President Biden promoted marijuana reform, touting the mass pardons he’s issued, during his State of the Union address. He also affirmed his position that nobody should be incarcerated over possession and noted the review into cannabis’s scheduling status that he initiated, as stated in Marijuana Moment.
The president has promoted the thousands of pardons he’s granted through various speeches throughout 2022 and 2023, but now, just ahead of presidential elections, he’s addressing the issue once again.
The Road to Rescheduling Cannabis
“It’s a significant moment for the country to hear cannabis rescheduling mentioned during President Biden’s State of the Union speech,” notes Matt Darin, CEO of Curaleaf. “This level of public support of cannabis reform at the federal level is long overdue, and demonstrates a strong point of leverage for cannabis politically. We hope that the DEA will follow President Biden’s lead by rescheduling cannabis from Schedule I to Schedule III this year.”
Darin explains that rescheduling cannabis would contribute to further de-stigmatization of the plant. By removing the burden of 280-E, it would also allow businesses to place further focus on growth and job creation. The reduction of this tax burden will have cannabis businesses of all sizes be better positioned to thrive and the true potential of this industry realized.
“If a move to Schedule III is adopted, it has the potential to significantly transform the cannabis industry landscape,” says Metrc CEO Michael Johnson. “This can be the difference between companies thriving and going out of business completely.”
As it relates to the compliance infrastructure across cannabis supply chains, Johnson explains that federal rescheduling would only have a marginal impact, as regulations are still largely up to the states.
“This marks the first time a president has acknowledged the need for cannabis reform during The State of the Union address,” Emily Paxhia, Managing Partner, Poseidon Investment Management, says. “Each year, the President addresses the most salient critical issues of our nation from the famed bully pulpit. The topics addressed in the State of the Union are a barometer for the will of the people and the voters want cannabis reform at an amazing rate of 70% per the most recent Gallup Poll. President Biden’s comments tell us that the Executive Branch is listening, we need to see this sentiment reflected through the actions of our branches of government.”
