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Recreational cannabis business owners say supply shortage, OCM delays to blame for empty shelves

Recreational cannabis business owners say supply shortage, OCM delays to blame for empty shelves

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Recreational cannabis businesses struggle to find flower to stock shelves months after getting their license to sell.

Some owners believe a shortage of suppliers and delays with the Office of Cannabis Management (OCM) are fueling the problem.

“Oh, it’s been very tough,” Sarabear Kelly-Modlin, Lucky Strains dispensary co-owner, said.

Lucky Strains Cannabis Dispensary, located in New Brighton, is still waiting on recreational marijuana to fill its shelves

Right now, supply is not catching up with demand.

“It’s like getting a driver’s license, but you don’t have a car to drive,” Kelly-Modlin said.

This summer, the OCM issued 37 business licenses statewide, including 23 for retailers to sell recreational cannabis.

RELATED: Flower to the people: First non-tribal recreational marijuana shops open in Twin Cities

A mid-September update on the state website said those businesses are still waiting for cultivators, manufacturers, and testing facilities to supply product.

At least two of the growers are tribal nations with agreements that allow them to help stock shelves.

Some owners explained that reaching out to cultivators has been a challenge.

“We have sent mail to them via the post office box for one of them that they have listed under their license because they have no other contact information,” Kelly-Modlin said.

At Sweetleaves in Minneapolis, the co-owner said they’re seeing the same problem. 

Edibles and THC drinks are keeping the doors open, but getting their hands on flower is the goal.

“I think always, things can go better. But now I think we’re in a spot where, from a regulator point of view, like, how can we help the small operators?” Adam Hoffman, Sweetleaves co-owner, said. “It’s definitely a difficult time.”

RELATED: Minnesota now accepting applications for prospective cannabis businesses

Some business owners fear that playing the waiting game any longer could cost them.

“The Office of Cannabis Business Management, it’s like they’re putting people out of business,” Kelly-Modlin said. “They have done nothing. They haven’t directed us, and they basically have been like ‘Just figure it out yourself.’”

5 EYEWITNESS NEWS reached out to the Office of Cannabis Management on Sunday with a list of the following questions:

  • When was the OCM aware that the supply may not meet the demand?
  • Were there any delays in issuing cultivation licenses that contributed to supply shortages?
  • What is the OCM’s role in ensuring supply meets demand? How does the OCM plan to avoid supply shortages as recreational use expands?

We’re still waiting for a response.

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