Washington Wholesale Pricing – 2016 by 2018


The Maine Division of Administrative and
Monetary Companies (DAFS) not too long ago launched the first draft of proposed rules
to manipulate the
state’s adult-use cannabis trade, which was legalized by way of poll initiative
within the 2016 elections. Whereas there’ll nearly actually be adjustments made to the
laws as they exist at present, beneath we overview some objects pertinent to
the state’s nascent wholesale market.

The draft guidelines lay out 4 tiers of
cultivation licenses. Tier 1 licenses enable the farming of as much as 30 mature
vegetation or 500 sq. ft of cover. Tier 2 licensees will be capable of develop up
to 2,000 sq. ft of cover area. Tier Three operations might be permitted to domesticate
as much as 7,000 sq. ft of cover space. Tier four growers may match as much as 20,000
sq. ft of cover, or practically a half-acre. A license for nursery cultivation
services can also be being proposed for operations that may promote clones and seeds
to different licensed growers or shoppers.

Importantly, “cover” is outlined in Maine’s
draft guidelines as areas that include mature, flowering vegetation solely. Underneath the
present model of the laws, licensed cultivators would be capable of have
limitless quantities of immature vegetation and “seedlings,” or clones.

Cultivation in greenhouses and outdoor, in
addition to indoor rising, might be allowed in Maine’s adult-use market, although
after all safety, fencing, and lighting necessities are outlined for every
cultivation strategy.

License charges differ in keeping with tier, in
addition to an operator’s cultivation methodology. Tier 1 outside growers can pay
charges of $9 per mature plant or $250, whereas these on this tier rising indoors
or utilizing a mixture of synthetic and pure mild can pay $17 per mature plant or
$500 yearly. Annual license charges for a Tier 2 allow have been set initially
at $1,500 for an out of doors cultivator and $3,000 for different develop strategies. Tier 3
licensees can pay $5,000 yearly if farming outdoor or $10,000 per yr
in any other case. Tier four cultivators will see annual license charges of $15,000 for
outside rising or $30,000 for indoor or blended operations. Annual charges for a
nursery license have been set at $350.

The laws don’t embody a state-level
cap on the variety of cultivation licenses that could be issued. Nonetheless, all
companies searching for to enter Maine’s adult-use market should safe native
approval earlier than with the ability to achieve a state license, which can doubtless limit
the proliferation of such operations considerably.

The proposed laws additionally present
pointers pertinent to Maine’s registered caregivers or current medical
dispensary operations that intend to enter the state’s adult-use market. In
basic, plant cultivation and ensuing product have to be stored separate. The
parallel, impermeable markets specified by the draft guidelines echo the state of affairs in
Colorado. Additional, cultivation of medical and adult-use vegetation in Maine have to be
“visually and bodily” separated, in contrast to in Colorado the place vegetation tagged for
the medical and adult-use markets could also be grown side-by-side

For current operations, co-location of
medical and adult-use cultivation services is allowed. Nonetheless, the present
guidelines state that potential licensees should illustrate areas distinct to
medical and adult-use vegetation and manufacturing in facility and safety plans
required within the license utility.

Moreover, “If a[n adult-use] cultivation
facility with a marijuana retailer license (…) or standalone marijuana retailer is
situated adjoining to a registered caregiver or medical marijuana dispensary, it
should have distinctly separate entrances from a public proper of manner.” Such
necessities may pose difficulties for current medical cannabis companies
which may have hoped to easily add further point-of-sale stations for
adult-use shoppers in a currently-operating medical storefront, as is allowed
in another states.

Relatedly, adult-use operations that intend to
combine vertically to various levels might co-locate cultivation, product
manufacturing, and retail. Nonetheless, circumstances apply, akin to a prohibition on
having “inherently hazardous” supplies in a product manufacturing operation
that’s co-located with a storefront.

Whereas the issuance of the primary draft of
adult-use laws is a major step towards a functioning business
market in Maine, when manufacturing and gross sales will start stays considerably
unsure. A report from the Portland Press Herald
, previous to the discharge of
the draft guidelines, said that last laws have to be authorized by state
lawmakers previous to the top of the legislative session in June if gross sales are to
have an opportunity of commencing by the top of this yr.

Notably, the draft guidelines at present don’t
embody proposed laws for testing labs. Moreover, pointers that
would allow current medical cannabis dispensaries or caregiver operations to
start promoting to adult-use shoppers, or switch current stock into the
new market, usually are not included within the laws as they’re constituted
at present.


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