Press Clips: Global Cannabis Sales Top $21 Billion in 2020, According to BDSA; States Begin Lifting COVID Restrictions

Global Cannabis Sales Top $21 Billion in 2020

Global cannabis sales grew by nearly half in 2020, according to BDSA, a cannabis market research firm based in Boulder, Colorado.

Sales increased 48%, to $21.3 billion, compared to $14.4 billion in 2019.

“The cannabis industry faced numerous challenges in the past few years, none so potentially disruptive as the coronavirus pandemic in 2020,” BDSA CEO Micah Tapman said in a press release. “Our previous forecast was conservative based on the expected economic fallout from the pandemic, but the industry not only survived, it thrived and legal cannabis gained considerable ground, exceeding our expectations in several markets.”

BDSA predicts that cannabis sales will reach $55.9 billion globally and $41.3 billion in the U.S. in 2026. Part of this growth is expected to come from new markets, as five states legalized cannabis for medicinal or recreational use in the 2020 election. They include Arizona, Mississippi, New Jersey, Montana and South Dakota.

Markets that opened in 2019 and 2020 contributed $1.6 billion in sales in 2020, according to BDSA. Of that $1.6 billion, adult-use sales accounted for $1.2 billion and medicinal accounted for $422 million.

In Illinois, where adult-use cannabis sales began in January 2020, sales increased $784 million, the sharpest rise in the country. Other states that grew sales in 2020 include California ($586 million), Florida (+$473 million), Colorado (+$451 million) and Oklahoma (+$400 million). Both Florida and Oklahoma are medicinal-only markets.

Additionally, mature markets grew in 2020 as well. Sales in Colorado, the oldest cannabis market in the U.S., increased by 26% in 2020, twice its growth rate in 2019. In Oregon, where legal cannabis sales began in 2015, sales increased by 39% in 2020, nearly double its 21% increase in 2019.

Canadian sales reached $2.6 billion in 2020 after the country’s government legalized the sale of derivative products, such as edibles and beverages. Canada is the world’s largest legal national market.

Outside the U.S. and Canada, legal cannabis sales reached $1.1 billion. BDSA predicts that international markets will top $8.3 billion in sales in 2026, driven by sales in Mexico, Germany, the United Kingdom and France. The company expects that Mexico will account for nearly a third of all sales outside Canada and the U.S.

Green Thumb Strikes Deal with Cann to Expand Distribution

Chicago-headquartered cannabis CPG company Green Thumb Industries has forged a partnership with California-based cannabis-infused beverage maker Cann to expand nationally, the two companies announced today.

As part of the deal, Green Thumb will manufacture and distribute Cann’s portfolio of micro-dosed sparkling beverages in Illinois starting this spring, with expansion to other states, including New Jersey, later this year.

“Cann sits squarely in this opportunity, delivers on the consumer need, and complements our brand portfolio with entry into the beverage segment,” Green Thumb founder and CEO Ben Kovler said in a press release. “What’s even better is cannabis drinks can offer a superior experience, fewer calories and no hangover compared to alcohol. We are investing in the space and in the Cann team and we couldn’t be more excited to bring California’s No. 1 cannabis beverage brand to Illinois and beyond.”

Cann co-founder Luke Anderson spoke at the 2020 Brewbound Live business conference.

States Begin Lifting COVID-Related Restrictions

Texas Gov. Greg Abbott removed statewide restrictions on capacity inside businesses and rescinded the statewide mast mandate. The changes, announced yesterday, will go into effect March 10.

Mississippi Gov. Tate Reeves lifted the state’s mask mandate yesterday and also allowed businesses to reopen at full capacity.

In Massachusetts, Gov. Charlie Baker removed capacity restrictions for indoor dining at bars and restaurants earlier this week. However, tables must be spaced six feet apart.

Bars in Louisiana are permitted to reopen for indoor service, with capacity capped at 25%, Gov. John Bel Edwards announced yesterday. Live music can resume indoors as well. Bars in parishes where the rate of positive COVID-19 tests is less than 5% for two weeks can reopen at 50% capacity. Indoor music venues and other event venues can reopen at 50% capacity or 250 people.

Day Bracey Rebrands Fresh Fest as Barrel & Flow, Announces 2021 Date

Fresh Fest, the U.S.’s first beer festival dedicated to Black-owned breweries, is rebranding as Barrel & Flow Fest, festival co-founder Day Bracey announced in a press release.

“We are enthusiastically rebranding as Barrel & Flow to fully embrace and uplift artists, musicians, chefs, and brewers,” the release said. “We are more than just beer and want to continue to utilize the brewing industry to connect opportunity, accessibility, and artistry in ways that empower the Black community.”

Bracey explained why the name Barrel & Flow: “To honor what we see as interconnected and important sectors of Black arts. To celebrate Black arts and artists. And to express and share how collective art is greater together than the sum of their individual parts. Through the barrel flows this collective creativity of music, visual art, and culinary art. Our beer collaborations and aims of economic empowerment for the Black community continue, just as significant and necessary as ever, with global aspirations and national amplifications.”

 

Barrel & Flow Fest will take place September 10-12 at Southside Works in Pittsburgh, Pennsylvania. The in-person festival will observe a COVID-19 policy and procedures in line with state and city requirements. There will also be a virtual version of the festival, Digi Flow, for those who can’t attend in-person.

New Products

Bend, Oregon’s Deschutes Brewery has released retro 6-pack packaging for bottles of four of its legacy brands: Black Butte Porter, Mirror Pond Pale Ale, Obsidian Stout, and Inversion IPA.

Anheuser-Busch has launched a new Naturdays light lager, Pineapple Lemonade (4.2% ABV), in 12 oz. 12-, 24- and 30 packs, as well as 16 oz. 6-packs.

Angry Orchard announced it will roll out the Green-17 pack, a limited edition package with 17 bottles of Green Apple to celebrate St. Patrick’s Day.