Marijuana News – Canadian Banks Refuses Clients – Cannabis Industry May Reach 50 Billion By 2026

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Maine patients could be the first on the East Coast to consume medical marijuana grown to standards similar to those used for certified organic food products. Reported by the Portland Press Herald, the Certified Clean Cannabis program is the first of its kind to set standards for growing medical marijuana without any harmful chemicals. According to Katy Green, an organic transitions coordinator for a Maine Organic Farmer and Gardener Association, the clean cannabis standards is much like the standards applied to food. The standards require soil-based production and also lays out how farmers should deal with pests and weeds. The program holds more than 2,700 small growers that are licensed by the state to grow marijuana for up to six patients.

Scotiabank and Royal Bank of Canada are in the midst of closing cannabis-related business accounts. In a statement addressed to Cannabis Business Times, AJ Goodman, a director for Royal Bank, states, “ For business banking clients, including those engaged in the production and distribution of medical marijuana, these factors include the nature of their business, their financial position, and creditworthiness as well as other factors relevant to their specific business.” Canada has legalized medical marijuana at the federal level, leaving many to wonder if this was actually the bank’s reasoning. According to NORML Canada Communications Director, Craig Jones, outside of moral objections and image concerns, there is no apparent reason for banks to shut down cannabis business accounts.

A recent report predicts that the legal cannabis industry in the U.S. may grow to $50 billion in the next decade. Legalizing recreational use in California has the potential to triple the nation’s current $6 billion legal industry alone reported from 10 Cowen and Company analyst. The expansion of the industry will affect big businesses even though the current competitive landscape is largely made up of smaller startups. Tobacco companies may make up about one-fifth of the cannabis industry by 2036 which can nearly double the tobacco’s underlying growth.

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