The recent legalization of recreational marijuana in states such as Colorado and Washington has caused some consternation among many business owners. There was a seemingly valid concern that this burgeoning industry would somehow cut into their profits. Alcohol producers were especially concerned that the premiere of legal retail marijuana in those states would cause a significant drop in sales.
In fact, representatives of both the alcohol and recreational marijuana industries had been duking it out debating over cannabis legalization. Companies that produce such brands as Jack Daniels and Southern Comfort had voiced their concerns in an SEC filing. Some academic research teams agreed. One study even foresaw alcohol consumption dropping even in states where even only medical marijuana was legalized.
Still, 18 months since the state of Colorado legalized the sale of recreational marijuana, alcohol sales there are actually on the rise despite the initial worries that pot purchasers would push out the booze buyers. Business is good.
Justin Martz, the store manager at Mr. B’s Wine & Spirits in Denver, Colorado told the press: “We’ve just seen phenomenal growth”, noting that legal recreational marijuana has “really turned out to be a non-issue . . . if anything it’s kind of helped us.”
According to Colorado tax records, marijuana sales have risen almost 300 percent from last year to this year. Alcohol excise taxes have also risen by 2.1 percent which is the same rate as the prior year.
Some in the industry are also crediting legal recreational marijuana for increasing the tourist trade. Considering the fact that the state of Colorado took in a record-breaking $18.6 billion in tourism dollars last year it doesn’t seem all that surprising that Colorado’s alcohol industry is doing just fine regardless of any initial concerns about the new retail recreational marijuana industry.
Pot pundit and prior Penn State penman Jack S. Chesney concluded: “Seriously? Didn’t anyone take into account the fact that when people party they sometimes enjoy both? Marijuana and alcohol use are not mutually exclusive. Perhaps that’s what these people are learning now.”
Marijuana And Alcohol Good Together?