Global Ganja Report

California's Gov. Jerry Brown has unveiled a special investigative force to go after unregistered cannabis growers. This is certainly bad news for the many growers who have failed to register because they consider the taxes and regulations burdensome. In the face of disappointing tax revenues from legal cannabis, is the state using the stick of enforcement rather than the carrot of lower taxes and more favorable regulations to bring more growers in from the shadows?

In a still-murky scenario of rare federal enforcement against municipal corruption, FBI agents last week raided the home of the mayor of Adelanto in Southern California's San Bernardino county. In the same operation, a local cannabis dispensary was also searched. Economically troubled Adelanto has aggressively sought investment in its cannabis industry, but paranoia in the wake of the federal raids could have a chilling effect.

A federal appeals court has turned down a challenge by the cannabis industry to the DEA's official finding that CBD is a controlled substance. But questions about whether CBD should be treated as a controlled substance remain pending at the state level.

Five months into legal cannabis in the Golden State, the temporary licenses issued by authorities to get things off the ground are running out. But the full annual licenses are still being held up by several factors—including the failure of local authorities to approve cannabis operations, and implementation of a "track-and-trace" system to monitor marijuana from seed to sale. 

Attorney General Jeff Sessions, the Trump administration's most notorious anti-cannabis hardliner, surprised advocates when he said in Congressional testimony that he believes there may be "some benefits from medical marijuana." But when pressed on whether his Justice Department would continue the Obama-era policy of not enforcing the federal marijuana laws against medical users in states where it is legal, he failed to give a straight answer.

New Mexico is the latest state to announce that it will play host to the biggest legal cannabis grow operation in the United States. But other claims to that title over the past years have still not panned out, and a facility in Arizona now occupies the number one slot. And as various states vie for the honor, Canada is far in the lead of its southern neighbor.

The seizure by federal agents of some 100 homes around Northern California supposedly used in grow operations financed by criminal networks based in China points to ongoing dilemmas in the state's contraband cannabis economy—which persists even in the wake of legalization.

After Jeff Sessions issued a memo urging prosecutors to seek the death penalty for those "dealing in extremely large quantities of drugs," even mainstream media outlets began raising the alarm that this could actually be used against large-scale legal cannabis cultivators in places like California. Is this threat is at all realistic?