2023 saw the cannabis industry continue to evolve at a rapid pace. There were major political movements and significant monetary milestones in the US, with Ohio voting to legalize adult-use cannabis and thus becoming the 24th state to do so. We said goodbye to the ‘Godfather of Cannabis Science,’ Professor Raphael Mechoulam. And Snoop Dogg duped us into thinking he’d given up the green. Spoiler alert: He didn’t.
With 2024 here, some of the industry’s power players share their predictions on what we can all expect to see in the coming twelve months. From shifting regulatory landscapes to technological advancements, from changing consumer preferences to the emergence of new markets, our industry is poised for another dynamic year of growth and change.
Bryan Gerber
Founder & CEO, HARA Supply
“In preparation for 2024, cannabis operators are seeking to further cut costs and prioritize efficiency across the supply chain. We expect to see a cost-conscious evolution in the sector, marking a strategic response to market demands for affordability and sustainability, where practicality meets innovation. With this in mind, manufacturers will need to meet these demands while differentiating themselves from competitors to position themselves as preferred industry vendors. For example, Hara Supply is able to cut costs on cones, combustibles and related packaging for the industry’s largest retailers, CPG brands and MSOs by leveraging our domestic and global facilities and strong partnerships, all while speeding up delivery times and improving product quality and customization to offer unparalleled customer experience.”
Morgan Paxhia
Co-Founder, Poseidon Investment Management
“If I had a crystal ball, this is what I believe it will tell us about the next twelve months in the legalized cannabis industry. The forthcoming year will be the most exciting ever in the industry. I foresee the federal government reclassifying cannabis rescheduled as a Schedule III controlled substance on April 20, 2024. Immediately afterward, Democratic leaders including Senator Chuck Schumer and Senator Cory Booker will hold press conferences and try to take a victory lap. In response, certain members of Congress will attempt to stifle this reclassification and force an egregiously high 14% excise tax, which some will try to prop up as a compromise.
“Additionally, I believe hemp-derived Delta-9 THC products and other naturally occurring intoxicating hemp-derived cannabinoids will be forced into regulated channels, closing the Farm Bill loophole. Unfortunately, we’ll see no SAFER Banking Act progress. Instead, a Garland Memo-like protection will be introduced alongside Schedule III in response to the Boise Schiller Flexnor lawsuit against Attorney General Merrick Garland on behalf of several cannabis companies, creating enthusiasm throughout the industry. Rescheduling alone or rescheduling/memo combo will result in a new wave of liquidity, a surge in M&A activities, equity issuance and refinanced debts that will bail out many who may not survive otherwise. We will also see new companies listed on CBOE in Canada. By the time the ball drops and welcomes in a new year, we’ll look back at what has been a wild ride in 2024.”
Christine Smith
CEO, Grön
“2024 looks promising for the industry, especially as more states legalize in the Midwest and East Coast regions. CPG brands are expected to drive innovation, developing products that cater to a broad range of consumer tastes, with minor cannabinoids becoming increasingly important in their diverse product lines.”
Socrates Rosenfeld
CEO & Co-Founder, Jane Technologies
“As we approach 2024, the US cannabis industry finds itself at an exciting point in time. With the government’s recent actions on issues like SAFER and rescheduling, the end of cannabis prohibition has never felt closer to becoming a reality. With future consumer growth expected to be exponential and large mainstream brands anticipated to enter the space, current Industry operators must continue to invest in scalable solutions to remain competitive. Powerful digital infrastructure, deep data analysis and trusted customer relationships will not only be important factors in determining the future winners of the US market but also will shape the future of the global industry for generations to come.”
Ben Kovler
Founder, CEO and Chairman, Green Thumb Industries
“The recent Gallup poll revealing a record 70% of Americans support cannabis legalization shows more than ever that Americans are choosing cannabis for their well-being. In 2024, Green Thumb will continue to connect people to the cannabis experience in innovative ways. We’re excited to build on the momentum from the recent adult-use sales launch in Maryland as we prepare for transitions in Ohio, Minnesota and hopefully other states that may have adult-use on the ballot in 2024.”
Alleh Lindquist
CEO, FloraWorks Holdings Inc.
“In 2024, cannabinoid therapeutics will become the leading emerging market opportunity in the cannabis industry. Since FloraWorks’ inception in CBN manufacturing in 2020, the market has surged to more than $277 million in adult-use sales alone. CBN-infused products dominate the top-selling SKUs for five out of the top six national edible brands, driving the global market to an estimated $1 billion. This year, our own landmark sleep study clinically validated the use of CBN for sleep improvement. Looking to 2024, I expect to see the market becoming more invested in CBN as a potential alternative to other natural sleep aids and existing pharmaceutical options. I also expect to see a continued upward trend in cannabinoid research as our industry seeks to discover the vast therapeutic potential of rare and novel cannabinoids, paving the way for innovation and growth.”
Lewis Koski
Chief Strategy Officer, Metrc
“Rescheduling, 280E and banking will likely still be the primary areas of focus in DC. 2024 is a presidential year and those years have been pretty good for the expansion of cannabis legalization within the states. To the extent there are still states where the electorate can make the call on legalization, we might see a few more states put legalization on the ballot. Any movement to expand or legitimize legalization could yield positive results economically for an industry that has felt the impacts of an uncertain economy. In Europe, Germany will become the largest market for adult cannabis with the passage of its Decriminalization bill. The country will also take material steps towards providing commercialized cannabis to adult cannabis consumers through nonprofit social clubs earlier in the year and regional model projects later in the year.”
Bill Rinehart
CEO, BOLD Carts
“In 2024, we see a shift away from cartridges to all-in-one devices; meeting consumer needs for discrete consumption alternatives. As more consumers move from live resin to rosin and thicker oils, there’s a growing need for reliable hardware. Beyond just products, 2024 is all about scaling. As markets begin to open and mature, we see this as a major opportunity for expansion. For example, with vape pens emerging as the second highest selling category in Missouri, a state that recently legalized adult-use sales, it highlights the growing demand for these products.”
Paul Weaver
Head of Cannabis, Boston Beer Co.
“As the newest generation of drinkers re-evaluate their relationship with alcohol, the popularity of cannabis beverages are an enticing alternative. Whether it’s a marijuana-derived beverage sold in a dispensary or a hemp-derived beverage sold in a liquor store, cannabis drinks are challenging the status quo, have a growing fanbase and represent the future of adult consumption.”
Harrison Bard
CEO and Co-Founder, Custom Cone USA
“We believe pre-rolls will continue to surge in 2024. We expect pre-rolls will surpass flower as the No.1 product category in Canada and will be the No.2 product category in the US, driven by multi-pack and infused pre-roll sales. We expect to see increased automation in pre-roll production and decreases in bulk flower/oil prices, which help brands create higher quality pre-rolls for less.”
John Yang
Co-Founder & CEO, Treez
“In 2014, legislative reform stands as a persistent theme, with rescheduling emerging as the focal point of unprecedented potential. Rescheduling would remove 280e and radically change the trajectory of the industry overnight. However, a collective effort is imperative; to bridge the gap between anticipation and realization, the industry must unite in a concerted effort to normalize and streamline the supply chain of cannabis sales. In the geographical realm, the momentum of cannabis legalization continues to surge forward, in states like Florida and Pennsylvania. However, the dichotomy persists, as long-established states such as California grapple with ongoing challenges and headwinds. The contrast underscores the complex and dynamic nature of the cannabis industry, where regional dynamics play a pivotal role in shaping the industry’s trajectory.”
