California cannabis cultivation capacity is down significantly from early 2022, with some growers choosing not to plant or renew their licenses because of low wholesale prices and tough economic conditions.
The reduction in canopy is leading to wholesale price stabilization – and might even result in a slight increase in pricing – following months of declining prices in the nation’s largest marijuana market, according to some industry officials.
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Cannabis wholesale technology platform LeafLink reports that the total square feet of cultivation canopy in the state has dropped about 15% from a year ago, to around 68 million square feet versus roughly 80 million square feet at this time last year.
Jason Vegotsky is among those who sees wholesale prices starting to level off.
The CEO of Petalfast, an Irvine-based sales and marketing agency for the cannabis industry, said there are simply fewer players in the market,
Read full article on Marijuana Business Daily
