Supposedly, the legalization of cannabis in more states could have been deterring and reducing the black market’s dominance. The opposite is happening. The underground cannabis business is cutting into the sales and profits of legal businesses.
So if you’re asking, “Is the black market still alive?” Yes, it is. Its market total is $70 billion that’s 7 times more than the regulated and legal market nationwide based on New Frontier Data. Let’s have a look at some states and its cannabis black market status.
California: Despite the legalization, its black market is still thriving, and that includes sellers and growers. Based on a similar research of New Frontier Data about 80 percent of cannabis sold in the state is from the underground economy.
It also estimates that its illegal cannabis market is now worth $3.7 billion, a figure four times the California’s legal market size is.
Oregon: The state has more than enough of marijuana supply for six years even if growers would stop producing the herb now. And this oversupply is no good for many growers who invested much in cannabis since its legalization.
What’s more worrying the state authorities is that the legit growers and sellers might turn to the