Reefer Madness: Use of Medical Marijuana Up in Arkansas and Prices Down, But Not All Dispensaries Rolling in Green – Arkansas Money & Politics

Medical marijuana sales in Arkansas have reached the milestone of $1 billion in sales since the industry was launched in May 2019. Patients now collectively spend an average of $776,000 a day on medical marijuana purchases across Arkansas, according to an estimate from the Arkansas Department of Finance and Administration.

One early criticism of the Arkansas medical marijuana program was that restricting the number of cultivation facilities and dispensaries in the state would drive up costs for patients by limiting competition. That does not appear to be the case, however. The industry is not exactly rolling in the green. There is currently an oversupply of medical marijuana that has led to lower prices for patients, but profitability is a struggle for some owners of cultivation facilities and dispensaries.

“As the market matures and competition has increased, we have issued all the eight growers’ licenses and 38 licenses for dispensaries,” said Bill Paschall, executive director of the Arkansas Cannabis Industry Association. “It has been good for the consumer. We have seen prices decrease. We have seen the product variety expand almost exponentially, but competition has made it difficult for a few of the licensees. We have seen some of the licensees lose market

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