New marijuana testing regulations may be hurting the profitability of Oregon’s young pot industry, with some marijuana businesses considering closing their doors because of strained supplies, according to a new report.
Economist Beau Whitney argues in a report released Wednesday that new state testing rules, intended to ensure the safety of marijuana products, are shifting business onto the black market and are resulting in thousands of dollars of lost revenue for legal cannabis operations. Whitney was an executive with Golden Leaf Holdings, a marijuana company.
The new testing regulations from the Oregon Health Authority started to be enforced on Oct. 1, according to Mark Pettinger, a spokesman for the Oregon Liquor Control Commission.
Cannabis that was “compliant” at the end of September ended up being non-compliant after the new rules came into play, according to Whitney’s report. Products that fail the tests are supposed to be pulled from store shelves.
Read more at the Statesman Journal.