New Mexico sizes up potential of recreational pot market

Legislators in New Mexico are sizing up the potential taxable market for recreational marijuana if the state moves forward with legalization proposals next year. A panel of state lawmakers is scheduled Wednesday to hear testimony on the potential economic benefits of bringing recreational cannabis sales under state regulation and oversight.

Troy Lapsys of medical cannabis manufacturer PhytoRemedies in Albuquerque estimates statewide illicit marijuana sales at about $450 million annually.

That is more than four times the size of New Mexico’s current market for medical cannabis. New Mexico’s medical cannabis program was started in 2007 and serves more than 70,000 registered patients.

Medical cannabis supplier Ultra Health contends that the approval of high taxes and stiff restrictions on recreational marijuana suppliers could prolong the black market.