After the government recently legalized the growing of weed for medicinal purposes, a lot of people may be considering growing it- even though it comes with a hefty license fee- but this article in The Guardian should give them pause.
The article is about the price of weed in Oregon, which has plummeted due to too many growers who produce three times what the state requires. And since it cannot be easily exported to other states where it’s illegal, this creates a problem. People go bankrupt, jobs and savings are lost.
And yet the number of growers keeps growing.
Says the Guardian :
In February, state officials announced that 1.1m pounds of cannabis flower were logged in the state’s database.
If a million pounds sounds like a lot of pot, that’s because it is : last year, Oregonians smoked, vaped or otherwise consumed just under 340,000lb of legal bud.
That means Oregon farmers have grown three times what their clientele can smoke in a year.
Yet state documents show the number of Oregon weed farmers is poised to double this summer–without much regard to whether there’s demand to fill.
Were this some other business I’m sure basic business sense would prevail in no time but this is weed.
It is a new and exciting business that not only attracts people who are out to make money, but also many who are simply in it for the thrill.
I foresee Zimbabwe facing the same challenges: excitement, overproduction, oversupply while the demand grows at a much slower rate.
Were it not for the $50 000 fee, which is very prohibitive, I think many people would have started applying by now. In any case there are many people out there who have that kind of money and less business sense who will not hesitate.
It must be noted, too, that in Oregon marijuana is allowed for recreational purposes, while here the government, at least for now, has restricted it to medicinal purposes.
The people of Oregon hope that the federal government legalizes weed across the whole of the US. It’s a long shot.
Zimbabweans on the other hand will be hoping that other countries legalize weed, so they can export. Now that’s an even longer shot.