The New Mexico Cannabis Market is Blazing

Perhaps beyond the land, the New Mexico cannabis market itself is enchanted. Of the adult-use markets launched since the beginning of 2022, Montana and New Mexico are second to none on a per capita basis. Read on for more stats about the current state of New Mexico cannabis sales.

2024 Cannabis Sales New Mexico

New Mexico cannabis sales, recreational and medical combined, totaled more than $52.5 million in March 2024. This new record tops the December 2023 mark by more than $2 million in collective sales. Per the Regulation and Licensing Department’s Cannabis Control Division, a record $39.4 million was attributed to recreational sales. In other words, more than 75 percent of all cannabis sales New Mexico in March came from adult-use purchases.

Top medical sales occurred in Albuquerque, Santa Fe and Las Cruces, where transactions averaged $51.81 in March. New Mexico recreational cannabis sales led in Albuquerque, Sunland Park and Las Cruces. These transactions were valued at an average of $42.50. With a population of roughly 2.1 million, the state is averaging a 2024 recreational monthly spend of $14.90 per capita, which ranks cannabis sales New Mexico seventh, just behind Massachusetts (6.7 million population with $18.49 average spend) and Oregon (4.2 million population with $17.83 average spend).

An Evolving New Mexico Cannabis Market

As the market evolves, so do the associated regulations. In March, Governor Michelle Lujan Grisham enacted legislation that made amendments to the Cannabis Regulation Act. These changes include:

• Allowing individuals to possess a license issued under the Liquor Control Act as well as a license issued under the Cannabis Regulation Act (co-location of the two license types is still prohibited, however)
• Changing packaging requirements to further protect youth from access
• Expanding the list of crimes preventing the receipt of a cannabis license
• Clarifying the amount of products that result in a trafficking charge
• Increasing trafficking criminal penalties
• Giving the Cannabis Control Division (CCD) of the New Mexico Regulation and Licensing Department (NMRLD) more enforcement power against unlicensed and illegal cannabis
• Providing authority for the CCD to obtain applicant federal criminal history background information

“The state is committed to supporting this new, flourishing industry so consumers are assured their cannabis products are safe and legitimate businesses thrive,” said Governor Lujan Grisham.

The current specifics to the laws are as follows:

• Recreational consumers may purchase up to two ounces of cannabis, 16 grams of concentrate and 800 milligrams of edibles at one time. Medical patients may purchase up to 15 ounces of cannabis in any ninety (90) day period with no tax.
• There is no monthly or weekly limit for New Mexico recreational cannabis sales.
• There is no possession limit at home, but there is a two-ounce limit outside the home.
• Personal cultivation of six mature plants and six immature plants are allowed per person, with a limit of 12 mature plants per residence. Plants may not be in sight of neighbors or accessible to minors.
• Public consumption remains illegal, but businesses are allowed to offer on-site consumption if certain requirements are met.
• Retail sales include a 12 percent excise tax in addition to regular sales taxes. This excise tax will increase 1 percent each year beginning in 2025 until reaching 18 percent in 2030.
• There is no limit on the number of licenses issued by the state.
• Local governments are allowed to limit the number of dispensaries or restrict where they are located but are not allowed to ban them entirely.
• Any arrests or convictions for acts made legal by the bill will automatically be expunged. However, those whose cases include other types of charges must request review.

New Mexico cannabis sales and convenience won by a single vote in early February 2024, when the state senate passed an amendment to continue allowing cannabis businesses to offer service via drive-thru windows. Senator Jeff Steinborn, who removed a drive-thru cannabis prohibition from the bill through an amendment, cited phone calls held with the head of the state’s Cannabis Control Division and his local police chief, who told him they hadn’t had any problems with drive-thru cannabis. Further support came from advocates who argued that drive-thru options allow access to cannabis for those with disabilities and limited mobility, highlighting the precedent of drive-thru pharmacies for other drugs and noting that the decision should be ultimately left to local governments.

Keep Up with the New Mexico Cannabis Market with CannaCon

It’s no secret that the New Mexico cannabis market is thriving. Come see for yourself and meet a variety of vendors and other industry professionals on May 17 and 18 at CannaCon West in Albuquerque. Some seminar topics include IRS deductions and strategies, pre-roll manufacturing and cost savings associated with early sex determination testing. Tickets available here, snag them before they’re gone!

This article was originally published on Dec. 19, 2022, and was updated on Apr. 16, 2024.