California Makes More from Cannabis Than the Next 5 Largest Crops Combined

cannabis crops in California

The state of California is famous for its agricultural wealth. The depth of California’s agrarian success is evident in the abundance of its olives and almond groves from Central Valley to the grapes in Napa Valley. The vegetables in the Imperial Valley and the garlic fields in Gilroy all testify to California’s agricultural success.

Despite the abundance of California's agricultural produce, cannabis remains the most significant agricultural export from California, and we are about to unravel why cannabis makes California ‘Monster money.”

Cannabis as a valuable product in California

Based on reports and research on agriculture in California, cannabis is the most VALUABLE product in America’s leading agricultural state. This fact about California blows away all competition with other states and sets cannabis as more significant than the following five crops combined.

Research and data analysis on cannabis in California were derived from cash receipts from the State’s Department of Food and Agriculture. The data also expresses the estimate of in-state pot production, which pegs California’s cannabis as worth more than the other top five leading agricultural commodities.

Breakdown of marijuana monster money in California

The breakdown below is in the billion-dollar range depicting how cannabis takes the leads above the other five crops (combined):

Marijuana leads with $23.3

Milk takes second place with $6.28

Almonds are in third place with $5.33

Grapes are at $4.95

Cattle and calves share $3.39

Lettuce is at sixth place with $2.25

Does this breakdown mean marijuana is more critical than grapes, cattle, lettuce, and almonds? Of course not! All agricultural produce mentioned above are essential. The disparity in the revenue they provide California is because of the demand and supply system which runs the world.

As experts unravel the benefits of cannabis, and several users share their testimonies; medical marijuana gains more recognition thus driving demand through the roof. Cannabis taking the first spot with $23.3 billion is mind-blowing, but what makes it “monster money” is that California makes more from it than the other five produce combined.

Cannabis alone is nearly three times worth more than the entire agricultural industry, and that gives an insight on how the future of cannabis can shape California’s revenues.

So why is cannabis leading the pack?

Why cannabis brings in monster money for California

Increased awareness on the impact of cannabis on health

Globally, there has been an increased level of understanding of the effects and positive influence of cannabis on people’s health. With these discoveries about cannabis, its demand has risen, leading to an assortment of cannabis products.

Today, we have access to CBD oil, gummies, supplements, seeds for meals, etc. where do all of these products come from? They come from states that have invested heavily in cannabis production, and California is one such state.

A more significant amount of plants grown indoors and outdoors

With an estimated 13.2 million plants grown in California in 2015, the state set its sights on dominating the cannabis industry in the country. In California, cannabis is grown in large scale both indoors and outdoors, thus increasing the amount of revenue that can be generated.

The legalization of cannabis in California

California is the sixth-largest economy in the world not only because of cannabis but because of the state’s commitment to harnessing all revenue-generating streams. Cannabis started to flourish in California after it was legalized in 2016. California first legalized cannabis for medicinal purposes with the Compassionate Use Act (1996).

Job creation

Job creation is also another reason why cannabis in California is growing sporadically. In America, the cannabis industry has provided 296,000 jobs, with 67,000 of those in California alone! Out of that 67,000, 48,000 people are directly employed, and it is projected that the state will add over 20,000 new jobs by 2022.

If an industry provides such a large number of jobs, the chances of success are significant. When you combine the high rate of employment with the economics of demand and supply, you can understand why cannabis is giving California monster money.

California’s friendly planting climate

For cannabis to flourish enough to be worth billions, it needs to have a good farming climate. For example, Central Valley, which used to be the “breadbasket” of the world, has one of the most productive farming climates.

Central, Napa, and Imperial Valley in California all have the climate that suits the planting, nurturing, and harvesting of cannabis. If there is increase in demand for cannabis but an unfavorable planting climate, California would have suffered losses. But when the request meets productive farming elements, monster money is birthed, and that is what California is enjoying.

Future projections

Despite California’s monster money from cannabis, experts project that this is just the beginning. Economic projections predict that the current rate of revenue will rise above its current state as legalization speeds up locally across the country, and globally.

California pot producers are growing billions of dollars yearly, and one may wonder where all the cannabis goes. Well, some of it is consumed in the state, with others headed East out of California.

Of course, other states are beginning to take cannabis seriously in a bid to match or compete with California. However, some of these states are held back by legislations and stiff regulations against cannabis which is stifling their growth.

So until these states get their legislations right, California and its cannabis planters will continue to be at the forefront of this billion-dollar industry.

Bottom line

As cannabis becomes increasingly valuable globally, states are beginning to realize its enormous potential. California has figured out how to utilize what they have, and through their investments in the marijuana market, they make monster money.

Through the California cannabis success story, it is evident that the future of cannabis is bright. Although it will take a while for anyone to catch up with what California has done, it is not impossible. Other states are starting to adopt favorable policies that can open up new waves of opportunities for the cannabis industry.