Utah on Friday awarded eight health-related marijuana cultivation licenses to a mix of regional and out-of-state enterprises.
That is two brief of the 10 growers permitted beneath state law, but regulators are hoping to ensure a provide-and-demand balance.
“The choice to only award eight licenses was produced to stay away from an oversupply of solution, whilst nonetheless keeping a wholesome diversity of cultivators for purposes of competitors of solution good quality and patient pricing,” Andrew Rigby, director of the state’s health-related cannabis and industrial hemp applications, mentioned in a news release.
The winners incorporated regional greenhouse growers and health-related marijuana cultivators with enterprises in other states, such as Arizona-primarily based multistate operator Harvest Health & Recreation.
“Half of (the winners) are owned by out-of-state issues who have Utah ties,” Jack Wilbur, a public information and facts specialist for the Utah Division of Agriculture and Meals, wrote in an e-mail to Marijuana Small business Day-to-day.
State regulators lately dropped a residency requirement, saying they didn’t think it could be legally upheld.
Wilbur added the state will not release further information and facts about the winners till licenses officially are issued later this month or subsequent.
He noted that the state nonetheless requires to finish background checks and assessment grower operation plans.
A total of 81 applicants competed for the potentially profitable licenses.
The eight cultivators chosen for Utah’s MMJ system, which is anticipated to launch sometime subsequent year, are:
- Dragonfly Greenhouse
- Harvest of Utah
- Oakbridge Greenhouses
- Normal Wellness Utah
- Accurate North of Utah
- Tryke Corporations Utah
- Wholesome Ag
- Zion Cultivars
Christine Stenquist, director and founder of advocacy group Collectively for Accountable Use and Cannabis Education, or TRUCE, told the Linked Press she is concerned that eight cannabis growers will not be in a position to fulfill the MMJ demand in Utah.
Jeff Smith can be reached at [email protected]