Posted on 05/06/2023 4:51:20 PM PDT by dynachrome
California’s cannabis industry is in a free-fall, with some municipalities in the northern part of the state making plans for significantly reduced tax revenues as a result of a collapse in wholesale prices.
Once selling for more than $4,000 per pound, bulk buyers are now shopping in the $300 to $500 range for fresh harvests, according to experts, and some growers reported clearing out their crops for less than $200 per pound for fear of being stuck with product.
The price represents a sharp drop from recent years, according to industry insiders.
“It’s been a steady decline since we got here in 2010, but with the passage of Proposition 64 in 2016, prices accelerated downward quickly,” Rachel Greene, a longtime grower with experience in Mendocino and Humboldt Counties’ cannabis programs, told The Epoch Times. “It was a combination of a lot of people getting in the game and the old corporate warfare model of operating at a loss to drown out the competition.”
Prop. 64—known as the Adult Use of Marijuana Act—was passed by voters and made recreational sales legal, creating the beginning of a regulatory framework to manage the industry.
Legitimate and illegitimate family businesses were severely impacted by the plunge in profits and salability of a once easy-to-move commodity, according to farmers.
(Excerpt) Read more at theepochtimes.com ...
Dave? Dave’s not here, man!
Should close all the markets and ban pot.
Exactly. It’s the US Postal Service’s dirty little secret. They ship most of the weed in this country. Because unlike UPS or FedEx who can open your package, USPS needs a warrant. Keep the shipment under a pound or two and USPS turns a blind eye.
That's about what plain old Mexican weed was going for 50 years ago. Or so I'm told.
Murder and rape in the streets I can see the state not caring but getting gypped out their taxes! Like I say, I’m surprised.
Makes you wonder if some folks are on the take, don’t it?
Bkmk
The new definition for a totally hopeless screw-up: Can’t make money selling weed in California.
I seem to remember something like that. $200 a pound for Mexican dirtweed, $240/lb for Colombian, and then there was Thai-stick...
No it’s California the utopia dream of endless taxes gone cartel chuckle and set up camps.
Now the state has to make new signs
WELCOME TO MEXIFORNIA
As Ronald Reagan said:
“If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.”
I guess California is at the point of making taxpayers subsidize pot growers.
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