Plummeting Marijuana Prices for Growers

[Sam_Skunkman]

And if you are wrong? 5 years ago could you predict that Washington and Colorado would have legal recreational today?
I am sure you do like getting paid fat stacks, but I bet a professional farmer can do it at a fraction of the cost, wake up.
Cannabis will be legal federally very soon.
-SamS

All this talk of what if...what a waste of time.

The USA will NEVER legalize federally, ever....thats all that matters in going forward with your business plan.

In fact, here in the ET, the political climate has been changing away from friendly for the last couple years, it has become a nuisance, people are tired of it and the drama it creates. There was just a press conference with the Humboldt sheriff where they highlighted increased enforcement, arrests, and asset forfitures as their main goals for the future. They want to shift priority to private lands because all the forest grows do is cost them money, not make them money.

Its all about money. Always has been, always will be. Weed goes legal in the triangle, cops dont have a job anymore.... they arent going to let that happen. Why do you think they spend all day raiding grows instead of tweek spots, its the safest easiest way to guarantee the most money possible is put back into circulation.

Most of the paranoid growers who think they will loose their job(probably will) are in high density areas like CA, CO, WA, OR, anybody else who lives in a normal state that doesnt have/want MMJ at all etc, is still getting paid fat stacks like no tomorrow.

Honestly I dont see why everybody is in a race to the bottom...Personally, I like getting paid for my hard work, dont know about the rest of you... slow and steady wins the race.

 

[theJointedOne]

dan rather was in a plane above sohum today with a congressman and other suites an scientist . i agree with sam, its about to be legal, and then the govt is goign to try to control the shit outta it. Luckily it will still be possible to make a living from our favorite flower, your just going to have something on the table no one else does...

 

[Sam_Skunkman]

Sure the Japanese also pay ridiculous prices for a lot of stuff, but do you think they can support the price of bulk legal Cannabis?
You need to stop comparing apples and oranges, legal drugs per dose are not an agricultural raw material like Cannabis.
-SamS

Truffles are fungi not vegetables, but the fact is that some select produce commands astronomical prices.

Seeing how things have changed since 96, I dont see it impossible that the us fed legalizes, tommorow, I doubt it, but in some years this could be a reality.

In a legal market 1000 greenbacks for a wholesale pound would be pretty unlikely, but looking at the prices of many top quality legal drugs per dose I dont think that on a retail level this would be so crazy.

 

[Sam_Skunkman]

To me it is very obvious that the cost of production under lights will soon be higher then the wholesale costs of herb, then what will happen?
-SamS

 

[quitelost]

I consider cured cannabis to be a processed drug or medicine, drying and curing to me are a production process. Cured ready to smoke cannabis is not highly processed in any way but it is a processed item that goes through drying and curing. I am not at all happy that I had to pay a lot of money for quality fruit and I dont know how you want me to take that remark as it reads really snide? I forget how much I paided but it was a considerable sum and if the strawberries were dried they would have cost way more.

"Curing tobacco has always been a process necessary to prepare the leaf for consumption." http://en.wikipedia.org/wiki/Curing_of_tobacco

"Curing is any of various food preservation and flavoring processes" http://en.wikipedia.org/wiki/Curing_%28food_preservation%29
Excuse the wiki I tried to look in major dictionaries but only found a medical definition.

 

[quitelost]

You need to stop comparing apples and oranges, legal drugs per dose are not an agricultural raw material like Cannabis.
-SamS

I dont think you understand what I write with drugs, you seem to be connecting the word to phama products when I am using the general definition. Vodka is a drug and some people pay alot per dose, even though its not super hard to produce and comes from potatos. Tobacco is a drug, all kinds of legal herbal medicines are drugs, coffee, tea etc.. and there is a high end market for all these products. I dont see how this is comparing apples and oranges.

Tobacco leaf is what to compare to bulk Cannabis, not cigars.

How is tobacco leaf comparable to processed cannabis when tobacco leaf is not a consumer product while cannabis is? Please explain how even on on a wholesale level consumer goods are comparable to raw or partially processed components?

 

[quitelost]

Sativex is not an agricultural product, or rather is is a processed product, what do you think GW pays a for a kilo of dry herb, that is the question.

According to the softsecrets article I have in front of me GW produces their own cannabis so I dont understand how their produccion cost of raw cannabis has much to do with the wholesale price of processed cannabis. According to the article they grow cannabis, make ice hash from it and process this with ethanol to get an extract, there is nothing about a proper dry and cure. I dont see how making bulk ice hash and cleaning it with ethanol is a produccion process much more intensive then that of well dried and cured cannabis or how it explains a different pricing sceme. For the record I've never looked at their books but at a glance it seems tha gw is fleceing patients and I'm not ok with that.

 

[terminalc]

Fine products will command a fine price. If big players come in with the intent to take over marketshare they will intentionally price under cogs to shake out the competition, some big corps can loose money for years due to income derived from other sources. I'd bet not many here could. Still though the micobrews live on. The business models that are not efficient and rely on high margins will have a difficult time. Assuming regulations treat marijuana like alcohol i forcast 300-800 when the market stabilizes, depending on grade. I would bet most indoor growing would switch to greenhouse at that point.

 

[Crooked8]

I dont think people will completely stop indoor. I know i wont. I like indoor more than any greenhouse/outdoor ive ever had. Ive had a lot of both!

 

[Veg N Out]

Sure the Japanese also pay ridiculous prices for a lot of stuff, but do you think they can support the price of bulk legal Cannabis?
You need to stop comparing apples and oranges, legal drugs per dose are not an agricultural raw material like Cannabis.
-SamS

Japan gets 80%-85% of all Jamaican Blue Mountain Coffee.

 

[JKD]

For me personally, as long as it becomes legal for me to grow for personal use I am not concerned about market price. If it follows tobacco or alcohol you can produce quite a lot for personal use, it is just illegal to sell it... Multiple strains in a 2 - 4KW room will be fine for me. I don't even care if I have to compost excess buds or about paying for the electricity from my salary - as long as I can legally grow my own that is all I've ever wanted...

 

[Hash Zeppelin]

this whole discussion is funny because so many of you guys actually care what happens with pricing. I could care less if the price goes up or down. I will adjust my business model as needed. This is black market capitalism. YOU MUST BE LIQUID.

I actually do care what the price is. I guess I should say, the prospect of price dropping in a legal market does not intimidate me.

 

[Neekz]

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Keep on growing

I do not think those are "cultivated" in the sense of a vegetable, nor any plant, more or less a "treasure" because you have to hunt it down. There will be the "treasure's" in the future of legal cannabis. Will they be commanding anywhere near today's low-end or reg prices? I doubt it. I think that is the main point for alot of people on here. Everyone making a living as is off cannabis will need to step it up a notch when the day comes. Like other cottage industry's though, there will always be a niche for AAA quality. Someone will pay for the quality, obscurity, rarity, and so forth that cannot be mass-produced. I am not be-littling you guy's, maybe poking fun, but how can you seriously compare any of that to something that can be easily grown, even the most difficult of cannabis cultivar's require less care then the random growth of Truffle's that grow 2g's a hectare lol...

You cannot compare the end product of the raw Tobacco to cannabis because most of what makes these "fine" cigar's so expensive is the fact it is cultivated in said climate, cured/processed to a tee, exported/imported, manufactured into cigar's in various facillities (Often by hand...), export/import again, then their distributed with a mark-up, and final retailer get's their mark-up as well. In the event of legalization, I highly doubt our government would allow the importation of foreign cannabis. If they do it how they should, they should embrace it as a cottage industry with no outside input to help boost America's economy from within. I seriously hope they are drafting up the politic's on all that wider scope stuff. That is what will hurt everybody, if they allow it to be a globally traded commodity like they did with basically everything else...

I think's sam's point is that a majority of consumer's at the point of legalization will decide to go with concentrates with zero plant matter, versus flower's in general. It just make's more sense to everybody I have talked the subject to (Smoking concentrates versus flowers...), a lot of them just beginning user's with little experience. So when it come's to a point of where the "industry" is heading, it will probably be a majority of user's heading towards extract's, where quality of plant matter will not make a difference (Trichome's will be removed anyway...). I am sure out of convenience the majority of consumer's will be picking up little pre-packaged oil's at 7-11's and what not when the day come's. Then your gonna have your little "Bud Bar's", that shall serve fine flowers and hold tasting's and what-not like the wine industry...

And like many have said, I for one will only accept legalization with loving arms lol! I can only wait patiently for that day we will no longer be oppressed... Only the few here on IC will be pulling their hair when the day comes... Most of us here are your average joe just trying to save a few buck's lol...

 

[Sam_Skunkman]

I do think people will want dry sift over extracts, but one thing is for sure, things will change and if you do not prepare for change you will be left in the dust.
Unless you just want legal Cannabis so you can grow your own.
-SamS

 

[Sam_Skunkman]

So then are all dryed herbs a medicine or processed drug? Or just Cannabis?

-SamS

I consider cured cannabis to be a processed drug or medicine, drying and curing to me are a production process. Cured ready to smoke cannabis is not highly processed in any way but it is a processed item that goes through drying and curing. I am not at all happy that I had to pay a lot of money for quality fruit and I dont know how you want me to take that remark as it reads really snide? I forget how much I paided but it was a considerable sum and if the strawberries were dried they would have cost way more.

"Curing tobacco has always been a process necessary to prepare the leaf for consumption." http://en.wikipedia.org/wiki/Curing_of_tobacco

"Curing is any of various food preservation and flavoring processes" http://en.wikipedia.org/wiki/Curing_%28food_preservation%29
Excuse the wiki I tried to look in major dictionaries but only found a medical definition.

 

[Sam_Skunkman]

I dont think you understand what I write with drugs, you seem to be connecting the word to phama products when I am using the general definition. Vodka is a drug and some people pay alot per dose, even though its not super hard to produce and comes from potatos. Tobacco is a drug, all kinds of legal herbal medicines are drugs, coffee, tea etc.. and there is a high end market for all these products. I dont see how this is comparing apples and oranges.



How is tobacco leaf comparable to processed cannabis when tobacco leaf is not a consumer product while cannabis is? Please explain how even on on a wholesale level consumer goods are comparable to raw or partially processed components?

Tobacco leaf is a consumer item as much as unmanicured dry Cannabis is, or am I missing something?
-SamS

 

[oldchuck]

Hmm. If Cannabis was just a dried herb they would leave you alone. You could buy it at the health food store.

But if you wanted something more precise then they will jump all over you. I'd like to be able to whip up in my kitchen something like Sativex, a near exact mix of 50% THC and 50% CBD as I understand it and I think I can in a few years. Why should I have to pay big money to GW for something I can make in my kitchen?

 

[Sam_Skunkman]

According to the softsecrets article I have in front of me GW produces their own cannabis so I dont understand how their produccion cost of raw cannabis has much to do with the wholesale price of processed cannabis. According to the article they grow cannabis, make ice hash from it and process this with ethanol to get an extract, there is nothing about a proper dry and cure. I dont see how making bulk ice hash and cleaning it with ethanol is a produccion process much more intensive then that of well dried and cured cannabis or how it explains a different pricing sceme. For the record I've never looked at their books but at a glance it seems tha gw is fleceing patients and I'm not ok with that.

The article is wrong, that is not how they make Sativex.
They do dry and cure before extracting the active ingredients.
If you think raw materials cost has nothing to do with the wholesale price of processed Cannabis, I think you might be mistaken.
If the raw materials cost 100 times as much that would be reflected in the price of Sativex.
As for the price of Sativex, it is a reflection of their costs of R&D, FDA aprovals, trials, like all real meds. Oh and with with legal meds the cost is paid by insurance, still high but...
-SamS

 

[theJointedOne]

well the truth is cost will be of no or little importance when BIG money decides they want to get involved, which judging by the latest news outta washington regarding legal rights of states and their decisions, isn't too far off. To the new greenrushers coming in on THAT boat, money is just a joke, they spill it out and call it a tax write off, by the millions

 

[mexcurandero420]

Sativex is sold in Germany for euros 598 (791 USD).In NL the insurance is not paying everything.

Keep on growing