Author: CannabisNewsWire (CNW)

About CannabisNewsWire CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge. To receive SMS text alerts from CannabisNewsWire, text “CANNABIS” to 21000 (U.S. Mobile Phones Only) For more information please visit https://www.CannabisNewsWire.com Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW, wherever published or re-published: http://CNW.fm/Disclaimer

420 with CNW — What Older Adults Need to Know About Medical Marijuana

Marijuana use, both for medical and recreational reasons, has been increasing across the United States, including among people over 65. Most seniors turn to marijuana hoping to ease chronic pain, sleep problems, or anxiety. However, medical experts point out that there isn’t yet solid scientific agreement that marijuana is an effective treatment for these problems.

Experts at Stanford Medicine point out that using cannabis regularly at an older age can bring certain health risks. These risks may include heart disease, certain types of cancer, addiction, and worsening of memory or thinking problems that come with aging. For those thinking about trying cannabis, here are five important points to consider.

Today’s marijuana is far stronger than before

Today’s products are much stronger than those from decades ago. In the 1970s, marijuana typically contained 1% to 4% THC. Now, the average product contains about 20%, with some reaching up to 35%. Concentrates and edibles can contain as much as 90%, while synthetic versions have much stronger and more dangerous effects.

Due to the higher potency of today’s marijuana, accidental overuse among older adults is on the rise. A Canadian study comparing hospital visits before and after national legalization found that cannabis-related poisonings in adults over 65 nearly tripled after legalization. Much of this increase was linked to edibles, where effects can take longer to appear, leading people to unintentionally consume too much.

Marijuana can affect the heart and the brain

Although marijuana’s full health effects are still being studied, new research has shown a connection between frequent marijuana use and a higher likelihood of heart attacks (29%) and strokes (20%) among older adults.

While these risks are lower than those linked to smoking tobacco or drinking heavily, many cannabis users also use alcohol or tobacco, which can amplify the danger.

Smoking cannabis can also increase inflammation and may be associated with higher rates of neck, lung, and head cancers.

Older adults also process drugs more slowly. Because of this, marijuana can stay in their systems longer, extending its effects and increasing the chance of interactions with medications.

Marijuana can be addictive

A common misunderstanding is that marijuana cannot cause addiction. However, studies show that about 30% of frequent users develop cannabis use disorder. Symptoms include cravings, withdrawal, and difficulty cutting back.

For those who feel dependent, talking to a healthcare provider can help. Treatments such as cognitive behavioral therapy have been proven to assist people in regaining control.

Medical benefits are still being studied

Even though scientists are still studying the long-term effects of marijuana, some evidence suggests it may help with certain medical conditions. A study conducted in San Francisco in 2017 found that older adults between 51 and 72 used cannabis mainly to manage chronic conditions such as cancer or persistent pain.

While the FDA has not acknowledged marijuana’s medical benefits, it has approved a few specific compounds derived from cannabis. For example, CBD has been approved to treat some rare forms of epilepsy in children. Dronabinol, a synthetic version of THC, is approved to help cancer and HIV/AIDS patients with appetite loss and nausea.

Claims about cannabis treating anxiety, insomnia, or depression still lack solid evidence.

Discuss cannabis use with a healthcare professional

While experts may disagree about how beneficial cannabis is, most agree that seniors should have an open conversation with their healthcare providers before trying or continuing cannabis use. It’s far safer to discuss cannabis with a doctor than to rely on advice from a dispensary employee or experiment without guidance.

A doctor can help older adults evaluate whether marijuana is appropriate for their condition or if there are safer alternatives. They can also monitor for drug interactions or side effects that might not be obvious at first.

It is also helpful to read any literature provided by companies like TerrAscend Corp. (TSX: TSND) (OTCQX: TSNDF) so that one is adequately informed before choosing specific marijuana products to help with any symptoms you may be struggling with.

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CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of an article each business day at 4:20 p.m. Eastern – a tribute to the time synonymous with cannabis culture. The concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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420 with CNW — Michigan Lawmakers Pass Marijuana Tax Hike Proposal

The Michigan State Senate recently passed a measure introducing a 24% tax on wholesale marijuana sales. The new levy will be used to fix and maintain the state’s roads. The Senate passed House Bill 4951 last Friday, following the state House’s approval on September 25.

Once signed into law, the 24% levy on wholesale transactions will be added to the existing 10% excise tax already applied to marijuana products. In addition, customers continue to pay a 6 percent sales tax when purchasing cannabis from licensed dispensaries.

According to a legislative analysis, the additional tax is projected to generate roughly $420 million annually for infrastructure improvements. However, the report also predicts a potential 14% drop in marijuana sales as higher prices could discourage consumers or drive them toward unregulated markets.

The bill’s passage in the House last month sparked protests from cannabis advocates, who gathered outside the Capitol to voice their frustration. Many industry leaders and small business owners argue that the additional tax will cripple local marijuana companies, threaten jobs, and push more consumers toward the illegal market where prices are lower and regulation is nonexistent.

“Our industry isn’t a solution for their budget problems,” said Mike DiLaura, House of Dank’s general counsel. “As citizens and business owners, we need to stand together and say we’ve had enough.”

Representative Timmy Beson also criticized the measure, saying that raising taxes on marijuana businesses to pay for road work would hurt small business owners statewide. “We should be encouraging Michigan entrepreneurs, not making it harder for them to survive,” Beson said.

Beson also emphasized the impact on cultivators, saying that small farmers can’t simply raise prices to cover higher costs. He suggested that any new tax should be applied at the retail level instead, where prices are actually determined, and that it should be consistent across all types of marijuana retailers.

Leaflink’s vice president, Rodney Holcombe, added that the move undermines the progress Michigan’s marijuana market has made since legalization. “This industry has created more than 47,000 jobs, contributed consistent tax revenue, and boosted consumer safety,” Holcombe said. “This tax could undo that success, leading to fewer legal sales and more activity in the illicit market. We’re committed to working with the industry to find a fair path forward.”

HB 4951 now awaits Governor Gretchen Whitmer’s signature. She is expected to approve it as part of a broader agreement on the state budget.

Canadian marijuana firms like SNDL Inc. (NASDAQ: SNDL) may be sympathizing with their U.S.-based counterparts that have to deal with a patchwork of regulatory systems and additional challenges arising from a heavy tax burden.

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420 with CNW — How to Enhance Employee Retention Within the Marijuana Industry

High employee turnover can hurt any company, but it’s especially tough in the marijuana business, where skilled workers are needed everywhere—from the dispensary counter to the cultivation room. As competition grows and margins tighten, keeping reliable, knowledgeable staff is not just an advantage; it’s what keeps a business running.

The sector comes with unique challenges, from strict regulations to fast-changing markets. For owners and managers, holding onto good employees should be a top priority. A consistent, motivated team leads to smoother operations, happier customers, and stronger growth.

Here are nine ways to build loyalty and reduce staff turnover in your cannabis business.

Pay fairly and offer competitive benefits

Competitive pay is the baseline for keeping good workers. If wages don’t match living costs or local industry standards, people will look elsewhere. Do regular market checks to ensure your pay rates are fair for each position—whether it’s for trimmers, budtenders, or production staff.

Benefits matter too. Offer things like health coverage, paid time off, retirement options, and staff discounts to keep your team satisfied.

Support career development

People want to see a future with your company. Set up clear paths for advancement so employees know how to move up from entry-level roles to leadership positions. Offer mentorship, training, and certification programs that help employees advance their careers.

Additionally, promote from within to show employees that effort pays off and strengthen company loyalty.

Build a positive, inclusive culture

Toxic workplaces drive people away fast. Build a culture based on respect, openness, and teamwork. Encourage open communication and create a safe environment for employees to share feedback and concerns. Embrace diversity to ensure your team accurately reflects the community you serve.

Invest in training and ongoing education

The marijuana sector changes fast. New laws, products, and scientific developments appear regularly. Keeping your staff educated helps them feel confident and capable. Offer continuous training on product knowledge, compliance, and customer service so your team can perform at their best.

Recognize effort

Employees who feel appreciated are more likely to stay. Recognition doesn’t have to be expensive—a shout-out in a meeting, a thank you, a bonus program, or an employee-of-the-month award can go a long way toward building morale.

Comply with labor laws

Compliance isn’t optional. Stay informed about wage laws, overtime rules, and employee classifications. Working with HR or legal professionals who understand cannabis regulations can prevent your company from costly issues.

Support work-life balance

Overworked staff burn out quickly. Offer flexible schedules where possible and encourage people to use their time off. Avoid scheduling patterns that leave little rest between shifts.

Listen to employee feedback

Your team sees things from the front lines. Create open communication channels, like surveys or check-ins, to gather their input. Most importantly, act on their suggestions. Implementing their ideas makes workers feel more valued and connected to the company.

Communicate clearly and honestly

Keep your team informed about company goals, performance, and changes. Transparent communication helps employees feel included and secure, especially during uncertain times.

Keeping employees in the marijuana industry takes effort and intention. When you combine fair pay, growth opportunities, strong communication, and a healthy workplace culture, you create a team that’s loyal, engaged, and built to last.

Each firm has its own unique circumstances, so it would be eye-opening to get glimpses into the specific measures that leading companies like Green Thumb Industries Inc. (CSE: GTII) (OTCQX: GTBIF) leverage to ensure employee retention is high.

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420 with CNW — Nebraska GOP Works to Frustrate Voter-Passed Medical Cannabis Program

Nebraska marijuana officials have missed the deadline to issue medical cannabis growing licenses, creating fresh frustration for supporters of the voter-approved law. The setback is the latest sign of political resistance in several GOP-led states against marijuana legalization.

Residents voiced their anger and disappointment during a recent meeting with the state’s Medical Cannabis Commission. Among them was Lia Post, who lives with a painful nerve condition. She said marijuana helps her manage pain without relying on addictive opioids. “I don’t have any fight left in me,” she said, fighting back tears after hearing that licensing would again be postponed.

The commission’s three members, all appointed by Republican Governor Jim Pillen, said more time was needed to review applications. Critics, however, argue that state leaders are intentionally slowing the process to undermine the law voters overwhelmingly supported.

Across the country, 24 states and Washington, D.C., now allow recreational cannabis, and 40 permit medical use in some form. Even so, pushback continues in many conservative states. South Dakota lawmakers have tried to repeal ballot-approved medical cannabis laws, while Idaho legislators proposed a constitutional change to block citizens from legalizing it through ballot initiatives.

In Mississippi, a court ruling erased the medical cannabis law voters passed in 2020, leaving the state’s initiative system in limbo.

Opponents often claim cannabis is dangerous and could lead to wider drug abuse or impaired driving. Law enforcement agencies frequently cite the federal government’s stance that still classifies cannabis alongside LSD and heroin.

However, according to Karen O’Keefe of the Marijuana Policy Project, polls show that most Republican voters actually favor medical cannabis. “It’s a small but vocal group that still buys into old myths about marijuana,” she said. She pointed out that far more people die from prescription opioids each year than from marijuana use.

Nebraska’s law required that growing licenses be issued by October 1, but Governor Pillen removed two commissioners just days before the deadline. Critics say his replacements share his opposition to legalization. Pillen has denied trying to block access, saying his goal is to prevent overproduction and illegal sales. His office proposed limiting cultivation to 1,250 plants, a number industry advocates argue is far too low.

The new commission has already changed several parts of the voter-approved plan. It banned vaping, smoking, and edible products, all of which were allowed under the original law. It also added strict limits on how strong medical cannabis can be and placed new requirements on doctors who recommend it.

Attorney General Mike Hilgers is also challenging the initiative in court, calling parts of the petition process fraudulent. Although he lost several legal fights, he continues to argue that cannabis remains unsafe even under medical supervision.

Advocate Crista Eggers says the state’s actions betray voters. “If you’re one of the 71 percent who supported this, you should be outraged,” she said, warning that heavy restrictions will only push patients toward the black market.

Medical marijuana companies like Cresco Labs Inc. (CSE: CL) (OTCQX: CRLBF) operating in other states with legal medical marijuana markets will be hoping that their counterparts in Nebraska finally get licensed and open their stores to serve patients who need marijuana products for medical reasons.

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420 with CNW — Marijuana Stocks Surge as Trump Endorses CBD for Seniors

Cannabis-related stocks surged following remarks from U.S. President Donald Trump, who praised the potential health benefits of cannabidiol (CBD) for older adults in a recent social media post. Trump stated that CBD could help slow disease progression in senior patients, offering an alternative to traditional medications.

The statement comes a month after he hinted that his administration was considering reclassifying cannabis. Such a move could ease federal penalties and reduce some of the restrictions currently tied to cannabis use.

Canopy Growth shares surged more than 18 percent, Tilray Brands rocketed over 40 percent, Aurora Cannabis jumped about 25 percent, and Cronos Group gained nearly 16 percent. Cannabis-focused exchange-traded funds (ETFs) also saw a strong rally. The AdvisorShares fund and Roundhilleach advanced almost 22 percent, leaving both on pace for record-breaking quarterly gains of over 70 percent.

Cannabis policy in the United States has been shaped by shifting administrations. Trump previously signed the 2018 Farm Bill, which removed many restrictions on CBD and hemp production. However, cannabis is still classified as a Schedule I drug under federal law, a category reserved for substances considered highly addictive with no recognized medical use.

Efforts to change cannabis classification have been ongoing. Under President Joe Biden, the Health and Human Services Department recommended moving cannabis to Schedule III, a category for substances with a lower risk of dependence. Such a step would not legalize the drug but would ease restrictions on companies operating in the space.

Currently, federal tax code Section 280E prevents them from taking standard business deductions, leaving many firms at a disadvantage. Adjusting marijuana’s status could open doors to institutional investors and eventually allow cannabis companies to trade on major U.S. exchanges. Beyond taxes, reclassification could help narrow the divide between federal law and state-level legalization, which now exists in almost 40 states.

The industry remains volatile, with stock prices swinging alongside political developments. Canopy Growth, for instance, has seen nearly 50 percent of its value wiped out this year, while SNDL and Cronos have posted gains of over 50 percent, boosted in part by Monday’s rally.

Industry leaders welcomed the latest signals from Trump. A Canopy Growth Corp. (NASDAQ: CGC) (TSX: WEED) spokesperson said the company is encouraged by recognition of marijuana’s role in supporting wellness, particularly for seniors. They added that through its U.S. affiliate, Canopy is ready to expand if the regulatory environment improves. The entire industry is waiting on those regulatory improvements.

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420 with CNW — Large Trial Shows Marijuana Treats Chronic Back Pain

According to the World Health Organization (WHO), lower back pain affects more than 500 million individuals worldwide and is one of the primary causes of disability. Treatment options, however, remain limited, with most patients relying on common painkillers or opioids, which carry a high risk of dependence and addiction.

In recent years, the booming marijuana industry has promoted cannabidiol (CBD) and cannabis products as possible solutions for pain. However, experts have repeatedly warned that the scientific evidence supporting these claims has been weak.

A new large-scale clinical trial, published in Nature Medicine, may shift that conversation. The study was a phase 3, placebo-controlled trial, often considered the highest standard in medical research. It tested a marijuana-based extract known as VER-01 in over 800 participants who suffered from chronic lower back pain that had not improved with non-opioid medication.

For 12 weeks, patients were randomly given either a placebo or the extract and were then asked to rate their pain on a scale from 1 to 10. Those who took VER-01 reported their pain dropped by 1.9 points on average, compared to just 0.6 points in the placebo group. After six months, the improvements were even greater, with a 2.9-point decrease reported among the VER-01 users. Participants also experienced improved physical activity, better sleep, and a higher overall quality of life.

The study found no signs of addiction or serious harm. The most frequent side effects were mild issues like temporary dizziness, drowsiness, dry mouth, or nausea, which tended to ease with time. According to lead researcher Matthias Karst, none of the participants reported feeling “high” from the treatment.

Andrew Moore, a former Oxford University pain researcher not involved in the trial, praised the results, calling the study one of the strongest pieces of evidence to date that a compound from marijuana can genuinely ease pain. At the same time, he cautioned against assuming the extract is completely free of risks, noting that earlier claims about safety with other drugs have sometimes proven wrong.

Karst also highlighted that most marijuana-based products vary greatly in strength, purity, and consistency, making them difficult for doctors to prescribe safely. He also added that the results do not mean all cannabis or CBD products will provide the same benefits. VER-01, in contrast, was specifically designed to meet medical approval standards, meaning its results cannot be assumed for general cannabis use.

These clinical trial results are likely to provide additional credence to the conviction of companies like Aurora Cannabis Inc. (NASDAQ: ACB) (TSX: ACB) about the medicinal potential of the marijuana plant and its derivatives.

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420 with CNW — OHSU Receives $6.7M Grant to Study Cannabis Impact in HIV+ Pregnant Women

A group of scientists from Oregon Health and Science University (OHSU) has been awarded over $6.7 million by the National Institutes of Health (NIH) to study how marijuana use during pregnancy affects women living with HIV.

The five-year funding will support research directed by Dr. Jamie Lo, an obstetrics and gynecology associate professor at OHSU’s School of Medicine. She is partnering with Dr. Benjamin Burwitz, associate professor in the Division of Pathobiology & Immunology at the Oregon National Primate Research Center (ONPRC). Additional collaborators include co-lead researcher Dr. Jennifer Manuzak from Tulane’s National Primate Research Center, along with Dr. James Frank and Dr. Matthias Schabel from OHSU.

The study will rely on nonhuman primate models to investigate how daily exposure to THC affects the body during pregnancy in the context of HIV-like infection. The project merges the Lo laboratory’s focus on substance use during pregnancy with the Burwitz team’s expertise in infectious disease and immune system research using primate models.

According to the WHO, approximately 1.2 million pregnant women were living with HIV as of 2023. Even when receiving antiretroviral therapy, these patients face elevated risks such as preterm birth, complications with the placenta, and restricted fetal growth. These problems are tied to persistent body inflammation, which continues despite effective treatment.

Meanwhile, marijuana use during pregnancy is on the rise, including among people with HIV. Although many see marijuana as relatively safe, research has suggested links between its use and pregnancy complications.

The researchers will work with rhesus macaques infected with simian immunodeficiency virus (SIV), which closely mimics HIV in humans. The animals will receive antiretroviral therapy along with daily THC edibles. Researchers will monitor how this combination influences maternal immunity, placental health, and fetal development.

Advanced imaging technology and regular evaluations throughout pregnancy will allow the team to observe biological changes in the mother, placenta, and fetus in ways that cannot be done in human pregnancies for safety reasons.

Dr. Lo explained that the placenta and fetal development in nonhuman primates closely mirror those in humans, and both share the same cannabinoid receptor structure where THC binds. This makes the model uniquely suited for studying cannabis use during pregnancy.

Beyond answering immediate questions, the team will also establish a biological sample bank so other researchers can explore related areas in the future.

“This marks the first detailed study into how pregnancy, cannabis, and HIV interact,” said Dr. Burwitz. “We hope the results will provide doctors with better evidence to guide and counsel pregnant patients with HIV who are using marijuana.”

The findings will undoubtedly be of interest to companies like Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) that specialize in selling medical marijuana products in the communities they serve.

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420 with CNW — University of Michigan Research Flags Increasing Cannabis Vape Use Among Teens

Recent results from a national survey conducted by the University of Michigan reveal a sharp rise in cannabis vaping among middle and high school students.

In 2024, 57% of eighth graders who said they used marijuana reported that they vaped it, compared with 48% in 2021. The jump was similar in older grades: among 10th graders, use rose from 60% to 66%, and among 12th graders, from 58% to 67%.

Vaping is sometimes thought to be less harmful than smoking since burning the plant produces dangerous carcinogens and chemicals. However, researchers caution that the increasing use of vapes by teenagers poses addiction concerns.

According to the lead researcher Richard Miech, if marijuana use keeps growing among youth, more will end up addicted, which can damage both academic performance and personal relationships.

Flavored vape cartridges are becoming especially attractive to teenagers. Data shows that in 2024, 63% of eighth graders who vaped marijuana chose flavored versions, up from 47% three years earlier. Tenth graders rose from 41 to 53 percent, and twelfth graders from 36 to 50 percent during the same period.

Although recreational cannabis is only legal for people over 21, vape pens are relatively easy for underage users to obtain. They are also easier to hide because they do not produce the strong smell that smoking marijuana does. This makes it simple for students to stash them quickly if a teacher or administrator appears. According to research, flavors like fruit make these products more appealing than the natural taste of marijuana.

Health experts warn that overuse can lead to marijuana use disorder, a condition where individuals need stronger doses over time to feel the same effect. The Centers for Disease Control note that this type of dependence is becoming more common with high-potency marijuana products.

Michigan educators and medical professionals have raised alarms about the rising number of students using vape pens and cannabis edibles. Nikolai Vitti, Detroit’s superintendent, urged lawmakers to provide funds for vape detection devices, public education efforts, and stricter rules on packaging to reduce youth access. Some schools in the state have already installed detectors in restrooms to alert staff when vaping occurs.

In response, state lawmakers recently introduced a measure requiring the Health and Human Services Department to create educational resources for schools about the risks of vaping and high-potency THC. The proposal is now under consideration in the Senate’s education committee.

Stopping youth from using cannabis vapes or cannabis products in general will require concerted efforts from reputable industry actors like Tilray Brands Inc. (NASDAQ: TLRY) (TSX: TLRY) as well as government and non-governmental actors seeking to safeguard future generations from the possible harms of marijuana use.

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420 with CNW — Marijuana Business Licensing Loses Steam in Q2 in the US

The U.S. marijuana industry continued to shrink in the second quarter of 2025, according to new figures from CRB Monitor, a firm that tracks licensing in the regulated market. The total number of active permits fell 2% during the quarter, leaving 37,889 licensed operators nationwide.

The decline is part of a longer trend that began in 2022 after the early boom in marijuana businesses cooled off. Over the last two years, active licenses across the country have dropped by roughly 13%. Analysts point to consolidation in mature states and slower development in emerging markets as the main drivers.

Pending and approved licenses, which usually indicate new operators, fell 14% in the quarter to 4,391. That’s down 18% compared with 2024 and 23% compared with 2023. Pre-license submissions also slipped 4% to 5,260, marking a 16% decline over six months.

New York continues to dominate when it comes to applications, accounting for nearly 90% of all filings nationwide. By June’s end, almost 4,700 applicants were still waiting on decisions, showing how the state has become the main source of licensing activity despite the national slowdown.

Looking at license categories, retail and cultivation remain the largest segments, together making up close to three-quarters of all active permits. Cultivation licenses dipped slightly to 16,343, while retail held steady at 11,527. Oregon, California, Michigan, and Oklahoma together make up nearly half of the totals.

Distribution and manufacturing licenses were hit harder, each falling 5% to 1,399 and 5,338, respectively.

Companies holding multiple permit types have more than doubled in number over the last two years, now exceeding 2,200. Even so, the category declined 4%, much of it due to New Mexico’s reclassification of licensees rather than new entrants.

One of the few bright spots was in social-use clubs, or cannabis lounges. These venues grew 18% nationwide to reach 80 licensed locations. That’s a fourfold increase in a single year, largely due to new programs in Michigan, Colorado, Nevada, and New Jersey.

Approval numbers across all categories moved downward. New cultivation permits dropped to 947, which is 35% below last year’s. Retail approvals fell to 2123, an 8% decline, the lowest in two years. Pending delivery permits fell the hardest, cutting in half to 207. Testing facilities approvals slipped 10%, while manufacturers shrank 16%. Out of 46 regulated markets, 19 added licenses, while nine saw declines.

At the state level, Oklahoma and California recorded the steepest declines, with California losing 358 licenses, bringing its two-year drop to 23%. Oklahoma’s freeze on new permits and tougher enforcement trimmed another 4%, reducing its total to 5,564, less than half of what it was eight quarters ago.

On the other hand, Michigan grew 3% to 4,269 active licenses, and New York added 153 new approvals, a 10% increase and more than double last year’s total. Connecticut and Ohio also posted gains of 14% and 9%, respectively.

North of the border, Canada’s market remained steadier. Active licenses inched up 1% to 5,806, although they are still 15% lower than in 2023. Retail dominates with more than 4,100 stores, up 2%. Processing and cultivation also grew 2%, while wholesale distribution fell 44% to only 39 licenses. Applications rose 24% to 140, though interest remains far below 2023 levels.

Overall, the data shows that the industry is maturing. While the U.S. market works through oversupply, regulatory hurdles, and inconsistent demand, Canada is moving into a steadier period. Growth opportunities appear limited to smaller segments, with social-use venues standing out as one of the few areas of notable expansion.

It would be interesting to interact with individual companies like TerrAscend Corp. (TSX: TSND) (OTCQX: TSNDF) for insights on how they have evolved over time to remain operating as the market has changed and faced many headwinds.

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420 with CNW — California Governor Enacts Bill Rolling Back Cannabis Tax Hike

California Governor Gavin Newsom has signed a measure that halts a recent cannabis tax increase, giving the state’s cannabis industry a temporary break.

The legislation, introduced by Assemblymember Matt Haney, received bipartisan support in both chambers before landing on the governor’s desk. Newsom approved it on Monday, just weeks before his October 12 deadline to act on pending bills.

Haney explained that the pause is intended to strengthen the legal market, which has struggled to compete with unlicensed sellers. According to him, the legislation will keep small businesses running, protect jobs, and give voters the functioning system they intended when cannabis was legalized.

An amendment added during the Senate’s review delayed implementation until October. The actual tax hike went into effect in July after state officials announced that the rate would rise from 15% to 19%. Advocates had hoped the budget package passed earlier this summer would include a freeze, but that did not happen.

Newsom, along with Assembly Speaker Robert Rivas, supported halting the tax hike earlier this year. However, Senate President Pro Tem Mike McGuire reportedly kept it out of the final budget package, making Haney’s standalone bill the only path forward.

The new law puts a hold on the tax hike for a period of five years. Originally, the proposal would have kept the lower 15% rate until mid-2030, after which regulators would review and adjust the rate every two years to ensure consistent revenue. However, the Senate Appropriations Committee amended the bill, shortening the timeframe and adding reporting requirements. As a result, the lower rate will only last until October, and state officials must provide annual reports starting in December 2026.

Under the new law, the state’s Department of Tax and Fee Administration, in collaboration with the Department of Finance, will calculate and adjust the tax rate to make sure revenue matches what would have been collected under the previous system. The department is also tasked with estimating what cultivation taxes would have brought in and using that information to set future rates.

The central aim of the law, as stated in the measure, is to deliver immediate tax relief to marijuana businesses. Lawmakers plan to measure the success of the policy by tracking how excise tax revenue changes over time. Reports submitted to the legislature will outline whether the pause led to gains or losses in revenue, giving policymakers data to decide on the next steps for the industry.

Many cannabis firms are struggling under the weight of heavy tax burdens in different states. As the step taken by California is copied elsewhere, the industry could have a higher chance of thriving and creating opportunities for related verticals like the one in which entities such as Innovative Industrial Properties Inc. (NYSE: IIPR) operate.

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