New Mexico Proposes Government-Owned and Operated Stores

Of course, first they’re going to need to make recreational marijuana legal in the state.

With new Democratic Governor Michelle Lujan Grisham in office though, New Mexico will likely be joining the ranks of states that have legalized recreational marijuana. And soon.

A bill in the House – backed by Democrats – was recently approved that would legalize marijuana for adults 21 and over.

But there’s another proposal in the Senate introduced by Republican Senator Mark Moores. No, it doesn’t oppose marijuana legalization. It DOES propose a different way to sell it though.

And if it passes, this New Mexico model would be a new one for the United States.

Legalizing Recreation Marijuana in New Mexico Makes Sense

Although medical marijuana has been legal for over a decade in New Mexico, they’ve been a little slower to get on the recreational train.

But given the state’s proximity to Colorado – where it’s been recreationally legal for more than five years – Senator Moores sees the inevitability of making it legal in New Mexico.

He just wants to, “do it in a smart way.”

And by ‘do it in a smart way,’ he means that he and Republican state lawmakers would like to see recreational marijuana legally sold in stores that are government owned and operated.

It’s definitely an interesting stance for the political party that generally wants less government involvement. Then again, they are talking about state’s rights. And there is a Democrat backing the proposal as well.

It’s not totally surprising when you look at the state’s political affiliations. New Mexico is generally considered a blue state for presidential elections. But it also has an underlying, small-government Libertarian streak.

Whatever the motivation, they’re advocating that the sale of recreational marijuana follow a similar model to how alcohol is sold in certain states only in state-run liquor stores.

So What Does This Mean for the Cannabis Industry There?

It’s difficult to say, exactly.

The suggestion to limit sales to government-run dispensaries does seem to put a serious damper on prospects for the industry in New Mexico.

In Nevada, Oregon, Washington, California and Alaska, recreational marijuana is legal and available in stores. But it’s sold at government-regulated, privately run businesses.

And in Canada, there are some provinces that permit sales only at government-run locations, while others allow private operators to sell at brick-and-mortar stores, as well as online. For the most part, it all seems to work.

But cannabis entrepreneurs in the state are not so confident. They have concerns that the state government doesn’t have the chops to run what’s become a billion-dollar industry in other states.

And they seriously doubt the government’s ability to build, open and operate a hundred stores across the state when they can’t even issue medical marijuana cards on time.

Just like with every other state, New Mexico will run into some challenges once it legalizes recreational marijuana. This extra twist certainly makes it more interesting though.

Boost Your Cannabis Business

The legalization of recreational marijuana in Michigan hasn’t been a simple transition.

So if you’ve got a cannabis business that’s struggling through these changes, then contact us to talk about upping your cannabis marketing strategy.

We’ll get you out there.