D.C. cannabis sales hit record high, but individual dispensaries could feel the squeeze

D.C.’s medical cannabis market hit a new record in April with nearly $9 million in sales, a 50% increase from March, driven by a 66% surge in registered patients. This growth was aided by the closure of unlicensed shops and the opening of 13 new legal dispensaries, bringing the total to 36. Despite the overall market expansion, the average revenue per dispensary saw a slight decline. Beyond retail, manufacturing sales doubled, boosting the market with new concentrates and edibles, while overall sales of vapes, edibles, and concentrates in April 2025 were nearly $4 million higher than in April 2024. This upward trend is expected to continue with more dispensaries opening in May.

• Next ABC Board meeting May 27 at 10:30 A.M., agenda, watch. Just one agenda item: a summary action hearing for Crown Tobacco.
• ABCA, MPD Padlock Crown Tobacco
• This proposed rulemaking allows D.C. medical cannabis businesses to remediate products that fail testing due to addressable issues, aligning the District with other states, reducing waste, and enabling the repurposing of otherwise destroyed products.

The Maryland Office of Social Equity (OSE) will host a “From Seed to Success” Cannabis Business Vendor Fair on June 6, 2025. This event aims to connect Maryland’s 191 Social Equity Cannabis Licensees with essential local vendors and service providers, including those in construction, legal, accounting, and security. Businesses interested in participating are encouraged to submit their interest by May 30th via the OSE 2025 Vendor Fair Interest Form.

The Maryland Alcohol, Tobacco and Cannabis Commission (ATCC), assisted by Baltimore police, raided four businesses in Southeast Baltimore, including smoke shops in Fells Point and Federal Hill. Authorities seized suspected illegal cannabis from each location. While warrants were served, no businesses were immediately shut down. The ATCC indicated that some businesses may be mislabeling themselves as dispensaries without proper state licensing.

New Leaf, a medical cannabis dispensary, opened its sixth location in West Virginia at The Highlands in Triadelphia. This new facility, which includes two drive-thru windows for enhanced patient accessibility and convenience, aims to serve patients with medical cannabis prescriptions in the northern part of the state, including nearby areas and potentially Delaware.

New York officials launched an interactive “Buy Legal” map to help consumers find licensed marijuana retailers and encourage purchases from the regulated market.

A DEA investigation in New York led to the seizure of over 29,000 cannabis plants and the arrest of two individuals for operating an unlicensed cultivation facility.

New York officials are expanding the state’s marijuana farmers market program, allowing licensed businesses to sell to consumers at pop-up events, aiming to normalize cannabis and boost the state’s growing legal marijuana market.

Despite federal legalization remaining stalled in the U.S., American cannabis companies are increasingly shifting their focus to Europe, viewing it as a burgeoning market for growth and investment.

Thailand is moving to significantly tighten its cannabis regulations, including potentially requiring prescriptions for purchases, due to a surge in smuggling cases primarily involving tourists from the UK and India since its decriminalization in 2022. 

While cryptocurrencies offer potential solutions for the cannabis industry’s banking challenges, their widespread adoption is hindered by volatility, tax implications, and the cost of infrastructure setup.

Tribally owned cannabis stores have seen substantial growth, increasing by 24% since May 2024 to reach 77 outlets across nine states, owned by 59 different tribes.

More than one in ten older U.S. veterans use cannabis, primarily for pain relief, with many reporting improved quality of life and reduced reliance on prescription medications.

Minnesota has finalized a cannabis compact agreement with the White Earth Nation, allowing the tribe to regulate and operate cannabis businesses off tribal lands, a first for the nation. 

The Arizona Department of Health Services (ADHS) has raised alarms about the reliability of cannabis testing in the state, particularly citing “multiple violations” and “repeat findings” at a prominent national testing lab, Kaycha Labs.

Tennessee Governor Bill Lee signed legislation that, effective January 2026, will ban the sale of THCA and synthetic cannabinoids, transfer regulatory authority over hemp products from the Department of Agriculture to the Alcoholic Beverage Commission, and prohibit online sales and sales at convenience and grocery stores.

California authorities, through a multi-agency operation in the Central Valley, seized over 105,000 illegal cannabis plants and 22,000 pounds of processed cannabis with an estimated value of $123.5 million. 

Matthew Zorn, an attorney known for suing federal agencies over cannabis and psychedelics reform, has joined the Trump administration as Deputy General Counsel under HHS Secretary Robert F. Kennedy Jr. In his new role, Zorn will focus on psychedelics policy,

Despite initial bipartisan support for rescheduling cannabis from Schedule I to Schedule III, the effort has stalled in the Trump administration after facing resistance from the Drug Enforcement Administration (DEA) and subsequent legal challenges.