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US (MI): Cannabis company closes Adrian facility as industry struggles with low prices

A prominent cannabis wholesaler in Michigan announced it will close its Adrian facility as part of a strategic plan to streamline operations and strengthen its financial position as the industry continues to struggle with low prices and fierce competition.

Tend.Harvest.Cultivate., which operates under Fluresh, LLC, will shift its focus to its Grand Rapids facility, which will serve as its primary hub for cultivation, production, and distribution.

The decision to close the Adrian facility comes amid challenges in the cannabis market, including significant price compression. The average price for an ounce of recreational flower dropped from more than $512 in January 2020 to $74 in October, an 86% decline, according to the Michigan Cannabis Regulatory Agency.

During the same period, an ounce of medical flower dropped from $267 to $ 92.60. "We want to extend our heartfelt thanks to the Adrian community, our employees, our customers, and the City of Adrian for their incredible support and partnership," CEO Brandon Kanitz said in a news release Monday. "We are deeply grateful to have been welcomed by such a vibrant community and to have had the opportunity to contribute to the local economy and the city's growth."

Read more at metrotimes.com

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