Lp,s are doomed!
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No reason to be more valuable than potatoes.
It,s artificial and it cannot survive.
Prices are dropping monthly as lpes are overgrown.
Doomed!!!
And when the US turns on refer, share prices will jump.
Until folks realize the market was allready oversaturated...lol
Cannabis prices will drop and drop until they pop.
You,ll be back to square one, i.e. : RED
Legacy market has been around too long.
THEY OWN THIS MARKET!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
They,ve got it down capitalist style and make a good living.
Add to the mix many passionate folks like Awesomesound and bonito who take immense pleasure at overgrowing the refer madness government.
Stock market weed growers are doomed!
Home / News by State / California
Small Humboldt County cannabis farmers go direct to consumers
November 14, 2022
Bonno
Hear from Berner (Cookies), Nancy Whiteman (Wana Brands), Sandra Bergman (Schwazze) and other top cannabis industry leaders and learn their strategies for establishing a successful cannabis brand at MJBizConLegacy in Las Vegas (Nov. 15-18).
Efforts by small cannabis farmers in California’s famed Emerald Triangle to reach consumers directly is gaining traction in the market.
Humboldt Family Farms on Monday announced the launch of a line of hand-curated, sun-grown marijuana products from legacy craft farmers in Humboldt County available through home delivery.
“Our network of dedicated farmers has made a huge impact on this fast-growing category over generations,” Scott Vasterling, founder of Humboldt Family Farms, said in a news release.
The line of premium flower, vape cartridges and pre-rolls highlight specific cannabinoids and terpene profiles for each product.
Appellation programs, farming cooperatives and co-branding partnerships between growers and distributors have helped some legacy farmers in Humboldt, Mendocino and Trinity counties build their brands and businesses amid a challenging economic environment in California.
Over the past few years, California marijuana cultivators have been stung on a variety of fronts, including depressed wholesale prices, rising costs, severe drought, business failures and a continued lack of retail access across wide swaths of the state.
In response, several farmers have told MJBizDaily they’ve had to fallow their land, or not grow crops, while others have chosen to let their licenses expire.
They pass go but can,t collect.
Growing bunk = no money to be made.
North America cannabis market is flooded.
Nowhere to go but down.
The black market strangled California's legal weed industry. Now it's coming for New York.
Lax enforcement has allowed illicit sales to flourish — with little incentive to go mainstream.
A vendor sells marijuana.
New York legalized adult-use marijuana more than a year ago but is yet to issue a single dispensary license. The result has been a weed free-for-all. | Richard Vogel/AP Photo
NEW YORK — Inside a Brooklyn smoke shop, past rows of bongs and other paraphernalia, a display case is piled high with legal hemp and CBD — but a store employee has some advice.
“That’s not the stuff you want,” he confides to a reporter who had been wordlessly eyeing the display.
Unprompted, the worker reaches behind the counter — but not before idly musing, “you look like a cop” — and produces a plastic shopping bag containing what he says are genuine marijuana gummies, imported from California.
“I can sell you mushrooms, too,” he adds.
It’s become a familiar scene in New York City. The state legalized adult-use marijuana more than a year ago but is yet to issue a single dispensary license. The result has been a weed free-for-all: Cannabis seems to be for sale everywhere — head shops, bodegas, even from folding tables on street corners. Some dealers brazenly sell in public, and many boast their products were grown in California.
The outcome is not unlike what happened when California legalized marijuana. Six years later, illegal sellers and growers continue to thrive there. Despite those struggles, New York leaders decided to take a gentle approach with anyone selling without a license. Now, an industry expected to generate more than 20,000 new jobs and a $4.2 billion market by 2027 could stumble on arrival as it competes with the booming black market.
Already, some legitimate companies that were planning major investments are heading for the hills.
“Everybody seems to be selling cannabis, and until there’s enforcement, there’s really no concern of a penalty.”
Owen Martinetti, Cannabis Association of New York
“Everybody seems to be selling cannabis, and until there’s enforcement, there’s really no concern of a penalty,” said Owen Martinetti of the Cannabis Association of New York, who is personally calling for stronger civil enforcement. “If there’s already competition and it’s not enforced, it kinda begs the question, are [the regulated stores] really set up for success?”
Blindsided
When New York became the 15th state to legalize cannabis last year, lawmakers saw an opportunity to reverse past wrongs. They expunged certain marijuana-related criminal records and offered priority on marijuana business licenses to “justice-involved people” with prior weed convictions.
Against that backdrop, lawmakers hesitated to throw the book at those now caught selling cannabis without a license and gave hazy enforcement instructions to the state’s Office of Cannabis Management.
“Since we didn’t think this was going to happen, we didn’t put anything in the bill that gave OCM and the police departments very clear-cut rules of the road to close them down,” said state Sen. Liz Krueger, a sponsor of the bill to legalize recreational cannabis.
Krueger believes police already have the right to seize illegal products and shutter offending shops. New York Mayor Eric Adams, a fellow Democrat, didn’t appear to share that viewpoint, however.
Mayor Eric Adams speaks.
“A police officer can’t just walk in and conduct an apprehension, or an arrest, or confiscate the item — there’s a process,” New York Mayor Eric Adams, a former police officer, said. | Brittainy Newman/AP Photo
“A police officer can’t just walk in and conduct an apprehension, or an arrest, or confiscate the item — there’s a process,” he said last month. Adams, a retired police captain, urged New Yorkers to notify police about illegal shops and said he plans to lobby the state Legislature in January for greater clarity on what the NYPD and New York City Sheriff’s Office can do.
City Hall spokesperson Kayla Mamelak said Adams has clearly articulated that illegal businesses will not be tolerated.
“Multiple agencies — on both the city and state level — are coordinating closely to ensure compliance and equity in the emerging cannabis market,” she said in a statement. “The New York City Department of Finance’s Sheriff’s Office has conducted hundreds of business inspections so far this year to ensure compliance with all applicable laws. During the course of such inspections, thousands of products deemed to be contraband have been seized and criminal and civil penalties have been imposed when appropriate. We will continue to work collaboratively with all our partners to ensure compliance with all laws affecting the public safety of New Yorkers.”
Earlier this year, a bill stalled in Albany that would have strengthened penalties for illicit cannabis sales and clarified the OCM’s role in enforcement. Some lawmakers were concerned that the measure established new criminal penalties.
Many stores selling unregulated cannabis products are already licensed to sell alcohol, tobacco and lottery tickets. Governments could revoke offending stores’ licenses,” said Assembly Majority Leader Crystal Peoples-Stokes, but “we have not sought to do that at all.”
In August, Adams confiscated 19 trucks that were illegally selling cannabis. The alleged violation: Selling edibles and other food products without proper city Health Department permits.
Some smaller municipalities in other parts of the state have shut down stores, and the cannabis management office sent cease-and-desist letters to 52 retailers statewide earlier this year.
‘Set up to fail’
But the recent enforcement push may not be enough to blunt the illegal market’s impact, especially with the first regulated stores planned to open in the coming months.
“I think we’re already approaching the point of no return,” said an executive at a medical and adult-use cannabis company with operations in New York who requested their name be withheld because regulatory negotiations are ongoing. If lawmakers don’t contain the issue by next year, “the first set of dispensaries will have been set up to fail, and the state will either have to spend money bailing them out or we will see people turning in their licenses.”
In a statement, OCM spokesperson Aaron Ghitelman said the agency has maintained “an open line of communications with law enforcement and other government entities across the state” since it was created, adding it was committed to investigating and shutting down unlicensed shops.
“From the Town of Cheektowaga to the City of New York, OCM and law enforcement agencies have effectively stopped illicit activity throughout the state,” he said. “This activity has included the seizure of products, the issuance of cease-and-desist letters, and removal of trucks used for the illicit sale of cannabis. … These illicit shops undermine our Office’s mission, and the equitable market we’re building, and we will continue to enforce the laws on the books to end their operations.”
Further complicating matters, New York consumers have become accustomed to the illicit market, and the state needs to persuade them to switch over to regulated weed if it wants the legal industry to succeed.
Illicit shops can sell at significantly lower prices. They don’t pay taxes and licensing fees, and their wares are often sourced from states with cheaper production costs.
“Speaking as just one sponsor of the original bill, I am totally open to reevaluating how we tax, what formulas we use and how we calculate it” if current rates prove overly burdensome to legal operators, Krueger said.
The California-New York cannabis pipeline is “very old and very well established,” according to Amanda Reiman, chief knowledge officer at cannabis intelligence company New Frontier Data.
California’s black market undermined its own legal industry. Six years out from the state’s vote to legalize recreational marijuana, illegal sales have far outpaced the regulated market, and many operators have closed up shop. High taxes, local government opposition and competition from the underground market have stifled the success of the legal cannabis industry in the nation’s most populous state.
“We have not been successful in California getting people to adopt the regulated market in any large way.”
Amanda Reiman, chief knowledge officer at cannabis intelligence company New Frontier Data.
“We have not been successful in California getting people to adopt the regulated market in any large way,” Reiman said.
New York may experience a honeymoon period as the novelty of legal dispensaries pulls in consumers. But industry members worry long-term success will falter.
Time running out
The sooner legal dispensaries are established, the easier it will be to shut down unlicensed businesses, according to Peoples-Stokes, who added that she has “no desire to criminalize people for products that we made legal and didn’t put regulations in place.”
Meanwhile, New York has lost major cannabis investments. In August, Ascend Wellness scrapped a $73 million bid to acquire a New York company’s medical licenses, citing, among other issues, concerns over the state’s establishment of the recreational market and insufficient policing of the illicit market.
“It’s eroding trust, not only from investors, but also [longtime illegal] operators” who the state should be encouraging to go mainstream, the industry insider said. “They’re not sure that the state is going to help them succeed if they make that transition.”
If the industry sours, legal operators are “going to be putting a lot of pressure — politically and otherwise — on politicians,” said Robert DiPisa, co-chair of the Cannabis Law Group at law firm Cole Schotz P.C.
“If you’re not going to play by the rules, there has to be some sort of penalty,” Martinetti said. “If we’re going to spend money on a license and pay taxes and invest money and build these businesses, then there has to be a pull — there has to be a reason … and that’s got to be the concern of being challenged by the state.”
Medical Cannabis Use by Rheumatology Patients According to Inflammatory versus Non-Inflammatory Condition
kevin boehnke1, Tristin Smith1, Ying He1, Bonno, marc martel2, david williams1 and Mary-Ann Fitzcharles3, 1University of Michigan, Ann Arbor, MI, 2McGill University, Montréal-Ouest, Canada, 3McGill University, Montréal, QC, Canada
Meeting: ACR Convergence 2022
Keywords: pain, Therapy, complementary
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SESSION INFORMATION
Date: Saturday, November 12, 2022
Session Title: Abstracts: Exemplary Interprofessional Research
Session Type: Abstract Session
Session Time: 4:30PM-6:00PM
Background/Purpose: Persistent pain and poor sleep are common symptoms experienced by patients with rheumatic diseases. Medical cannabis (MC) may offer symptomatic relief and is increasingly accessible to patients. Recent recreational cannabis legalization in many United State (US) states and Canada has opened this access gateway for patients who may be using MC with physician oversight or by self-administration. Improved understanding of the current MC culture will facilitate empathetic patient centered care. The objective of this survey was to characterize MC use amongst rheumatology patients in the US and Canada and to understand demographic and clinical differences between those with inflammatory versus non inflammatory rheumatic conditions.
Methods: Partnering with the Arthritis Foundation (US) and the Arthritis Society (Canada), we investigated MC use by persons self reporting a rheumatic condition via an online anonymous survey. We categorized 797 survey participants who currently use MC for symptom treatment as having an inflammatory (n=441) or non-inflammatory (n=356) rheumatic condition. Excluded were those under 18, residing outside the US or Canada, not fluent in English or French, without a rheumatic condition, who failed to provide consent or did not complete the survey. Symptom burden was assessed using the 2011 Fibromyalgia diagnostic criteria and the PROMIS Global Health (v1.2) instrument, with physical and mental health scores converted to respective t-scores for analysis. Symptom change was assessed using a 7-point Likert scale ranging from very much worse to very much better. R (version 4.1.1) was used for statistical analyses.
Results: Participants were predominantly white females, with some education beyond high school, and about 1/3 were employed (Table 1). Both groups reported high symptom burden with the inflammatory group reporting higher FM scores (p< 0.0001) and lower PROMIS physical (p< 0.0001) and mental health (p=0.0011) scores despite being younger on average (p< 0.0001) (Table 1). Both groups reported moderate symptom relief across all domains, with greater improvements in joint stiffness and global health for the inflammatory group compared to the non-inflammatory group (Figure 1, p< 0.05). Respondents also reported substantial medication substitution across prescription drug classes related to MC use (Figure 2). Notably, over half of participants who used opioids (51.9%), SNRIs (64.0%), SSRIs (68.0%), gabapentinoids (67.3%), and sleeping pills (69.4%) reported discontinuing these medications entirely as a result of MC substitute. No significant differences were observed between the two groups within any of these prescription medication classes.
Conclusion: High symptom burden is likely a driver for MC use by persons with both inflammatory and non-inflammatory rheumatic conditions. The substantial symptom relief and reported reduction or discontinuation of prescribed symptomatic treatments warrants formal study.
Supporting image 1
Table 1: Demographic and clinical characteristics of medicinal cannabis users by diagnosed condition: Current use classified as individuals who currently use medicinal cannabis to manage pain or other symptoms. Differences between diagnosis group were assessed using Chi-square tests for categorical variables and t-tests for continuous variables. Higher values for FM scores are indicative of more severe fibromyalgia symptoms, whereas higher PROMIS scores demonstrate greater physical and mental health.
Supporting image 2
Supporting image 3
Disclosures: k. boehnke, Tryp therapeutics; T. Smith, None; Y. He, None; m. martel, Sant cannabis; d. williams, Swing therapeutics; M. Fitzcharles, None.
To cite this abstract in AMA style:
boehnke k, Smith T, He Y, martel m, williams d, Fitzcharles M. Medical Cannabis Use by Rheumatology Patients According to Inflammatory versus Non-Inflammatory Condition [abstract]. Arthritis Rheumatol. 2022; 74 (suppl 9). https://acrabstracts.org/abstract/medical-cannabis-use-by-rheumatology-patients-according-to-inflammatory-versus-non-inflammatory-condition/. Accessed November 13, 2022.
© COPYRIGHT 2022 AMERICAN COLLEGE OF RHEUMATOLOGY
These greedy should have known better...
2 dudes knew all along that stock market bunk Ponzi was a dud...
Awesomesound & Bonno.
But you prefered to listen to canna naive Linton.
They took you for a spin.
Health Canada wants to end medical cannabismedicinal
HEALTH CANADA WANTS TO END MEDICAL CANNABIS
CALEB MCMILLAN·NOVEMBER 11, 2022
LET HEALTH CANADA KNOW WHAT YOU THINK BY TAKING THE SURVEY HERE.
Health Canada wants to end medical cannabis in Canada. They’ve opened up a survey for Canadians to input their opinions. But as is usually the case with these things, the decisions have already been made.
“They’ve always been disingenuous when they put these sorts of surveys out,” says Ted Smith, long-time cannabis activist and contributor to Cannabis Digest. “They’ve really got their minds made up in the position they’re going.”
Medical cannabis patients have a constitutional right to reasonable access. But that doesn’t entail a separate medical program or even the ability to have your cannabis reimbursed through an insurance company.
“The government doesn’t have to do what’s best,” says Ted, “They only have to meet their minimum constitutional standards.”
And with recreational legalization here, Health Canada will likely end medical cannabis.
“I know for certain that Health Canada and their lawyers have been preparing for years to argue that now there’s no need for a distinct medical program,” says Ted.
WHY DOES HEALTH CANADA WANT TO END MEDICAL CANNABIS?
Health Canada Wants to End Medical Cannabis
Since the 1990s, medical cannabis patients have been fighting for their rights. A court decision forced Health Canada to set up a medical cannabis program in 2001.
However, they never approved it as a drug. Doctors only authorize medical cannabis. They don’t prescribe it.
Ted Smith is sure that Health Canada will put medical cannabis under the Natural Health Products Act.
“So if you want to sell something as a cannabis medicine,” says Ted, “you have to go through some testing and be able to say that it’s good for sleep or anxiety. And then you’ll be able to sell it as a cannabis health product. But it won’t be a prescription drug. It’ll be available for anyone over the counter and won’t be available through insurance anymore.”
But why? What’s Health Canada have against medical cannabis? It’s not so much cannabis they don’t like, according to Ted Smith, as it is dealing with patients and their licences.
“They’ve had multiple problems with the whole program,” says Ted. “Partly because it’s been poorly designed from the beginning.”
“From the beginnings of the creation of the MMAR they have said, ‘oh yeah we’re going to listen to members of the public’ but they didn’t create medical stores, didn’t allow for edibles, they didn’t really listen to anybody except the people they wanted to,” says Ted.
HOW HEALTH CANADA WILL END MEDICAL CANNABIS
Health Canada Wants to End Medical Cannabis
How will Health Canada end medical cannabis? By appealing to the recreational market. When Health Canada attempted to remove patient gardens in 2013 with the MMPR, patients responded with the Allard injunction.
The courts sided with patients because, at the time, the medical cannabis market couldn’t provide reasonable access.
“When the Allard decision was made,” says Ted, “patients weren’t getting the strains they needed, they couldn’t get them at the prices they wanted. It was something that was pre-legalization.”
“Now, patients have access to all the strains. They have access to inexpensive cannabis now too compared to what was available. The prices in the legal system are continuing to drop. Not so much for edibles yet, but certainly for the dry herb.”
Ted is confident Health Canada is moving to eliminate the program, which means no more MMAR growers. Since legalization permits four plants per household, the courts may rule that it’s good enough for patients.
Ted also expects legalization rules to change to accommodate patients, but only incremental, superficial changes. Like eight plants instead of four, or 20mg edibles instead of being capped at 10mg.
On a scale of one to ten, how likely will Canadians lose their medical cannabis program?
“I’d say right now the chances are nine,” says Ted. “Because of the general public and the people who have licenses don’t realize how serious of a threat this is.”
WHAT EVIDENCE SUPPORTS HEALTH CANADA?
Health Canada Wants to End Medical Cannabis
“Most of the public and most cannabis consumers have no idea that this is what is in the works,” says Ted. Many medical cannabis patients don’t even realize their gardens are being threatened (again).
And why would the recreational cannabis industry care about Health Canada wanting to end medical cannabis?
“They want the medical program gone too,” says Ted. “They don’t want to give people discounts, they don’t want to answer questions about medical use and do all the extra paper work for medical, they just want to plug stuff out the door fast.”
But you can be sure every police agency, municipality, prescription drug company, and busybody organization knows what’s happening.
“They’re doing everything they can to put evidence forward that Health Canada will be able to then use later in court.”
Medical cannabis patients may have a right to the security of the person. But Health Canada will argue that having a separate medical cannabis program won’t be in the public interest.
“And that’s when all this other evidence that Health Canada is now collecting will be put in play,” says Ted.
So instead of Health Canada’s lawyers doing the legwork, Health Canada “just put a huge net out there and said, ‘hey everybody let us know how you think about this.'”
But in fact, “they’re really just going to be collecting evidence from within the bureaucracy that wants to shut it down.”
WHAT CAN WE DO?
VCBC meets Health Canada
What can we do to ensure Health Canada doesn’t end the medical cannabis program? As mentioned, the survey is more about paying lip service than anything substantial.
That said, it is crucial to let Health Canada know thousands of us are unhappy about this.
The survey wraps up on November 21st, but a week before (November 14th), Ted Smith and associates will make their answers public on Cannabis Digest.
“We want people to see all of our arguments and cut and paste from that and let Health Canada know what’s going on,” says Ted.
“For us, if there’s no medical marijuana program, there are no medical marijuana stores,” which means no more Victoria Cannabis Buyers Club, which has helped countless patients over the years.
Unfortunately, none of this is surprising. When Health Canada receives 90% of its funding from pharmaceutical interests, there will be a conflict of interest.
Ted Smith has long expected how Health Canada wants to end medical cannabis. “We kind have thought they might have done that around the Smith decision,” he says.
But there is good news.
“Many of us that were behind Allard are already ready to go to court after this,” says Ted. “There’s a lot of veterans still here that I’ve been networking with across the country. And so if they do attempt to take away our rights again, there’ll be an injunction applied for it and we’ll go from there.”
Although Ted admits, “it’s going to be a lot more difficult than it was the first time.”
LET HEALTH CANADA KNOW WHAT YOU THINK BY TAKING THE SURVEY HERE.
FOOTNOTE(S)
https://cannabisdigest.ca/recreational-market-ready-to-dismantle-medical-cannabis-market/
https://cannabisdigest.ca/health-canada-and-doctors-fight-against-med-pot-program/
https://www.canada.ca/en/health-canada/programs/engaging-cannabis-legalization-regulation-canada-taking-stock-progress.html
https://datac.ca/health-canada-switches-mainly-pharmaceutical-funding/
It has been recalled. Mold city. Doomed.
Ho yes, Cramer is a great bunk stock market cannabis expert.
He knows this canna market well but he has a bad haircut.
Dude was big on Crappy Growth.
He is now big on Tilray.
Shows he does,nt have a clue.
Lpees are doomed go.
We knew that all along without any research.
Lol.
With cannabis, the proof is in the pudding.
Easy cheesy!
That explains it well... Lol
?????????? ????????????????????
@BryanPassifiume
OCS is featuring some of their new drops coming out at the end of this month, and their edible selection looks revolting.
I’m not sure why they think this is what people want. With Canada’s THC limit on edibles, all you’d end up with is maple syrup with an odd aftertaste
Australia,s warning from the man who knows better.
Shareholders don’t have a clue.
Easy… Cannabis ignorance.
Read : lpees don’t know what they are doing.
Bunk stays on the shelves or get destroyed.
Lpees are not users.
Heads purchase from heads who grow and actually use refer.
After all these years? Can,t make a penny??
Move over and let Jimmy take over these canna naive losers.
Doomed.
Like Tilray, these newbs will pop in Germany.
Only a matter of time before they go down like Tilray did.
Growing cannabis at scale equals poor quality and recalls.
Lol..
https://www.businesswire.com/news/home/20221108005705/en/Akanda-Announces-Arrival-of-First-Shipment-and-Sales-of-Medical-Cannabis-to-Germany
That is all they can do until they go down in flames
We don’t need his permission.
We simply overgrow this old fart.
Croptober is here big time.
Poor Lpees bunk...
Home / Cultivation
Cannabis growers report bumper harvest amid overproduction, low prices
Bonno
November 7, 2022
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Learn from top cannabis industry business leaders including Berner (Cookies), Nancy Whiteman (Wana Brands), Chris Walsh (MJBiz) and many more at MJBizCon in Las Vegas (Nov. 15-18). Register to attend.
Image of cannabis that's ready to be harvested
Add the best outdoor marijuana crop in years to an already flooded market, and it’s like taking sand to the beach.
Cannabis cultivators across the United States and Canada are reporting this year’s fall harvest – known in the industry as “croptober” – produced a stellar crop of DANK thanks to favorable growing conditions and little to no adverse weather events.
That might sound good on the surface.
But with growers in states such as California, Colorado, Michigan, Washington and Canada already seeing rock-bottom wholesale prices, a flood of cheaper, outdoor-grown flower hitting the market in the coming months could push prices even lower.
“That was actually one of the cleanest air-quality years we’ve had. There’s going to be a lot of really good pot out there,” said Jeremy Moberg, a cannabis grower in Washington state.
“Probably going to add to the overproduction problems and woes that you’re hearing a lot about.”
Limited wildfire impact, no early freezes and warm days well into October all led to optimal growing conditions across the country.
“It’s been phenomenal,” said Van McConnon, a cannabis consultant based in Boulder, Colorado.
“As good as any harvest we’ve had in the last 10 years.”
One silver lining for growers in states such as California and Colorado is that the continuous low prices have caused some larger cultivators to opt out of planting and instead leave their fields fallow this year, reducing competition somewhat.
MJBizDaily spoke with cultivators and industry analysts in Michigan, Colorado, California, Washington state, New Mexico,Vermont and Canada to see how the fall harvest shaped up.
Here’s what they said.
Michigan
Michigan might not be the first state people think of when it comes to outdoor-grown cannabis, but that would be an oversight.
The state has more than a million sun-grown plants tagged in the seed-to-sale tracking platform Metrc, according to John McLeod, co-founder and head of markets at Cloud Cannabis Co., a vertically integrated marijuana company based in Troy, Michigan.
Growing conditions this year have been ideal for outdoor cannabis, he added. No natural disasters or extreme weather events to disrupt the harvest.
“Michigan has been able to do that very nicely. We have really good water. We have a really good summer grow season. “It’s pretty ideal weather for outdoor cultivation here.”
Yet prices for that sun-grown flower are on the lower end of the spectrum, according to McLeod.
And while this year has been a good growing year, that many plants being harvested for such low prices might lead some outdoor growers to scale back their production next year, he added.
“You might see (growers) that say, ‘Hey, look, growing a whole season outdoor and only getting $100 or $200 per pound, it really doesn’t average out at the end of the day,'” McLeod said.
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Colorado
In past years, outdoor growers in southern Colorado have encountered early September freezes and snowstorms that caused millions of dollars in crop loss.
Other parts of the state have had to contend with wildfires and hailstorms.
But that largely hasn’t happened this year. Warm temperatures carried into October, and growers reported favorable conditions.
A strong crop means a lot of supply.
But McConnon said some of the larger outdoor farms with dozens of acres in production decided not to plant this year, so the smaller grows might have an opportunity to find buyers.
The smaller and midsize growers have also reduced capacity as prices have fallen.
“The wholesale market has just fallen through the floor,” McConnon said.
“I’ve never seen and, frankly, never anticipated prices like this.”
In July, for example, the wholesale price of cannabis flower in Colorado dropped to an all-time low of $709 per pound, down from $1,309 the previous year.
California
Raging wildfires the past few years have been a major factor affecting Emerald Triangle farmers in Northern California.
The fires destroyed cannabis grows and ruined nearby flower with smoke.
That wasn’t as much of an issue this year.
On the flip side, early fall rains can also be damaging, and some growers might have experienced that this year.
But overall, this has been a “pretty good year,” said Doug Chloupek, the CEO and founder of Juva Life, a cannabis grower and life science research company with a cultivation arm in Stockton.
“We had hot summers with a slightly more temperate climate leading into the October harvest here with our cooler nights,” Chloupek said.
“So I would expect that we’ll actually see some really nice quality flower coming from the traditional full-term, sun-growers out there.”
Similar to Colorado, a trend among cannabis growers in California this year was to let fields go fallow.
“Those are probably the smartest people,” Chloupek said.
“The overproduction of cannabis cannot be absorbed into the legal supply chain, which has created the falling price of cannabis.”
Chloupek characterized the economic situation for marijuana businesses in California as a “perfect storm of price catastrophe.”
Earlier this year, the average price per pound of cannabis flower was about $750 to $1,100 for quality, big buds and $300-$450 for smalls.
“The next two years are going to be survival of the fittest because people have run out of liquidity and the capital markets have dried up,” he added.
“The well to go back to save your company on its deathbed no longer exists.”
Washington state
The outdoor cannabis season started off wet and cloudy in Washington, where Moberg operates a sun-grown cannabis farm near Riverside, in the north-central part of the state.
But the weather reversed later in the summer to hot and dry, staying that way through October.
“So if I were going to say in a word (how the season went), it would be ‘great,'” Moberg said. “With some challenges.”
The sustained hot weather meant the plants required more water than in other years, for example.
If growers had access to water, that meant their plants were able to mature fully as the cultivator tapered off irrigating.
Like Colorado and California, Washington has traditionally had some of the lowest wholesale prices for cannabis in the country.
But Moberg isn’t sure how this year’s good growing season will impact the overproduction problem.
For one, some people in the state also decided it wasn’t financially wise to plant this year.
“From what I hear from everybody, there was a drastic reduction in what was planted this year,” Moberg said.
Another factor: Moberg said the state’s regulatory agency, the Liquor and Cannabis Board, temporarily tightened its enforcement of people growing beyond their canopy limits this summer, which helped to curb the oversupply.
New Mexico
The New Mexico summer was mild without any major events affecting outdoor cannabis operations, according to Duke Rodriguez, CEO and president of Ultra Health, based in Bernalillo, New Mexico.
“The regulated market had a successful outdoor season,” he said, adding that he expects a glut of outdoor-grown cannabis this year.
Among the more than 600 growers licensed in the state, Rodriguez said a lot of the new licensees are outdoor growers.
“Because the newbies have leaned heavily toward being outdoors, that’s where we’re going to see this flooding, and it’s going to be massive,” he added.
That anticipated glut has already dropped the price of wholesale flower in the market.
Earlier this year, Ultra Health was paying $1,500 a pound wholesale.
Rodriguez said his company is now buying wholesale pounds of flower for $850 and can buy lots of more than 1,000 pounds at that price.
“The bottom has fallen out,” he said.
Vermont
One outlier is the relatively new recreational marijuana market in Vermont, where prices are still in the $3,000 a pound range on the upper end of the wholesale market.
The fall growing season saw some rain in September.
That caused some outdoor growers to take down their plants early and dry them with the hopes of salvaging the yield, said Jason Mielcarek, director of cultivation at Ceres Collaborative in Burlington, Vermont.
The early moisture and humidity made it harder for the plants to fight off pathogens and botrytis.
“But the stronger genetics did well,” Mielcarek added.
“Anything that made it to October – October has been fantastic.”
Mielcarek said the weather stayed dry and sunny as temperatures cooled.
Growers are hoping those prices will remain high into the new year.
“Due to the lack of supply and the new (adult-use) market, that demand is so high,” Mielcarek said.
“Everyone can pretty much sell whatever they grow at this point.”
Marijuana Companies And New Jersey Governor Team Up To Urge Consumers To ‘Buy Legal’
November 3, 2022By Kyle Jaeger
New Jersey’s governor is teaming up with a coalition of major cannabis brands to launch a campaign meant to educate and encourage consumers about the risks of buying marijuana products outside of regulated markets.
The U.S. Cannabis Council (USCC) is leading the “Buy Legal” effort, which was announced on Thursday in New Orleans at the Black CannaBiz Expo.
Marijuana companies including Canopy Growth, Columbia Care, Cresco Labs, Cronos Group, Curaleaf, Jushi, PAX, Viola and Wana are signed on as partners for the campaign, which is also being supported by New Jersey Gov. Phil Murphy (D).
“Since adult-use cannabis became legal in our state in 2021, the New Jersey Cannabis Regulatory Commission has established a well-regulated adult-use cannabis market that has catalyzed economic growth in our local communities and established minimum standards for safe products,” Murphy said in a press release.
“But like many other products, cannabis is not immune to the persistent illegal market, which poses a serious risk to consumers,” he said.
“As states like New Jersey continue to refine a regulatory framework for adult use of cannabis, our local businesses and consumers would greatly benefit from the resources that the Buy Legal campaign provides.
This campaign will help protect the ability of local, regulated cannabis enterprises to continue to do business in a way that is safe and accountable, and protect the safety of consumers while reinvesting in communities.”
The campaign will involve promoting a “Buy Legal” label for marijuana products that meet the coalition’s standards.
Via Buy Legal.
“Cannabis consumers need to understand where they can buy high-quality, safe, and tested cannabis products, and minority cannabis businesses owners deserve the resources that a national campaign like this can provide in order to encourage customers to shop at their businesses,” USCC CEO Khadijah Tribble said in a press release on Thursday.
Former NBA player and CEO of Viola Al Harrington added that the campaign “comes at such an important time in the cannabis industry.”
“To truly create equitable opportunities for generational wealth in our community, things like this must be done,” he said. “Now more than ever it’s imperative to educate consumers on the importance of buying regulated, safe products in order for the legal cannabis industries to survive.”
Part of the urgency, the campaign said, is that people continue to buy marijuana products in unregulated markets across the U.S., even in states where cannabis is legal for adult use. That comes with a set of public health and safety concerns that the organization hopes to help ameliorate. But how? Growing at scale is a serious challenge.
“As one of the first Black women to own a licensed dispensary in the U.S., I am concerned about the proliferation of unregulated cannabis enterprises that are not required to meet the same testing and safety standards as businesses like mine,” Linda Mercado Greene, CEO of Anacostia Organics in Washington, D.C., which is a founding partner of the campaign, said.
“A customer can’t possibly know what’s in an unregulated supply, and if someone is harmed by an unregulated product, that sows distrust in our industry and ultimately hurts licensed, regulated cannabis businesses,” she said.
For the marijuana companies participating in the campaign, it seems like a win-win scenario—where consumers are both being encouraged to buy from licensed businesses including those owned by those very corporations, while they argue that there’s also a public health and policy interest in helping to stamp out illicit sellers.
But it also comes at a time of heightened tension where supporters of unlicensed legacy sellers of cannabis, including those that operate so-called “gifting” shops in places like the District of Columbia, New York and elsewhere are pushing back against proposed crackdowns.
The Buy Legal website, for its part, points out that the 2019 electronic vape lung injury crisis has been widely linked to unlicensed products being sold outside of a regulated marketplace, which was the subject of a recent study that indicated that state-level legalization may have provided a “protective” factor in the health crisis.
It also discusses the broader concern about consumers being exposed to contaminated cannabis products in unregulated spaces, the lack of potency labeling accuracy in the illicit market and the unsanctioned marketing trend where some operators have sought to sell marijuana items under major brand names that they aren’t actually affiliated with.
“Legal cannabis is more than just consumption; it’s empowerment,” the campaign site argues. “Buy Legal is a national campaign that seeks to unite the industry and cannabis culture around a safe, legal and regulated marketplace. We believe that every American should understand the benefits of high-quality, regulated cannabis products purchased from the legal market.”
Some cannabis experts suggest growing better cannabis instead.
MASSIVE CROPTOBER LEGACY CROP HAPPENING NOW!!!
Prices are dropping like snowflakes.
Stock market bunk weed is doomed.
Home / Cultivation
2022 US hemp harvest projected to shrink by nearly half of last year’s
MJBizDaily
November 2, 2022
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This year’s U.S. hemp harvest is expected to shrink by 46% compared to 2021, according to commodity exchange PanXchange.
According to the Colorado-based exchange, the sharp decrease stems from lower demand for CBD, with close to 75% of CBD extract being used for delta-8 and delta-9 THC products.
The release of the PanXchange report was first reported by Hemp Today.
About 36,925 acres of hemp were harvested in 2021, according to the U.S. Department of Agriculture’s National Agricultural Statistics Service.
This year, however, only 20,000 acres is expected to be harvested, including:
6,400 to 6,800 acres of hemp flower.
8.200 to 9,100 acres of hemp fiber.
4,800 to 5,000 acres of hemp grain.
Jody McGinness, executive director of the Hemp Industries Association, told Denver alt-weekly Westword that smaller harvests will help cultivators better manage previous oversupply.
“There was a very large boom-and-bust cycle that took place in the first couple of years of hemp, and that essentially meant that after 2019 and 2020, many, many farmers had leftover stocks of hemp – in some cases, all of their harvests – that they were never able to sell,” McGinness said.
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Happy and iv love the company management.
Fitch chops Canopy rating, citing cannabis producer’s Constellation link.
Matt Lamers, International Editor
November 3, 2022
Image depicting a deep decline
Canopy Growth’s planned entry into the U.S. marijuana market has hit another hurdle – this time over the cannabis producer’s ties to its largest investor.
Fitch Ratings downgraded its credit assessment of the Ontario, Canada-based Canopy to CCC-, one of its lowest ratings.
CCC carries “substantial credit risk” such that default is a real possibility.
It’s the second time in six months that Canopy’s credit rating has come under scrutiny from Fitch.
The New York-based ratings company said it believes the strategic link between Canopy’s biggest investor, alcohol giant Constellation Brands (CBI), and the licensed cannabis producer “has materially diminished” after Canopy announced its plan to speed its entry into the U.S. THC market.
“As such, Canopy’s ratings no longer benefit from a one-notch uplift from its standalone credit profile,” Fitch said.
In a statement to MJBizDaily, a Canopy spokesperson said Constellation Brands remains vested in Canopy’s success as a major shareholder “and fully supports this strategy as the best way to position Canopy for near- and long-term success.”
The spokesperson added that Canopy is making the move to take its destiny into its own hands by fast-tracking its entry into the U.S. marijuana market and taking full ownership of its investments there.
Constellation executives touched on their commitment to Canopy and the cannabis industry in a conference call with analysts on Oct. 6.
After being asked how long Constellation is willing to “wait” for U.S. legalization and how he views the alcohol company’s stake in the cannabis producer changing, Constellation CEO William Newlands said, “I wouldn’t expect you to see the size of our investment in that change.”
Newlands admitted he “failed miserably” in predicting the pace of U.S. legalization but also said he’s “hopeful” there will soon be progress.
In its latest update, Fitch said it downgraded the long-term issuer default ratings for Canopy Growth from CCC to CCC-.
Fitch also lowered the credit rating of the senior secured term loan facility from B/RR1 to B-/RR1.
Fitch’s action comes less than a week after Canopy announced a plan to speed its entry into the American market.
Rather than waiting for the United States to legalize at the federal level, Canopy launched Canopy USA, which would purchase the three American marijuana businesses Canopy had agreed to buy after the U.S. ended prohibition, pending various approvals.
Canopy’s proposal calls for Canopy USA, not Canopy Growth, to own the assets, and the Canadian business would hold nonvoting, exchangeable shares in Canopy USA.
“Fitch believes the transaction, as proposed, is subject to material execution risks including regulatory, shareholder and exchange approval,” the credit ratings agency said.
Stock exchange risk
Fitch isn’t the first to raise concerns about the deal.
The New York-based Nasdaq stock exchange objects to Canopy’s plan to eventually consolidate the financial results of Canopy USA.
By contrast, the Toronto Stock Exchange (TSX) suggested that the proposed structure is compatible with the exchange’s rules.
Neither the TSX nor the Nasdaq would answer specific MJBizDaily questions.
“Canopy’s credit agreement contains affirmative covenants to comply with all policies and listing requirements of public securities exchanges,” the Fitch notice acknowledged, adding: “A failure to remain listed on at least one exchange would be a condition for an event of default.”
Fitch noted that Canopy USA would need to maintain funding separate from its parent company.
“Fitch will continue to review Canopy’s corporate structure and exposure to U.S. THC assets that are federally illegal and whether that increases rating concerns,” the ratings company said.
Fitch also noted “significant execution risks” in Canopy’s premiumization strategy and an uncertain path to profitability, highlighting significant lost market share in Canada.
“This has delayed production of a consistent, higher-quality supply at commercial scale and generated weak operating results with an uncertain path to profitability,” according to the Fitch note.
“Canopy hopes to counter these issues with a change in its genetics and cultivation strategy to higher quality cannabis with the right attributes … for the premium and mainstream flower, pre-rolls, edible and vape markets, while using the value segment as an outlet strategy.”
Let,s HOPE they succeed.
Growing cannabis at scale is a challenge.
On that point, Constellation’s executives said during the analyst conference call they continue to believe that Canopy’s focus on “premiumizing” its cannabis branded portfolio in Canada “is appropriate,” and they remain supportive of Canopy’s efforts to strengthen their emerging consumer packaged goods brand distribution.
Fitch said further negative rating actions could be taken if the company’s “premiumization” cultivation strategy fails, or if it pursues a repayment of the remaining 2023 notes that Fitch considers a distressed debt exchange, if liquidity appears constrained, such that a default is probable.
Canopy shares trade as WEED on the Toronto Stock Exchange and as CGC on the Nasdaq.
Yup!
Stock market bunk weed is not cutting it.
Never will iv.
Canadian adult-use cannabis sales growth slowing faster than expected.
Matt Lamers, International Editor
November 3, 2022
Sales of adult-use cannabis in Canada are slowing more quickly than expected, according to a new report, and at least one analyst says structural changes are needed for the nation’s industry to recover growth momentum.
A report, written by Toronto-based analyst Frederico Gomes of ATB Capital Markets, notes that Canadian marijuana retail sales grew an estimated 7.7% year-over-year in September, which would be the lowest since legalization occurred in late 2018.
Decelerating nationwide sales add to a growing list of challenges for Canadian cannabis producers and retailers.
Some of those include:
Government-owned businesses are generating the only meaningful profits in the industry.
Those government-owned businesses, mostly wholesalers, are taking an unfair margin, business leaders say.
The industry continues to suffer from a massive oversupply of cannabis, with nationwide inventories reaching 1.4 billion grams (1,400 metric tons) and cannabis destruction since 2018 approaching another 1 billion grams.
Gomes attributes growth deceleration to:
Price compression, as less margin flows through to businesses.
Declining sales volume growth of unique items sold, meaning consumers are buying bulk.
Earlier this year, ATB warned that recreational cannabis sales growth rates had been slowing every quarter for the past two years.
“This trend indicates a market that is growing slower – and therefore is smaller – than previously anticipated,” Gomes wrote in the July note.
“The slowdown can be attributed to poor quality and high prices.”
The ATB analyst shaved 200,000 Canadian dollars ($148,000) off his 2022 recreational sales forecast for Canada.
Gomes noted sales volume growth decelerated over the past four months in categories such as flower and edibles.
“Since July 2022, flower volume declines have been, for the first time, superseding price per unit declines,” the analyst wrote.
“We believe this trend is reflective of a consumer shift towards legacy bulkier flower purchases. That is where the money is.
He noted that pre-rolls now account for almost one-third of the market. Last year, those products made up a quarter of all sales.
Structural changes needed
Pablo Zuanic, managing director at New York-based investment banking firm Cantor Fitzgerald, said growth of the Canadian adult-use market continues to decelerate.
In a note to investors, Zuanic said that even though Canada’s 13% year-over-year growth in the third quarter is better than the flat trends in U.S. state markets, Canadian per-capita sales significantly lag behind key states.
Zuanic noted that Canada’s per-capita sales were $90, compared with $120 in California, $150 in Michigan and upwards of $200 in Arizona and Massachusetts.
“We think structural changes are needed for the (Canadian) market to recover the growth momentum,” he wrote.
One such reform could be to the country’s excise tax structure. About two-thirds of Canada’s cannabis producers are falling behind on tax payments.
Zuanic also wrote that “prices continue to decline."
“We attribute this to a more discerning consumer and to companies realizing the race to the bottom is not sustainable,” he added.
Zuanic noted that flower’s share of the overall market fell to 40% in the third quarter of 2022 from 49% in the same period last year.
Pre-rolls accounted for 31% of sales in the quarter, up 16% from a year ago.
The growth in infused pre-roll sales represents “the most significant growth of any segment within the cannabis industry over the last year or two, given that it is growing very quickly and it is also very large,” Cooper Ashley, analytics manager with Seattle-based cannabis analytics firm Headset, previously told MJBizDaily.
we all know that... let,s do something about it.
Say what?
That,s right Dwight!!
Overgrow the Government.
You got it.
Projecting is easy.
Growing at scale is not.
Bunk don,t sell.
Urging does,nt work.
Lps need to grow and sell quality weed to survive in this canna market.
Gouging folks with expensive bunk is not cutting it.
Lpees growing at scale is the perfect model for growing mold.
POLITICSCZECH REPUBLIC
Czech Republic on the way to legalizing cannabis
Lubos Palata
11/02/2022November 2, 2022
In the Czech Republic, hemp products like marijuana, hashish and cannabis oil have been available in pharmacies for years. Prague is now planning full legalization for 2023 and wants to coordinate the step with Berlin.
https://p.dw.com/p/4IvXm
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Tourists in Prague may get the impression that the Czech capital is also the cannabis capital of Europe. From stickers to posters, the iconic leaf of the intoxicating marijuana plant is all over the place. It also adorns the windows and facades of plenty of shops offering everything someone might need to grow the plant — from topsoil, seeds and fertilizer to lamps for growing the plant indoors. Many grocery stores also offer drinks as well as chocolate, ointments or creams containing cannabis.
But that first impression is slightly misleading. These products contain at most 1% of the psychoactive substance tetrahydrocannabinol (THC) and they won't get you high. THC is the bit that turns cannabis into an intoxicant. In addition to the dried flowers also known as "grass," "weed" or "marijuana," cannabis comes primarily as fermented and pressed flowers and oils, also known as "hashish."
And these are all still illegal in the Czech Republic if they contain more than 1% THC.
Cannabis being rolled into a jointCannabis being rolled into a joint
A joint this size could lead to a €500 fine in the Czech Republic, for nowImage: Fabian Sommer/dpa/picture alliance
The possession of up to 10 grams (0.35 ounces) of marijuana, hashish or hemp oil or the growing of up to five cannabis plants is an offense with a fine of up to €500 ($495). Around 20,000 Czechs are fined each year. The possession of larger amounts is, however, a criminal offense punishable by up to five years in prison. Hundreds of people are currently in prison because of it.
At the same time, marijuana and other hemp products have been available in pharmacies since 2017 to people with a doctor's prescription showing a medical need to consume cannabis. All other consumers have to resort to the black market. As hemp cultivation is also illegal in the country, pharmacies receive their goods from countries such as the Netherlands, and cannabis for the black market is illegally cultivated.
Was banning cannabis a big mistake?
06:57
Europe's top cannabis users
Although still against the law, the consumption of substances containing THC is widespread in the Czech Republic. Around 30% of the adult population has tried marijuana, and 8% to 9% use it regularly, according to the Addiction Report released in August 2022 by the National Monitoring Center on Drugs and Addiction (NMS). According to the data, around 800,000 people in the country of 11 million use cannabis.
"We are one of the countries with the highest rate of people who have had at least one THC experience in their lifetime," Pavla Chominova, head of the observatory, told Pravo daily. According to the European Monitoring Center for Drugs and Drug Addiction (EMCDDA), the Czech Republic ranks first among all EU countries with 23% THC users in the 15-34 age group. When it comes to hard drugs, on the other hand, the country is somewhere in the middle of the European rankings.
Drying up the black market
The Czech center-right governing coalition has now started drafting legislation to fully legalize products containing THC. In the future, they would be considered similar to alcohol or cigarettes. "Despite the previous decriminalization, we still have a black market, there is no official production and no quality control, just as there is no control of sales to young people under 18," Jindrich Voboril, the Czech drug commissioner, told DW.
Hemp plantHemp plant
Growing and selling cannabis could dry up the black marketImage: Countrypixel/IMAGO
The issue of cannabis was put on the agenda by the Czech Pirate Party (CPS), the smallest member of the governing coalition. "Legalization will make the Czech Republic a freer country. It will bring billions into public budgets that have so far been wasted on the streets," the party said on Twitter. According to the party's estimates, taxing hemp products could annually bring in the Czech Republic around €800 million.
Hoping to reduce risks
At the end of September 2022, the government in Prague commissioned Voboril to draft a law to legalize hemp. In March 2023, the drug commissioner is scheduled to present a first draft of the bill.
The only coalition party that is still skeptical about the plan is the Christian Democratic-Conservative People's Party (KDU-CSL). Voboril, himself a member of Prime Minister Petr Fiala's liberal-conservative Democratic Citizens' Party (ODS), is convinced though that "if the state legalizes drug use and gets it under its control, the risk of addiction will decrease." In his draft law, he proposes that government agencies take control of both production and sales.
The idea is that there will be licensed companies working under strict rules for the production and distribution of marijuana, the Czech drug commissioner explained. Dealers would have to apply for a state license. It is still unclear whether users will have to register.
"I will also try to ensure that as little cannabis as possible is consumed through conventional smoking because that is what is most damaging to the health," added Voboril. Alternatives to smoking — cannabis vapor is far more carcinogenic than tobacco — include ingestion via vaporizers and as an additive to foods or drinks.
According to Voboril, the Czech Republic is coordinating the drafting of the legalization law with Germany, where the federal government is also planning to legalize cannabis: "Our colleagues from Germany want hemp for the German market only to be grown and processed within Germany and that we do the same. I, on the other hand, think we should supply each other."
This article was originally written in German.
Martha loves Martha,s best offering.
Happy is gunning for Klein. (he,s a cutie).
DBrown has popped long ago.
MMPRuser is in jail.
Iv will be rich.
LPs big plus
growing at scale, scaling recalls and gouging sicks folks.
Canada’s August cannabis sales growth limited by Ontario wholesale outage. Ouch!
Bonno
October 27, 2022
Canada’s overall recreational cannabis sales inched higher in August, but a wholesale outage in Ontario, the country’s largest market, limited nationwide growth to less than 1%.
Consumers purchased 393.7 million Canadian dollars ($330 million) worth of adult-use products in August, up from July’s CA$392.9 million, according to the latest data from Statistics Canada.
Compared with the previous month, sales rose 1.8% month-over-month outside Ontario in August but fell in the province by 2.2%, or CA$3.4 million.
Ontario’s provincial monopoly wholesaler had suspended all deliveries to retailers for part of August after a cyberattack struck the parent company that operates its distribution center.
Full deliveries didn’t resume until weeks later.
The delays underscored an “urgent need for reform,” the province’s Chamber of Commerce has said.
In British Columbia, job action at the province’s monopoly distributor left some regulated cannabis stores with too little inventory, forcing them to close their doors.
That did not appear to show in the August sales data, as British Columbia led Canada in growth that month.
Sales in the Western province jumped 10% month-over-month to CA$63 million in August.
The CA$5.7 million gain over July was the highest in Canada among all provinces and territories.
Alberta experienced a big drop in sales.
Store in the province drew CA$67.2 million in marijuana revenue that month, down CA$2 million, or 2.9% from July.
The rest of the provinces and territories, in order of net gain/loss from the previous month:
Quebec: CA$50.1 million (up CA$928,000, or 1.9%).
Newfoundland and Labrador: CA$6.2 million (up CA$623,000, or 11.1%).
Nova Scotia: CA$9.4 million (up CA$371,000, or 4.1%).
Saskatchewan: CA$16.1 million (up CA$237,000, or 15%).
Prince Edward Island: CA$2.2 million (up CA$43,000, or 2.1%).
New Brunswick: CA$7.2 million (down CA$11,000, or under 1%).
Manitoba: CA$15.6 million (down CA$1.7 million, or 10%).
In Yukon, cannabis sales crossed the CA$1 million threshold for the first time, rising 7% over July to CA$1.03 million.
Adult-use cannabis sales declined in most Canadian cities in August.
Toronto led all cities with a decline of CA$1.1 million in sales over July, per the Statistics Canada data.
Yet, Toronto still led all cities with sales of CA$50.8 million in August, or 13% of Canada’s total sales.
Vancouver was the top performing Canadian city by nominal sales growth.
In August, consumers there bought CA$19.4 million of recreational cannabis products, which is CA$620,000, or 3.3%, more than the previous month.
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The rest of the cities tracked by Statistics Canada, in order of net gain/loss from the previous month:
Montreal: CA$27.3 million (up CA$497,000, or 1.9%)
Quebec City: CA$4.8 million (up CA$37,000, or under 1%).
Winnipeg, Manitoba: CA$9.9 million (down CA$803,000, or 7.5%).
Calgary, Alberta: CA$18.9 million (down CA$801,000, or 4.1%).
Ottawa, Ontario: CA$16.9 million (down CA$378,000, or 2.2%).
Gatineau, Quebec: CA$1.5 million (down CA$159,000, or 11%).
Edmonton, Alberta: CA$22.5 million (down CA$316,000, or 1.4%).
ONTARIO SECURITIES REGULATOR HITS CANNABIS PRODUCER CRONOS FOR FAULTY FINANCIAL STATEMENTS
CULTIVATION
GERMANY WILL RELY ON DOMESTIC CANNABIS CULTIVATION, LEAKED PAPER SUGGESTS
Germany’s proposed adult-use cannabis legalization plan excludes imports
Matt Lamers, International Editor
October 27, 2022
The German government published key details of its plan to legalize and regulate adult-use cannabis, including what Health Minister Karl Lauterbach described as “complete” cultivation within the country.
The proposed blueprint also suggests 2024 is a realistic date for the program’s launch.
Keeping cannabis cultivation within Germany would be a blow to some international producers, who had been hoping Europe’s largest economy would find a way to allow imports – even though adult-use marijuana shipments across borders aren’t permitted under international drug-control treaties.
“At the moment, we’re planning complete cultivation in Germany,” the health minister said at a news conference Wednesday. “That’s the current target direction.”
The German cabinet endorsed the 12-page plan.
However, before a draft law is written and considered by lawmakers, a blueprint of the law will be sent to the European Commission, the EU’s executive branch, for approval to ensure it is compatible with European Union and global drug laws.
Lauterbach said Germany will argue that the legalization plan is aligned with international treaties.
The legislative process will continue only after the plan gets the green light from the EU, Lauterbach said, implying these proposals could face changes before being presented in a draft law.
A potential blueprint for EU
If approved by the European Commission, Germany’s blueprint could serve as a basis for broader cannabis reform in countries across the European Union seeking to follow Germany’s example.
Similar to Canada’s approach, Germany proposes regulating adult-use cannabis in the primary interest of public health – both to protect youth and erode the illicit market.
There are virtually no details regarding the economics of the illicit market in the 12-page report.
Germany appears to have backed away from an earlier proposal to potentially cap allowable THC for consumers 18-21 years old. But the idea still appears to be under consideration.
The new proposal suggests cannabis could be sold in approved stores and, possibly, in pharmacies to anyone older than 18.
Germans would be permitted to grow up to three plants at home.
Cannabis purchases at stores would be limited to 20-30 grams.
Only one paragraph of the 12-page proposal deals with cultivation.
Cultivation would be allowed in indoor and greenhouse facilities “to ensure appropriate quality control,” the document says.
The plan doesn’t mention any potential production quotas, which currently govern the country’s very small number of medical cannabis growers.
“The entire supply and trade chain – cultivation, processing, transport, wholesale, retail – must be subject to a controlled track-and-trace system that includes documentation for each individual step in the supply chain,” according to the document.
Activities such as cultivation, processing, storage, transport and sale will be possible only by licensees.
Applicant licensees will be required to demonstrate – among other things – expertise, proof of entry into the EU’s beneficial ownership registry, proof of sufficient financial resources and creditworthiness, the document notes.
Advertising, packaging rules
Advertising for cannabis products would be prohibited, and strict rules would be imposed on the outer packaging of cannabis products.
Packaging would have to contain information such as who produced the product, the weight, the harvest date, THC and CBD content, age and health warnings as well as addiction risks.
Other details include:
Flower, capsules, sprays and drops would be allowed, but edibles would be prohibited.
Synthetically produced cannabinoids would not be permitted.
Germany’s sales tax would be applied to recreational cannabis.
A special cannabis tax is planned, but there were no other details.
The document proposes an evaluation of the impact of the law after four years, at which time cannabis edibles products may be considered.
The health minister suggested approval or rejection by the European Commission should not take long.
Depending on that outcome, a draft law could be presented in the first quarter of 2023.
Regarding timing, the health minister suggested that a realistic expectation is that legalization could come in 2024.
Nasdaq objects to Canopy plan to consolidate US cannabis revenue
By Matt Lamers, International Editor
October 27, 2022
The Nasdaq stock exchange objects to Canopy Growth’s plan to eventually consolidate the financial results of Canopy USA, according to a regulatory filing by the Canadian company with the U.S. Securities and Exchange Commission.
The disclosure raises questions about whether the Ontario-based cannabis producer could keep its shares listed on the Nasdaq if it proceeds with its current plan to enter the U.S. marijuana market more quickly.
Canopy on Tuesday announced a plan to speed its entry into the American market by launching Canopy USA, which would purchase the three American cannabis businesses that Canopy had agreed to buy once recreational marijuana was legal under U.S. law.
Those businesses are New York-based multistate operator Acreage Holdings, California extractor Jetty Extracts and Colorado-headquartered cannabis edibles maker Wana Brands.
Canopy’s proposal calls for Canopy USA, not Canopy Growth, to own the three assets.
Under the plan, Canopy Growth would hold nonvoting, exchangeable shares in Canopy USA, creating “a ringed-fence structure” between it and Canopy USA, the company previously said.
“Nasdaq has proposed that such (financial) consolidation is impermissible under Nasdaq’s general policies,” according to the filing.
Canopy shares trade as CGC on the Nasdaq and as WEED on the Toronto Stock Exchange.
A Canopy spokesperson told MJBizDaily that the company’s proxy filing did not include concerns by the TSX.
“However, as we disclosed, Nasdaq has raised concerns specifically regarding our intention to consolidate the financials of Canopy USA and we have had ongoing communication with them and will continue to work to support compliance with their rules and regulations,” the spokesperson said.
“We understand that we have an obligation to consolidate these results under U.S. GAAP rules and we believe there is time to continue this dialogue with Nasdaq, as Canopy’s results would not be consolidated until after the closing of the proposed transactions next year and we will continue to work with Nasdaq in an effort to resolve their concerns.”
Canopy said it doesn’t agree with the basis of the Nasdaq’s objection.
“The company disagrees with Nasdaq’s potential application of its general policies as the basis for its objection since it contradicts the Company’s financial reporting requirements under U.S. GAAP including its application to THC plant touching businesses,” the company said in its SEC filing.
Canopy added that it intends to comply with the SEC’s guidance on the application of U.S. generally accepted accounting principles (GAAP) for financial reporting purposes.
Canopy said it is in regular dialogue with auditors, regulatory bodies and stock exchanges, but “there is no assurance Nasdaq will harmonize their general policies with the SEC accounting guidance.”
“As such, there can be no assurance that we will remain listed on the stock exchanges we are currently listed on, which could have a material adverse effect on our business, financial condition and results of operations.”
In a note to investors, Owen Bennett, a cannabis equity analyst for New York-based investment bank Jefferies Group, wrote that Canopy’s filing suggests the company’s continued Nasdaq and TSX listings might be uncertain.
Jefferies noted that many “might have assumed” the new structure had the informal blessing of the exchanges.
“In last night’s proxy, however, it appears this is not the case, with NASDAQ actually opposing the structure, and Canopy flagging risk of delisting,” the analyst wrote.
“What is very clear now though, is that developments here now become an absolute critical watch-out, not only for Canopy,” because, he noted, delisting might cause the stock to drop.
He said broader Canadian licensed producers, which can potentially do the same and buy U.S. assets, are watching closely, as are American multistate operators that could potentially adopt the same structure and uplist to a major exchange.
“This is why SAFE (the Secure and Fair Enforcement Banking Act) passing could also be important, as this, alongside the recent Biden orders around a scheduling review, could help sway the exchanges decision, while it is also possible one exchange may OK it – likely the TSX – and another still says no – likely Nasdaq,” according to Jefferies.
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The are still all in prison.
Image of the Nasdaq exchange
(This story has been update with a statement from Canopy Growth.)
The Nasdaq stock exchange objects to Canopy Growth’s plan to eventually consolidate the financial results of Canopy USA, according to a regulatory filing by the Canadian company with the U.S. Securities and Exchange Commission.
The disclosure raises questions about whether the Ontario-based cannabis producer could keep its shares listed on the Nasdaq if it proceeds with its current plan to enter the U.S. marijuana market more quickly.
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Canopy on Tuesday announced a plan to speed its entry into the American market by launching Canopy USA, which would purchase the three American cannabis businesses that Canopy had agreed to buy once recreational marijuana was legal under U.S. law.
Those businesses are New York-based multistate operator Acreage Holdings, California extractor Jetty Extracts and Colorado-headquartered cannabis edibles maker Wana Brands.
Canopy’s proposal calls for Canopy USA, not Canopy Growth, to own the three assets.
Under the plan, Canopy Growth would hold nonvoting, exchangeable shares in Canopy USA, creating “a ringed-fence structure” between it and Canopy USA, the company previously said.
“Nasdaq has proposed that such (financial) consolidation is impermissible under Nasdaq’s general policies,” according to the filing.
Canopy shares trade as CGC on the Nasdaq and as WEED on the Toronto Stock Exchange.
A spokesperson for Canopy told MJBizDaily that the company did not include there was concern from the TSE in the proxy filing.
“However, as we disclosed, Nasdaq has raised concerns specifically regarding our intention to consolidate the financials of Canopy USA and we have had ongoing communication with them and will continue to work to support compliance with their rules and regulations,” the spokesperson said.
“We understand that we have an obligation to consolidate these results under U.S. GAAP rules and we believe there is time to continue this dialogue with Nasdaq, as Canopy’s results would not be consolidated until after the closing of the proposed transactions next year and we will continue to work with Nasdaq in an effort to resolve their concerns.”
Canopy said it doesn’t agree with the basis of the Nasdaq’s objection.
“The company disagrees with Nasdaq’s potential application of its general policies as the basis for its objection since it contradicts the Company’s financial reporting requirements under U.S. GAAP including its application to THC plant touching businesses,” the company said in its SEC filing.
Canopy added that it intends to comply with the SEC’s guidance on the application of U.S. generally accepted accounting principles (GAAP) for financial reporting purposes.
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Canopy said it is in regular dialogue with auditors, regulatory bodies and stock exchanges, but “there is no assurance Nasdaq will harmonize their general policies with the SEC accounting guidance.”
“As such, there can be no assurance that we will remain listed on the stock exchanges we are currently listed on, which could have a material adverse effect on our business, financial condition and results of operations.”
In a note to investors, Owen Bennett, a cannabis equity analyst for New York-based investment bank Jefferies Group, wrote that Canopy’s filing suggests the company’s continued Nasdaq and TSX listings might be uncertain.
Jefferies noted that many “might have assumed” the new structure had the informal blessing of the exchanges.
“In last night’s proxy, however, it appears this is not the case, with NASDAQ actually opposing the structure, and Canopy flagging risk of delisting,” the analyst wrote.
“What is very clear now though, is that developments here now become an absolute critical watch-out, not only for Canopy,” because, he noted, delisting might cause the stock to drop.
He said broader Canadian licensed producers, which can potentially do the same and buy U.S. assets, are watching closely, as are American multistate operators that could potentially adopt the same structure and uplist to a major exchange.
“This is why SAFE (the Secure and Fair Enforcement Banking Act) passing could also be important, as this, alongside the recent Biden orders around a scheduling review, could help sway the exchanges decision, while it is also possible one exchange may OK it – likely the TSX – and another still says no – likely Nasdaq,” according to Jefferies.