South Dakota voters rejected Measure 29 on Tuesday, which sought to legalize cannabis for adults. The initiative aimed to allow individuals aged 21 and older to possess limited amounts of cannabis and cultivate plants at home, but it did not receive the necessary support from voters.

The Associated Press reported that with 50% of the votes counted at 2:00 am on Wednesday, the No vote had garnered nearly 60% of the vote.

Measure 29 proposed that adults could possess up to 2 ounces of cannabis flower, 16 grams of cannabis concentrates, and 1,600 milligrams of THC in other products. It also included provisions for growing up to six cannabis plants at home, with a total limit of 12 plants per residence.

See Also: Majority Of South Dakotans Are Against Recreational Cannabis Legalization, New Poll Finds

Industry Leaders React: Economic And Social Impacts Of Measure 29’s Failure

Gurpreet (Pete) Sahani, CEO of The Blinc Group, expressed disappointment: “The failure of this amendment highlights ongoing challenges in legalizing cannabis in South Dakota. However, the need for reform won’t be silenced by this outcome. The push for cannabis legalization will continue.”

John Mueller, CEO and co-founder of Greenlight, calls the outcome “a missed opportunity.”

“South Dakota will continue to miss out on the economic and public safety benefits that come with a regulated adult-use cannabis market,” he said, stressing that legal access to cannabis provides safer options for consumers.

For Ray DeSabato, CEO of Chorus, the result came as no surprise. “Given South Dakota’s traditionally restrictive nature to marijuana, it’s unsurprising that this measure failed.” He also noted that cultivation quality and compliance are ongoing concerns in cannabis, with current prevention solutions having limited impact.

Peter Dikun, owner of Flower Shop Dispensary, sees the vote as a “huge loss” for both the industry and residents.

“If IM29 doesn’t pass, the state misses out on tax revenue and jobs, and we keep wasting taxpayer dollars on prosecutions,” he says. Dikun is also concerned about the growing opposition and spread of misinformation surrounding cannabis.

Todd Smith, CEO of The Hills LLC, predicts: “A lot of cannabis companies will close their doors. There will only be a handful that stay open and hopefully survive till the next opportunity to get on the ballot.”

Previous Attempts At Legalization

This was the third attempt at legalizing cannabis in South Dakota. In 2020, Amendment A was passed by 54% of voters but was later overturned by the state Supreme Court. The 2022 initiative, Measure 27, also failed to pass, indicating the challenges faced by cannabis advocates in the state

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Cover image made with AI.