Indopedia All Things Marijuana
The rollout of legal recreational marijuana in Alaska is running into problems, as extremely high prices are driving some smokers to turn to the black market to buy weed. The going price is currently $4,200 to $5,800 a pound for wholesale “top-shelf” pot, according to Leslea Nunley of Tanana Herb Co. After retailer markups and taxes, the price for consumers can range from $9,000 to $11,300 a pound.
By contrast, the average market rate for a pound of weed in Colorado last year was $1,471. On the Alaskan black market, a pound of weed can cost $2,000 to $3,600. An eighth of an ounce in an Alaskan marijuana outlet can cost $60 to $88, but is generally only about $40 on the black market. Lily Bosshart, co-owner of Dankorage, said that the black market is “absolutely thriving, because we are missing an entire segment of the market with our prices.”
As of late April, the state Alcohol and Marijuana Control Office has approved 45 growers. Not all of these growers have started producing yet, and some that have started have are yet to produce their first crop. This has created a situation where there is much more demand than supply, and the market’s prices reflect that. Leif…
