billion.
The European cannabis market is forecast to become a $ 136 billion industry by 2028. This is more than four times the projected market value of the US cannabis market, which is estimated to be worth $ 30 billion. here 2025.
As of February 2019, $ 555 million had already been invested in the European cannabis market. Europe is set to become the world's largest legal cannabis market in the next five years, largely thanks to the medical sector, which is expected to account for up to $ 64 billion by 2028.
Europe dominates the medical cannabis sector
Industry leaders like Germany, Italy and the Netherlands have focused on expanding existing medical cannabis programs.
Germany and Italy are both leaders in the global medical herb market. With a $ 1 trillion budget for healthcare spending, the two countries are well positioned to be leaders in the cannabis market. For example, Italy, which legalized medical cannabis in 2013, ahead of many other European countries where cannabis is legal, is expected to generate sales of around $ 1,2 billion by 2027.
There are already a lot of consumers in Europe
With more than 747 million inhabitants (more than twice the size of the American and Canadian populations combined), Europe should be the engine of a large part of world demand. In fact, conservative estimates reveal that 23 million people in the European Union already use cannabis for recreational purposes, which means that around 3,3% of all Europeans already use it regularly.
European hemp market on the rise
Today, the industrial hemp industry in Europe is worth at least $ 1 billion, which represents a large part of the value of the global hemp industry, currently valued at around $ 3,7 billion. The main players in the European hemp market are France, which accounts for almost half of total European hemp production, the Netherlands, Lithuania and Romania.
Estonia has also invested significant sums in this sector, and the region should become the second producer of hemp after France.
It only remains to act : Collect a million signatures and ask the EU a new law, it is open to all EU citizens. Once we have achieved this result, we will launch a procedure for the adoption of a new law which will legalize the production and sale of cannabis for medical or recreational purposes.
- The GDP (gross domestic product) of the European economy decreases by 3,8
- The European Union lost 3,5% of its gross domestic product.
- The French and Spanish economies contracted by 5,8% and 5,2% in the first quarter of 2020.
- German retail sales plunged into its largest monthly decline since January 2007.
- In the first three months of the year, the euro area economy experienced its most rapid decline ever recorded.
- The economic damage caused by the coronavirus crisis in the metropolitan area of Amsterdam amounts to 2,3 billion euros per month.