This couldn't be more wrong! Each step of the way there is a transaction. The cultivation to the production is a transaction. The production to retail is a transaction and retail to customer is a transaction. So yes the statement that the cultivation profit has zero to do with retail is 100% true!
Cultivation can sell to other producers can't they? Production does sell to many retailers beside themselves, don't they? Retail can and does buy product they don't produce don't they?