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Cannabis growers report bumper harvest amid overproduction, low prices

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Add the best outdoor marijuana crop in years to an already flooded market, and it’s like taking sand to the beach.

Cannabis cultivators across the United States are reporting this year’s fall harvest – known in the industry as “croptober” – produced a stellar crop thanks to favorable growing conditions and little to no adverse weather events.

That might sound good on the surface.

But with growers in states such as California, Colorado, Michigan and Washington already seeing rock-bottom wholesale prices, a flood of cheaper, outdoor-grown flower hitting the market in the coming months could push prices even lower.

“That was actually one of the cleanest air-quality years we’ve had. There’s going to be a lot of really good pot out there,” said Jeremy Moberg, a cannabis grower in Washington state.

“Probably going to add to the overproduction problems and woes that you’re hearing a lot about.”

Limited wildfire impact, no early freezes and warm days well into October all led to optimal growing conditions across the country.

“It’s been phenomenal,” said Van McConnon, a cannabis consultant based in Boulder, Colorado.

“As good as any harvest we’ve had in the last 10 years.”

One silver lining for growers in states such as California and Colorado is that the continuous low prices have caused some larger cultivators to opt out of planting and instead leave their fields fallow this year, reducing competition somewhat.

MJBizDaily spoke with cultivators and industry analysts in Michigan, Colorado, California, Washington state, New Mexico and Vermont to see how the fall harvest shaped up.

Here’s what they said.

Michigan

Michigan might not be the first state people think of when it comes to outdoor-grown cannabis, but that would be an oversight.

The state has more than a million sun-grown plants tagged in the seed-to-sale tracking platform Metrc, according to John McLeod, co-founder and head of markets at Cloud Cannabis Co., a vertically integrated marijuana company based in Troy, Michigan.

Growing conditions this year have been ideal for outdoor cannabis, he added. No natural disasters or extreme weather events to disrupt the harvest.

“Michigan has been able to do that very nicely. We have really good water. We have a really good summer grow season. “It’s pretty ideal weather for outdoor cultivation here.”

Yet prices for that sun-grown flower are on the lower end of the spectrum, according to McLeod.

And while this year has been a good growing year, that many plants being harvested for such low prices might lead some outdoor growers to scale back their production next year, he added.

“You might see (growers) that say, ‘Hey, look, growing a whole season outdoor and only getting $100 or $200 per pound, it really doesn’t average out at the end of the day,’” McLeod said.

Colorado

In past years, outdoor growers in southern Colorado have encountered early September freezes and snowstorms that caused millions of dollars in crop loss.

Other parts of the state have had to contend with wildfires and hailstorms.

But that largely hasn’t happened this year. Warm temperatures carried into October, and growers reported favorable conditions.

A strong crop means a lot of supply.

But McConnon said some of the larger outdoor farms with dozens of acres in production decided not to plant this year, so the smaller grows might have an opportunity to find buyers.

The smaller and midsize growers have also reduced capacity as prices have fallen.

“The wholesale market has just fallen through the floor,” McConnon said.

“I’ve never seen and, frankly, never anticipated prices like this.”

In July, for example, the wholesale price of cannabis flower in Colorado dropped to an all-time low of $709 per pound, down from $1,309 the previous year.

California

Raging wildfires the past few years have been a major factor affecting Emerald Triangle farmers in Northern California.

The fires destroyed cannabis grows and ruined nearby flower with smoke.

That wasn’t as much of an issue this year.

On the flip side, early fall rains can also be damaging, and some growers might have experienced that this year.

But overall, this has been a “pretty good year,” said Doug Chloupek, the CEO and founder of Juva Life, a cannabis grower and life science research company with a cultivation arm in Stockton.

“We had hot summers with a slightly more temperate climate leading into the October harvest here with our cooler nights,” Chloupek said.

“So I would expect that we’ll actually see some really nice quality flower coming from the traditional full-term, sun-growers out there.”

Similar to Colorado, a trend among cannabis growers in California this year was to let fields go fallow.

“Those are probably the smartest people,” Chloupek said.

“The overproduction of cannabis cannot be absorbed into the legal supply chain, which has created the falling price of cannabis.”

Chloupek characterized the economic situation for marijuana businesses in California as a “perfect storm of price catastrophe.”

Earlier this year, the average price per pound of cannabis flower was about $750 to $1,100 for quality, big buds and $300-$450 for smalls.

“The next two years are going to be survival of the fittest because people have run out of liquidity and the capital markets have dried up,” he added.

“The well to go back to save your company on its deathbed no longer exists.”

Washington state

The outdoor cannabis season started off wet and cloudy in Washington, where Moberg operates a sun-grown cannabis farm near Riverside, in the north-central part of the state.

But the weather reversed later in the summer to hot and dry, staying that way through October.

“So if I were going to say in a word (how the season went), it would be ‘great,’” Moberg said. “With some challenges.”

The sustained hot weather meant the plants required more water than in other years, for example.

If growers had access to water, that meant their plants were able to mature fully as the cultivator tapered off irrigating.

Like Colorado and California, Washington has traditionally had some of the lowest wholesale prices for cannabis in the country.

But Moberg isn’t sure how this year’s good growing season will impact the overproduction problem.

For one, some people in the state also decided it wasn’t financially wise to plant this year.

“From what I hear from everybody, there was a drastic reduction in what was planted this year,” Moberg said.

Another factor: Moberg said the state’s regulatory agency, the Liquor and Cannabis Board, temporarily tightened its enforcement of people growing beyond their canopy limits this summer, which helped to curb the oversupply.

New Mexico

The New Mexico summer was mild without any major events affecting outdoor cannabis operations, according to Duke Rodriguez, CEO and president of Ultra Health, based in Bernalillo, New Mexico.

“The regulated market had a successful outdoor season,” he said, adding that he expects a glut of outdoor-grown cannabis this year.

Among the more than 600 growers licensed in the state, Rodriguez said a lot of the new licensees are outdoor growers.

“Because the newbies have leaned heavily toward being outdoors, that’s where we’re going to see this flooding, and it’s going to be massive,” he added.

That anticipated glut has already dropped the price of wholesale flower in the market.

Earlier this year, Ultra Health was paying $1,500 a pound wholesale.

Rodriguez said his company is now buying wholesale pounds of flower for $850 and can buy lots of more than 1,000 pounds at that price.

“The bottom has fallen out,” he said.

Vermont

One outlier is the relatively new recreational marijuana market in Vermont, where prices are still in the $3,000 a pound range on the upper end of the wholesale market.

The fall growing season saw some rain in September.

That caused some outdoor growers to take down their plants early and dry them with the hopes of salvaging the yield, said Jason Mielcarek, director of cultivation at Ceres Collaborative in Burlington, Vermont.

The early moisture and humidity made it harder for the plants to fight off pathogens and botrytis.

“But the stronger genetics did well,” Mielcarek added.

“Anything that made it to October – October has been fantastic.”

Mielcarek said the weather stayed dry and sunny as temperatures cooled.

Growers are hoping those prices will remain high into the new year.

“Due to the lack of supply and the new (adult-use) market, that demand is so high,” Mielcarek said.

“Everyone can pretty much sell whatever they grow at this point.”

Source: https://mjbizdaily.com/cannabis-growers-report-bumper-harvest-amid-overproduction-low-prices/

Business

EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

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A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.

Investigation Under Digital Markets Act Gains Momentum

The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.

Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.

Industry Groups Demand Swift Action

Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.

Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.

In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.

Google Denies Allegations

Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.

However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.

Potential Billion-Euro Penalties

If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.

Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.

Wider Implications for Big Tech

The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.

A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.

As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.

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AI & Technology

Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations

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Milan: U.S. tech giant Amazon is facing the prospect of a major legal showdown in Italy, after prosecutors in Milan formally requested a court to move forward with criminal proceedings over alleged tax evasion totaling approximately ₹12,500 crore (€1.2 billion).

The case targets Amazon’s European division along with four senior executives, marking one of the most significant tax-related investigations involving a global e-commerce platform in Europe.

Trial Push Despite Multi-Million Euro Settlement

The move comes even after Amazon reached a financial settlement with Italian tax authorities in December, agreeing to pay around ₹5,500 crore (€527 million), including interest, to resolve part of the dispute.

Typically, such settlements lead to the closure of criminal investigations. However, Milan prosecutors have opted to proceed, signaling a tougher stance on alleged corporate tax violations.

A preliminary hearing is expected in the coming months, where a judge will decide whether to formally indict the company and its executives or dismiss the case.

Allegations of VAT Evasion Through Marketplace Sellers

At the center of the investigation are claims that Amazon’s platform enabled non-European Union sellers to avoid paying value-added tax (VAT) on goods sold to Italian consumers between 2019 and 2021.

Prosecutors allege that the company’s marketplace structure allowed thousands of foreign vendors—many reportedly based in China—to operate without fully disclosing their identities or tax obligations. This, authorities argue, led to substantial VAT losses for the Italian government.

Under Italian law, online platforms facilitating sales can be held partially liable if third-party sellers fail to comply with tax requirements, a key point in the prosecution’s case.

Italian Government Named as Affected Party

In their filing, prosecutors identified Italy’s Economy Ministry as the injured party, citing significant financial damage resulting from the alleged tax evasion.

Legal experts say the outcome of the case could have wide-ranging implications across the European Union, where VAT systems are harmonized and similar compliance rules apply to digital marketplaces.

Multiple Investigations Add to Pressure

The VAT probe is just one of several legal challenges facing Amazon in Italy. The European Public Prosecutor’s Office is reportedly examining additional tax-related issues covering more recent years.

Meanwhile, Milan authorities are pursuing separate investigations into alleged customs fraud linked to imports from China and whether Amazon maintained an undeclared “permanent establishment” in Italy—potentially exposing it to higher tax liabilities.

In a separate regulatory action, Italy’s data protection authority recently ordered an Amazon unit to stop using personal data from over 1,800 employees at a warehouse near Rome.

Amazon Denies Allegations

Amazon has consistently denied wrongdoing and indicated it will strongly contest the allegations in court if the case proceeds. The company has also warned that prolonged legal uncertainty could impact investor confidence and Italy’s appeal as a destination for international business.

Broader Impact on Europe’s Digital Economy

If the case moves to trial, it could become a landmark moment for the regulation of global e-commerce platforms in Europe. Governments across the region are increasingly scrutinizing how digital marketplaces handle tax compliance, especially in cross-border transactions.

With online retail continuing to expand, regulators are under mounting pressure to ensure that multinational platforms and third-party sellers adhere to the same tax rules as traditional businesses.

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Aviation

IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?

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Airports across India witnessed scenes of distress and confusion as thousands of passengers were stranded due to IndiGo’s massive flight disruptions. Families with medical emergencies, funerals, and personal crises were left helpless as the airline cancelled hundreds of flights without adequate communication or support.

Passengers described desperate situations — a mother pleading for sanitary pads for her daughter, a woman unable to transport her husband’s coffin, and others stranded while trying to reach family funerals or hospitals. “It was like a lockdown at the airport,” one passenger said, describing the panic that unfolded as IndiGo’s mismanagement crippled operations nationwide.

Root Cause: IndiGo’s Market Monopoly

The turmoil, industry experts argue, stems from IndiGo’s monopolistic control over India’s domestic aviation market. The airline operates nearly 2,100 flights daily and holds around 60% market share — meaning every second plane flying within India belongs to IndiGo.

This dominance has given the company unparalleled influence. When IndiGo falters, the entire aviation system suffers. Passengers are left with few alternatives, as other airlines lack capacity to absorb stranded travellers. The result: skyrocketing ticket prices, chaos at terminals, and total dependence on a single private operator.

Aviation pioneer Captain G.R. Gopinath, founder of Air Deccan, criticised the government’s inaction, noting that on some routes, IndiGo’s economy fares surged to ₹1 lakh. He compared the situation to a hostage crisis, writing that the airline “held the system ransom” and forced regulators to defer new safety rules meant to protect pilots and passengers.

Government Intervention and Regulatory Weakness

The crisis erupted after IndiGo failed to comply with the Flight Duty Time Limitations (FDTL) — rules introduced by the DGCA in January 2024 requiring adequate rest for pilots. Despite having nearly two years to adapt, IndiGo blamed the rule for operational disruptions, citing a shortage of pilots.

Under mounting public pressure, the government stepped in, temporarily relaxing FDTL norms and capping airfare hikes. Officials claimed the move was to protect passengers, but analysts say it exposed the state’s vulnerability to corporate monopolies. “The government had no option but to yield,” said one aviation policy expert, pointing out that ignoring safety regulations for short-term relief could have long-term consequences.

The crisis also rekindled memories of the June 2025 Air India crash near London, which claimed over 240 lives. Experts warn that compromising pilot rest and safety standards to maintain flight schedules could risk another tragedy.

If Telecom Giants Fail: A National Paralysis

The article raises a troubling question — what if a similar crisis struck the telecom sector, where Jio and Airtel together control nearly 80% of subscribers and serve over 780 million users?

If both networks failed simultaneously, the repercussions would be catastrophic. Internet shutdowns would halt UPI transactions, online banking, OTP verifications, video calls, OTT streaming, and emergency communications. Critical services such as airports, hospitals, stock exchanges, and small businesses — many of which rely on WhatsApp and digital payments — would come to a standstill.

In essence, a telecom breakdown could paralyse India’s digital economy, exposing the nation’s dependence on a duopoly.

E-commerce Monopoly: Another Fragile Ecosystem

The same risk looms over the e-commerce sector, where Amazon and Flipkart dominate nearly 80% of the market. A disruption similar to IndiGo’s could cripple daily life — halting delivery of groceries, medicines, and essential goods, freezing refunds and customer support, and leaving small sellers without platforms to trade.

Local retailers, freed from competition, might exploit shortages by inflating prices. Such a scenario underscores the perils of market centralisation in sectors critical to everyday living.

A Wake-Up Call for Regulators

The IndiGo crisis, analysts say, is a warning shot for policymakers and regulators. A single company’s operational failure exposed systemic weaknesses in India’s infrastructure and consumer protection mechanisms.

As the aviation regulator DGCA investigates and IndiGo works to restore normalcy, the broader lesson remains clear: unchecked monopoly power in any essential service — whether air travel, telecom, or e-commerce — poses a direct threat to economic stability and citizen welfare.

Without stronger competition laws, redundancy frameworks, and regulatory oversight, India risks repeating this crisis across multiple sectors — each time with millions of citizens paying the price.

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