Legal cannabis was supposed to be the ultimate win for equity and opportunity. Instead, in New Mexico and beyond, it's becoming a cautionary tale of corporate greed, monopolistic practices, and the outright war on hemp.

Take Action: Speak Out Against Corporate Greed in New Mexico's Cannabis Industry

If you're concerned about the growing influence of corporate greed and monopolistic practices in New Mexico's cannabis industry, you can make your voice heard by contacting your U.S. Senators:

Whether it's calling their offices, writing an email, or reaching out via social media, your input can influence policy discussions. Let them know how Ultra Health CEO Duke Rodriguez and corporate practices are impacting consumers, small businesses, and the integrity of New Mexico's cannabis market. Advocate for fair regulations that protect the interests of all New Mexicans, not just big corporations.

From Underdog to Overlord: The Rise of Big Cannabis

Once a scrappy grassroots movement fighting for legalization, the cannabis industry is now dominated by corporate giants like Ultra Health, New Mexico's largest vertically integrated cannabis operator. But as companies like Ultra Health tighten their grip on the market, they're targeting a surprising enemy: hemp-derived THC.

Why? Because hemp's affordability and ease of production pose a direct threat to their bottom line. Instead of competing, big cannabis is lobbying to ban hemp-derived Delta-8 and Delta-9 THC products, using public safety as a cover for eliminating competition.

The Battle Over Hemp: A Manufactured Crisis

Ultra Health CEO Duke Rodriguez has been one of the loudest voices calling for a ban on hemp-derived THC. Rodriguez has labeled these products a "cancer on the legal cannabis market," accusing them of being unsafe and unregulated. But critics argue this isn't about safety—it's about control.

Hemp-derived THC is cheaper to produce, federally legal under the 2018 Farm Bill, and doesn't face the same taxes or regulatory burdens as cannabis. This makes it a better deal for consumers and a direct competitor to the overpriced products sold by big cannabis companies.

"A Parasite on the Market" or a Scapegoat?

Rodriguez and the New Mexico Cannabis Chamber of Commerce have made banning hemp-derived THC one of their top priorities for 2025, following the lead of California, Colorado, and Oregon, which have imposed similar bans. These states framed their restrictions as public health measures, citing concerns about synthetic processes, heavy metals, and untested products.

But the bans conveniently serve another purpose: wiping out competition. Hemp-derived THC offers a purer, more affordable alternative, and its growing popularity threatens to siphon off significant market share from cannabis giants.

The Numbers Don't Lie: A Market in Chaos

New Mexico's cannabis market is already underperforming. In April 2024, the state's first month of adult-use sales, legal cannabis generated $39.5 million— 25% less than Rodriguez's $50 million projection.

Rodriguez blames the shortfall on the illicit market and regulatory chaos, but critics point out that big cannabis had a hand in shaping these regulations. By advocating for vertical integration—a system where companies control everything from cultivation to retail—large operators like Ultra Health have effectively pushed out smaller competitors and consolidated their power.

The Border Wars: Profits Over Patients

New Mexico's proximity to Texas, where cannabis remains largely illegal, was supposed to boost sales. Ultra Health strategically placed dispensaries near the border, expecting 40% of revenue to come from out-of-state buyers. While this strategy has driven profits, it has also diverted resources from local consumers, particularly medical cannabis patients, who are finding it harder to access affordable products.

The situation mirrors trends in other states, where medical cannabis programs have suffered as adult-use markets expand. Rodriguez himself admits that "there will be very little practical way to ultimately segregate" medical and adult-use sales, leaving patients at the mercy of a market increasingly driven by profit.

Anti-Competitive Tactics: Hemp in the Crosshairs

Big cannabis isn't just struggling with supply issues or high wholesale prices—it's actively trying to crush the competition. Hemp-derived THC products, sold legally online and smoke shops, have become a convenient scapegoat.

Rodriguez has even gone so far as to purchase and test these products, claiming many exceed legal THC limits. But instead of advocating for better regulation, he's calling for an outright ban, a move that would devastate small hemp producers while cementing big cannabis' monopoly.

The Illusion of Opportunity

New Mexico's cannabis market was sold as a win for small businesses, consumers, and communities. But the reality is far different. With skyrocketing wholesale prices (from $2,000 to over $4,000 per pound), a glut of new dispensaries in saturated markets like Albuquerque, and increasing corporate consolidation, many small operators are already struggling to survive.

"The carnage is real," Rodriguez admitted, predicting that many hopeful new businesses won't make it. But what he calls "market casualties," others see as the inevitable result of a system rigged in favor of corporate giants.

Hemp vs. Cannabis: A Fight for the Soul of the Industry

At its core, the battle over hemp-derived THC is about more than cannabinoids—it's about control. Big cannabis is leveraging its financial and political clout to eliminate competition, painting hemp as a public health crisis while profiting from THC products themselves.

The hypocrisy is glaring: the same companies lobbying for hemp bans are pushing their own THC products onto the market, often with higher prices and less transparency.

The Bottom Line: Who Owns THC?

New Mexico's cannabis market is at a crossroads. Will it continue down a path of corporate greed and monopolization, or will regulators and consumers demand a more equitable system? As hemp producers fight for their survival, the future of legal cannabis—and consumer choice—hangs in the balance.

Stay tuned as the battle between hemp and cannabis unfolds, exposing the corruption and corporate tactics shaping the future of THC in New Mexico and beyond.