The Oregon Senate shot down a plan to limit the state’s supply of legal, adult-use marijuana, which would have benefited cannabis companies with an established foothold in the state.
The proposal was a response to a rampant oversupply of marijuana that’s caused prices in the state to plummet.
The measure would have allowed the state to limit the number of marijuana production licenses it issues based on supply and demand for the product.
Lawmakers voted down the proposal 17-13. The measure was moved back to the Rules Committee for further consideration.
Aside from the plan to limit licenses, Oregon’s abundant supply has led to calls for other solutions, including allowing for interstate imports and exports of legal cannabis.
State Michael Dembrow, a Democrat from Portland, said oversupply has left the state with enough marijuana to last nearly seven years. He said managing the amount of marijuana produced could prevent the product from slipping into the black market.
Senate Minority Leader Herman Baertschiger Jr., a Republican, said the state should instead let the free market dictate prices. He said the plan amounted to “socialism” and was “a stab at capitalism in pure form.”
– Associated Press and Marijuana Business Daily