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Really?
Nice Article Theoblade. Goes with ALKM well.
Some people buy when fear is abounding. Some people are too scared.
Opinion: Here’s why the craft cannabis industry can thrive in the face of Big Marijuana
By Ryan Stoa
Published: Feb 17, 2019 11:10 a.m. ET
Think craft beer
AFP/Getty Images
A marijuana dispensary in Los Angeles.
In 2012, Washington and Colorado became the first states to legalize recreational marijuana. Since then, more states have followed. To date, 33 states have legalized the recreational or medicinal use of marijuana. Canada legalized recreational use nation-wide in October 2018.
As these legal markets emerge, investments are pouring in (by one estimate, consumer spending on marijuana will reach $23.4 billion in 2022), including two high-profile investments from Corona-maker Constellation Brands STZ, +0.55% and Marlboro-maker Altria MO, -0.81%
These investments from Big Alcohol and Big Tobacco might suggest the cannabis industry will come to be dominated by a few large producers and retailers. And certainly, some price-sensitive consumers will prefer the type of cheap, generic cannabis that large-scale producers specialize in.
Beyond these attention-grabbing headlines, however, are signs that a craft cannabis industry is alive and well and will enjoy a promising future. There is growing evidence that artisanal producers can thrive in the cannabis market much like microbreweries thrive in the beer market, for example, or like regional wineries thrive in the wine market.
The craft beer industry survives for at least two reasons. First, consumers are willing to pay more for beer that is unique, locally-produced and, often, higher in quality. Second, government regulations empower small-scale breweries and give them fair access to the marketplace.
On both counts, parallels with the cannabis industry are striking. As the legal market for cannabis matures, so do consumer preferences. Quality standards have risen, and the number of unique strains of cannabis available to consumers now reaches into the thousands. Consumers are showing a preference for high-quality, sustainably produced cannabis. These days, it’s not uncommon for a marijuana dispensary employee to talk about strains the way a sommelier talks about wines.
In some cases, regulations are helping, too. The federal prohibition on interstate sales of cannabis ensures that each state’s marketplace must be supplied by local, in-state producers. If states aren’t careful, supply gluts can drive small-scale producers out of business. In Oregon, for example, rampant over-production has prompted a free fall in the price of marijuana, threatening livelihoods for the state’s many marijuana farmers. In the short term, the price collapse is incentivizing consumption and tax revenues. In the long run, rock-bottom prices are likely to promote consolidation and an end to the small business way of life that characterizes the nascent cannabis industry in the state.
But if states are thoughtful, regulations can just as easily promote a sustainable and equitable marketplace.
Watch this video: Investing in a cannabis company? 4 questions to ask
In Massachusetts, for example, small-scale producers have lower regulatory burdens and licensing fees than their large-scale counterparts. The state’s licensing commission has also promised to give preferential treatment to “equity applicants” to ensure the benefits of legalization are shared with communities that have disproportionately suffered from the marijuana prohibition era.
Marijuana and terroir
The wine industry provides another promising model for craft cannabis. The market for wines is varied and supportive of local producers in part because regions are protected by appellations. Appellations certify that a designation of origin — Napa County, for example — is authentic. By doing so, producers in that region have some protection against a market flooded with cheap, generic products, while consumers have access to a more diverse range of products.
I believe appellations are an ideal regulatory vehicle for the cannabis industry to support craft producers. Appellations would promote rural development by protecting farming communities against a flood of Big Marijuana generics. Meanwhile, consumers will enjoy a marketplace with regional differentiation and authenticity. There is even some evidence of a marijuana terroir, wherein plants exhibit characteristics unique to their surrounding environment.
The day when cannabis appellations become a reality may come sooner than anticipated. In California, regulators have until 2021 to “establish a process by which licensed cultivators may establish appellations of standards, practices, and varietals applicable to cannabis.” Discussions are underway to make sure that deadline is met. A working group composed of state regulators, industry experts, and researchers (myself included) will convene over the course of 2019 to identify challenges to a marijuana appellation system and propose a viable path forward.
The MIT Press
Finally, small-scale production is the cannabis industry’s status quo, so it is unlikely that existing producers with their livelihoods at stake will go quietly into the night. By one estimate, there are over 68,000 cannabis cultivators in the state of California alone, many of whom are represented by well-connected advocacy groups. Craft cannabis producers in Washington, meanwhile, made impassioned pleas for their lawmakers and regulators to support them at the Washington Cannabis Summit in January. You can bet craft producers in other states will do the same.
There are many uncertainties facing the cannabis industry, the fate of craft cannabis among them. Cannabis, like other industries, may come to be dominated by a few large firms. But there is ample reason to believe a craft market can not only survive but thrive. Consumers are showing a preference for diverse and regional products, while some states are taking steps to promote small businesses and prevent the industry from consolidating. As the industry matures, craft cannabis should maintain a strong presence in the marketplace.
Ryan Stoa is an associate professor of law at Concordia University in Portland, Ore., and the author of “Craft Weed: Family Farming and the Future of the Marijuana Industry.” Follow him on Twitter @RyanBStoa.
More marijuana insight on MarketWatch:
Marijiuana road-trip discoveries: California cannabis is everywhere — and is expensive
This is the surprising reason why Americans have dramatically shifted their views on legalizing pot
U.K. researchers are launching a Phase 2 trial looking at a cannabis-based therapy for Alzheimer’s
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I sure hope so.
I spoke with Stuart Smith from Small Cap Voice and he told me that they worked with VGTL last in October of 2018. That is all.
I have a call and email into Stuart Smith from Small Cap Voice for VGTL Investor Relations – 512.267.2430
ssmith@smallcapvoice.com
I will see what he has to say.
Soon is a relative term PRmaniac.
This is not intentional. There you go Aston88.
Some here must think the deal we are dealt without selling out is a good one as they are buying shares. Seems to be a lot up in the air as to what the deal will look like in final form. Any update would be appreciated from those in charge. The only thing that keeps me from selling out is that I am 35.37% down on this investment.
I totally Disagree with you Goofy R. In fact that was a goofy statement, no pun intended. I want the company to be found not in violation of any laws and get the investment needed to start the engines up so the rocket can go to the Moon and back.
Well CEO finally reduced my holding to One 1 I say again, 1 Share. Thank you for your great contribution to my demise Mr. CEO.
Go VGTL Go
Still here waiting on movement. It will be a while, I bet.
.0013 Wow.
The objective unless you fell in love with the company is to make money. Like the man said in a post earlier, the penny stocks rise and fall. Very few ever make it to the big time in a prolonged manner. Too much baggage for them. I fell in love a lot and lost a lot.
I want one report at a time so when it runs I can sell and when it drops before the next report I can buy until it runs and I can sell again, etc..
I sure hope so. Looks like Don't Tell is out as I see no mention of it in filings.
I care and I want more than it is worth now.
Michael Gelmon now has 1000 of the 10,000 Authorized Series A Rreferred Shares in his hands and 51% voting rights. So what has he brought to the company for such compensation.
Michael Gelmon
President, Secretary, and Chief Executive Officer
Holder of 1000 shares of Series A Preferred stock carrying voting power equal to fifty-one percent
(51%) of the total voting power of all classes of stock.
Someone had to put him into position and who is that and what is VGTL to get in compensation for this give away of company.
Tell us how you really feel. It was a good flipper before R/S.
If you are down you will be up someday. Just wait and see.
When you say with you I hope you are speaking as in anybody not me as I have not received any emails from our fearless leader.
Hit them hard and fast and get out rapidly. Just like a Seal Team Operation is what penny stock investing needs to be. If you go in hot and find out that a mine field is in front of you, pull out and wait for another opportunity then repeat the operation hopefully getting the target you set out to get and return from your operation a HAPPY CAMPER!!!!!!
Maybe they will pay off the debt when they merge. I just hope they do not dilute the stock to do it.
I contacted IR and no answer back.
Anybody talk to our fearless leader? Any news on Complaints.
I BeWare and knows whats I Does. Thanks for bringing it ups so oftens.
This company is BS as far as I am concerned. Down to 18 shares after the massacre. 1 for 10,000 Reverse Split Again. What BS. I had a 180,000 after being ripped by company before. Now 18 Shares of BS. I have $4,783.81 invested for only 18 shares worth barely over a dollar. What BS. I need this stock to go to $265.77 to just break even. What does anyone think the odds are for that happening?>
From what you read in filings, do you think company is debt free?
GM, When are we going to hear about new CEO and the deal he is bringing to the table?
That was funny rimbo90. Hurts but Funny!!!
NPHC Media.
Filing right around the corner and all will forget about it till next time.
MDRESEARCH, not to worry. ALKM is making money hands over fists but just not reporting it yet. Smile great things to come any day we will have to 2016 10 K released.
Not me I have 7,512,202 combined and down 68%, but I will not sell. So I have not given up. I hope others feel the same. Praying for a return to greatness.
So, Sell now and take what you have and leave story for CBAI in the Dust or wait out the slow grind to see if you would make more than selling now over the next two years. I think that is correct what I just said. I am wondering what course of action to take. Sell now is not a gamble if you can get a buyer for all your shares, but holding is a gamble?
We feel for you Aston88, Being your first Penny Stock you have learned the lesson of not being too Greedy. It hurts and I am you in this stock and many others in the past. When you take profit you never go broke and when you hit the big penny stock you can make a ton. Patience and hope it plays your way or we have to take a loss and move on. My opinion is beating the drum on this board in your situation only keeps you upset and does absolutely nothing to get the stock up. Good Luck to you and all including myself. We could get another chance to take profits and the question is are we going to be greedy or whole +. Time to sell is when volume is up above average daily and price is positive. I can only blame myself for my past mistakes. All my opinion.
How would you know that? He probably has a secret fund?
You know what, I agree with all you said. Hope filings start coming out again.