Foley & Lardner LLP partner Rob Nederhood is quoted in the DBusiness article, “Low Times,” discussing the oversupply challenge the Michigan cannabis industry is facing.
“There are a lot of different things happening in Michigan, and while demand for cannabis remains fairly robust, there’s simply too much supply,” said Nederhood. “One thing that would help the industry is if more municipalities approved cannabis retail operations, which would help grow the overall consumer base.”
Nederhood explained that as state regulators consider modifying rules to assist the cannabis industry, the approval of national standards would help the sector expand. “If the federal government approved cannabis sales, it would open more opportunities for companies within the space to access banks and other financial services,” he continued. “Otherwise, I think Michigan will continue to see pricing challenges due to supply saturation.”