The cannabis industry is on fire in 2024

The cannabis industry is on fire in 2024 – not literally, of course, but its growth has been explosive. With the legalization sweeping more states and countries, it is clear that this green wave does not slow down anytime soon. Let us dive into stories of success in the real world and the challenges that shape this constantly evolving industry.

Success Stories: Breaking Ground and Records

1. Multi-States operators (MSO) thrive

Multi-state operators (MSO) like Green Thumb Industries and Curaleaf crushed it this year. Green Thumb, for example, said a 12% increase in income from last year, reaching more than a billion dollars in annual sales. They were intelligent to develop in states such as Missouri and Maryland, which recently launched cannabis sales for adult use. (Source: Green Thumb Q3 Gaining Report 2024)

2. International markets develop

Germany made waves in 2024 by legalizing recreational cannabis, making it the first great European economy to do so. Canadian companies like Tilray have not lost time to enter the market, signing the distribution of agreements with German pharmacies. Meanwhile, the booming cannabis tourism industry in Thailand has reported more than a billion dollars in income, thanks to its pro-cannabis position and innovative well-being pensions. (Source: Bloomberg, Thai Ministry of Public Health)

3. Technological and sustainable innovations

Tech cannabis has become high technology, literally. Companies like Agriet have introduced culture systems powered by AI which automatically adjust lighting, humidity and nutrients. On the durability front, companies such as Sana Packaging attack waste with recyclable and biodegradable options, which makes cannabis ecological. These innovations are not only worthy of buzz – they help brands stand out on a crowded market. (Source: Agrife Annual Report, Forbes Green Business)

4. The rise of cannabis tourism

States like Nevada and Colorado transform cannabis tourism into a booming sector. In Las Vegas, Planet 13, the largest dispensary in the world, is now doubled by an essential attraction, attracting more than 2 million visitors per year. Meanwhile, events on the theme of cannabis such as the Mile High 420 Festival in Denver draw crowds from around the world. (Source: Planet 13 Investor Presentation, Denver Post)

Challenges: growing pain in a budding industry

1. Regulatory uncertainty

Let’s talk about administrative formalities. Despite a record number of states legalizing cannabis in one form or another, the federal government has still not moved. Without federal legalization, companies are faced with obstacles such as limited restrictions on interstate trade and banks. This prevents some financial players from the big games (Source: Report of the National Association of the Cannabis Industry 2024)

2. Banking and financing problems

Have you ever tried to manage a business of several million dollars in cash? This is reality for many cannabis companies. While some regional banks have intensified, traditional financial institutions remain suspicious due to federal laws. Even promising bills like Safe Banking Act have not crossed the finish line, which lets many companies rush for funding. (Source: Marijuana Policy Project, Reuters)

3. Surial and price compression

In markets like California and Oregon, the excess offer dropped large prices at less than $ 500 per book – a fraction of what they were a few years ago. This forced small producers to close while the greatest actors consolidate their domination. It’s great for consumers but hard for producers. (Source: cannabis harvesting report at leaf 2024)

4. Social equity challenges

Despite good intentions, social equity programs aimed at helping communities affected disproportionately by the war against drugs are in difficulty. Take Illinois, for example, where only a handful of licenses went to companies belonging to minorities. Critics argue that these programs need better funding and fewer bureaucratic obstacles. (Source: Chicago Tribune, Cannabis Equity Illinois Coalition)

Ahead

The cannabis industry is booming, but it is not without headache. While we are heading around 2025, the big question is whether federal legalization will finally occur in the United States, international markets and technological innovations open the way to even more opportunities. If there is one thing that 2024 has taught us, it is that cannabis is not only a fleeting trend – it is a global movement.