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Simon is good at manipulating numbers and people are starting to look under the hood at this company. He reported an increase in sales of 30% but did not include the acquisition which is what the increase was from. He lost marketshare in Canada. Overall profitability is down. And tens of millions of dollars of bonuses going right to his pocket. I’m still Long because I think eventual pot legalization will bring this into a reasonable area but in the meantime… Here we are.
POLITICSFormer Justice Department Official And GOP Senator Join Marijuana Group As Legalization Advances In CongressPublished 2 days ago on September 30, 2021 By Kyle Jaeger
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A former top Justice Department official under the Obama administration and a former GOP senator are joining an advisory board of a major marijuana industry group.
The National Cannabis Roundtable (NCR) announced on Thursday that former Deputy Attorney General James Cole and former Sen. Cory Gardner (R-CO) will be advising the organization as it advocates for federal cannabis reform.
Cole is well known within the marijuana community for issuing a memo during his time at DOJ that laid out cannabis enforcement priorities for federal prosecutors that generally deprioritized going after people acting in compliance with state laws. Former Attorney General Jeff Session rescinded that guidance during Trump administration, however, and it’s yet to be reinstated by the Biden administration Department of Justice.
“Cannabis reform is incredibly complicated not least because of the robust state marketplaces, which have developed under federal prohibition,” Cole said in a press release. “As Congress continues to debate the legislative solutions which are necessary to truly reconciling the differences between state and federal law, there are meaningful ways to ensure the protection of public health and safety, and to positively impact the Americans who have built this robust cannabis economy, including those disproportionately harmed by the drug war.”
Gardner, meanwhile, has been a longstanding advocate for marijuana reform in Congress. Prior to losing his Senate seat during the 2020 election, he sponsored legislation to protect the rights of states to set their own marijuana policies, among other reform issues.
“Cannabis is not a partisan issue—it cuts across party lines. Just look at Colorado and the game changing economic, social and health benefits it created,” Gardner said. “To fully capture this benefit, we must have real reform at the federal level. I look forward to working alongside the thoughtful group of leaders that NCR has brought together to affect meaningful change.”
According to the press release, the board will be advocating for three key priorities: “to nurture a growing industry, protect consumers and foster social equity.”
Other members of the newly announced advisory board include Leafly’s Yoko Miyashita, Women Grow’s Gia Morón and Robert Mikos of Vanderbilt University School of Law, among others.
For advocates, it’s encouraging to see people enter into an advisory role for federal marijuana reform who actually pushed for policy changes on the issue. It breaks with the trend of former politicians who were unhelpful or outright hostile to legalization when they were in office joining the industry in some capacity.
That includes former GOP House Speaker John Boehner (R-OH), who’s faced criticism from activists over his anti-legalization record while in office before joining the board of marijuana company Acreage Holdings. He also serves as an honorary NCR board member.
“For meaningful progress on issues where we can agree, like on cannabis policy, there is great complexity and a great need for good information,” Boehner said in the new release.
Another honorary NCR member is Kathleen Sebelius, former secretary of health and human services. She said “members of this advisory board have already distinguished themselves as leaders in the national cannabis discussion and we look forward to putting their expertise to work on behalf of all stakeholders.”
Sebelius did not initiate proceedings to reclassify marijuana when she had the power to do so during the Obama administration.
In May, the former official also attended the virtual briefing that featured Senate Finance Committee Chairman Ron Wyden (D-OR) and focused on job opportunities in the marijuana industry.
Separately, the multi-state cannabis businesses Red White & Bloom Brands Inc. recently announced that it is bringing on former U.S. Rep. Ryan Costello (R-PA) to help it navigate the complicated regulatory space, drawing on his experience in Congress as the company works to expand.
Costello certainly isn’t the only Republican lawmaker who’s made the transition from Capitol Hill to the cannabis market. But he’s another rare example of a politician who actually embraced enacting marijuana policy changes while he was in power before standing to profit from the industry. The congressman cosponsored a variety of bills—including ones to shield states that legalize cannabis from federal interference—and supported several reform amendments.
Tom Price, the former HHS head under President Donald Trump, is serving as a member of the board of directors for a medical marijuana business in Georgia after he refused to take action to reclassify cannabis under federal law when he had the power to do so. Price consistently voted against marijuana reform measures while serving in Congress.
Former Rep. Steve Buyer (R-IN), who also has a long track record of opposing marijuana legalization efforts, joined a Canadian cannabis company’s board in 2019.
A New York-based lobbying firm that’s headed by a former Republican U.S. senator recently announced that it is launching a practice focused on serving cannabis businesses. That former senator, Alfonse D’Amato, racked up a record of supporting the war on drugs while in office.
There is at least one other former GOP congressman who entered the cannabis space with a legislative record supporting marijuana reform. Former Rep. Dana Rohrabacher (R-CA), who championed cannabis reform while in Congress, became an advisory board member for a marijuana company after being voted out of office in 2018.
Separately, President Joe Biden’s pick to head up federal drug policy worked for a major marijuana business last year, according to his financial disclosure reports.
The new advisory board announcement from NCR comes as lawmakers in both chambers of Congress pursue legalization legislation. A House bill to end prohibition advanced out of a key committee on Thursday, and advocates are also eagerly awaiting the finalization of a measure to legalize cannabis in the Senate.
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Kyle Jaeger
Kyle Jaeger is Marijuana Moment's Sacramento-based senior editor. His work has also appeared in High Times, VICE and attn.YOU MAY LIKE
Marijuana Isn’t Exactly On Virginia’s Ballot Next Month, But Legalization’s Fate Is, Advocates Say
Congresswoman Previews Hemp Bill To Ease Regulatory Restrictions And End Felony Ban For Licensees
Nebraska Advocates Launch Signature Drive For 2022 Medical Marijuana Ballot Measures
Federal cannabis legalization bill approved in committee (Newsletter: October 1, 2021)
19-Year-Old New Hampshire Lawmaker Prepares Bills To Decriminalize Psilocybin And All Drugs
Bill To Federally Legalize Marijuana Approved By Key House Committee
POLITICSMarijuana Isn’t Exactly On Virginia’s Ballot Next Month, But Legalization’s Fate Is, Advocates SayPublished 16 hours ago on October 1, 2021 By Ben Adlin
Marijuana legalization advocates in Virginia are urging voters to get to the polls next month to elect politicians who will support the marijuana legalization policy passed by lawmakers last session.
Some elements of the new law, for example those allowing personal possession and home cultivation of cannabis, took effect on July 1. Other aspects, however—most notably establishing a regulated retail cannabis market—don’t kick in until 2024 and will require further approval in the coming year from state lawmakers and the governor.
Under the final deal agreed to by lawmakers last session, nearly all of the legal cannabis sales provisions of the law are subject to reenactment by the legislature in the 2022 session.
Depending on who voters choose as governor, and which party ends up controlling the legislature during the election, the new government could drastically roll back planned reforms or undo them completely, said Jenn Michelle Pedini, development director for the advocacy group NORML and executive director of the group’s Virginia Chapter.
At one point, the state Senate wanted the voters themselves to directly weigh in on the policy change. A provision in the body’s version of the legislation would have put a legalization referendum on the state ballot, but it was removed from the final bill before passage.
But advocates say that even though there won’t be a legalization question on the ballot next month, the fate of the policy will ultimately be decided by voters in the coming general election.
“Legalization really is on the ballot in November,” Pedini told Marijuana Moment on Friday. “Why? Because nothing will have more of an impact on the future of cannabis legalization in Virginia than how Virginians vote in the general election.”
NORML typically supports politicians who favor full legalization of cannabis. In Virginia, those tend to be Democrats. “The legalization votes in 2021 were entirely along party lines,” Pedini said. “Everything seems to be about partisan antics right now, and there’s no reason to believe that will change for the 2022 session.”
The most consequential race on the marijuana front is the contest for governor. NORML has given the race’s Democratic candidate, former Gov. Terry McAuliffe, an A grade, noting his public statements calling for legalization.
The Republican candidate, Glenn Youngkin, a private equity executive, has a D grade from NORML, which notes Youngkin supports only limited cannabis decriminalization.
The incoming governor would have the opportunity to veto or make amendments to any marijuana bills that reach his desk. A hostile governor could torpedo legalization completely, and it’s unlikely Democrats, even if they do maintain their legislative majority, could muster the supermajority of votes needed to override any veto from Youngkin.
“Based on the 2021 votes, it would appear that there would not be the supermajority required to reject a veto,” Pedini said. “That’s the reality.”
The balance of power in the state House of Delegates, where all members are also up for election this year, could also determine what happens with marijuana. If Republicans gain control of the chamber, Pedini said, it’s possible the legalization measure might never be enacted.
“There doesn’t appear to be a path forward without a majority in both chambers,” they said.
Other races on next month’s ballot could also be consequential, and the question of legalization has become a wedge issue between Democratic and Republican candidates despite bipartisan support among voters.
The Democratic candidate for attorney general, incumbent Mark Herring, has called for cannabis legalization in the commonwealth, earning him an A+ grade from the advocacy organization. GOP challenger Jason Miyares, meanwhile, earned a D grade for his limited support for medical marijuana.
In the race for lieutenant governor, NORML also gave the Democrat a strong edge. Haya Ayala, currently a state delegate, earned an A+ rating for her advocacy, including her cosponsorship of a bill last session that would’ve legalized cannabis for adult use. Republican Winsome Earle Sears, a former member of the House of Delegates, received a D grade from NORML.
In Virginia, the lieutenant governor presides over the Senate. Earlier this year the office’s current occupant actually broke a tie to advance a legalization vote to passage, highlighting the importance of next month’s race.
Some of the GOP candidates have challenged the idea they’d put a wrench in legalization plans. Youngkin’s gubernatorial campaign tweeted in July that he “will not seek to repeal it,” adding that the candidate’s focus is “on building a rip-roaring economy” and improving education and public safety.
Virginia NORML also released a local voter guide with information about candidates for city and county positions and their responses to questions about legalization.
Over the last session, current Gov. Ralph Northam (D) strongly advocated for cannabis reform, and lawmakers sent bills to enact legalization to his desk in February. In March, the governor formally submitted substitute language to the bills—including speeding up the timetable for legalizing possession and home cultivation—and in April both chambers approved the proposed changes as suggested.
On July 1, public possession of up to an ounce of marijuana by adults 21 and over became legal, along with personal cultivation of up to four cannabis plants. Private sharing of up to an ounce of cannabis between adults is also legal, as long as no remuneration is involved.
Photo courtesy of Philip Steffan
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CONTINUE READING POLITICSCongresswoman Previews Hemp Bill To Ease Regulatory Restrictions And End Felony Ban For LicenseesPublished 20 hours ago on October 1, 2021 By Kyle Jaeger
Hemp may now be federally legal, but congressional lawmakers are still seeking changes to laws governing the crop. And Rep. Chellie Pingree (D-ME) recently previewed forthcoming legislation to ease restrictions on the burgeoning industry while also eliminating a ban on participation in the market by people with felony drug convictions.
The U.S. Department of Agriculture (USDA) has been placed in charge with regulating hemp since the crop was legalized under the 2018 Farm Bill. But some of the rules that the agency set for hemp businesses have been met with criticism, with stakeholders arguing that they unduly burden the market.
Pingree hasn’t yet released the text of her reform legislation—which is being titled the Hemp Advancement Act—but she did preview some key provisions during a recent meeting with U.S. Hemp Roundtable stakeholders.
The congresswoman said the bill, which will be released “in the coming weeks,” will eliminate a policy that precludes people with felony drug convictions in the past 10 years from receiving a hemp business license.
“This provision disproportionately excludes communities of color from participating in this emerging market—and, frankly, it just has no place in our public policy,” Pingree said, adding that she was “shocked when I first realized that there was a prohibition on someone with a felony drug charge” from entering the industry.
The bill will also seek to increase the THC threshold for hemp and hemp extracts during the production process to avoid possible problems for businesses. Hemp is defined under federal statute as containing no more than 0.3 percent THC, but that amount can temporarily increase during manufacturing, so Pingree’s measure would provide relevant safeguards.
The congresswoman said her intention with the bill is to “make the [USDA] rules more workable for growers and processors.”
Further, the proposal would remove a controversial USDA requirement that hemp be tested only at labs that are registered with the Drug Enforcement Administration. Stakeholders have been pushing for that reform, contending that the limitation would create a bottlenecking of hemp testing that could hold the industry back.
“There are currently zero DEA registered labs in Maine, and frankly there’s only one in all of New England,” Pingree said. “So that just does not work.”
Beyond her forthcoming bill, additional issues with the existing hemp regulations could be addressed in the next version of the large-scale agricultural legislation that’s expected in 2023, the congresswoman said.
“Congress often follows public opinion. We have been, at a federal level, following the activity of the states, so I think there’s going to be a lot of recognition of this,” she said. “I think the next Farm Bill is a place for us to really scrub some of those issues out.”
Earlier this year, Reps. Kurt Schrader (D-OR) and Morgan Griffith (R-VA) filed a separate bill aimed at allowing hemp and CBD derived from the crop to be marketed and sold as dietary supplements. That’s been another major source of controversy, as the current lack of regulations from the Food and Drug Administration (FDA) is viewed as a central barrier for the hemp industry’s growth.
In the Senate, Sens. Ron Wyden (D-OR), Rand Paul (R-KY) and Jeff Merkley (D-OR) filed a bill that would similarly exempt “hemp, hemp-derived cannabidiol, or a substance containing any other ingredient derived from hemp” from certain restrictions that have blocked the emergence of legal consumable hemp products while the FDA has slow-walked regulations.
Paul also introduced separate legislation in March that would triple the concentration of THC that hemp could legally contain while addressing multiple other concerns the industry has expressed about the federal regulations.
Lawmakers have pressured FDA to adopt regulations that would provide for such marketing since hemp was federally legalized under the 2018 Farm Bill. But so far, the agency has simply offered enforcement discretion guidance for these products while it continues to craft formal rules.
Meanwhile, USDA is closely following—and working to support—the hemp industry through other services.
Last month, for example, the agency announced that it is teaming up with university researchers to figure out the best ways to keep weeds (not the marijuana kind) out of hemp during the production process.
USDA also announced recently that it is moving forward with a large-scale survey to gain insight into the hemp market.
After requesting permission from the White House earlier this year to conduct the survey of about 20,000 hemp farmers, the agency’s National Agricultural Statistics Service recently said that the forms are being finalized to be filled out via mail or online.
USDA is asking questions about plans for outdoor hemp production, acreage for operations, primary and secondary uses for the crop and what kinds of prices producers are able to bring in. The questionnaire lists preparations such as smokeable hemp, extracts like CBD, grain for human consumption, fiber and seeds as areas the department is interested in learning about.
Last year, USDA announced plans to distribute a separate national survey to gain insights from thousands of hemp businesses that could inform its approach to regulating the industry.
That survey is being completed in partnership with National Association of State Departments of Agriculture and the University of Kentucky. The department said it wanted to learn about “current production costs, production practices, and marketing practices” for hemp.
There’s still much to learn about the burgeoning market, even as USDA continues to approve state regulatory plans for the crop. Most recently, the agency approved a hemp plan submitted by Colorado, where officials have consistently insisted that the state intends to be a leader in the space.
While USDA’s final rule for hemp took effect on March 22, the agency is evidently still interested in gathering information to further inform its regulatory approach going forward. Industry stakeholders say the release of the final rule is a positive step forward that will provide businesses with needed guidance, but they’ve also pointed to a number of policies that they hope to revise as the market matures such as USDA’s hemp testing requirements.
The federal Small Business Administration’s Office of Advocacy expressed a similar sentiment in a blog post in February, writing that it is “pleased with some of the changes that [USDA] has made to the rule, as they offer more certainty and are less burdensome to small farmers,” but “some concerns remained unaddressed in the final rule.”
USDA announced in April that it is teaming up with a chemical manufacturing company on a two-year project that could significantly expand the hemp-based cosmetics market.
Meanwhile, the U.S. Department of Energy announced in August that it is sponsoring a project to develop hemp fiber insulation that’s designed to be better for the environment and public health than conventional preparations are.
Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
CONTINUE READING POLITICSNebraska Advocates Launch Signature Drive For 2022 Medical Marijuana Ballot MeasuresPublished 22 hours ago on October 1, 2021 By Ben Adlin
Activists in Nebraska on Friday unveiled the language of a pair of initiatives to legalize medical marijuana in the state. Supporters now have until July of next year to gather thousands of voter signatures to put the measures on the 2022 ballot.
The petitioning drive to qualify the two initiatives will begin Saturday in Lincoln, near a University of Nebraska football game at Memorial Stadium, where advocates say they plan to “take advantage of the crowds” to “kick off the effort.”
Together, the two initiatives from Medical Marijuana (NMM) would protect qualified patients from legal consequences for cannabis and regulate businesses that produce, distribute and sell marijuana products to those patients. Advocates say they’re done waiting for lawmakers to act on the issue and will instead take the issue directly to voters.
“It is frustrating that politicians have ignored the will of the people and denied my son and thousands of other patients the compassion they deserve,” said Nicole Hochstein, NMM’s volunteer coordinator for Cedar County and the mother of an 11-year-old child diagnosed with epilepsy. “But this ballot campaign provides hope to families like ours. We are seeing democracy in action today.”
Repeated pushes to legalize through the state’s unicameral legislature have fizzled, most recently in May following a Republican-led filibuster. And in 2019, the state’s attorney general argued in an opinion that efforts to legalize medical marijuana would be preempted by federal law and “would be, therefore, unconstitutional.”
Nebraskans for Medical Marijuana announced the new ballot campaign just hours after the most recent legislative effort failed. The group revealed in August that it would pursue the policy change through the a two-initiative campaign, and early last month it submitted the proposed ballot measures to state officials for initial approval. Language of the two initiatives, however, were not made public until Friday.
This is Nebraskans for Medical Marijuana’s second time pursuing the ballot for cannabis reform. While they collected enough signatures to qualify a medical marijuana legalization measure for the 2020 ballot, the state Supreme Court invalidated it on the grounds that it violated the state’s single-subject rule, which limits the scope of citizen initiatives. That’s why the current campaign has split the proposal into two measures, which advocates hope to qualify and pass as a package.
The proposed initiatives work together, with one removing legal penalties around cannabis for any qualified patients and the other establishing a new agency, the Nebraska Medical Cannabis Commission, to register and regulate businesses that provide cannabis to patients.
Under the first measure, the Medical Cannabis Patient Protection Act, patients would be defined as anyone with a physician’s recommendation to use cannabis for therapeutic purposes, though people under 18 would also need written permission from a parent or legal guardian. It would declare that under both state and local law, patients would be allowed to “use, possess, and acquire an allowable amount of cannabis and cannabis accessories for the alleviation of a medical condition, its symptoms, or side effects of the condition’s treatment.” Designated caretakers could also possess and acquire cannabis for patients.
The proposal would set the “allowable amount” of marijuana at up to five ounces, not including the weight of non-cannabis ingredients in infused food, beverages, topicals or other products. It does not appear to contain any provision that would enable patients to grow their own cannabis.
The second measure, the Medical Cannabis Regulation Act, would set up a state system to oversee the medical marijuana market itself. It would establish the Medical Cannabis Commission, which would adopt rules, regulations and standards by July 2023. The body would be required to begin granting registrations—effectively licenses to engage in cannabis activity—by October of that year.
While regulatory details would be set by the commission, the proposed initiative says that cannabis products would include edible products, ointments and tinctures, among others. It also specifically mentions product delivery.
The measure would make it legal for registered cannabis businesses, along with their employees and agents, to “possess, manufacture, distribute, deliver, and dispense cannabis for medical purposes, provided such conduct complies with applicable rules and regulations adopted and promulgated by the Nebraska Medical Marijuana Commission.” It does not include any mention of taxes or fees.
The Commission would consist of the three members of the Nebraska Liquor Control Commission and up to two additional members appointed by the governor and confirmed by a majority of lawmakers.
In a video streamed to Facebook this week, the group outlined how Nebraska’s initiative process works and encouraged supporters to get involved.
State Sen. Anna Wishart (D), who’s been working with NMM on the effort and is scheduled to join the signature-gathering effort in Lincoln on Saturday, said in a statement that the proposal is “fundamentally about having compassion for people who are suffering.”
“I have talked personally about this issue with voters from dozens of counties across Nebraska, including some of the most rural parts of the state,” Wishart said. “There is an outpouring of grassroots support for this issue—regardless of someone’s political background or views on other issues.”
She and fellow Democratic Sen. Adam Morfeld said late last year that they would also work to put the question of legalizing marijuana for adult use before voters in 2022, but it’s not clear whether or not a recreational measure is still in the works.
Crista Eggers, signature drive director for Nebraskans for Medical Marijuana, told Marijuana Moment in June that the plan was to “hit the ground running on a mass scale” beginning this summer to gather signatures.
The group previously floated the idea of adding a short constitutional amendment into the mix that would simply declare people “in the state of Nebraska shall have the right to cannabis in all its forms for medical purposes.” But that plan was shelved in favor of the new twin measures.
Under last year’s blocked Nebraska medical cannabis initiative, physicians would have been able to recommend marijuana to patients suffering from debilitating medical conditions. Those patients would then have been allowed to possess, purchase and “discreetly” cultivate marijuana for personal use.
Each of the two newly unveiled ballot measures will need 87,000 signatures of support from registered voters to qualify for the 2022 ballot. By comparison, when Nebraskans for Medical Marijuana qualified its prior measure for the ballot—only to be thwarted by the court—they submitted nearly 200,000 signatures.
Looking ahead to 2022, Nebraska isn’t the only state where voters could see cannabis reform on the ballot.
Florida activists recently filed a ballot measure to legalize marijuana for adult use.
South Dakota marijuana activists are now ramping up for a signature gathering effort to put marijuana legalization on the 2022 ballot as the state Supreme Court continues to consider a case on the fate of the legal cannabis measure that voters approved last year.
New Hampshire lawmakers are pursuing a new strategy to legalize marijuana in the state that involves putting a proposed constitutional amendment on the ballot for voters to decide on in 2022.
Lawmakers in Maryland are also crafting legislation to place a marijuana legalization referendum on the 2022 ballot after the House speaker called for the move.
Ohio activists recently cleared a final hurdle to begin collecting signatures for a 2022 ballot initiative to legalize marijuana in the state.
Missouri voters may see a multiple marijuana initiatives on the state’s ballot next year, with a new group filing an adult-use legalization proposal that could compete with separate reform measures that are already in the works.
Arkansas advocates are collecting signatures to place adult-use marijuana legalization on the ballot.
Activists in Idaho are working to advance separate measures to legalize possession of recreational marijuana and to create a system of legal medical cannabis sales. State officials recently cleared activists to begin collecting signatures for a revised initiative to legalize possession of marijuana that they hope to place before voters on the 2022 ballot. Meanwhile, a separate campaign to legalize medical cannabis in the state is also underway, with advocates actively collecting signatures to qualify that measure for next year’s ballot.
After a House-passed bill to legalize marijuana in North Dakota was rejected by the Senate in March, some senators hatched a plan to advance the issue by referring it to voters on the 2022 ballot. While their resolution advanced through a key committee, the full Senate blocked it. However, activists with the group North Dakota Cannabis Caucus are collecting signatures to qualify a constitutional amendment to legalize cannabis for the 2022 ballot.
Oklahoma advocates are pushing two separate initiatives to legalize marijuana for adult use and overhaul the state’s existing medical cannabis program.
Wyoming’s attorney general recently issued ballot summaries for proposed initiatives to legalize medical marijuana and decriminalize cannabis possession, freeing up activists to collect signatures to qualify for the 2022 ballot.
And it’s not just marijuana measures that reform activists are seeking to qualify for state ballots next year. A California campaign was recently cleared to begin collecting signatures for an initiative to legalize psilocybin. And advocates in Washington State have announced plans to put a proposal to decriminalize all drug before voters.
Read the full text of the Nebraska medical cannabis ballot measures below:
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UPDATE: The House Judiciary Committee is now expected to vote on the federal marijuana legalization bill on *Thursday* after consideration of unrelated business ran long today. @tomangell
And yet it’s down: Tilray Inks Deal With AMP Making It An Exclusive Marketing Partner For Aphria-Branded Products In Germany https://www.benzinga.com/amp/content/23133905?__twitter_impression=true
MMNFF up 9% to .32 good for TLRY who can convert the 100mm for .26 IMO
“Shares of Canadian cannabis companies rose on Thursday after Statistics Canada reported record sales in July. New Cannabis Ventures reported that July retail sales for the country reached C$338.9 million, up 6% from June. Sales for July rose 45.6% from a year ago.
Cantor on Tilray: "To talk about the next Coca-Cola of the cannabis space is certainly premature, but only a few companies are on that trajectory, and we could put TLRY in that group" ?????? $TLRY $KO -@weedstreet420
This Cannabis Company Has A Better 1-Year Return Than Tesla, Facebook, GE And Ford
https://www.benzinga.com/amp/content/22692391?__twitter_impression=true
@weedstreet420: Cowen: Outperform rating on $TLRY, Price Target $23.00
"Tilray is the most profitable Canadian LP with adj EBITDA larger than the next 3 most profitable peers combined"
Cowen: Outperform rating on $TLRY, Price Target $23.00
— WeedStreet420 (@WeedStreet420) August 3, 2021
"Tilray is the most profitable Canadian LP with adj EBITDA larger than the next 3 most profitable peers combined" pic.twitter.com/GHaVURjko8
Great interview:
66% margins on Sweetwater sales!
"4 billion dollars in revenue by 2024", Irwin Simon on the call!
Senators to start having conversations with White House on marijuana legalization
Jul. 26, 2021 12:55 PM ETACB, CGC...Acreage Holdings, Inc. (ACRHF), Cresco Labs Inc. (CRLBF), Curaleaf Holdings, Inc. (CURLF)...By: Jonathan M Block, SA News Editor4 Comments
cannabis legalization in the united states of america. cannabis leaf in hands on usa flag background
strelov/iStock via Getty Images
Senators who back a federal marijuana legalization bill will start having conversations with the White House to get President Biden to agree with the measure, Sen. Cory Booker (D-N.J.) said.
"Now that a discussion draft of our legislation has been released we will start having conversations with the White House to get them behind our proposal," Booker said on Friday in a Twitter chat with constituents to discuss the Cannabis Administration and Opportunity Act .
Booker, along with Sens. Schumer (D-N.Y.) and Wyden (D-Ore.) introduced the draft legislation earlier this month.
Even if the bill was able to pass the Senate -- a feat some see as improbable given the number of Democrats who oppose it -- President Biden has long said he is opposed to cannabis legalization.
Multi-state operators today: Trulieve Cannabis (OTCQX:TCNNF -1.0%); Harvest Health & Recreation (OTCQX:HRVSF -1.5%); Curaleaf Holdings (OTCPK:CURLF -2.3%); Acreage Holdings (OTCQX:ACRHF +1.2%); Cresco Labs (OTCQX:CRLBF -2.5%) ; Green Thumb Industries (OTCQX:GTBIF -2.3%); and MedMen Enterprises (OTCQB:MMNFF +2.1%).
Cannabis distributors today: OrganiGram Holdings (OGI +3.0%); Cronos Group (CRON +0.1%); HEXO Corp. (HEXO -0.7%); Aurora Cannabis (ACB +0.1%); Canopy Growth (CGC -0.7%); Tilray (TLRY -1.4%), Sundial Growers (SNDL -0.5%); and GrowGeneration (GRWG -0.4%).
Now read: Tilray, other Canadian operators underperform amid uncertainty over federal legalization of cannabis
Re: FUNMAN
Are pot stocks burnt out? With a new cannabis decriminalization bill proposed in the Senate, @timseymour lays out the path ahead. pic.twitter.com/BpSIw1qgVa
— CNBC's Fast Money (@CNBCFastMoney) July 14, 2021
Getting closer: POLITICSHere Are The Full Details Of The New Federal Marijuana Legalization Bill From Chuck Schumer And Senate ColleaguesPublished 41 mins ago on July 14, 2021 By Kyle Jaeger
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The first draft of a long-anticipated Senate bill to federally legalize marijuana has been released—and its sponsors are asking for public input to further improve the legislation before it is formally introduced.
Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) are unveiling the draft at a press conference on Wednesday. It’s an extensive bill, titled the Cannabis Administration and Opportunity Act, that weighs in at 163 pages.
The main features of the legislation largely align with what advocates and stakeholders expected. It would federally deschedule cannabis, expunge prior convictions, allow people to petition for resentencing, maintain the authority of states to set their own marijuana policies and remove collateral consequences like immigration-related penalties for people who’ve been criminalized over the plant.
“Cannabis prohibition, a key pillar of the failed war on drugs, has caused substantial harm to our communities and small businesses, and especially for communities of color,” Wyden said. “It’s as simple as this: Senators Booker, Schumer and I want to bring common sense to the federal government, end prohibition and restore the lives of those hurt most and set them up for opportunity.”
The bill would also impose a federal tax on marijuana products and put some of that revenue toward grant programs meant to support people from communities most impacted by prohibition who want to participate in the industry.
Further, the legislation would transfer regulatory authority over cannabis from the Drug Enforcement Administration (DEA) to the Food and Drug Administration (FDA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Alcohol and Tobacco Tax and Trade Bureau (TTB).
There’s a lot of ground to cover on the proposal. And while the senators are confident that it addresses key concerns from stakeholders, advocates, public health officials and law enforcement alike, they recognize that this is not the final form the bill will take. To that end, a public comment period is open until September 1.
“The War on Drugs has been a war on people—particularly people of color. The Cannabis Administration and Opportunity Act aims to end the decades of harm inflicted on communities of color by removing cannabis from the federal list of controlled substances and empowering states to implement their own cannabis laws,” the senators said in a summary of the bill that was shared with Marijuana Moment. “Descheduling cannabis is a critical step towards achieving justice for those targeted and hard hit by the War on Drugs. But that alone is not enough.”
The bill is multifaceted and deals with a large number of complex issues that have arisen under the umbrella of federal prohibition.
The basic components
Perhaps the most immediately consequential provision would be a requirement that the attorney general to remove marijuana from the Controlled Substances Act within 60 days of the bill’s enactment.
But it’s important to keep in mind that this legislation—like other federal legalization bills moving through Congress—would not make it so marijuana is legal in every state. The proposal specifically preserves the right of states to maintain prohibition if they way. It stipulates, for example, that shipping marijuana into a state where the plant is prohibited would still be federally illegal.
However, the measure would make it clear that states can’t stop businesses from transporting cannabis products across their borders to other states where the plant is permitted.
FDA would be “recognized as the primary federal regulatory authority with respect to the manufacture and marketing of cannabis products, including requirements related to minimum national good manufacturing practice, product standards, registration and listing, and labeling information related to ingredients and directions for use,” according to the summary.
Meanwhile, TTB would have jurisdiction over marijuana tax and trade practices. That would include cannabis tax revenue collection, tax law enforcement and tracking and tracing of marijuana products.
“The agencies would have dual jurisdiction related to certain aspects of cannabis product labeling and packaging, advertising, and other consumer information,” the document says.
Social equity
As promised, the senators are including language into the bill that would promote social justice for those who’ve been disproportionately impacted by the war on drugs.
“Communities that have been most harmed by cannabis prohibition are benefitting the least from the legal marijuana marketplace,” the findings section of the bill says, noting that a “legacy of racial and ethnic injustices, compounded by the disproportionate collateral consequences of 80 years of cannabis prohibition enforcement, now limits participation in the industry.”
“Historically disproportionate arrest and conviction rates make it particularly difficult for people of color to enter the legal cannabis market- place, as most States bar these individuals from participating,” it says.
A key barrier for such individuals is that fact that people from communities of color have been most targeted by cannabis criminalization, despite the fact that use is comparable across races. The bill seeks to repair that harm by mandating each federal district to expunge arrests and convictions for non-violent marijuana offenses within one year, and it also allows people who are still under a criminal sentence for cannabis to obtain a resentencing review hearing.
Grants
There would be three grant programs established under the bill.
One would “fund nonprofits that provide services to individuals adversely impacted by the War on Drugs, such as job training, reentry services and legal aid, among other services,” according to the summary. It would be distributed through a new Cannabis Justice Office under the Justice Department.
Another would “provide funding to eligible states and localities to make loans to assist small businesses in the cannabis industry owned by socially and economically disadvantaged individuals” through the Small Business Administration (SBA).
Finally, the Equitable Licensing Grant Program would “provide funding to eligible states and localities to implement cannabis licensing programs that minimize barriers for individuals adversely affected by the War on Drugs.”
“To be eligible for these SBA grants, states and localities must take steps to create an automatic process to expunge criminal records for cannabis offenses and violations for individuals under criminal supervision for cannabis offenses,” the summary says.
Consumers’ rights
People could not be denied federal benefits due to the use or possession of marijuana or for a conviction for a cannabis offense. That includes preventing the revocation of security clearances for federal employees.
However, one component of the new bill that advocates have taken issue with—which has been previously included in past reform legislation—would let agencies “continue to include cannabis for purposes of drug testing of Federal employees.”
Additionally, the measure would authorize physicians with the U.S. Department of Veterans Affairs (VA) to issue recommendations for medical cannabis to veterans. That’s another topic that’s been the focus of separate, standalone legislation in recent sessions.
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Taxes and permits
A gradual federal tax rate would be imposed on marijuana sales, starting at 10 percent for the first year after the bill’s enactment and the first, subsequent calendar year. Then it would be increased annually, rising from 15 percent to 20 percent to 25 percent. Starting in the fifth year post-enactment, the tax would be a “per-ounce or per-milligram of THC amount determined by the Secretary of the Treasury equal to 25 percent of the prevailing price of cannabis sold in the United States in the prior year.”
In an effort to support small cannabis enterprises, the legislation says that “small cannabis producers with less than $20 million in sales annually would be eligible for a 50 percent reduction in their tax rate, via a tax credit.”
“Producers with more than $20 million in sales would be eligible for a tax credit on their first $20 million of cannabis sold annually, with sales above that amount subject to tax at the full rate. Similar to the reduced rates for alcohol producers, certain anti-abuse rules would limit the tax benefit only to products produced or substantially modified by the small producer, in order to limit the benefit received by large producers and to prevent a double-benefit.”
The legislation also lays out a structure for how marijuana businesses will be approved and regulated. For example, companies selling taxable marijuana products, or cannabis at the wholesale level, would require Treasury Department approval. Marijuana producers would further need to be registered with FDA.
A cannabis permit “may be denied or revoked if the premises is inadequate to prevent tax evasion or diversion, operation of the premises do not comply with federal or state law, or an applicant fails to disclose material information or makes a false statement,” the summary says. “In addition, a cannabis permit application may be denied if the applicant has been convicted of a disqualifying offense.”
“For these purposes, a disqualifying offense is a felony criminal offense that occurred after enactment of this Act and within the preceding three years related to cannabis diversion or cannabis tax evasion. An applicant may apply to the Cannabis Products Advisory Committee for a waiver with respect to a disqualifying offense if the Committee finds that the applicant has established sufficient evidence of mitigation or rehabilitation and fitness to maintain cannabis operations in compliance with state and federal law.”
FDA would have “authority over cannabis products in intrastate commerce,” the summary says. Under the agency, a new Center for Cannabis Products and a Cannabis Products Regulatory Advisory Committee would be created.
Cannabis products would not be regulated as dietary supplements, but the bill would “authorize manufacturers of cannabis products to make claims about the benefits of their products in the same manner that manufacturers of dietary supplements do today.”
It would, however, stipulate the FDA must create a regulatory pathway for CBD to be marketed as a dietary supplement.
The bill would further require “owners and operators of establishments that are engaged in the manufacture, preparation, compounding, or processing of a cannabis product to register their establishments with FDA upon first engaging in such activities and annually thereafter.” The agency would “issue regulations pertaining to distribution of cannabis products and good manufacturing practice.”
Another provision would mandate that FDA create a program to “expedite the development and review of applications for drugs containing cannabis that are manufactured by a small businesses owned and controlled by socially and economically disadvantaged individuals that operate in the cannabis industry.”
Under the legislation, the Treasury secretary would be compelled to establish a track-and-trace regime to prevent illicit distribution of cannabis products. And the official would also be mandated to start a program to facilitate “the lawful delivery of hemp that inadvertently exceeds the permissible THC limitations for hemp to a permitted cannabis enterprise for the proper processing of such products.”
The Consumer Product Safety Commission would be authorized to issue regulations setting standards for special packaging of cannabis products.
Federal law would be amended to explicitly state that SBA programs and services available to marijuana businesses and companies that work with them.
Although the bill does not specifically mention banking, its provisions ending the federal prohibition of marijuana would automatically remove any penalties that financial institutions currently potentially face as a result of working with licensed cannabis businesses because those operations would no longer be federally illegal.
Federal studies
The bill further directs the Government Accountability Office (GAO) to facilitate a number of studies into marijuana policy.
The office must conduct a “review of federal laws, regulations, and policies, to identify additional areas in need of change, including a study on replacing the term ‘marijuana’ and ‘marihuana’ with ‘cannabis’ through the U.S. Code and regulations,” the summary says. It must also study the demographics of those with federal cannabis convictions.
GAO would also have to evaluate the “societal impact of legalization” in states with recreational marijuana laws on the books.
Additionally, the Bureau of Labor Statistics (BLS) would need to compile demographic data on “business owners and employees in the cannabis industry.” Those figures could help inform social justice efforts, as there’s been widespread criticism of the industry over a lack of diversity despite advocates’ push for equity.
The U.S. Department of Health and Human Services (HHS) would be required to work with the National Institutes of Health (NIH) on ways to promote research into cannabis impacts. And meanwhile, HHS would be mandated to collaborate with the U.S. Department of Transportation (DOT) on data collection for marijuana-impaired driving while also supporting research into “an impairment standard for driving under the influence of cannabis.”
More details
The senators’ bill would establish a federal standard to make it so only those 21 and older can purchase recreational marijuana products. Each state that currently allows adult-use cannabis maintains that age restriction.
In order to reduce illegal diversion, the legislation would cap cannabis sales, stating that adults could only buy up to 10 ounces at a time.
Vaping delivery system products that contain added natural or artificial flavors would be banned under the proposal.
A newly created definition of “cannabis” would be created under federal law, but it would retain the exception for hemp that now exists.
The senators want feedback on the draft bill
Here’s an overview of some of the main points that the are seeking comment on:
-Measuring the potency of cannabis products, the overlap of definitions for hemp and marijuana, regulations for synthetic THC, regulatory responsibilities for various federal agencies and FDA funding.
-Coordinating federal and state law enforcement responsibilities for cannabis, state “primacy regarding cannabis regulation” and interstate commerce.
-Balancing efforts to reduce barriers to entry to the marijuana industry while mitigating the influence of illicit cannabis operators.
-Determining whether cannabis products should go through a premarket review before being marketed.
-How to deal with international treaty obligations with respect to marijuana.
Interested parties are encouraged to submit comments on these and other issues to Cannabis_Reform@finance.senate.gov by September 1.
The bill has been highly anticipated
Advocates have been anxiously awaiting this legislation, which Schumer has repeatedly said was coming “soon” after he, Wyden and Booker first pledged in February that it would be ready “in the early part of this year.”
Since then, the majority leader has been making the case for reform everywhere from the Senate floor on 4/20 to a cannabis rally in New York City.
The three senators formally started their efforts on the legalization bill by holding a meeting earlier this year with representatives from a variety of advocacy groups to gain feedback on the best approach to the reform.
Schumer made a point in March to say that it will specifically seek to restrict the ability of large alcohol and tobacco companies to overtake the industry. Instead, it will prioritize small businesses, particularly those owned by people from communities most impacted by prohibition, and focus on “justice, justice, justice—as well as freedom,” he said.
He also urged voters to reach out to their congressional representatives and tell them that “this is long overdue.”
Activists are encouraged by the introduction of the lengthy and detailed proposal.
“The days of federal prohibition are numbered,” NORML Executive Director Erik Altieri said in a press release. “These actions by Senate Majority Leader Schumer and Senators Booker and Wyden reflect the fact that the supermajority of Americans are demanding that Congress take action to end the cruel and senseless policy of federal prohibition.”
“It is time for legislators to comport federal law with the laws of the growing number of states that have legalized the plant, and it is time for lawmakers to facilitate a federal structure that allows for cannabis commerce so that responsible consumers can obtain high-quality, low-cost cannabis grown right here in America without fear of arrest and incarceration,” he said.
Shaleen Title, CEO of the Parabola Center, said that the bill’s filing “sends a clear signal to the states to keep making progress on cannabis policy.”
“We’re encouraged by the senators’ inclusive process and intend to join other equity advocates in offering ways for the federal government to protect and build on the states’ progress toward social justice in cannabis policy,” she said. “Millions of people fought for an end to prohibition. We see this as an opportunity to stop the arrests and to shape the national marketplace for legal marijuana to be open to all, not just a wealthy few.”
Meanwhile, a separate House bill to federally legalize marijuana and promote social equity in the industry was reintroduced in May.
The legislation, sponsored by Judiciary Committee Chairman Jerrold Nadler (D-NY), was filed with a number of changes compared to the version that was approved by the chamber last year.
The Marijuana Opportunity, Reinvestment and Expungement (MORE) Act passed the House but did not advance in the Senate under GOP control. But this time around, advocates are optimistic that the policy change could be enacted now that Democrats run both chambers and the White House, and as more states are moving to enact legalization.
President Joe Biden, however, is an outlier within the Democratic Party, maintaining an opposition to adult-use legalization despite the widespread and increasingly bipartisan public popularity of the reform. It remains to be seen whether the president—who campaigned on more modest pledges to decriminalize cannabis possession, expunge prior records and respect state legalization laws—would stand in the way of a comprehensive policy change by threatening to veto the bill that’s ultimately produced.
Wyden, who under the chamber’s new Democratic majority assumed the top spot on the Senate Finance Committee—where the new legislation is likely to be referred once formally introduced—recently said his goal will be to “end the prohibition and come up with sensible tax and regulatory oversight at the federal level.”
He said in February that “it’s not enough in my view to just end cannabis prohibition,” and “I think we need to restore the lives of people who’ve been hurt most by the failed war on drugs and especially black Americans.”
All three senators—Schumer, Wyden and Booker—have in past years introduced marijuana legalization bills that never got hearings or votes.
Separately, a proposal to federally deschedule marijuana that does not include social equity components was recently filed by a pair of Republican congressmen.
Read the full text of the new federal marijuana legalization bill below:
Cannabis Administration and… by Marijuana Moment
Photo courtesy of Mike Latimer.
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DON'T MISSCalifornia Bill To Legalize Psychedelics Possession Advances Again, With New Amendments That Add Limits
Kyle Jaeger
Kyle Jaeger is Marijuana Moment's Sacramento-based senior editor. His work has also appeared in High Times, VICE and attn.YOU MAY LIKE
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POLITICSCalifornia Bill To Legalize Psychedelics Possession Advances Again, With New Amendments That Add LimitsPublished 10 hours ago on July 13, 2021 By Kyle Jaeger
A second California Assembly committee on Tuesday approved a Senate-passed bill to legalize possession of psychedelics like psilocybin and and LSD. But new amendments that add limits on allowable amounts of the substances is creating controversy among advocates.
The Assembly Public Health Committee advanced the legislation, sponsored by Sen. Scott Wiener (D), in a 8-4 vote. This comes weeks after the Public Safety Committee approved the measure.
Wiener has spent significant energy building support for the reform proposal as it has moved through the full Senate and now two Assembly committees, including by holding a recent rally with military veterans, law enforcement and health officials.
SB 519 would remove criminal penalties for possessing numerous psychedelics—including psilocybin mushrooms, DMT, ibogaine, LSD and MDMA—for adults 21 and older.
“Our racist and failed war on drugs and war on drug policy approach has done nothing to make us safer,” Assemblymember Buffy Wicks (D), who presented the bill on behalf of Weiner, said ahead of the vote. “But it’s led to massive public expenditures, torn apart communities, deeply impacted brown and black communities and did nothing to make drug use safer or reduce overdoses. Indeed, the opposite is true.”
“It’s time we stopped this failed mass incarceration strategy and acknowledge that not all substances are harmful or dangerous,” she said. “In fact, quite the opposite has been found of psychedelics.”
Now, as a result of changes approved by the latest panel, the bill includes language laying out the limits for what is an allowable personal possession amount for each substance. That’s led Decriminalize Nature (DN), a group that’s worked to enact psychedelics reform across the country, to call for the tabling of the legislation.
“Setting allowable amounts is just a creative way to say when can law enforcement arrest you,” DN argued.
In a letter about its board’s recent decision to switch from a supportive position on the legislation to neutral, DN listed several reasons not to include the possession limits provision. Beyond enabling law enforcement to penalize people possessing certain amounts of entheogenic substances, it also said the measure has sacred value for communities who’ve used them for centuries and local decriminalization initiatives without possession limits have had “no negative impacts.”
But other advocates say they are taking a practical position on the revision, accepting the possession limits in the interest of advancing the reform through a legislature that may otherwise defeat the bill if it contained no such restrictions.
David Bronner, CEO of the soap company Dr. Bronner’s who has contributed considerable financial resources to reform efforts across the country, is one such advocate.
“As always, do we let the perfect be the enemy of the good?” he said in an email. “Senator Wiener is doing an amazing job for us, and we are able to preserve the essential goal that people can heal in ceremony together, and legally produce and consume quantities of the medicine adequate for community-based healing. And there’s nothing stopping local city level efforts that have no limiting language whatsoever.”
Bronner said that stakeholders discussed the changes extensively, and “Decriminalize Nature had full chance to input and review, and we all would have been beyond psyched if their eloquent defense of not having any limits whatsoever could convince the Health Committee chair, but it was unlikely and it hasn’t.”
As passed in committee on Tuesday, these are the prescribed limits for personal possession that would be legalized:
-2 grams of DMT
-15 grams of ibogaine
-0.01 grams of LSD
-4 grams of mescaline
-2 grams of the controlled substance psilocybin or 4 ounces of a plant or fungi containing the controlled substance psilocybin.
-2 grams of the controlled substance psilocyn or 4 ounces of a plant or fungi containing the controlled substance of psilocyn
-4 grams of MDMA.
“SB 519 still represents protection of community-based healing and the quantities of medicine involved, which is the crucial goal,” Bronner said.
Responding to accusations from DN that the possession limits are part of a plot to help “deep-pocketed investors” corner the market for psychedelics, Bronner said there are “no backroom deals going on and that “DN has been fully looped real time as we’ve been navigating this.”
While “social sharing” would have been allowed under the bill as introduced, those provisions were also reframed in the new committee amendment to provide for “facilitated or support use” so that people could provide the substances to one another in a group context.
The new amendment adopted on Tuesday also requires the state Department of Public Health to develop harm reduction education for the substances.
In the prior Assembly panel, Wiener supported a committee amendment that removed ketamine from the list of psychedelics included in the reform. That’s in addition to a series of technical revisions that were made to the legislation.
The full Senate approved the bill last month. It now heads to the Assembly Appropriations Committee as its final stop before potentially heading to the floor of that chamber. If approved there, it will have to go back to the Senate for concurrence on recent changes before it can be sent to the governor’s desk
Wiener has described its prospects going forward as “very challenging,” but he made the case at a recent press event that it is a necessary policy change to advance mental health reform and end criminalization.
Under the measure, the state Department of Public Health would be required to establish a working group “to study and make recommendations regarding possible regulatory systems that California could adopt to promote safe and equitable access to certain substances in permitted legal contexts.” Those recommendations would be due by January 1, 2024.
For psilocybin specifically, the legislation would repeal provisions in California statute that prohibit the cultivation or transportation of “any spores or mycelium capable of producing mushrooms or other material” that contain the psychoactive ingredient.
The bill originally included record sealing and resentencing provisions for people previously convicted of psychedelics possession offenses, but that language was removed in its last committee stop prior to the Senate floor vote as part of an amendment from the sponsor.
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Marijuana Moment is already tracking more than 1,100 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.
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Wiener said the reasoning behind that deletion was that the policy “ended up generating a huge price tag” based on a fiscal analysis, but it could be addressed in separate legislation if the main bill passes.
Speaking at an event hosted by the Psychedelic and Entheogen Academic Council (PEAC) last month, the senator said advancing the legislation would be first step toward decriminalizing all currently illicit drugs. He reiterated that point on Monday, stating that “this bill is one step in the direction of ending the failed war on drugs.”
While the bill is being described by lawmakers and advocates as simple “decriminalization,” the official legislative analysis of the proposal states that it would “make lawful” the personal possession of these substances.
If the bill does ultimately clear the Assembly, it still remains unclear whether Gov. Gavin Newsom (D) would sign it—though the governor has long been an outspoken critic of the war on drugs.
Wiener backed the prior ketamine-related amendment in an effort to build support for the legislation.
“There are disagreements within the psychedelic world on it,” the senator said at a meeting with activists last month. “My view as you keep things in until you have to make a give, and that’s one that we could potentially give on. You don’t want to spontaneously give on things without getting some ability to move the bill forward as a result.”
Mescaline, a psychoactive compound derived from peyote and other cacti, is another controversial psychedelic.
It was specifically excluded from the bill’s reform provisions in peyote-derived form, but the possession of the compound would be allowed if it comes from other plants such as “the Bolivian Torch Cactus, San Pedro Cactus, or Peruvian Torch Cactus.”
That decision on the peyote exclusion was informed by native groups who have strongly pushed back against decriminalizing the cacti for conservationist reasons and because of its sacred value for their communities.
Meanwhile, a group of California activists announced plans earlier this year to put an initiative to legalize the use and retail sale of psilocybin on the state’s 2022 ballot. That group, Decriminalize California, said that it would first work to convince lawmakers to pursue reform and then take the issue directly to the people if the legislature fails to act.
The psychedelics effort in the California legislature, which Wiener first previewed back in November, comes as activists are stepping up the push to enact psychedelics reform locally in cities in the state and across the country. The bill notes those efforts in an explanation of the proposal.
The Northampton, Massachusetts City Council passed a resolution in April to deprioritize enforcement of laws against the possession, use and distribution of a wide range of psychedelics such as psilocybin and ayahuasca. It’s the third city in the state to advance the policy change, following Somerville and Cambridge.
These are some of the latest iterations of a national psychedelics reform movement that’s spread rapidly since Denver became the first city to decriminalize psilocybin mushrooms in 2019.
Besides the cities in Massachusetts, four others—Oakland, Santa Cruz, Ann Arbor and Washington, D.C.—have also decriminalized possession of plant-and fungi-based psychedelics.
In Oregon, November’s election saw the passage of a historic initiatives to legalize psilocybin mushrooms for therapeutic purposes and more broadly decriminalize possession of all drugs.
The governor of Connecticut signed legislation recently that includes language requiring the state to carry out a study into the therapeutic potential of psilocybin mushrooms.
Texas also recently enacted a bill to require the state study the medical benefits of psychedelics for military veterans.
A New York lawmaker introduced a bill last month that would require the state to establish an institute to similarly research the medical value of psychedelics.
In Oakland, the first city where a city council voted to broadly deprioritize criminalization of entheogenic substances, lawmakers approved a follow-up resolution in December that calls for the policy change to be adopted statewide and for local jurisdictions to be allowed to permit healing ceremonies where people could use psychedelics.
After Ann Arbor legislators passed a decriminalization resolution last year, a county prosecutor recently announced that his office will not be pursuing charges over possessing entheogenic plants and fungi—“regardless of the amount at issue.”
The Aspen, Colorado City Council discussed the therapeutic potential of psychedelics like psilocybin and proposals to decriminalize such substances at a meeting in May. But members said, as it stands, enacting a reform would be more better handled at the state level while entheogens remain strictly federally controlled.
Seattle lawmakers also recently sent a letter to members of a local task force focused on the opioid overdose epidemic, imploring the group to investigate the therapeutic potential of psychedelics like ayahuasca and ibogaine in curbing addiction.
Photo courtesy of Wikimedia/Workman.
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CONTINUE READING POLITICSBiden Selects White House Drug Czar Who Helped Implement State Marijuana Program And Touted Medical BenefitsPublished 18 hours ago on July 13, 2021 By Kyle Jaeger
President Joe Biden nominated a White House drug czar who previously played a key role in overseeing the implementation and expansion of a state medical marijuana program. The official, whose confirmation is now pending by the Senate, has also publicly recognized both the therapeutic and economic potential of cannabis reform.
Rahul Gupta, the former chair of the West Virginia Medical Cannabis Advisory Board who also served as the lead on drug policy in Biden’s presidential transition team, is being selected to head the Office of National Drug Control Policy (ONDCP).
The ONDCP director, commonly known as “drug czar,” is explicitly required under statute to oppose efforts to legalize currently controlled substances.
Having someone fill that role who has repeatedly touted the medical value of marijuana—saying, for example, that it can “help citizens suffering from debilitating diseases like cancer”—and who has worked to institute a state-legal cannabis program that authorizes people to carry out activities that are in contravention of federal law is a departure from the norm for White House drug czars.
The Biden administration touted that fact that Gupta is a medical doctor and argued he can uniquely help lead the nation’s drug policy efforts amidst an overdose crisis.
“President Biden’s nomination of Dr. Rahul Gupta to be the first physician ever to lead the White House Office of National Drug Control Policy is another historic step in the Administration’s efforts to turn the tide of our nation’s addiction and overdose epidemic,” the White House told the Washington Post, which first reported on the impending nomination earlier on Tuesday. “Dr. Gupta brings firsthand experience as a medical doctor and public health official using evidence-based strategies to address the overdose epidemic in West Virginia. We hope he will be confirmed by the Senate soon.”
The drug policy publication Filter first reported in March that Gupta was the leading candidate for the ONDCP nomination.
Despite his warmness to medical cannabis, harm reduction advocates have been quick to criticize Gupta’s broader record, pointing out that, during his time as commissioner for the West Virginia Department of Health and Human Resources (DHHR) Bureau for Public Health, he oversaw the decertification of a syringe access program that was designed to mitigate the spread of diseases like HIV and offer resources to people with substance misuse disorders.
Prohibitionists had held out hope that the president would select someone whose views more closely align with their own, such as former Rep. Patrick Kennedy (D-RI), a cofounder of anti-legalization organization Smart Approaches To Marijuana (SAM), who had personally lobbied for the nomination.
Even so, they’re optimistic about Gupta and feel he will maintain the status quo, regardless of his state record on cannabis.
“Rahul has a strong public health background, but he also knows how to work with law enforcement and other stakeholders,” Kevin Sabet, president of SAM, said in response to news of the nomination. “He has a record of convening different constituencies, which will serve him well in this role. It’s a strong selection.”
A spokesperson for the group added in a comment to Marijuana Moment that they “fully expect him to share the President’s opposition to legalization.”
Gupta’s views on adult-use legalization are not clear, but he was proactive in promoting patient access to medical cannabis before leaving the state government to join the nonprofit March of Dimes, which is focused on public health issues related to mothers and children.
Rusty Williams, who served as a patient advocate on the West Virginia medical marijuana board alongside Gupta, told Marijuana Moment in an earlier interview that he once had a personal conversation with the official about the origins of marijuana prohibition. He said that the then-chair broached the topic of why marijuana was criminalized in the first place, and then agreed that federal officials intended to use prohibition as a tool to oppress communities of color.
Gupta was “willing to make things happen a year early,” Williams said at the time, referring to the issuance of the board’s report on the state medical cannabis program. “I was encouraged with the conversation that he and I had about the roots of prohibition.”
In 2018, the West Virginia medical marijuana board released a report that included series of recommendations on the state program. Led by Gupta, the body advised that patients should have access to marijuana in flower form for “administration by vaporization or nebulization”—something that was not initially allowed in the program as approved by lawmakers.
When it comes to smoking that raw plant material, Gupta noted, that patients “can combust themselves if they want, but that’s not what we’re advocating or recommending.”
The report also called for the removal of “limitations on the number of permits the Bureau for Public Health may issue for growers, processors, and dispensaries,” as well as the removal of “the limitation that a grower or processor may not also be a dispensary to permit the vertical integration of growers, processors and dispensaries.”
When medical marijuana legalization was approved by the West Virginia legislature in 2017, Gupta said that, like most people, he was “surprised.”
“It’s an understatement,” he said at the time. “However, what we have in front of us today is a law as it stands in an attempt to compassionately address a number of disorders with chronic pain at the heart of it.”
When members of the state medical cannabis advisory board were appointed, the official said the panel will help facilitate “a transparent and accountable process critical to ensuring a comprehensive system that will help citizens suffering from debilitating diseases like cancer.”
“I am fully committed to making this particular piece of legislation successful,” he said of the medical marijuana legalization bill. “This bill was put together very quickly and, obviously, no bill is perfect. We certainly discussed the shortcomings, but that doesn’t mean the program won’t be successful and be on track.”
“We want to do it because lives are at stake. They are depending on the program to be successful,” he added. “Many people are in chronic pain. We want to take on that challenge.”
Gupta said that the board had received feedback from a range of stakeholders interested in the implementation of the cannabis program, but they’d also “received calls from people who are suffering who want to have some sort of relief. They are asking when they can get their patient ID card and go to their doctors to get certification.”
“The human side of it—you can’t ignore that piece,” he also said. “Science explains some of it, but not all of it.” He went on to say that there is a potential economic benefit to legalize for medical use, noting that “rarely are there policies enacted that are win-win,” and if done right, “you can actually get a true win-win on this.”
But Gupta isn’t necessarily a fan of marijuana use for everyone. In 2019, he teamed up with then-Surgeon General Jerome Adams on a public education campaign meant to warn against the use of cannabis during pregnancy and adolescence.
“March of Dimes applauds today’s release of the US Surgeon General’s Advisory on the dangers of marijuana use during pregnancy for both mom and baby,” he said. “The evidence clearly shows that no amount of marijuana has been proven safe to use during pregnancy or while breastfeeding. Unfortunately, this message is not resonating with all expecting women and maternity care providers, and marijuana use among pregnant women has doubled between 2002 and 2017.”
Gupta has also periodically posted on social media about marijuana policy developments, such as the enactment of regulations for Colorado’s marijuana program and a 2010 report that more teens were smoking cannabis than tobacco.
Part of the reason that advocates are monitoring each of Biden’s nominations is because skepticism prevails about how his administration will approach cannabis policy considering that the president remains opposed to legalization, and so each development sheds light on what to expect in the coming years.
Attorney General Merrick Garland made clear during his oral and written testimony before the Senate, for example, that he does not feel the Justice Department should use its resources to go after people acting in compliance with state marijuana laws. He reiterated the point in May.
Photo courtesy of WeedPornDaily.
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CONTINUE READING POLITICSNearly 88,000 New Jersey Marijuana Cases Vacated Or Dismissed This Month Following Decriminalization ImplementationPublished 19 hours ago on July 13, 2021 By Kyle Jaeger
The New Jersey Judiciary on Monday announced that it has vacated or dismissed nearly 88,000 marijuana cases since July 1, when a decriminalization law took effect that mandated the relief for people who have been caught up in prohibition enforcement.
In a press release, the courts said these are just the first of about 360,000 cannabis cases that are eligible to be automatically vacated, dismissed and expunged. The expungement component of the process will happen “in the coming months.”
The action comes after Supreme Court Chief Justice Stuart Rabner issued an order at the beginning of the month that also makes it so certain pending marijuana cases must be dismissed, and failure to appear warrants must be rescinded.
The judiciary said in a press release that cannabis-related violations of probation or pretrial monitoring will also be vacated, and driver’s license suspensions or revocations for failure to appear for marijuana charges will be rescinded.
Further, a new electronic system will be created to allow judiciary staff to provide certification of expungements to members of the public who want to verify whether their records have been cleared.
This comes month after Gov. Phil Murphy (D) signed companion marijuana legalization and decriminalization bills. The legislature was required to pass the former measure after voters approved a reform referendum during the November 2020 election.
Eligible cases for expungements include the sale or possession of up to an ounce of cannabis, possessing drug paraphernalia and being under the influence of marijuana. People with such convictions who aren’t automatically identified by the court system can petition directly for relief.
New Jersey’s attorney general has separately been proactive about cannabis reform implementation since the legalization bill was enacted.
The day after Murphy signed the legalization legislation, Attorney General Gurbir Grewal (D) directed prosecutors to drop cases for cannabis-related offenses and issued separate guidance for police on how to proceed under the updated laws.
The attorney general also encouraged prosecutorial discretion for marijuana cases in earlier memos prior to the bill’s signing.
At the same time, Grewal has taken steps to ensure that people aren’t exploiting provisions of the legalization law before retail sales launch.
Last month, he sent warning letters to companies that were effectively circumventing the state’s marijuana laws by “gifting” cannabis in exchange for non-marijuana-related purchases such as overpriced cookies, brownies and stickers.
Gifting is lawful between adults 21 and older under New Jersey’s adult-use cannabis law, but a number of businesses have allegedly taken advantage of that policy by giving away “free” cannabis products to those who purchase other items like snacks and baked goods.
No retail marijuana businesses have been licensed since the state enacted recreational legalization earlier this year. Licensing regulations still need to be developed before adult-use shops can open.
Photo elements courtesy of rawpixel and Philip Steffan.
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Schumer’s Pot Bill Said to Open Up Banking, Stock Exchanges
BY TIFFANY KARY
July 13, 2021, 4:49 PM
Schumer bill to take marijuana off list of controlled drugs
Person familiar with talks says drug tests an ongoing issue
A new Senate bill to legalize marijuana would let cannabis companies use banking services and trade on major stock exchanges, according to a person involved in negotiations on the legislation, a potentially dramatic breakthrough for an industry long stymied by federal restrictions.
The sweeping new legislation, a draft of which Senate Democrats plan to release Wednesday, would also direct some tax revenue from marijuana sales to minority communities, which faced disproportionate arrests for marijuana possession, keep some federal drug testing provisions, and give the U.S. Food and Drug Administration oversight of cannabis regulation, the person said.
Past proposals to legalize ...
@todd_harrison : “*SCHUMER BILL TO TAKE MARIJUANA OFF LIST OF CONTROLLED DRUGS
*SCHUMER’S POT BILL SAID TO OPEN UP BANKING, STOCK EXCHANGES
*SCHUMER BILL CALLS FOR FDA TO REGULATE CANNABIS
*POT BILL DIRECTS TAX REVENUE TO THOSE HARMED BY ARRESTS”
Cannabis reform? It's the right time for full federal legalization to help economy and people
Politicians are finally realizing what the public has known for years: Legalizing cannabis can positively support our economy, communities, and people
NICK KOVACEVICH | OPINION CONTRIBUTOR | 5:30 am EDT July 1, 2021
Here’s what you need to know about the future of marijuana legalization in the United States, from its racist beginnings to today.
JUST THE FAQS, USA TODAY
With the Democrats in full control of Congress and the White House, the odds for real cannabis reform, such as full federal legalization, have never been higher. For years, cannabis has delivered a strong track record of creating jobs, tax revenue, and restorative justice in communities disproportionately affected by the War on Drugs. It’s also been hugely popular with the American people, where more than 91% of adults are in favor of legalizing cannabis for either medical or adult recreational use.
And yet, despite all this, there has hardly been any momentum at the federal level to legalize cannabis – until now, that is.
President Joe Biden has openly stated that he supports decriminalization and the legalization of medical cannabis.
He reaffirmed the former at a town hall earlier this year where he stated that “no one should go to jail for the use of a drug,” especially as it relates to addressing racial disparities in the enforcement of drugs. And he’s not the only one.
Legislators promote cannabis reform
In the lower chamber of Congress, U.S. House Judiciary Chair Jerry Nadler recently reintroduced a social justice-focused cannabis legalization bill, known as the MORE Act.
Senate Majority Leader Chuck Schumer has voiced his support for major cannabis reform, including decriminalizing possession, expunging criminal records, and reinvesting in the communities hardest hit by the failed War on Drugs.
He has been working closely with Democrat Sens. Cory Booker and Ron Wyden to introduce a more comprehensive cannabis reform bill that would end cannabis prohibition and promote social justice, similar to the MORE Act.
USA TODAY'S Opinion newsletter: Get the day's best insights in your inbox.
Workers trim cannabis plants in Richmond, Va., on June 17, 2021.
Workers trim cannabis plants in Richmond, Va., on June 17, 2021.
STEVE HELBER, AP
“I’m a big fighter for racial justice, and the marijuana laws have been one of the biggest examples of racial injustice, and so to change them makes sense,” said Schumer. “And that fits in with all of the movement now to bring equality in the policing, in economics and in everything else. Our bill is, in a certain sense, at the nexus of racial justice, individual freedom, and states’ rights.”
When you look at the numbers and the people affected by this failed War on Drugs, it’s hard not to argue why cannabis should be legalized.
Alexander Soros: Nixon's war on drugs has failed for half a century. It’s time to end it
According to the Last Prisoner Project, a non-profit organization dedicated to cannabis criminal justice reform:
15.7 million people were arrested for cannabis offenses in the last decade.
$47 billion is being spent annually on the War on Drugs.
$10.4 billion were generated in legal cannabis sales in 2018 in the U.S.
New Jersey police, for example, have filed more than 6,000 charges for minor cannabis possession in the three months since nearly 3 million voters approved the legalization of cannabis on November 3, 2020. That’s right – after voters have legalized it and despite the fact that lawmakers and Gov. Phil Murphy, a Democrat, have been working hard to create and implement a framework for a legal industry.
The state spends, on average, $143 million annually to enforce cannabis prohibition, and it’s not only a poor use of resources, but it also exacerbates the negative impacts this “war” has already caused.
efforts legalize marijuana help blacks, Latinos hurt most war drugs
View | 7 Photos
efforts legalize marijuana help blacks, Latinos hurt most war drugs
Not only are we wrongly imprisoning tens of thousands of people a year – who are convicted of an activity that is no longer a crime – but we are also spending billions of dollars trying to enforce an antiquated movement that has disproportionately affected communities of color, and no longer represents the views of the overwhelming majority of American people.
Justice for victims of War on Drugs
I have been working in the legal cannabis industry for more than a decade and my company, KushCo Holdings, stands to benefit from legalization. However, despite whatever financial benefit that may exist, our greatest goal is justice for those impacted by this failed War on Drugs, which has mostly disenfranchised people of color.
For pure racial and social justice alone, cannabis should be federally legalized – and soon. Republicans had a crucial chance to make things right under the Trump administration, but chose not to promote justice, despite Republican congressmen David Joyce and Don Young introducing a bill that would legalize cannabis federally in a manner similar to alcohol. While the effort was seen by some cannabis policy experts as an encouraging step forward, it woefully lacks any meaningful social justice provision.
Brittany Barnett: Release people incarcerated under draconian marijuana laws
Man cutting marijuana in field
Man cutting marijuana in field
GETTY IMAGES
This leaves President Biden and the new Democrat-controlled Congress to clean up decades worth of bad policy and serious injustice.
But legalizing cannabis isn’t all about ending injustice.
Given the devastating economic damage COVID-19 has caused – and is continuing to cause – state and federal budgets have been decimated, unemployment remains high, and our economy is in need of a massive catalyst to accelerate the road to recovery. Even obstinate opponents of cannabis cannot deny the industry’s profoundly positive impact on the U.S. economy, having employed 321,000 Americans in 2021, and generating more than $3 billion in tax revenue in 2020 alone.
States and localities are clearly benefiting on all social and economic fronts, and it’s time we move forward with cannabis.
Overall, there has never been a more critical time to legalize cannabis federally, as we recover from a damaging pandemic, while proactively addressing some of the social unrest that has afflicted our nation in recent months. The numbers speak for themselves, but more importantly, it’s just the right thing to do. Fortunately, more politicians are finally coming around to realizing and accepting what virtually the entire American public has known for years now: Legalizing cannabis can positively support our economy, communities, and people
https://amp.usatoday.com/amp/7773894002?__twitter_impression=true
Tilray Just Reached A Major Inflection Point In Its European Operations
STOCKS Jul 8, 2021 • 6:35 AM EDT
2 MIN READ • BY MICHAEL BERGER
2021 has been a banner year for the legal international medical cannabis market and several major markets have passed legislation that supports the industry.
Tilray, Inc. (Nasdaq: TLRY) (TSX: TLRY) is a global pioneer in cannabis research, cultivation, production and distribution, and is an operator that we are bullish on. Earlier this year, Tilray completed a merger with Aphria, Inc., a leading Canadian and international cannabis company, and we are bullish on the growth prospects of the combined company.
Earlier this week, Tilray’s wholly owned German subsidiary, Aphria RX GmbH, reported an important milestone and completed the first successful harvest of medical cannabis that was cultivated in Germany and will be distributed to German pharmacies.
The reason why the completion of the medical cannabis harvest is significant is because it’s the first to be cultivated under European Good Manufacturing Practices (EU GMP) standards at Tilray’s state-of-the-art 6,000 square meter indoor growing facility in Germany.
The harvest was distributed by a firm on behalf of the German Cannabis Agency and was completed in accordance with all pharmaceutical and narcotic legal requirements. The development underscores Tilray’s strong foothold and operational excellence in the German cannabis market and we find this to be an important milestone for the business.
In 2017, Germany’s Cannabis as Medicines Act was passed, and the country has relied exclusively on imports to satisfy demand. Tilray believes there are more than 100,000 medical cannabis patients in Germany, and we expect this number to significantly increase over the next few years.
Tilray’s ongoing domestic harvest and production will play an important role in ensuring that demand from patients is satisfied. The company’s German facility should reduce the country’s overall dependence on cannabis that is being imported and expect the market to serve as a major revenue generator for the business.
Tilray plans to leverage its strong medical platform and its multi-faceted international operation, which combines in-country cultivation, importation, and large distribution infrastructure, to increase access and availability to premium medical cannabis for European patients.
Tilray’s achievement in Germany serves as a strong affirmation that the business is competitively differentiated by scale and by execution skills. As a result, the company is poised to transform the industry globally with its highly scalable footprint, portfolio of diverse medical cannabis brands, and compelling products that respond to a wide range of patient and consumer needs.
We believe that Tilray is executing on a multi-national and are bullish on the growth prospects that are associated with it. If you are interested in learning more about Tilray, please send an email to support@technical420.com with the subject “Tilray” to be added to our distribution list.
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Funman: Could be a bad day...one concern I have, will they be able to merge, if our shares ar too low? Will the other company be ok with that share price...
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Final Trades: Louisiana Pacific, Tilray & more.. https://www.cnbc.com/video/2021/06/30/final-trades-louisiana-pacific-tilray-more.html
Tailwinds to boost Canadian cannabis companies in coming months- Cantor
Tailwinds to boost Canadian cannabis companies in coming months- Cantor
Seeking Alpha - Jonathan M Block, SA News Editor • 39m
• Store re-openings after lockdowns and the need to rebuild inventories are among the tailwinds that will be benefit Canadian cannabis names in the …
Read more on seekingalpha.com
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Ford says second-quarter earnings will 'surpass expectations'
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Great interview: Tilray, Inc. (TLRY) CEO Irwin Simon Presents at Oppenheimer 21st Annual Consumer Growth and E-Commerce Conference (Transcript)
Jun. 15, 2021 3:28 PM ETTilray, Inc. (TLRY)1 Comment
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Tilray, Inc. (NASDAQ:TLRY) Oppenheimer 21st Annual Consumer Growth and E-Commerce Conference June 15, 2021 11:35 AM ET
Company Participants
Irwin Simon - Chairman and CEO
Carl Merton - CFO
Conference Call Participants
Rupesh Parikh - Oppenheimer
Rupesh Parikh
Good morning to everyone. Thank you for attending Oppenheimer’s 21st Annual Consumer Conference. My name is Rupesh Parikh. I'm the senior food grocery and consumer product analyst at Oppenheimer. I'm happy to introduce our next presenting company Tilray. We're excited to have joining us today Chairman and CEO, Irwin Simon; and CFO, Carl Merton. Thank you both for being here. So first off, I just want to say congratulations on the completion of the Aphria Tilray merger.
For those who are not familiar with the company, Tilray is a leading global cannabis lifestyle CPG company that cultivates, processes, markets and sells medical and adult use cannabis, cannabis derived extracts and derivative cannabis products in Canada and globally. The company recently completed its merger with Aphria medic. The combined company has operations in Canada, US, Europe and Latin America. In addition, the company manufacturers, markets and sells alcoholic beverages in the US. The cannabis has been in challenge, challenge for all players as we’ve seen over time but we're getting optimistic that Tilray is better positioned towards a more profitable future and could emerge as one of the bigger winners in the space longer term.
So format, today’s session will be a fireside chat. So let’s get started. So I first want to begin with a few questions on the current environment. So first as we look at the current backdrop, clearly, there are still challenges related to coronavirus in some of your markets, can you remind us of what is currently happening on the ground and the potential impacts on Tilray?
Irwin Simon
Good morning. Good afternoon, Rupesh and great to see you again. Listen, coronavirus you know, has absolutely hurt us during this pandemic as it has a lot of companies. During you know the early part last March as consumers stayed home absolutely were enjoying cannabis. Came the fall this year, the Canadian government did close the cannabis stores in Canada, which allowed you only two buy products either curbside or online, which again, prohibits consumers from going in the store, do shopping, see the products, et cetera. So with that, absolutely that affected us. At the same time in our European markets, stores were closed, drug stores were closed and having our CC Pharma business which distribute medicines to drug stores and that affected this year. In regards to our SweetWater on-premise closed down. But listen, that's in the rear view mirror. The world continues to open up, as I sit here and watch the news and mass are going away opening up to 100% in California, I think there's tremendous pent up demand in Canada. So looking forward, I see a lot of great opportunities for us.
Rupesh Parikh
So if you look at coronavirus impacts in Canada, like are they fully reopened, or maybe you can just share with us what's currently happening on the ground?
Irwin Simon
So since Carl is sitting in Canada today, you and I are not, I'm going to let the Canadian expert. And even though I’m Canadian, I couldn't go to Canada for part of this twos, I would have quarantined for two weeks and live in a hotel or whatever. But Carl, you want to tell us exactly what's going on on the ground right now in Canada?
Carl Merton
Yes. So in the biggest market that we have in Ontario, the province has started a phased reopening, that started on Friday of last week. Consumer stores can open back up and they can have about 10% capacity in the store at any one time. And so we're starting to see some positive steps in Ontario. If you move to Alberta or BC, those provinces are in the same process of a phased reopening. There are about a week ahead of Ontario and so they had their initial openings one week before. And they're just getting to the point where next week they are going to start moving into phase two of the reopenings. Phase two of the reopenins allows a few more activities to occur but really for -- in terms of cannabis, it lets you have more people in the store at one time.
Rupesh Parikh
Okay. Great. So I guess as we think about your business, so it sound like to there’s still some headwinds out there right now that maybe they can linger a bit more into the summer. But then hopefully by the fall, at least on your business we move past on these coronovirus headwinds. Is that a fair way of looking at it?
Irwin Simon
Yes, that is actually the case, Rupesh. And listen, we’ve worked all the different boards and our social media to help with those that went to retail and were able to either order online and those were able to order curbside. And there was a big number, I feel that we were affected during the year, because the store has been closed. But like I said with the combination of Tilray and Aphria, once things get back to normal, stores open, we're going to be aggressive as there from regards to the way we communicate to our consumers. We're going to be aggressive on new products and innovation getting out there. And the good news is this here, Rupesh, there's a lot of licenses that were handed out that they didn't -- the stores didn't open until this was behind them. So now I think the number is like 660 stores that are in Ontario today. And the big job that we have to do is educate consumers why cannabis is beneficial for them and the benefits of it, and from a medical standpoint and from an adult use standpoint.
Rupesh Parikh
Okay. Great. So switching to a few industry question. So on Canada, how do you see teams either longer term development and potentially Canadian market? And then what do you believe are the key factors that are needed to drive a healthier more profitable backdrop for leading players?
Irwin Simon
So number one, combined share now with Tilray and Aphria is about 16%,17%. And with that, how we're going to drive growth, drive share? My objective is I'd like to get to a 30% share. And again, it’s like when you've covered me once before, how do I build out our brands, it’s our RIFF brand, our Solei brand, our Good Supply, our Bingo, our Broken Coast, our Marley brand. And that's what we have to do is build out brands, number one, that consumers trust, know they've gone through regulatory, know they've gone through quality control, and they're buying a product that they know is safe and they're seeing the benefits from us. So that's number one. Number two, in regards to products and innovation is something that we’ll continuously do. And that is from cannabis 2.0 in regards to edibles and gummies, and drinks, which we did not have much of a market share in that. Number three is our medical business in regards to our value added on our medical business and we just introduced the product last week.
And last but not least is how are we that low cost producer and that is the big thing where we got to get our costs well underneath dollar out there and from a production standpoint. And again, what I said is this here Canada's had handcuffs on in regards to the way you could market to consumers. Listen, it's important and never ever forget the safety of the products and making sure you communicate that. But it's also very important that you're able to communicate to them and educate them about the products and the benefits of cannabis. And that's something that we have to do. Canada is a $9 billion market at retail. So it's still a pretty big market. And there's no reason that a billion dollar site for us is not something that's not achievable.
Rupesh Parikh
Great, that’s helpful color. And then switching topics just to consolidation. So clearly, we've seen a number of players besides [tourists] being active on the M&A front lately. Where it is further M&A consolidation rank as a buyer for the company and then how do you feel Tilray is positioned versus some of the pending acquisitions out there, whether Canopy, Supreme or HEXO in the multiple acquisitions that they have pending right now?
Irwin Simon
So listen, I think, when I got to Aphria the first and foremost was to foot up the foundation of what Aphria was, and we were a Canadian LP with real major grow facilities and [Indiscernible], and we had our brands. And that was what my objective was to strengthen our growth, to strengthen our brands, to strengthen our balance sheet, get rid of businesses that were cash drains and ultimately, we're losing money for us. We did that and then we went out to look at what is the right strategic partner for us. So we went through an exercise to look at what made sense for us. And Tilray made sense for us, because they were asset light in Canada and have the ability to bring their grow into our facilities. They had the great asset in Europe in regards to their Portugal facility, very strong and medical there and much stronger than Aphria was.
In regards to cannabis 2.0, they did have with beverage line, they did have with edible line, which we didn't. And last but not least, there was about $80 million US in synergies and savings as you bring these companies together. So with that, as I looked at it what was the best for us? It ultimately, looked at Tilray being the best for us. Now listen, I think everybody else realized consolidation is key. And I think there will be some more calls consolidation. I think from a Canadian standpoint right now, the most important thing for us is to integrate Tilray and to get those cost savings, drive down our costs. And as you know, I like cash and being cash flow positive is something that we ultimately got to continuously drive within the new Tilray.
Rupesh Parikh
Okay, great. So staying up that Tilray after your combination. So a few more questions for me. So how has the transition process gone thus far, has there been any major surprises or challenges that you'd call out?
Irwin Simon
So if I sat here today and said, no, there's no one out there. And you know I've done over 55 acquisitions at [Indiscernible], there's no one out there that has not got surprises as you peel back the onion, and both good and bad. Listen, as I said before, there's lots of heavy lifting to do. I think, we're happy with a lot of the things we see within Tilray. We're happy with some of the share they've been able to achieve in the Quebec market, and very happy with the Portugal facility. But with that, I am very fortunate to have a real good team of both Aphria employees and Tilray employees that make up a great team for the new Tilray. I have a very good board. We have a strong balance sheet. We're all over these cost savings pretty quickly. We've already achieved a pretty good number so far. We're probably a little bit ahead of plan. But things happen out there that you could fall backwards. But we're in a good place in regards to moving things. And I'm a big believer, as you move quick on these things, not let things linger. So yes, there has been surprises both ways. But I like what we see and where we're going out there. Carl, you want to add anything?
Carl Merton
I think you've nailed it. Anyone who suggests that you go through these processes and they're not heavy lifts or that things happen seamlessly, they're just not telling you what's really going on. That being said, there's been a lot of hard work to get us to this point. There's a lot of hard work still to go. We're very focused on achieving the synergies and getting the two entities fully integrated. And we've got the right team to do it.
Rupesh Parikh
Okay. Great. And then this is -- I mean, this is something, as I look at the industry and just seeing all the consolidation out there. When you acquire someone, right, and you combine the shares, it's not always easy to maintain that share during integration process. So in this case, I think you've said 16% share that you guys have right now with Tilray after you’re combined. What's your confidence to be able to sustain and grow that share during the integration process?
Carl Merton
Listen, that's a great question. Because you're bringing together organizations, you're bringing together marketing groups, you're bringing together brands that were popular in certain provinces and not the other. And that lists from publicly and said, I'd like to be able to be at 30% share. But what we got to do is what I've said before is we got to aggressively get out there and make sure that -- and there's -- the interesting thing is it’s here. There’s a lot of smaller guys out there that are trying to steal share from us, okay? So it's not only the bigger ones, the cannabis, the Auroras’ and HEXO’s, it's some of the smaller ones. So that is where we got to have the good boots on the street. We got to have brands that can resonate and we got to go out there and educate consumers about our brands.
And I go back and say to again refer back to the old consumer packaged goods companies, you can’t stack them behind and just think they're going to fly off the shelf. There's a lot of consumers out there today that need education. There's a lot of consumer be brought up to awareness of the potency in regards to the different flower, in regards to the different pre rolls out there, certain decisions on vapes, on price, et cetera. So you got to go back and react pretty quickly. And as the stores open, we have some pretty aggressive strategic plans in place of how we're going to do it, both on new products, social media, getting products out there, getting a pipeline filled again. The other big thing is working with the liquor control boards to make sure they have the right inventory, the right mix and everything to get caught back up, because a lot of these stores, as you said, have been closed to consumers since last November.
Rupesh Parikh
That’s helpful. And just on the [Indiscernible]. So obviously, I watch you’re here and you guys -- and your M&A. Consistently on your synergy targets there. So here obviously a more difficult competitive backdrop and maybe even a more difficult integration. What gives you confidence of being able to deliver on the synergy targets that you led out? And at this point, any insight whether that could be conservative in terms of the target or is it too early to say?
Irwin Simon
So I'll take it for a second and then I'll turn it to Carl, because he's the keeper of that. So what we did is we hired a third party to help us with this year. And again, we have a plan line by line what our people, what our facilities, what our COGS, what our duplications in public company costs, et cetera. So with that, we have every Tuesday at 4 o'clock we have a call and we go through it line by line where we at, why we're getting it or why we're not getting it, to make sure that we're on top of it. So listen, I think there is more there, but some things could fall away. So right now, we're committed to the $80 million or $81 million, a CAD100 million Canadian and still feel very good about it. Carl, you want to add anything?
Carl Merton
I think, it's important to note that you've committed to the $80 million and that you're going to have things that you thought you were going to achieve that you ultimately don't achieve but you find something else through the process. One of the other important pieces of the $80nmillion is it’s only [cost] synergies and it doesn't currently reflect any of the revenue synergies that we think are out there. And the most obvious one that -- it's going to take us about six months to put it into place. But one of the most obvious revenue synergies is taking CC Pharma to be the distributor for the product that Tilray used to be paying the third party for. And so now you're taking a product that you used to sell at the LP’s selling price and you're now selling them at distributor’s price to the pharmacy. And so you've picked up more of that value chain and you'll actually be able to drive our revenue number as a result. All of those types of things, the cannabis 2.0 products that Irwin talked about earlier in terms of beverages, gummies and chocolates, and those things that Aphria was not involved in previously that we can now go into, those are all revenue synergies. And we didn't drive the number up over the longer term but not part of that $81 million.
Rupesh Parikh
That’s helpful color. And then my last question on this topic, with the recent merger, how do you guys feel about your pre-auction footprint today? Do you believe the company is now right sized to capitalize on the development within the Canadian market without having too many write-downs or too much supply at this point?
Irwin Simon
So if you look at our footprint today and what our capabilities are for the Canadian market, when it's fully developed, I'm very, very comfortable with what we have, right? If you go back to where we were a year ago at this time and where the Canadian market was, obviously, that footprint is bigger than is necessary. And we made some changes in and took some production offline to adjust for that. Now that we bring Tilray into the equation and we start closing their cultivation facilities and we leverage it through the Aphria footprint, we can bring some of that back online. And so what I think is most important is we have the capacity without the need to add more capability and more CapEx as the market grows and we can flex down on when necessary and flex back up again when necessary.
Rupesh Parikh
Okay, great. So now switching to some other topics I was hoping to , starting with cannabis 2.0. Can you remind us of key parts of your cannabis 2.0 product offering? What has been the biggest surprise thus far and then which categories do you believe hold the most potential longer term?
Irwin Simon
So cannabis 2.0 so far for us, vapes have been a major home run for us. And we've sold well over $100 plus million in vapes, and I think that will continue to be a major product line for us. And the rest of cannabis 2.0, I think tremendous, tremendous opportunities in edibles and gummies, and drinks and with our self aligned with SweetWater that will help us tremendously there. Listen, I come back and I say this year in regards to flower, flower will continue to be one of the biggest product lines out there. Flower is a great margin product. The number that we’re selling in pre-rolls it’s within millions every quarter there. So I think pre-rolls will continue to be a big part of our portfolio, as we’ve gone the different waxes and hashish and stuff like that, we’ll absolutely. And the other big thing for us will continuously be topicals, or oils, or products in regards to the medical aspect of it and Symbios which we just introduced last week in regards to arthritis are key is a product that we see has tremendous potential. Carl, anything?
Carl Merton
It's not really 2.0, but also the recent introduction of our high potency CBD oils. I think it provides a more diverse offering to all the consumers.
Rupesh Parikh
Okay, that’s helpful. And I don't know if this is something you guys have disclosed. What percent of your mix is cannabis 2.0 right now, and how do you expect this to change in coming quarters?
Carl Merton
So in the last few quarters, we've been just a little bit below 20% in terms of 2.0 products and really the only 2.0 product Aphria had was vapor, was the predominant one. The majority of the product was flower, and pre-rolls and oils, which we classify as 1.0. I think that has a significant opportunity to expand though as we take advantage and leverage Tilray's capabilities, gummies, beverage. We just introduced, as Irwin said, all of the wax products and the concentrates. And so we're going to see that number grow significantly.
Rupesh Parikh
And is cannabis 2.0, do you envision it as being a higher margin business down the road than flower, or how do you guys think about the economic of 2.0?
Irwin Simon
Yes, I think it is, particularly as you get into formats where the cannabis is measured really in milliliters, in milligrams, right, as that product ends up having a higher average selling price.
Rupesh Parikh
Okay. So next topic I wanted to discuss is the SweetWater US craft to your business? Is there anything you can share on the business specifically and how it's performed during the pandemic and versus your expectations? And then really I guess my main focus is what are the bigger opportunities you see with the SweetWater business in the US?
Irwin Simon
So SweetWater, like a lot of other craft breweries in regards on-premise, was weak, because restaurants and bars were closed. And a big part of SweetWater’s business is in on-premise business. I mean a big part -- a good part of it is but we picked up a lot of business as consumers. But here in our Oasis, which was about to sell so we also introduced a lot of new products, our [Hazy] product, ultimately was something that has done a great job, our Oasis product, which it was about to sell through. So we picked up a lot of that business in regards to retail that we lost during -- being restaurants and that were closed. The opportunity there is extension of the brand, which we'll continue to do and we've come up with a lot of new products.
The other big part there is distribution and going into more and more states is what we're doing, we're in 26, 27 states and right now, our plan is to go into 30 states. SweetWater is a very profitable business. And with that is growing that business with new products, growing that business in regards to expansion and distribution in the US. And last but not least, we're working on lots of interesting stuff in the CBD area. We're working on stuff in regards to tequila mixes, wine spicier mixes, wine in a can, et cetera. So there's a lot of stuff we're working on on new and innovation there.
Rupesh Parikh
And then going forward, I'm not sure how much you can share here. But is there anything you can share in terms of top-line growth rates and margin profile of the SweetWater business going forward?
Irwin Simon
I'm not sure that we can now. I think we've given margins of their, Carl. But listen, I'd like to grow this business in the mid single-digits and that's something we're looking to do. And again, from a margin it’s one of our highest margin business, it’s very, very high margin business and especially within the draft area, there's over 50% margins in that area. And I got to tell you, SweetWater is probably one of the most efficient craft breweries in the US today. When you go to that factory, you walk through the fact that, you got to go looking for people and they produce a lot of products. So it was a great acquisition. I'm very happy with it. And there's lots of opportunities there for us to really grow that business.
Rupesh Parikh
Great. So switching to another topic, it’s clearly on a lot of people's mind. What are your thoughts on the timeline for potentially US cannabis [legalization] down the road?
Irwin Simon
I wish I could just look into this crystal ball right now and give you an answer. I think there's couple, Rupesh, ways to look at it. Will there be legislation in regards to the safe bank that, will -- in regards to the scheduling, will medical cannabis should be legalized and they leave it up to each of the states. So I think over the next couple years, if we don't see anything, and the house changes to republican or the senate does, I think then we may have some issues. But I come back and look at Tilray today, we have a strong business in Canada, we have a strong business in Europe. I think you may see some European countries ultimately legalized, like Portugal, ultimately, Middle East, Israel, could legalize now with the new regime in place there, Poland, et cetera. And if not, what we're going to continue to do in the US, we're going to look at types of options we could have if it made sense for us, like Cronos did yesterday but with companies that really make sense, or we're going to do other acquisitions in the US, similar to a SweetWater, or Manitoba Harvest that ultimately will parlay into cannabis once legalization does happen. But I hate, as you asking this question, when it's something that's not in your hands and it's a guessing game, and it's the politicians that are deciding it, it's frustrating to be in that position. And again, if you come back and look at SweetWater and then Manitoba Harvest, together, they're $100 million plus businesses, and both of them are quite profitable and could be parlayed into THC drinks, CBD drinks, CBD food, et cetera. So is there businesses out there similar to that, that we would do that with.
Rupesh Parikh
That's helpful prospective. Yes. Clearly, I mean, that's our challenge to figure this all out. So I guess just taking a step back and looking at the global cannabis backdrop beyond the pandemic. What would you say right now storage with longer term, where you guys see the most attractive areas of opportunity? You did mention Europe and obviously, US is on your radar. But where do you prioritize -- what's most exciting to you guys as you look out on the global cannabis out there?
Irwin Simon
So number one, listen, if I can pick up in 10 to 12 percentage points in Canada, that's worth a lot, out of $9 billion retail sales. So that's number one. Number two is expanding throughout European countries where medical cannabis legalizes, big opportunity there. If one of these countries adult use legalize, which I think will happen in the next year or so, I see a big opportunity there. And then the last but not least is finding another SweetWater, another Manitoba Harvest that ultimately brings revenue, EBITDA and income to our bottom line. The other thing we look at, Rupesh, is this year where does it make sense for us to align yourself with strategic partners, where they're into a certain category and we can do something together, not necessarily for their money or investment but more for the knowledge, and R&D< and technology in categories.
Rupesh Parikh
Okay. And then within Europe, at least from our seat, there's obviously, Germany, UK, there's so much going on here, but it's hard to say where the greatest opportunity is. As you look at Europe, I mean, what countries are you guys most excited about? Obviously, Germany is on everyone's list. But where do you see the most potential for your business?
Irwin Simon
So Germany, one of the biggest populations. Portugal, we have we have a big facility in Portugal. Poland, we see opportunities there. Deutschland, which we feel, you know, opportunity is there. We think even though it's not a large country, Israel, where a major percentage of population today where medical cannabis is legal there. Listen, I don't think you're going to see some of these other countries legalize. But I think there will be continuously where countries will legalize from a medical standpoint. The other place is South America. You have 600 million people in South America. And again, not so much from the legalization of adult use but we have a foothold into Argentina, into Colombia and we see some opportunities there. We’ve shipped some CBD oils into China more from an online business. We also see opportunities eventually in India. And today in India THC is used in a lot of medicines. It's not legal, it's not illegal. So I think there's some big opportunities there going into those countries.
Rupesh Parikh
Okay, great. That's helpful color. And now I'd like to wrap up with just a few remaining questions. So longer term targets. Is there anything else you can share as a longer term opportunity for Tilray as you see it? I know you mentioned the 30% market share in Canada. Is there anything else publicly that you guys have started to think about the opportunity for Tilray?
Irwin Simon
What I've said is this year, step back. I want to be the consumer packaged goods, CPG company that's built around cannabis and cannabis derivative products, whether it's adult use, whether it's medical, whether it's drinks, whether it's edibles, et cetera, and built around brands and brands that consumers trust. So that's number one. Number two, I want us to be growing organically EBITDA positive, cash flow positive. And, with that look at other opportunities for us and acquisitions that can ultimately complement our products lines once legalization happens. It’s a hundred billion dollar category but there's a lot of heavy lifting to do. Rupesh, it's no different than I had to do in 1993 and educate consumers about natural organic foods and healthy eating. What are the benefits of cannabis? No one has ever died overdosing of cannabis as it led to other drugs, I don’t have the research on that. But I think again, it's educating consumers to get them out there to try cannabis and the benefits for them.
Rupesh Parikh
Okay., that's great. And then maybe just one final question. So clearly, we're seeing your team as well as others, including Canopy and HEXO acquiring other buyers lately and building a more diverse portfolio of brands. So I'm just curious given your experience at hand, how do you see the eventual evolution of cannabis brands at retail, do you expect to maybe see I don't know a few brands down the road similar to maybe in tobacco? Just any thoughts on how you see the landscape for cannabis evolving just given your background over the years.
Irwin Simon
I think it depends. And as that goes similar towards alcohol and I think it's going to be important, if there is CBD drinks or THC drinks, will you be able to go into a 7-Eleven, will you be able to go into the Exxon station and buy it, will you be able to go in there and buy pre rolls in those. Ultimately, that's what's going to get the volume. But I do potentially see down the road that happening. But I think with anything, it’s convincing politicians it’s convincing everybody that cannabis is not a drug that has all the effects that everybody thinks it does. I think there is lot of benefits to it. Last night, Carl and I did a Reddit and there is an oncologist on there and he talked about how he prescribes the first patients, we know how you prescribe it for epilepsy, for pain, for sleep. So again, there is a lot of education that has to be done around cannabis.
Rupesh Parikh
Okay, great. Well, thanks Irwin and Carl for joining us today. And best of luck for the balance of the year.
Irwin Simon
Thank you, Rupesh and really good to see you again. And thank you.
Carl Merton
Thanks for seeing us today, Rupesh.
Rupesh Parikh
Thanks, Carl. Bye.
Question-and-Answer Session
End of Q&A
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Tom Smithson
Today, 6:54 PM
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Watch TLRY the next few days, the hedge fund short sellers are going to get slaughtered!!
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THEY ARE UP TO SOMETHING BIG IMO
Tilray at the Oppenheimer 21st Annual Consumer Growth and E-Commerce Conference
Jun 15, 2021 at 11:35 AM ED
Tilray (TLRY) PT Raised to $23 at Cowen
June 15, 2021 8:21 AM
Cowen analyst Vivien Azer raised the price target on Tilray (NASDAQ: TLRY) to $23.00 (from $20.00) ...
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Tilray (TLRY.TO)(TLRY) chief financial officer Carl Merton says he expects a "nice one-time COVID pickup" for his company and the legal cannabis sector at large as Canada's most populous province emerges from pandemic lockdowns.
Merton, an executive with Aphria prior to its recent combination with Tilray, pointed to COVID-19 restrictions in Ontario. He says lockdown measures have prevented more than 100 newly-opened pot shops from allowing their first customer through their doors as stores rely on click-and-collect and delivery. That lack of face-to-face contact with budtenders, he says, has reduced impulse purchases and steered consumers towards less profitable, value-priced products.
COVID-19's impact has been felt across the sector, ranging from shutdowns at cultivation facilities to delayed new product listings. In April, Aphria said provincial measures to control the spread of the virus were more impactful than the company expected, resulting in smaller orders from provincial wholesalers and $5 million in product returns.
"We have been in hard lockdowns since November in Ontario, the most populous province in Canada, and the province that has the highest amount of revenue going through the cannabis space," he told a virtual audience at the Stifel Cross Sector Insight Conference on Tuesday. "That's a real headwind-type experience for our business."
Ontario will enter the first stage of its reopening plan on Friday, allowing cannabis retail stores to open for in-person sales for the first time in months. Merton expects the change will have a positive impact that will flow through retailers to licensed producers (LPs) within weeks.
"As people start returning to stores, you're going to see demand start to increase. The retailer will be a little bit slow in their initial orders. They don't want to get stuck with a lot of inventory coming out of COVID," he said.
"That will then filter out to the [provincial] control boards, and they'll run through a bit of their inventory before they order. Then you will start to see a tailwind for the LPs. I see that happening in the month to six-week period after that initial reopening."
According to Statistics Canada, Canadians spent $298.1 million on legal recreational cannabis in March, a 13.8 per cent increase from $263 million spent in February.
Merton describes the sales growth trend as "stunted during the COVID period." He says he expects Ontario's reopening to positively impact Tilray's fiscal first-quarter 2022 financial results.
https://ca.finance.yahoo.com/news/tilray-cfo-calls-for-nice-one-time-covid-pickup-for-pot-sales-amid-reopening-160731272.html
Ontario, coming out of lockdowm, huge news
50mm shares and half the day left.
@todd_harrison: *NFL SAYS IT WILL SPEND $1 MILLION TO FUND CANNABIS RESEARCH
*NFL SAYS STUDY ON MARIJUANA SAFETY NEEDED FOR ATHLETES
*NFL SAYS MORE OPIOID ALTERNATIVES FOR PAIN NEEDED
BubbainSC: a growing 9B market cap monster being lead by former Hain Celestial Group CEO (20+ years). Like buying Anheuser Busch right before the end of probation…or Netflix at $20