As the cannabis industry continues to evolve, a pressing issue has emerged: the monopolization of the market by a few powerful players. As the first Black person to receive a license to open a dispensary, I have witnessed firsthand how the industry can empower entrepreneurs while also reinforcing systemic barriers. Now, with Vice President Kamala Harris pledging to legalize marijuana federally and ensure cannabis access becomes “the law of the land,” it is crucial that we address this issue.
Harris’ commitment to federal legalization is a significant step towards equity and justice in the cannabis industry. However, we must also recognize that true equity cannot exist if the market remains controlled by a few powerful players. In Colorado, the state’s cannabis industry is plagued by exclusive vertical distribution dependency, where independent producers are forced to sell their products through vertically integrated entities that control the distribution channels. This setup creates artificial barriers to entry for smaller players, many of whom are minority-owned businesses.
This structure represents a form of bottleneck economics, where vertically integrated businesses control a critical point in the supply chain and dictate who has market access. It’s a monopoly in all but name, and small producers are still effectively locked out. To make matters worse, this monopolistic control raises serious antitrust concerns.
Colorado’s Attorney General Phil Weiser should take a close look at the cannabis industry’s structure through the lens of antitrust law. We must ensure that when cannabis becomes legal nationwide, it does so in a way that dismantles, not reinforces, economic monopolies. The promise of federal legalization cannot be fulfilled if it ushers in an era where market access is controlled by a few, driving up costs for consumers and keeping small, independent, and minority-owned producers out of the game.
As we move forward with federal legalization, it is essential that we prioritize equity and fairness in the cannabis industry. We must break down the monopolies and ensure that the market is open to all. Antitrust reform in cannabis is not just a legal necessity – it’s a moral one.
As a visionary entrepreneur and cannabis industry leader, I urge Colorado to lead the way in building a cannabis market that works for everyone. We must demand that state regulators and the federal government take a stand against monopolistic practices and ensure that the industry is regulated fairly and equitably. Only then can we create a cannabis market that lives up to the ideals of justice and fairness that legalization promised.
