New rules could lead to higher prices and short supplies of legal cannabis

Michigan’s marijuana market just got a little bit tighter at a time when the legal weed supply is already struggling to keep up with demand.

In an effort to ensure that all marijuana produced and sold in Michigan comes from licensed growers, processors and retailers, the Marijuana Regulatory Agency began Sunday to phase out products grown and processed by caregivers, who have been cultivating weed since Michigan voters approved marijuana for medical use in 2008.

And that’s going to put a crucial crimp in Michigan’s supply of weed. Currently, the cannabis grown by caregivers — the people registered by the state who can grow up to 72 plants for up to six medical marijuana cardholders — makes up 60% of the marijuana flower in the marketplace. Under previous rules, the caregivers have been able to supply marijuana flower and infused products to state licensed growers and processors to supplement the medical and recreational marketplace

The new rules went into effect Sunday and until May 31, caregivers can only supply marijuana flower to state licensed growers and processors, who can, in turn, have the product tested and either turned into other pot-infused products or sold to legal weed shops. They can no longer supply the marijuana oil, also known as distillate or concentrate, to the legal medical or recreational marketplace.