Dominant source being cut from Michigan marijuana markets, possibly spurring higher prices

What has been the primary source of marijuana sold on Michigan medical dispensary and recreational store shelves is being phased out.

Beginning Oct. 1, medical marijuana caregivers will no longer be allowed to sell any marijuana to licensed businesses, the Marijuana Regulatory Agency said in a bulletin issued Monday, March 2.

“The Marijuana Regulatory Agency’s goal is to stimulate business growth while protecting patient safety,” the agency bulletin said. “To support that goal, the (Marijuana Regulatory Agency) will implement a phase-out process for the transfer of marijuana and marijuana products into the regulated market from caregivers.

“The phase-out process will occur between March 1, 2020 and October 1, 2020, with a final termination of all external marijuana transfers on September 30, 2020.”

Beginning March 1, medically licensed growers and processors were barred from purchasing any non-flower marijuana products from caregivers, including THC vaping cartridges, edibles and concentrates. Caregiver sales were limited to marijuana flower only to medically licensed growers and processors.

Marijuana customers may experience even higher prices at stores across the state due to the changes.

“Anytime there are regulatory changes we can expect market fluctuations including pricing,” Michigan Cannabis Industry Association Director Robin Schneider said. [Read more at MLive]