Many of Mississippi’s marijuana dispensaries are currently facing significant challenges as they are unable to sell a large percentage of their inventory. The Mississippi Department of Health initiated mass re-testing of specific medical cannabis products on administrative hold, a process that began on December 21, 2023. The Department of Health and the Mississippi Medical Cannabis Program expect cleared products to return to dispensary shelves soon.
Re-Testing Process Overview
The re-testing process is anticipated to take two to three weeks. According to a statement from the Mississippi State Department of Health (MSDH), cleared batches of products will be released each Friday. The re-testing will prioritize flower and bud, key ingredients for many cannabis products, followed by concentrates and infused items.
The MSDH has indicated its aim to validate results concerning pesticide use and the presence of mycotoxins, which are toxic compounds produced by fungi. Notably, no illnesses related to the products have been reported.
Impact on Dispensaries
Dispensaries are bearing the brunt of these regulatory measures. Jenni Sivils, co-owner of Uptown Funk in Jackson, revealed that nearly 90% of her inventory is non-saleable. “Everything the manufacturers and growers are doing is absolutely useless right now,” she remarked, pointing out that they currently have around 17,000 unsellable products on hand. Many vertically integrated dispensaries that cultivate and process their own cannabis are similarly affected.
The situation is exacerbated by the suspension of Rapid Analytics, LLC, one of the two primary testing facilities in Mississippi. Kathy Hartwell, Sivils’ business partner, explained that the suspension means that all products they tested are now on hold. Historical precedents suggest similar incidents took around 60 days to resolve, incurring costs of up to $100,000 for re-testing.
In December, the MSDH communicated to dispensaries that Rapid Analytics had been ordered to cease operations pending an investigation into its testing methods and protocols. All medical cannabis products previously tested by Rapid are now quarantined to safeguard public health.
Patient Safety and Market Uncertainty
Laura Goodson, director of the Mississippi Medical Cannabis Program, emphasized in a recent statement that patient safety remains the top priority. “We are tasked with ensuring all test results meet regulatory standards, allowing approved products to be available for those in the medical cannabis program,” she stated.
The ongoing uncertainty leaves dispensaries in a holding pattern. Sivils expressed frustration, noting the chaos within the industry as they await guidance on when products can be sold again. “It felt like the apocalypse,” she said, recalling their recent visit to a cultivation facility just as testing issues were unveiled.
