Marijuana Business Factbook 2019

Marijuana Business Factbook 2019 Chapter 2 | State-By-State: Legal Overview, Market Data and Outlook 76 © Copyright 2020, Marijuana Business Daily , a division of Anne Holland Ventures Inc. You may NOT copy this Factbook, or make public the data and facts contained herein, in part or in whole. For more copies or editorial permissions, contact CustomerService@MJBizDaily.com or call (720) 213-5992, ext. 1. SUMMARY What to watch in 2020 The state made history in June when its Legislature became the first in the U.S. to legalize recreational marijuana cultivation and sales, paving the way for an adult-use market that’s estimated to reach $2.5 billion annually when the industry matures. The industry, however, will roll out slowly and be tightly controlled, with only 500 adult-use retail licenses set to be awarded by 2022. On a per-capita basis, that means Illinois will have less than half the number of rec stores than are currently licensed in Colorado. Although Illinois is taking strong measures to encourage diversity in its new adult-use industry, many are worried that the limited- license environment will thwart these efforts and favor experienced, well-capitalized operators. On the medical side, sales continue to strengthen as the number of patients grows. The MMJ market has surged since rec sales began in January 2020, as product shortages and high prices on the adult-use side has prompted some to obtain MMJ cards. Over the long term, however, expect to see MMJ patients decline, as they have in other states that went on to legalize recreational marijuana. Marijuana Business Opportunity Rank for 2020 A Growth in the MMJ market will likely persist—or at least not abate—throughout 2020 as the adult-use market continues to develop. Opportunities for new recreational businesses do exist, but Illinois is awarding only a small number of licenses for retailers, cultivators and processors in 2020, so competition will be fierce. The state will award additional plant-touching licenses throughout the coming years, but license caps will remain low relative to other states that have legalized recreational cannabis. Existing recreational businesses in Illinois will continue to see strong demand, with sales limited only by their ability to keep products on shelves. ILLINOIS Recreational continued