“It’s a pretty big difference,” said Michael Sofis, director of research at Cannabis Public Policy Consulting, which conducted the study. He predicted a robust retail market in Maryland.
Sofis and Mackenzie Slade, the firm’s director, shared their findings Thursday with a work group on marijuana legalization. More than 1 in 3 adults said they use cannabis at least on a monthly basis and 1 in 5 said they use marijuana daily or almost daily — averages that correlate with what is seen nationally.
But Maryland residents consumed higher volumes of marijuana than others across the country, using a monthly average of 25.4 grams compared with 20.2 grams consumed by residents in states with legal cannabis, according to the study.
Sofis said the survey also found that marijuana consumers are willing to drive 11 to 20 minutes to buy cannabis and would pay $14 per gram for it.
“That was really shocking to me,” Sofis said. “It reflects a certain level [of], I wouldn’t say passion, but an underlying motivation for cannabis.”
The briefing on Thursday comes less than a week before the General Assembly returns to Annapolis for its 90-day session, in which setting up a framework for marijuana legalization will be one of its top priorities. Voters in November approved a referendum to allow recreational marijuana to become legal for adults 21 and older on July 1.
Lawmakers will decide how the system will operate, including who will be issued licenses and how taxes will be collected and distributed. The state has a medical marijuana program, which remains open for Marylanders with medical marijuana cards.
Although Maryland trails its regional neighbors in legalizing marijuana, neither Virginia nor D.C. have established a legal retail market, leaving commerce in a gray area.
The behavioral economic study estimated that the total demand in Maryland during the first year of implementation is 824 million grams of cannabis “across all sources of cannabis,” which includes homegrown, medical and illicit sales.
The consultants said the demand in Maryland is likely in the top 15-20 percent of all states. “It’s even in the top of the states that have legalized and because of that you have to supply more dispensaries and have more opportunities,” said Sofis, who recommended no fewer than 300 dispensaries with a tax rate of no more than 15-20 percent.
Slade said states “walk a tightrope” trying to ensure that they are not over or undersupplying the demand.
Lawmakers grappling with how to stand up a legal retail market said they were concerned about oversupply, noting that several states have experienced a glut and, as a result, their sales are beginning to tank.
Sen. Brian J. Feldman (D-Montgomery) said he received numerous calls from anxious constituents about the state’s move into the legal market after reading reports about the drops in sales being seen in states like Oregon and California.
Slade said it is important for Maryland to allow regulators to have “production-management levers” to prevent a glut in the system.
Feldman also wondered if there is an uptick in people consuming marijuana through edibles instead of smoking.
Sofis said they are seeing incremental increases in edible usage, not just in Maryland but nationally. “That trend is continuing and planning ahead for that is smart,” he said.
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