Colorado marijuana sales hit $1B as Trump shifts policy

“Colorado’s world-class marijuana industry drives out criminals and cartels and is supporting Colorado businesses and jobs while driving revenue for school construction,” Colorado Gov. Jared Polis posted on x.com. “This important milestone is one that our state can continue to build on.”

Colorado has long been on the forefront of the legalization of marijuana. In 2012, it was the first state in the United States to approve the sale of licensed recreational marijuana.

Since then, the state has brought in more than $3 billion dollars in tax and fee revenue from marijuana, while marijuana sales have topped nearly $18 billion.

Heralded as a major revenue source for the state, its tax revenue has been used over the years to help fund infrastructure projects and public schools.

Currently, the state’s sales tax sits at 2.9%, the state retail marijuana sales tax at 15%, and the state retail marijuana excise tax at 15%.

Federal policy has been slowly changing to reflect the legalization of marijuana in the majority of states. Just earlier this month, President Donald Trump signed an executive order reclassifying marijuana from a Schedule I drug to a Schedule III drug. This signals a significant shift in the federal government’s stance on marijuana.

“Decades of federal drug control policy have neglected marijuana’s medical uses,” the order said. “The federal government’s long delay in recognizing the medical use of marijuana does not serve the Americans who report health benefits from the medical use of marijuana to ease chronic pain and other various medically recognized ailments.”

Polis applauded this decision, calling it “long overdue.”

“It’s far past time for the federal government to catch up to Colorado and many other states and get rid of arcane federal policies on cannabis that aren’t based in reality and hurt Colorado small businesses and public safety,” he said. “For years Colorado has been a national leader in smart and safe cannabis policy that has virtually eliminated illegal markets, ensured safe use, and generated over a billion dollars for education. Colorado’s cannabis industry is the gold standard ensuring that products are safe and regulated.”

Not everyone is happy with Trump’s order though, as concerns especially grow about high-potency THC products.

“The Trump administration has declared a literal war on drugs, saying that fentanyl is a ‘weapon of mass destruction,’ while at the same time potentially making marijuana more accessible by loosening federal restrictions,” Tony Perkins, president of the Family Research Council, posted in response to the order on x.com. “Colorado, which legalized marijuana in 2012, has become a case study of the consequences: an increase in traffic deaths, mental health concerns, and emergency room visits, workplace safety issues, and a growth in the black market.”

Complete data on Colorado marijuana sales from the year will be available in February.