Is the Marijuana Market Having a Supply and Demand Problem?

supply and demand of marijuana

With so many states joining the marijuana revolution, there is one problem that no one expected. Some states are surprised by the overwhelming demand for marijuana. While marijuana is becoming a business titan, how is it that no expected so many patient requests? More importantly, what happens when the demand becomes too big for suppliers to keep up with?

In most states where online marijuana is legalized, they are only currently allowing the use of medical marijuana. This was done for a variety of different reasons. The biggest reason is that the local government wanted to have control with the best profit.

In order to obtain marijuana, you have to first become a MMJ card holder. This means that not only do patients have to jump through hoops; they have to pay a fee. Depending on the state, this fee has been anything from $50 to upwards of $100. This is money that is directly going into the pockets of the state’s funds. While this money does get allocated to help out the community, it is still a large profit for the state.

Many other people speculate that the government wants to keep the number of people who can have access to marijuana low. However, this did not stop people from obtaining an MMJ card. According to, there are currently over 1.2 million MMJ card holders in the US alone.

With an overwhelming demand for marijuana, some states are currently facing a serious supply problem. With the number of patients growing every day, this has the potential to put the marijuana industry in crisis.

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One of the states reporting a problem is Nevada. Nevada is one of the few states who has legalized recreational use of marijuana, which could explain the problem. As of today, Nevada has officially announced that there is a “state of emergency” on weed. According to marijuana retailers are currently dangerously low on product.

This will make it extremely hard for patients in the upcoming weeks to get their hands on cannabis. This also means that unless there is a shift in supply, some dispensaries are in danger of closing. Some retailers are even reporting that they will need a shipment within days in order to keep their doors open.

Some people blame the supply on the amount of tourist traffic that comes through Nevada, mostly due to Las Vegas. This means that there could be new limitations and restrictions on how people purchase marijuana. Are more government regulations really the answer? The marijuana industry doesn’t seem to think so.
The solution may be as easy as producing and developing more local growers. There is a need for high-quality marijuana cultivators. Some people think that states should implement training programs for these growers. This would not only help the supply problem but could make marijuana a financially competitive business.

Nevada isn’t alone in this crisis either. Brownstown, a small town in Oregon, is facing the same problem. This little grass roots shop is seeing a large increase in patients. This is making it hard for them to keep product in stock. While this is good news for business, it might hurt the businesses future. Like Nevada, Oregon allows for the recreational use of marijuana. This could be a trend that other states may be seeing if they follow suit.

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According to, this dispensary is bringing marijuana to a small town in a big way. This also means that patients no longer have to drive to the city for their cannabis.

What does this mean for the future of marijuana? Will the supply ever be able to catch up to the demand? The time has come for more growers and suppliers so that the industry can remain profitable.

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Comments (1)

  1. Avatar for Roscy Roscy July 12, 2017 / 10:34 pm / Reply

    Well explained. The time has come for more growers and suppliers so that the industry can remain profitable. It is high time to bring something good.

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