Cannabis Industry Lobbying: What Businesses Need to Know

The cannabis industry is growing rapidly, but its future depends heavily on regulation. If you're a business operating in this space, you need to know how to get involved in lobbying to shape laws that work in your favour. Here’s what you need to know about cannabis lobbying and how it impacts your business.

Why Does Lobbying Matter?

Lobbying is about influence—getting your voice heard when laws are being written that could affect your bottom line. In the cannabis industry, that means fighting for fair tax rates, regulations that ensure product quality, and business-friendly policies. Lobbying efforts are crucial to shaping the future of this emerging market.

For example, over $7 million was spent lobbying in Colorado alone from 2010 to 2021. That kind of money influences 367 bills, shaping how the industry operates. And it’s not just local players; out-of-state businesses are also throwing their hats into the ring, with over $800,000 of that total coming from outside the state.

Who’s Behind Cannabis Lobbying?

Lobbyists working for cannabis businesses often don’t disclose their funders' cannabis affiliations. The result? It can be hard to track who's pulling the strings, but make no mistake—the cannabis industry is following in the footsteps of other major industries like alcohol and tobacco. These industries have found ways to align their interests, especially when it comes to regulations that could impact all of them.

Big cannabis companies aren’t the only ones lobbying; smaller businesses and industry associations also have skin in the game. Trade groups like the National Cannabis Industry Association and the Minority Cannabis Business Association are active, working on legislative efforts that make life easier for small players in the market.

What Legislation is on the Table?

One of the big names in cannabis legislation is the MORE Act (Marijuana Opportunity, Reinvestment and Expungement Act). Passed by the House of Representatives, this bill would remove cannabis from the list of federally controlled substances. If passed, it could mean big changes for the industry, including lower barriers to licensing and new funding for communities impacted by the war on drugs.

It’s not just a federal game, though. As of now, 37 states and several territories have legalised medical cannabis, while at least 15 states and Washington, D.C. have legalised it for recreational use. The cannabis landscape is changing rapidly, and keeping up with state laws is as crucial as watching federal trends.

How Can Your Business Get Involved?

Getting involved in lobbying might sound intimidating, but there are a few ways your business can make a difference:

• Join Industry Groups: Aligning with organisations like the National Cannabis Industry Association or local cannabis business associations can help you stay informed and give you a louder voice.

• Hire a Lobbyist: If you’re a larger business, you might want to consider hiring a lobbyist to represent your interests. They can help you navigate the complex world of legislation and make sure your voice is heard where it matters.

• Partner with Other Businesses: Teaming up with other cannabis companies, or even industries like alcohol and tobacco, can create a powerful coalition. It’s all about aligning interests and pushing for favourable laws together.