The Bureau of Forestry in the State of Myopia not only oversees the thousands of acres of state-owned forests, but also operates a lumber mill that processes rare and/or exotic woods, harvested from the state forests in a mountainous region of the state that are used in the manufacture of furniture. Bureau regulations specify that in selling the wood to furniture factories and to other consumers, the state-owned lumber mill is to supply in-state businesses first, and then to sell to out-of-state businesses only after the in-state demand has been met. Because of a beetle infestation, the state-owned mill has been unable to fill orders from out of state, but has managed to meet most in-state demand. A furniture manufacturer in another state files suit in the United States District Court, claiming that the Bureau's policy favoring in-state businesses violates the Commerce Clause. How should the district court rule? Why?
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