MJ Biz reports
Oregon recreational marijuana companies are experiencing the best market conditions in years, with demand far outpacing supply because of the COVID-19 pandemic and more consumers forgoing the illicit market in favor of legal retailers.
But the question remains whether the trend will continue once the pandemic subsides and state regulators offer additional production licenses to cannabis entrepreneurs.
According to a recent supply and demand report conducted by the Oregon Liquor Control Commission (OLCC), cannabis production has increased 78% since 2019, while the amount of cannabis sold has skyrocketed by 150%.
Casey Houlihan, executive director of the Oregon Retailers of Cannabis Association, based in Portland, said in 2020 the retail marijuana sector experienced “pretty tremendous growth” – a 38% increase in overall revenue.
He agreed that some consumers are shifting from the illicit market to the legal side.
“And once we bring those consumers in from illicit markets, they tend to stay in legal markets,” Houlihan said.
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