Sunland Park, New Mexico, continues to rank second in cannabis sales in the state, generating substantial revenue largely from neighboring Texas, particularly from the city of El Paso. New data from the New Mexico Regulations and Licensing Department reveals that since the legalization of cannabis in 2022, New Mexico has amassed over $1.6 billion in cannabis revenue, with Sunland Park playing a key role in this financial success.
Despite its small size, with a population of around 18,000, Sunland Park has consistently outperformed larger cities in cannabis sales. In March 2025, Sunland Park reported $4.8 million in recreational cannabis sales, a figure that is notably higher than the $2 million reported by Las Cruces, New Mexico’s second-largest city. Albuquerque leads the state with $10.1 million in sales during the same month.
The influx of Texas residents into Sunland Park for cannabis purchases highlights a significant gap in Texas’s cannabis policy. Despite the state’s acceptance of alcohol and certain prescription medications, it has not legalized recreational cannabis, leaving potential tax revenue untapped. The situation has prompted discussions about Texas’s cannabis laws, especially as New Mexico continues to benefit financially from its legalization efforts.
Sunland Park’s cannabis market success is driven by its proximity to El Paso, the sixth-largest city in Texas. This dynamic underscores the ongoing demand for cannabis across state lines, as residents from Texas seek legal access to recreational cannabis in New Mexico.
As New Mexico’s cannabis market evolves, it remains to be seen whether Texas will reconsider its stance on legalization. For now, Sunland Park serves as a prime example of how cannabis legalization can lead to substantial economic benefits for local communities.
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