May 3, 2023 08:00 pm ETEstimated Read Time: 4 Minutes
Last year, Illinois emerged as the first U.S. state to authorize equity licenses. In total, 88 permits have been granted to social equity craft cannabis growers, who were recently granted some respite from the state Department of Agriculture after facing mounting pressure to kickstart operations by March 1.
Previously, growers were required to have their operations up and running by the deadline date. Fortunately for those licensees, an operational extension has been confirmed for Feb. 1, 2024. The date was confirmed via a news release published by the Department, which is committed to promoting and regulating proper agriculture across the state in a way that shields consumers and natural resources.
Craft cannabis growers in Illinois who received licenses in 2022 have been informed that the deadline date has been extended to Dec. 1, 2024. Operators who have not yet kick-started operations must demonstrate “good cause” for receiving an extension. The Department issued the extensions after considering supply-chain issues and the business-related consequences of COVID-19.
Concerns Arise Regarding Extension for Craft Grow Business Licenses in Illinois
Although the state Department of Agriculture’s extension provides craft cannabis growers in Illinois with the opportunity to better prepare for the official launch of their businesses, there is nothing to say that the company owners will be capable of raising sufficient capital in time.
Many Illinoian cannapreneurs have been dealing with limited capital and are now scurrying to raise several million dollars for construction and other business expenses. Based on a report issued by the IPR, just two of the 88 social equity licensees have opened for business so far, with an additional 21 already serving the state’s recreational cannabis market.
Sales of Recreational Cannabis in Illinois Are Gradually Slowing Down
Illinois marijuana sales figures published for the month of March are on a slippery slope, mirroring a lack of new store openings and crumbling cannabis prices. Data published by the Illinois Department of Financial & Professional Regulation(IDFPR) revealed the slowest revenue growth since statewide recreational cannabis legalization was effectuated three years ago.
Last month, adult-use cannabis sales amounted to $134.8 million. While the latest figures do represent 3% growth from the same period in 2021, the Department also highlighted the fact that sales have slowed down to almost 6% year-over-year growth in February and a 9% increase in January.
Apply For Your Medical Marijuana Card Today
Veriheal has satisfied hundreds of thousands of patients nationwide
Get approved or your money back
Appointments available on-demand
Customer support available 24/7
Since July of last year, sales growth for the recreational cannabis market in Illinois has sunk to the single digits. When industry experts observed the number of products sold, or the amount of cannabis on a unit basis, they confirmed that sales were up 9% year-over-year in March. However, when compared with figures from January or February, sales soared 16% and 13%, respectively. For the past year, unit sales grew in the double-digits.
The plummeting cannabis sales figures in Illinois have placed major financial pressure on some of Chicago’s biggest and most successful companies, including Cresco Labs, Green Thumb Industries, and Verano Holdings. Pricing aside, the legal cannabis market in Illinois is also suffering slightly due to a major lack of new store openings.
In 2022, 192 new stores received licenses. If the total number of new licensees had managed to get their hands on the $1 million required to open a dispensary, the existing number of retail locations would almost double. Slumping cannabis stock prices, recession fears, and climbing interest rates are just some factors that are affecting licensees’ ability to raise sufficient capital.
Advancements in Illinois’ Cannabis Industry
Members of the Illinois Senate have taken things one step further in a bid to further decriminalize statewide cannabis use. Senate Bill 125 and SB 1886 would forbid law enforcement officials/police officers from searching individual vehicles if they suspect the scent of marijuana. Furthermore, certain individuals on probation would be granted the option to consume cannabis or alcohol without facing negative legal repercussions.
In separate news, the Illinois Equal Justice Foundation (IEJF) recently inaugurated New Leaf Illinois with support from members of the Illinois General Assembly. Free legal aid is provided via the network, which is open to citizens who want to get marijuana convictions expunged from their criminal records.
State-funded, New Leaf Illinois is composed of 18 non-profit organizations that strive to help former convicts steer clear of the following situations:
Denied entry from schools and universities
Loan application rejections
Refused housing from private landlords
Professions license denial from licensing agencies
Being exposed for committing former convictions when undergoing background checks with prospective employers
For further information and to gain a better understanding of the eligibility criteria for marijuana expungements through New Leaf, visit the website. Statewide services are available.
Bethan Rose is a cannabis advocate, writer and traveler with no permanent address. Currently based in Bali, she can usually be found curating cannabis content on her hammock.
When you take a dab, you’ll notice a dark, sticky residue left over in your dab rig. This substance is called reclaim, and yes, you can dab reclaim. But what is cannabis reclaim? And is it safe to dab? What is Reclaim? Can You Dab Reclaim? How to Collect Reclaim from a Dab Rig Health…
With its own set of terms and practices distinct from other forms of cannabis, the intricate world of cannabis concentrates—sometimes called extracts—can be overwhelming. A concentrate is a highly potent concentrated cannabis product made by extracting terpenes and cannabinoids (think THC) from cannabis plant material. While there are multiple ways to consume concentrates, the most…
So you love smoking cannabis, but you’re tired of the same ole rolling papers. Perhaps you feel like you’ve graduated from dumping out the tobacco and shoving weed into an empty cigarette. Maybe you’ve recently learned about the potential dangers and risks associated with tobacco blunt wraps and want a healthier option. Let’s explore some…
If you’re reading this, you are either a recreational cannabis veteran who has seen a handful of cannabis smokers passing out from puffing a joint and can’t seem to figure out why. Or, you are a newbie who wants to give recreational or medical cannabis a shot, and the burning question on your mind is,…
When you decide that you are going to dabble in cannabis cultivation, you have many different decisions to make. You’ll have to decide whether you’re growing indoors or outdoors, as well as in soil, or the route of hydroponics. You’ll also have to pick what type of planters to use, what grow medium to use,…
We use our own as well as third party cookies to improve your site experience and the services we make available. You can learn more about our use of cookies in our Privacy Policy.
Content Disclamer
The statements made regarding cannabis products on this website have not been evaluated by the Food and Drug Administration (FDA). Cannabis is not an FDA-approved substance and is still illegal under federal law. The information provided on this website is intended for educational purposes only and is not intended to diagnose, treat, cure, or prevent any disease. It is not intended as medical advice and should not be considered as a substitute for advice from a healthcare professional. We strongly recommend that you consult with a physician or other qualified healthcare provider before using any cannabis products. The use of any information provided on this website is solely at your own risk.