Hidden In Plain Sight: California Illegal Pot Market Booming

LOS ANGELES (AP) – California’s struggling legal cannabis industry is expected to grow next year to $3.1 billion, but it remains far outmatched by the state’s thriving illegal market. A report released Thursday finds consumers are spending roughly $3 in the state’s underground pot economy for every $1 in the legal one. California kicked off broad legal sales in 2018. But hefty tax rates and illicit sales are blamed for slower-than-expected activity in the new market. The report by Arcview Market Research and BDS Analytics projects sales in California – the world’s largest legal pot market – will grow 23% this year. But those figures projecting robust growth don’t square with reports from many businesses that say they are struggling to keep their doors open.

There is no custom code to display.