NEW MEXICO: The Cannabis Control Division of the Regulation and Licensing Department on Wednesday announced that during the month of August, licensed retailers around the state sold over $40 million in adult-use and medical cannabis combined. 
In August, adult-use cannabis sales topped over $24 million.
NEW MEXICO: New Mexico cannabis sales totaled $5.2 million over the first weekend of adult-use sales, the Cannabis Control Division of the Regulation and Licensing Department reported Monday. Friday, the first day of adult-use sales, was nearly double Colorado’s first day of adult-use sales. 
“New Mexico’s launch of recreational cannabis has been one of the most successful, if not the most, of any state,” said Gov. Michelle Lujan Grisham. “Not to mention that we beat Colorado’s numbers for first-day sales. New Mexicans demonstrated the strength of the demand for this exciting new industry, and it is clear that adult-use cannabis is going to be a contributor to our diverse state economy.”
Between midnight on Friday, April 1, and 11:59 p.m. on Sunday, April 3, cannabis retailers made $5,219,575.73 in sales with medical and adult-use purchases combined. Adult-use sales alone brought in $3,522,811.27 and medical cannabis generated $1,696,764.46. The dollars came from 87,773 individual transactions from every corner of the state.
“New Mexico was ready for this historic opportunity to end prohibition,” said Cannabis Control Division Director Kristen Thomson. “Whether it’s people moving from the illicit market to the safe, regulated legal market or brand-new customers excited to try high-quality New Mexico products for the first time, New Mexicans supported cannabis businesses in record numbers this weekend.”
“In every state that launched adult-use sales before New Mexico, some retailers sold out on opening day,” Thomson said. “In New Mexico, that was simply not the case. Customers and patients across the state were all able to get the products or medicine they wanted and needed. Through careful regulatory planning hand-in-hand with industry, New Mexico cannabis producers have done something that’s never been done before. This weekend’s successful launch is something we can all be proud of.”
Other states have also seen statewide seed-to-sale tracking system problems that limited or halted sales altogether. Again, New Mexico did not experience those problems and the statewide system worked without a hitch throughout the busy weekend.
As of the start of sales on Friday, 151 retail licenses had been issued, covering nearly 250 locations.
After a smooth and safe weekend, the CCD continues to advise anyone buying cannabis to consume responsibly. The CCD recommends that new users “start low and go slow,” starting with products with low THC content and slowly increasing consumption once someone has a sense of how their body is responding.
The Cannabis Regulation Act, passed by the Legislature and signed by the governor last year, called for sales of adult-use cannabis to begin no later than April 1. The new industry is projected to generate over $300 million annually in sales, create more than 11,000 jobs and bring in $50 million in state revenue in the first year alone.
NEW MEXICO: Gov. Michelle Lujan Grisham celebrated the launch of New Mexico’s adult-use recreational cannabis industry on Friday as sales began at retailers across the state, culminating the state’s journey to legalization and launching New Mexico’s newest industry. 
“This is a historic day for New Mexico – the beginning of a new economic opportunity for entrepreneurs and communities across the state,” said Gov. Lujan Grisham. “With around 250 retailers licensed and ready to go on day one, New Mexico’s recreational cannabis industry is off to a strong start. With the dedicated work of legislators and advocates, we have crafted a well-regulated industry that is creating jobs, spurring economic activity, and generating revenue for state and local governments.”
“We are a state focused on growing an economy that attracts and retains young people – and what could be more exciting than a new industry that presents so many unique opportunities,” Lujan Grisham said.
The governor visited a cannabis retailer in Albuquerque on Friday morning, celebrating the first day of recreational sales with customers and staff.
Gov. Lujan Grisham legalized adult-use cannabis last year after calling a special session to get the effort across the finish line, signing legislation in April of 2021 that balanced economic growth, consumer safety, and criminal justice while building on the experiences of other states to ensure no New Mexican was left behind. The legislation legalized adult possession and personal growth as of June 29, 2021, and enabled retail sales to begin April 1 of this year.
The recreational adult-use cannabis industry builds upon the work Gov. Lujan Grisham has done to diversify and grow New Mexico’s economy, augmenting the significant expansions she has delivered in sectors like film and television, clean energy, and aerospace, among others. The recreational cannabis industry is expected to create as many as 11,000 new jobs across the state over several years, in addition to generating over $300 million in sales and over $50 million in revenue in its first year.
New Mexico’s regulations were crafted to prioritize reducing barriers to entrepreneurship, establishing micro-business licenses that ensure smaller businesses have a pathway to success. Over half of newly licensed producers across the state are considered micro-businesses, with an easier licensing process and lower start-up costs enabling more entrepreneurs to get started in the industry.
The state has licensed nearly 100 minority-owned cannabis businesses and nearly 100 women-owned cannabis businesses across New Mexico so far, with some overlap. Earlier this month, Gov. Lujan Grisham announced the signing of intergovernmental agreements with the Pueblos of Pojoaque and Picuris, empowering those sovereign nations to fully participate in the cannabis economy on tribal lands and within New Mexico’s borders.
NEW MEXICO: Gov. Michelle Lujan Grisham and Regulation and Licensing Department Superintendent Linda Trujillo on Tuesday heralded the official effective date of the Cannabis Regulation Act, which now provides for the personal possession and growth of cannabis in New Mexico, and officially establishes the Cannabis Control Division within RLD. 
“This is a landmark day, a huge step forward both for social justice and economic development in our state,” Gov. Lujan Grisham said. “We are proactively stopping the disproportionate criminalization of people of color for cannabis possession, and we are building a new industry in which all New Mexicans can participate – and that will bring millions of dollars to our local communities and our state.”
The Cannabis Regulation Act, signed into law by the governor after she called a special legislative session to secure its final approval earlier this year, legalized adult-use cannabis sales in New Mexico no later than April 1, 2022. However, several provisions of the law go into effect on June 29, 2021.
Specifically, as of June 29, people in New Mexico can legally possess up to two ounces of cannabis, 16 grams of cannabis extract and 800 milligrams of edible cannabis outside their private residence. Individuals can also grow up to six cannabis plants per person at their home, with a household limit of 12 plants.
Moving forward, the newly created Cannabis Control Division will oversee both medical and adult-use cannabis in New Mexico. The division is already working with the public to draft rules for the production of adult-use cannabis and has advised local governments of their obligations under the law.
“We are excited at the Cannabis Control Division to play such a key role in bringing adult-use cannabis sales to fruition in New Mexico,” said Superintendent Trujillo. “The economic impact of adult-use sales will be significant and we are committed to ensuring a timely, open process that allows New Mexico entrepreneurs and businesses the opportunity to enter this new industry.”
NEW MEXICO: Gov. Michelle Lujan Grisham on Monday formally enacted adult-use cannabis legalization in the state of New Mexico, signing into law an historic measure approved by the state Legislature after the governor called them into a special session for that purpose late last month.
“The legalization of adult-use cannabis paves the way for the creation of a new economic driver in our state with the promise of creating thousands of good paying jobs for years to come,” said Gov. Lujan Grisham. “We are going to increase consumer safety by creating a bona fide industry. We’re going to start righting past wrongs of this country’s failed war on drugs. And we’re going to break new ground in an industry that may well transform New Mexico’s economic future for the better.”
New jobs, new revenue
The sales of adult-use recreational cannabis could amount to $318 million in the first year, creating over several years what could be more than 11,000 new jobs, according Dr. Kelly O’Donnell, independent economist and public finance expert. Preliminary estimates are that the excise tax will raise at least $20 million for the general fund in the first full fiscal year, with significant growth in subsequent years. Local governments will also benefit from the added revenue.
“As we look to rebound from the economic downturn caused by the pandemic, entrepreneurs will benefit from this great opportunity to create lucrative new enterprises, the state and local governments will benefit from the added revenue and, importantly, workers will benefit from the chance to land new types of jobs and build careers,” said Gov. Lujan Grisham.
“Today, New Mexico seized a once-in-a-lifetime opportunity to establish a multi-million industry with a framework that’s right for our state and will benefit New Mexicans for generations to come,” said Rep. Javier Martínez. “Not only are we launching a burgeoning industry that will strengthen our economy, create jobs and generate tax dollars, but we are doing so in an equitable way that will curb the illicit market and undo some damage of the failed war on drugs.”
A well regulated industry spurs economic activity, creates revenue for state and local government and protects the public
The governor’s signature today launches an administrative process that will culminate in the launch of commercial sales for adults no later than April 1, 2022. The issuance of licenses to conduct commercial cannabis activity will begin no later than Jan. 1, 2022.
“This is a major new program for the state that will have a positive impact on job growth and the economy, but it does require smart regulation in order to protect the public and entrepreneurs seeking to get into the business,” said Sen. Katy Duhigg. “I’m proud of the work we did to ensure that we are creating a fair and equitable program that has a low barrier to entry. At the same time, proper regulation and oversight will keep our successful medical cannabis program intact and help new businesses grow while keeping consumers safe.”
Gross receipts tax and local taxes apply to the value of the adult-use purchase.
“This is the right model for New Mexico because it creates a local, sustainable and regulated industry while at the same time protecting what’s near and dear to all us, including public health, road safety and the well-being of our youth,” said Superintendent Linda M. Trujillo of the state Regulation and Licensing Department, which will oversee and manage the new industry.
New Mexico becomes the latest state in the U.S. to legalize adult-use cannabis, and is only the fifth state to enact it through its state Legislature.
“The standardization and statewide regulation that comes with a bona fide industry will protect consumers,” said Trujillo. “In addition, local jurisdictions will be able to enact reasonable zoning, land use and other business requirements.”
Protecting public safety, health, consumers and N.M. youth
The legislation creates a Public Health Advisory Board to monitor cannabis use and data pertaining to the health effects of legalizing cannabis. In addition, the Department of Health is required to provide annual reports, including information on youth access, driving and road safety, workplace safety, consumer and product safety and emergency room visits involving cannabis.
“Protections for our children are an essential part of this plan and include strict restrictions of packaging, labeling and advertising, as well as stiff penalties for anyone selling cannabis to persons younger than 21,” said Sen. Linda Lopez.
The legislation was sponsored by Rep. Javier Martinez, Rep. Andrea Romero, Rep. Debbie Armstrong, Sen. Linda Lopez and Sen. Katy Duhigg.
“The legalization of cannabis is ultimately a public health measure. When we regulate the industry, we can control the product quality, protect consumers, and bring down the dangerous illicit market in our state,” said Rep. Debbie Armstrong. “This law includes dozens of necessary safeguards to protect our youth, ensure adequate supply for the medical program, and will bring in additional funds for programs, services, and research to support the health and wellbeing of New Mexicans.”
Expungement of convictions
Surrounded by legislative sponsors and advocates outside the state Capitol, Gov. Lujan Grisham, who has advocated for legalization since taking office, signed legislation that will authorize the expungement old low-level cannabis convictions from the record of what is expected to be tens of thousands of New Mexicans and make possible the potential early release of low-level convicted cannabis offenders who are currently incarcerated.
“Thousands of people, and a disproportionate number of them from communities of color, have been wronged by this country’s failed war on drugs,” said Sen. Jerry Ortiz y Pino. “We will all benefit from our state’s smart, fair and equitable new approach to past low-level convictions.”
“For decades, our communities of color have been discriminated against for minor cannabis offenses, so we must ensure that those who would not be arrested today do not continue to be incarcerated or held back by criminal records for acts that are no longer crimes,” said Rep. Andrea Romero. “By ensuring equity and social justice in our cannabis legalization, we are saying ‘enough’ to the devastating ‘War on Drugs’ that over-incarcerated and over-penalized thousands of New Mexicans.”
This important social justice measure was sponsored by Sen. Lopez, Sen. Duhigg, Rep. Martinez, Rep. Romero and Sen. Jerry Ortiz y Pino.
“The signing of the cannabis legalization and expungement package will ensure equitable opportunities for farmers and other small businesses, and long overdue justice – including automatic expungement – for those with past cannabis arrests or convictions,” said Emily Kaltenbach, Senior Director, Resident States and New Mexico, Drug Policy Alliance. “We thank the Governor and our legislative allies for not taking ‘no’ for an answer and stopping at nothing until we were able to get justice for New Mexico communities – particularly Hispanic/Latinx, Black, Native and Indigenous – that have been immensely harmed by cannabis prohibition.”
***
“This legislation is a major, major step forward for our state,” said Gov. Lujan Grisham. “Legalized adult-use cannabis is going to change the way we think about New Mexico for the better – our workforce, our economy, our future. We’re ready to break new ground. We’re ready to invest in ourselves and the limitless potential of New Mexicans. And we’re ready to get to work in making this industry a successful one.”
The governor’s signature on the final bills to have reached her desk from the special session caps an incredibly productive spring 2021 legislative season, during which the Legislature and governor delivered a series of significant policy achievements, including many that were either campaign promises and/or longstanding priorities of the governor.
On top of the passage of a constitutional amendment ballot measure that would authorize an additional portion of the state’s Land Grant Permanent Fund for early childhood education, and in addition to long-sought social welfare measures, the Legislature authorized and governor enacted almost $1 billion in direct pandemic relief for individuals and businesses across the state, including $200 million in small business grants, $500 million in small business loans, a tax holiday for hospitality businesses and restaurants, a $600 tax rebate for working families and a sweeping tax overhaul that will amount to a significantly boosted tax rebate for tens of thousands of New Mexico middle-class families.
DISTRICT OF COLUMBIA: The U.S. Department of Agriculture (USDA) today announced the approval of hemp production plans under the U.S. Domestic Hemp Production Program for Indiana, Michigan, New Mexico and South Dakota, bringing the total number of approved plans to 69.
USDA continues to receive and review hemp production plans from states and Indian tribes. To review approved plans or check the status of a plan, visit the Status of State and Tribal Hemp Production Plans webpage.
State and tribal plans previously approved include:
| States | Tribes |
|---|---|
| Delaware | Blackfeet Nation |
| Florida | Cayuga Nation |
| Georgia | Cheyenne and Arapaho Tribes |
| Illinois | Cheyenne River Sioux Tribe |
| Iowa | Chippewa Cree Tribe |
| Kansas | Colorado River Indian Tribes |
| Louisiana | Comanche Nation |
| Maine | Confederated Tribes of Warm Springs |
| Maryland | Cow Creek Band of Umpqua Tribe of Indians |
| Massachusetts | Flandreau Santee Sioux Tribe |
| Minnesota | Fort Belknap Indian Community |
| Missouri | Iowa Tribe of Kansas and Nebraska |
| Montana | Lac Courte Oreilles Band of Lake Superior Chippewa Indians |
| Nebraska | La Jolla Band of Luiseno Indian Tribes |
| New Jersey | Little Traverse Bay Bands of Odawa Indians |
| Ohio | Lower Sioux Indian Community |
| Oklahoma | Miccosukee Tribe of Indians of Florida |
| Pennsylvania | Oglala Sioux Tribe |
| South Carolina | Otoe-Missouria Tribe |
| Tennessee | Pala Band of Mission Indians |
| Texas | Pawnee Nation of Oklahoma |
| Utah | Prairie Band Potawatomi Nation |
| Washington | Pueblo of Picuris Tribe |
| West Virginia | Red Lake Band of Chippewa Indians |
| Wyoming | Rosebud Sioux Tribe |
| Puerto Rico | Sac & Fox Tribe of the Mississippi in Iowa |
| U.S. Virgin Islands | San Carlos Apache Tribe of Arizona |
| Santa Rosa Cahuilla Indian Tribe | |
| Santee Sioux Nation | |
| Seminole Nation of Oklahoma | |
| Seneca Nation of Indians | |
| Sisseton-Wahpeton Oyate Tribe | |
| Standing Rock Sioux Tribe | |
| Torres Martinez Desert Cahuilla Indians | |
| Turtle Mountain Band of Chippewa Indians | |
| Winnebago Tribe of Nebraska | |
| Ysleta Del Sur Pueblo | |
| Yurok Tribe |
The Agriculture Improvement Act of 2018 (2018 Farm Bill) directed USDA to develop a regulatory oversight program for hemp and include provisions for USDA to approve hemp production plans submitted by states and Indian tribes. Accordingly, on Oct. 31, 2019, USDA issued an interim final rule establishing the U.S. Domestic Hemp Production Program and the provisions for USDA to approve submitted plans. State and tribal plans provide details on practices and procedures that enable hemp producers in their jurisdictions to operate according to their individual plans and in compliance with federal laws.
For additional information about the program, visit the U.S. Domestic Hemp Production Program webpage.
By Steven Gluckstern
Chair and CEO, Santa Fe Farms
It’s difficult to predict where the hemp industry will go over the next five years and how it will develop as it is only been just over 22 months since the farm bill of 2018 was passed legalizing hemp for transport across state lines. This legislation opened up an entire new industry for CBD and other hemp related products. What we do know, is that hemp is an extraordinary plant and the industry, although nascent, will have a profound impact both economically and environmentally in both the US and abroad.
What we learned in the first two years of the legalized hemp industry is now that everyone rushed into cultivation, farming may not be the most profitable sector. The primary lesson learned for most people is that when you partner with Mother Nature, she is fickle and almost always wins. Furthermore, unlike corn, soy, and other US agricultural products, the plant needs to go through a transformational process to make it usable for downstream products. Thought of as the narrow center of the hourglass or “chokepoint” of the industry, the plant needs to be processed and/or extracted to be usable for anything other than smokable flower.
While much of the industry is now focused on CBD and other phyto-cannabinoid products (the base of the hourglass), our vision at Santa Fe Farms is much broader and includes not only cultivation, and processing, but industrial hemp for building materials, plastics, paper, and other manufactured goods as well as our own phyto-cannabinoid products. Additionally, we are discovering that carbon-based derivatives obtained through pyrolysis will drive further business in ways we are just beginning to understand and that could have significant impact on both renewable energy and environmental sustainability.
We also believe there is significant opportunity for technology; because this is a nascent industry, the visibility of the hemp supply chain is almost nonexistent. Studying the data is almost impossible but as advanced technologies such as blockchain become “mainstream”, we will soon see efficiencies in cultivation, harvesting, processing, and innovation. We have always thought there was significant opportunity for software as it relates to the hemp supply chain, and with experienced partners have begun investing significant resources to create an industry agnostic “Supply Chain as a Service” platform.
When we started at Santa Fe Farms, we initially thought only about cultivation, but quickly realized that one should make multiple bets to maximize profit one likely had to allocate capital to all parts of the business from seed genetics to retail sale. In the short-term, we believe that prices will stabilize, people will leave the industry (by choice and necessity) and that prices will rise as demand increases.
More interesting however is looking out ten years. As we face the “hemp future,” there is a tremendous lack of visibility of regulation. We can hopefully drive regulation from within by creating products and SOPs that adhere to high quality standards. No one knows what future regulation will look like as it is clearly, at best, a work in progress. However, it represents a place where we can come together as an industry to create policy change, social justice and educational platforms.
COLORADO: Helix Technologies, announced today that New Mexico’s online medical marijuana reciprocity portal is live and has been serving out of state patients living or vacationing in New Mexico for almost a month as of this writing.
The system, which is the first of its kind for US medical cannabis programs, allows state regulators to electronically register and track out of state patients into the patient registry. The system decreases time and costs associated with paper only patient registries and allows the state to track and enforce dispensing limits in real time to prevent potential diversion to the black market.
The new platform benefits all stakeholders in the New Mexico industry as it allows out of state patients a convenient way to access medical cannabis while enjoying the many outdoor and cultural opportunities in New Mexico. Since going live with the reciprocity module on July 1st, more than 1,700 out of state patients have been registered for the program. “We’re encouraged by the ability of this platform to assure people visiting New Mexico get the medicine they need when cannabis has been recommended as a treatment by their medical provider at home,” said New Mexico Department of Health Medical Cannabis Program Director Dr. Dominick Zurlo. “We appreciate the efforts of Helix Biotrack to work with us toward the goal of assuring visiting patients experience uninterrupted treatment and relief for their medical conditions.”
“We are always looking for ways to work with our Government partners to improve transparency, ease of use, and ultimately public safety,” said Helix Biotrack COO Dr. Moe Afaneh. “This is the first step towards digitally bridging states’ medical markets, while ultimately improving access for patients looking to explore New Mexico, bringing in new patients for the industry, and saving everyone time and money in the process. We’re very proud to bring another industry-first innovation to Seed to Sale Tracking, with more to come.”
NEW MEXICO:The 35 licensed commercial producers in New Mexico’s Medical Cannabis Program brought in a record $22.1 million for the third quarter of 2017, an increase of 4 percent from the second quarter.
Patient enrollment increased by over 10 percent, from 44,403 to 48,861, during the same quarterly period.
“Revenue is growing slower than previous quarters and not keeping pace with the dramatic increase of patients enrolled, which is a result of the lowest number of plants per patient in the history of the program,” said Duke Rodriguez, CEO and President of Ultra Health. “This product and pricing pressure is likely pushing qualified patients to purchase unsafe medicine from the illegal black market.”
All providers licensed a total of 14,550 plants for the 2017-2018 period, leaving less than one third of a single plant per patient. The plant count ratio will continue to deteriorate each month as patient enrollment increases.
The New Mexico medical cannabis industry is on course to complete 2017 with total projected sales of $85.5 million, which is a 68 percent increase over the $50.6 million achieved in 2016. Patient enrollment is projected to increase by 86 percent from 29,046 patients on January 1, 2017 to 54,091 patients on January 1, 2018.
Third Quarter Breakdown
Ultra Health continues to lead all providers in the third quarter with $2.8 million in sales, an increase of 20 percent since June 30, 2017. The provider currently holds 13 percent of the New Mexico medical cannabis market. Ultra Health currently leads the nation in percentage market share penetration.
The provider attributes its growth in the third quarter to patients’ favorable response to its new pharmaceutical-grade, smokeless medicinal productswhich include sublingual and oral tablets, pastilles, vaginal and rectal suppositories, oils, topicals and patches.
The 23 original providers accounted for 79 percent of the total market share for the third quarter while the 12 newest providers, which were selected in October 2015, held 21 percent altogether.
Ultra Health opened its ninth dispensary location in Silver City on October 17, 2017. The provider now serves seven counties as the nation’s largest vertically integrated medical-only cannabis network.
Six of the 35 licensed producers currently operate without a single retail dispensary location.
NEW MEXICO: Ultra Health has announced plans to officially open its eighth location in Alamogordo, N.M., on Tuesday, August 29th, making the company the largest vertically integrated, seed-to-sale medical cannabis network in the country.
The opening comes after a long-awaited inspection from the New Mexico Department of Health (NMDOH). Ultra Health initially submitted its amendment to open a dispensary in Alamogordo in May of 2016. There are currently more than 45,000 enrollees in the state’s medical cannabis program.
The new Alamogordo dispensary will bring the provider to eight locations serving six counties in New Mexico, more than any other medical cannabis provider in the state. Ultra Health ranks #1 by number of locations in the U.S. among the 21 states that operate medical-only cannabis programs (an additional 8 states have complete legalization for adults).
“Under the Lynn and Erin Compassionate Use Act, licensed producers are exclusively granted the authority to produce, possess, distribute and dispense cannabis,” said Duke Rodriguez, CEO and President of Ultra Health®. “We are committed to fully exercising these rights to improve the quality of life of the patients we serve. Ultra Health is proud to be actively establishing the highest quality, most accessible and affordable medical cannabis system in the United States.”
Ultra Health plans to increase patient choice and access by continuing to establish new dispensaries in underserved communities including Silver City, Espanola, Los Ranchos, Deming, Sunland Park, Las Vegas, Raton, Tucumcari, Artesia, Gallup, Farmington, Grants, Socorro, Truth or Consequences, Portales, Roswell, Los Alamos, Moriarty, Lovington, and the unincorporated South Valley of Albuquerque.
There are currently 15 New Mexico counties and thousands of medical cannabis patients without access to a full time dispensary. While approval for medical cannabis dispensaries in the rural areas has lagged, the Albuquerque market appears saturated with dispensaries.
As of August 4, there were 25 dispensary locations in Albuquerque serving a patient population of 13,812 enrollees in Bernalillo County. The Albuquerque dispensary density is higher than that of Tucson, Arizona, which has 10 dispensaries serving 18,766 patient enrollees in its respective Pima County. The U.S. Census Bureau (2016) estimates the Albuquerque and Tucson city populations at 559,279 and 530,706 respectively.
