Oregon Senate Votes to Freeze Cannabis Production
[dropcap class=”kp-dropcap”]O[/dropcap]n April 29, the Oregon Senate voted 18-10 to freeze cannabis productions at “current levels” for the next two years by approving Senate Bill 218.
If the bill is approved, the state would not approve any more production licenses for potential cannabis cultivators. However, according to the San Francisco Chronicle, cultivators who already have a license will be allowed to renew it.
Limiting cannabis supply will prevent Oregon’s product from getting into the illicit market. #orpol #orleg https://t.co/plcjlDaehn
— OR Senate Democrats (@ORSenDemocrats) April 29, 2019
Sen. Michael Dembrow, a representative from Portland, stated that this choice was made due to the state’s overabundance of cannabis supply. Reports have released stating that the state has over one million pounds of extra cannabis product that has not been sold. Dembrow also said that the current excess in Oregon could last the state six-and-a-half years.
Eighteen senators replied in kind, expressing the need for a decision to be made regarding the supply issue. “We currently have a flood of cannabis production happening in our state,” Sen. Floyd Prozanski said in a press release. “There is a ‘green rush’ happening in our state right now and, while we support a healthy and thriving new cannabis industry, the oversupply has caused plummeting product costs. Much of the product created by this oversupply is going into the illicit market that legalized cannabis was intended to curb. This bill will protect the existing legal market.”
Grow Rogue CEO Obie Strickler also provided a statement that appeared in the Senate Majority Office news release. “As a leader in the cannabis industry, we at Grown Rogue take seriously our role and responsibility in not only creating a safe and well regulated industry that Oregonians can trust and support we also feel strongly about our role in helping shape an industry that is financially healthy; one that benefits our state and provides all citizens the opportunity for financial success in the cannabis industry.”
The measure now moves on to the House of Representatives for further discussion.
