Prices for pot are plummeting in Colorado, reports Business Insider.
Last October the cost of a wholesale pound of cannabis sat at around $2,500. Since then the price has been cut by $1,000, falling to around $1,400.
John Manlove is the director of sales at Tradiv, an online marijuana-distribution platform. He says in less than a year, we've seen wholesale prices drop to nearly half of their previous totals. That’s because the market is flooded. And the massive amounts of marijuana hitting the market in Colorado are causing a steady decline in wholesale prices.
Colorado isn’t alone in experiencing this sort of freefall. Prices have been dropping wherever there's a legal market for marijuana, including Washington State. To help stabilize the market, Denver's municipal government extended a moratorium on granting licenses to new retail dispensaries. However, this move has allowed a small group of large-scale cannabis business owners to consolidate the remaining licenses.
