New testing regulations and quality control rules are going to bring about both a shortage of cannabis in Colorado and Oregon and a general price hike, according to industry estimates released on Wednesday.
The national spot price for a pound of cannabis will increase from $1,918 as of March 11 to $2,250 in August, “based both on new testing regulations and seasonal summer shortages,” according to a projection by Cannabis Benchmarks, which is a joint venture between Comprehensive Cannabis Consulting and New Leaf Data Services.
In Colorado and Oregon in particular, upcoming testing requirements will likely “knock significant amounts of cannabis out of circulation due to noncompliance for contamination and pesticide residues,” the release predicted.
Comprehensive Cannabis also pointed out that new testing requirements go into effect in July for Colorado’s medical cannabis producers, and in Oregon, testing labs will have to be certified and begin testing samples for 59 different banned pesticides that are known to be used by cannabis cultivators.
Nic Easley, CEO of Comprehensive, added in a phone call that similar shortages and price hikes will likely come to pass in every state that increases oversight and regulations for cannabis production.