Missouri weed prices are about to go up. How high? That depends whom you ask

In February, the first month that recreational marijuana could legally be sold in Missouri, sales hit $103 million — well above what many industry observers predicted.

That’s good news for the marijuana business. For consumers, it could be more of a mixed bag, at least in the short term.

Here’s why: The state’s licensed cultivators didn’t anticipate such huge weed sales, either. They weren’t operating at full capacity and didn’t grow enough to keep up with all that new demand. Many are ramping up production now, but it takes about four months to grow, dry and cure marijuana. Which means that until those new plants are ready, supply will stay low while demand is high.

Which usually means prices go up. How high depends on whom you ask.

Mike Wilson of Franklin’s Stash House, a manufacturer of cannabis tinctures and beverages, said he expects consumers to see a 50-60% price increase over the next several months in certain categories. The cultivators that provide Wilson with the marijuana he uses in his products have upped their prices, which means Wilson has to charge dispensaries more. He expects those dispensaries to pass along that price increase to consumers.

“Our inputs have increased 300% in the last few weeks,” said Wilson. “We’re eating about three-quarters of that cost that was added to us. But the lemonade we have that sells in dispensaries for $10 will likely go up to about $15, and the pre-roll blunt pack we sell that was $35 or $40 could go to $60 or $65.”

“Prices are going to get volatile in the next few weeks,” Wilson added. “I think until June you’re going to see less product available and increased prices.”

But other industry operators aren’t as spooked. Blair Cave of Besame Wellness, a local chain of dispensaries, said he’s noticed some increases in the price of THC distillate, which is used in vape cartridges and other products. Flower is also hard to come by lately — Cave said Besame used to purchase flower from “10 or 15 cultivators” but is currently down to two or three.

“But I don’t think most of the things we’re seeing will affect the end user very much,” Cave said. “Mostly it will hit dispensaries on the margins.”