Last Year’s Marijuana Sales Show an Industry on the Rise

Increased Sales

A new report shows that legal marijuana sales brought in an estimated $30 billion in 2022.

This is more than the sales of chocolate and craft beer combined — they generated $20 billion and $7.9 billion, respectively. It’s also more than opioid medications and topical pain relief combined, which reeled in $22.8 billion and $2.8 billion over the same period.

But in the US, tobacco products still reigned supreme, bringing in $52.7 billion last year.

Rapid Legalization

It doesn’t feel so long ago that there was a controversy surrounding Colorado and Washington state legalizing recreational marijuana in 2012. However, since then, many other states have been quick to follow suit and legalize the drug.

Since 2012, 20 additional states legalized recreational marijuana, while another 19 allow medical use.

Evolving Industry

Industry reports show that medical cannabis sales are expected to decline over the coming years as consumers turn to other readily available options. This has less to do with diminishing demand and more with expanding selection of products. Alternative ways that marijuana can be consumed now include vape pens, gummies, beverages, resins, tinctures, and more.

With all that said, the cannabis industry still faces its fair share of struggles. Most notably, there are major regulatory challenges which make it hard for marijuana businesses to raise funding, legally navigate the market, and stay in business.

The recreational marijuana industry may have to continue to overcome pitfalls in the short term. But the sales suggest demand could keep this relatively young industry around for the long haul.

Looking for more stories like this? Check out On the Money — SoFi’s one-stop-shop for news, trends, and tips!

Check it out

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS23042002