Tumbling Hemp Prices: Good for Consumers, but Bad for Business
Hemp prices have fallen some 80 percent since summer highs as the industry works through a glut of the crop. And while tumbling prices could be a boon for consumers in search of affordable hemp and CBD products, they bode poorly for farmers and businesses that have staked their futures on the burgeoning industry.
“I think there will be a tremendous amount of fallout both on CBD companies and retail companies, as well as farmers…everybody thought it was get rich quick,” said Julie Lerner, CEO and founder of hemp commodities exchange PanXchange. “It is natural that we will see more bankruptcies and more consolidation as time goes on across the supply chain.”