NEWS BRIEF

Most marijuana canopy space ‘underutilized’ in Washington state, report says

washington state marijuana

Washington state’s recreational cannabis cultivators are using less than half their allotted licensed canopy, according to a report conducted by the state’s Liquor and Cannabis Board (LCB), which could open the door for the state to step down their licenses to a lower tier.

“Licensees were generally concerned that the (LCB) may decrease their canopy due to under use,” the report notes.

Current rules state that licensees must produce 50% of their licensed canopy or the LCB may reduce the licensed tier. The survey found that many businesses wouldn’t reach the 50% mark.

According to the report, however, “enforcing this … would be difficult due to the prevalence of underutilization of canopy and likely produce unintended effects on the market.”

The Year One Canopy Report consisted of 792 surveys – 778 staff surveys and 14 drone surveys – that found, “on average, both indoor and outdoor canopy space is underutilized.”

Indoor and outdoor Tier 3 producers represent roughly 70% of allotted canopy in the state. These producers were utilizing on average 38% of their licensed space, the report shows.

Tier 2 producers accounted for 28% of canopy and appeared to be using 42% of their licensed space.

Tier 1 producers constituted 3% of total canopy and occupied 41% of their licensed space.

Licensees gave the following explanations for the underused grow space:

Bart Schaneman can be reached at [email protected]

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