The Pennsylvania medical marijuana market is in upheaval, with smaller companies getting squeezed by falling wholesale prices while their ranks are thinned by growing consolidation among multistate operators.
The situation has spurred independent operators to call on the state government for help, with one company accusing marijuana regulators of failing to enforce the rules and allowing monopolistic control.
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This trend of consolidation is playing out across the U.S. cannabis industry, and Pennsylvania is a case in point.
Cannabis companies there report sliding wholesale prices for medical marijuana as the state’s patient count plateaus and more production comes online.
The price drop comes as multistate operators are gearing up for the prospect of adult-use legalization and buying smaller, independent marijuana businesses that are struggling and laying off employees in an increasingly crowded market.
“The biggest losers are the mom-and-pops,” said Steve Schain, a cannabis industry veteran and attorney based
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