Adam Koh 
Member since Jan 26, 2016


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Re: “Recreational Legalization Causes Pot Prices to Plummet, Patients Benefit

I think this phenomenon has more to do with simple supply and demand than legalization. A big reason that the cost of cannabis in WA's system is so low is that the state licensed over 3x as many growers as they did dispensaries. After the outdoor growers bring in their fall harvests, the price plummets until the summer when supplies run out, just like it did last year, and pretty much every year, even before legalization, as many Cali growers will tell you. WA growers harvested almost 150% as much cannabis in October and November of 2015 than they did from January - September according to data released by the state. Unfortunately, due to the abundance of supply, growers are suffering economically as dispensaries can drive down wholesale prices, while still charging cheap retail prices and claiming a decent margin for themselves.

Posted by Adam Koh on 01/26/2016 at 6:57 PM

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