Testing Rules Could Mean Big Price Increase in Oregon

New state regulations requiring that commercial cannabis – both medical and recreational – be tested for pesticide contamination could result in a major price increase in Oregon’s marijuana market.

The Oregon Health Authority has thus far released a list of 59 pesticides that labs will have to test flower for before harvests can be released for sale, according to KTVZ. The cost of testing will likely be passed on to consumers in order to maintain profitability for growers and dispensaries, so the only question at this point is how much prices will go up.

One lab vice president at CannAlytics estimated that prices will jump between 50-100% next year.

The testing requirements go into effect in June, which means that there will be a surge in demand next summer for laboratory services. And depending on how much inventory passes, it could also mean a sudden dearth of supply for dispensaries (regular rec shops aren’t expected to come online until next fall).

One of the problems for existing labs, according to KTVZ, is many of them don’t yet have the necessary equipment to test for all the pesticides identified by the state. One lab director estimated his business will need to spend upwards of $500,000 on new equipment.

4 comments on “Testing Rules Could Mean Big Price Increase in Oregon
  1. John Rouse on

    This is guaranteed to drive business to the underground market- precisely what the legalization efforts have tried to stem. Good intentions, but must be totally rethought.

    Reply
    • Oregon Med Patient on

      From a person on the inside it sounds like hype to me for someone to jack up prices. It’s all going to come down to competition. Testing prices are half of what they were a little over a year ago. The price of testing would have to quadruple in order to make the changes they are saying.

      Reply
  2. Oregon Farmer on

    This will put some credibility in Oregons marijuana testing program .. This change alone cannot have much impact on Oregons already cheap marijuana and extract products …

    Reply
  3. Mark on

    This will change the game ….. For medical marijuana thanks to New Approach Oregon … Boycott all of the activists , dispensaries and others who supported measure 91 … Grow your own and let the regulated weed tax be paid by the very idiots who thought measure 91 was ” marijuana legalization … But New Approach Oregon and many Eugene and Portland dispensaries supported measure 91 and now marijuana prohibition has regained strength in Oregon … Boycott them all …

    http://www.oregon.gov/oha/mmj/Documents/Rulemaking/333-008-mm-patients-growers-processors-dispensaries-proposed-text.pdf

    Reply

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