The supply and demand of recreational and medical marijuana were considerably impacted by the pandemic of the coronavirus and related isolation. According to the Oregon Liquor Control Commission, the production of cannabis has increased by 78% since 2019, while the amount of marijuana sold increased by 150% (1). Thus this highly increased consumption contributed to the boost of demand “from 50% of total annual supply to 65%” (Oregon Liquor Control Commission 1). In other words, the more cannabis people started to consume, the more supplier appeared to propose it to them.
In general, consumption accountably increased due to the growing level of stress caused by the pandemic and related economic and health issues and compulsory isolation. For a substantial number of marijuana consumers, it is regarded as “an important tool for de-stressing” (Krane). In addition, a lot of Americans doubt that access to alcohol during isolation is essential for their well-being as excessive consumption of toxic substances during highly stressful periods will inevitably lead to serious health issues, hangovers, aggression, and family violence. At the same time, cannabis demand was supported by its inclusion in the list of essentials along with toilet paper, groceries, and cleaning supplies (Krane). Thus cannabis businesses were allowed to stay open, and this affected the growing number of suppliers as well.
The demand and consumption of marijuana in the future will be fully determined by the spread of COVID-19 and its consequences. With the isolation’s cancel, demand will inevitably decrease, and cannabis producers should consider the situation with the coronavirus and governmental response to control production. In addition, decreased consumption will lead to decreased number of suppliers. At the same time, the production and supply of medical cannabis should be stable for patients who are in need of marijuana as a medicine.
Works Cited
Krane, Kris. “How The Coronavirus Pandemic Will Affect The Cannabis Industry.” Forbes, 2020, Web.
Oregon Liquor Control Commission. “2021 Recreational Marijuana Supply and Demand Report.” Web.