Oregon Marijuana Regulators Could Soon Have The Ability To Deny New Grow Licenses

Oregon’s oversupply of cannabis has prompted lawmakers to attempt to give the Oregon Liquor Control Commission more leeway to deny new cultivation licenses based on supply and demand.

A bill that passed the Senate and is now before the House would not only reduce the huge surplus but would prevent diversion of unsold legal marijuana into the illicit market and forestall a crackdown by federal prosecutors.

Democratic Gov. Kate Brown indicated she intends to sign the bill if, as expected, it wins final passage.

The legislation could be a lifeline to some cannabis businesses feeling the squeeze of market forces.

Supply is running twice as high as demand, meaning the surplus from last year’s harvest alone could amount to roughly 2.3 million pounds of marijuana, by the liquor commission’s figures.

Retail prices in Oregon for legal cannabis plummeted from more than $10 per gram in October 2016 to less than $5 last December. At the same time, smaller marijuana businesses are feeling competition from bigger, richer players, some from out of state.

Officials worry that some license holders will become so desperate they will divert their product into the black market rather than see it go unsold.

Oregon puts no cap on the number of licenses that can be issued. Last June, the OLCC stopped accepting applications so it could process a monthslong backlog.

But under current law, it has no specific authority to say no to otherwise qualified applicants.

– Associated Press

Original Article Source: https://mjbizdaily.com/oregon-marijuana-regulators-could-soon-have-ability-deny-new-grow-licenses/

Comments

Could CBD Lead To The Development Of Safer Antipsychotic Medications?

Antipsychotic medications are important for managing a number of different psychiatric ailments, including bipolar disorders, schizophrenia, and even dementia. These drugs can greatly improve the manageability of symptoms that often distort one’s experience of reality. They can also create major mood disruptions and lead to a number of behavioral and emotional difficulties. Antipsychotic and anti-psychosis medications can be life-changing for people with such disorders, enabling them to live more normal and manageable lives without their symptoms taking over. These drugs work by regulating neurotransmitters in the brain so that naturally occurring imbalances and dysfunctions no longer disrupt mental and emotional processes. Often, reaching this outcome is much easier said than done; it can take a lot of time to find courses and combinations of treatments that work. It’s sometimes necessary to make adjustments to find the right balance for the individual and it’s not unusual for outc...

Cannabis Watch: Canopy Growth To Book Charge Of Up To $568 Million As Marijuana Restructuring Continues

Canopy Growth Corp. said early Thursday it was halting a range of operations across three continents and expects its restructuring plans to result in a charge of up to C$800 million (567.9 million) in the fiscal fourth quarter. U.S.-traded shares US:CGC CA:WEED of the cannabis company fell 1.9% in afternoon trading. Canopy said it was selling operations in Africa, curtailing cultivation of hemp in the U.S. and Columbia, and shutting down an indoor production facility in Canada. The announcement will result in 85 job cuts, the company said. “When I arrived at Canopy Growth in January, I committed to conducting a strategic review in order to lower our cost structure and reduce our cash burn,” Canopy Chief Executive David Klein said in a statement. Read: As cannabis industry stays largely quiet on coronavirus, this CEO has been sounding the alarm Canopy’s restructuring announcement was expected by investors, Cowen analyst Vivien Azer wrote in a note to clients Thursday. Azer rate...

A Dozen US Governors Ask Congressional Leaders To Back Federal Marijuana Reform

A bipartisan coalition of 12 governors from states that have legalized medical or recreational cannabis sent a letter to congressional leaders, asking for their support in getting a major marijuana reform bill through the U.S. House and Senate. The governors of California, Colorado, Maryland, Massachusetts, Nevada, New York, North Dakota, Oregon, Pennsylvania, Utah, Vermont and Washington state are backing the STATES Act – which would codify in federal law that marijuana regulations are to be left to the states instead of the federal government – while also seeking protections on banking and tax issues for the MJ industry. “The STATES Act is not about whether marijuana should be legal or illegal; it is about respecting the authority of states to act, lead and respond to the evolving needs and attitudes of their citizens,” the governors wrote. The letter also expressed support for the SAFE Banking Act , which was approved in March by a House committee. Tha...

Norma Pence

Search This Blog