Big Buds Mag asked Confident Cannabis and other cannabis industry leaders to provide some thoughts on Oregon’s cannabis excess problem. Below is an excerpt from our thoughts on the subject. Click below to read the full article and hear additional thoughts from Oregon cannabis leader Mason Walker, CEO of East Fork Cultivars:
Oregon in particular has seen dozens of reports in 2018 about the dropping prices and rising quantities of marijuana that has skewed its first five years of recreational laws, driving many small-scale farms and laborers out of work. Indeed, the success of a cannabis production operation hinges on much more than simple supply and demand.
Oversupply Of Cannabis, Not Over Demand
Being that they are restricted to statewide sales only, cannabis producers are at a loss as they grow better, larger quantities of bud, but with nowhere for it to go. Brad Bogus, VP of growth and marketing at testing and tech company Confident Cannabis, headquartered in Northern California’s Silicon Valley, is keen to point out that a lack of strategic efficiency is one of the major barriers to big sales for Oregon farmers.
“There’s a small distinction to make here: Oregon has an oversupply problem, which doesn’t necessarily mean it has too much cannabis,” Bogus tells Big Buds. “There might be enough consumers in Oregon for the supply (although some argue there aren’t). The supply just isn’t getting sold, or isn’t getting sold in the right way at the right price.
“Most cultivators in Oregon aren’t commodity-based wholesale experts, or haven’t sold branded products to big retail companies,” Bogus continues. “Many are farmers, and they know how to run an amazing farm that produces some of the best cannabis in the US — and many are [growing] remote. If these producers were given better [technological] tools to sell their product, and if they could get that product into retail stores more efficiently, they’d be moving more supply for less money and time.”
The current condition of only being able to sell product within the state is a contentious topic that many monied cannabis investors want to push for an end to. As entire coasts become legalized, farmers are going to not only grow more cannabis than can be consumed locally, their unique products and strains may also be in demand outside of their locale.
Read more here:
https://bigbudsmag.com/what-will-oregon-cannabis-businesses-do-with-excess-product/