The Martha's Vineyard island in Massachusetts faces a cannabis crisis as Fine Fettle, the island’s only cannabis cultivation and dispensary operation, plans to close. State regulators are exploring alternatives to prevent a supply shortage that could push consumers towards the black market.
Impact Of Federal Regulations On Island Cannabis Supply
The state's Cannabis Control Commission (CCC) is leading efforts to address the logistical hurdles of transporting cannabis to the island. Federal regulations still prohibit the transportation of cannabis over water and air, with the U.S. Coast Guard enforcing these laws, as cannabis remains classified as an illegal substance. Even though Martha’s Vineyard is just four miles from the Massachusetts mainland, it is only accessible by ferry or plane. Nevertheless, dispensaries on Martha’s Vineyard rely on locally grown cannabis, a supply that is set to disappear with Fine Fettle’s impending closure, reported The Vineyard Gazette.
"We do have quite a bit of inventory, and it's fresh and good," said Benjamin Zachs, president of Connecticut-based Fine Fettle. He estimated the dispensary would deplete its inventory and likely close by this fall.
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Operational Hurdles Leading To Fine Fettle's Closure
Fine Fettle’s closure is attributed to financial struggles unique to operating on an island, including higher costs, competitive pricing from mainland dispensaries and seasonal demand fluctuations. Despite efforts to maintain viability, Zachs told The Martha's Vineyard Times, "We haven't been able to crack the nut to not lose money."
During a recent commission meeting, the pressing nature of the situation was outlined by commissioner Kimberly Roy, “If we do nothing, you are going to have 234 patients with no medical access on the Island. That's the reality of it.” Martha’s Vineyard has a year-round population of around 20,000 people.
Supply Chain Regulatory Challenges
Efforts to ensure continuity of supply are not new. Massachusetts had previously relaxed testing requirements specifically for island communities after 2012 when medical cannabis was legalized. Regulations, designed primarily for motor vehicle transport, do not accommodate ferry or aerial deliveries, which are the only means to bridge the gap between the mainland and Martha’s Vineyard.
Furthermore, comparative solutions from other states like New York, which permits cannabis transportation via ferries, and Maine, which is addressing similar challenges for its coastal islands, are being reviewed for applicability. In Alaska where many areas are accessible only by air or water dispensaries transport products on commercial flights. The CCC is investigating these models to adapt them to Massachusetts' legal framework.
As the state Commission prepares for a forthcoming meeting to engage with local authorities and stakeholders, the overarching goal is clear: establishing a viable supply chain that ensures safe, legal access to cannabis for residents and deters illegal market growth.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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