Yes you are correct for once, Legal stockmmarket weed corporations and Hellth Canada use the term "Tons" not for Growth or sales But for "Destruction" of over supply and little demand for subpar production and Tiny Variety.
Canadian producers destroyed over 500 tons of cannabis since 2018 Canadian producers have destroyed millions of packaged cannabis products and hundreds of tons of unpackaged marijuana since adult use was legalized in late 2018, according to data acquired by MJBizDaily.
Industry experts suggest the large-scale destruction reflects a variety of factors, ranging from low-quality product to a lack of retail outlets and stockpiling ahead of the 2020 launch of Cannabis 2.0 products such as edibles and concentrates.
Those destroyed packages consisted of:
3,783,397 packages of dried cannabis. 1,500,396 packages of extracts. 714,491 packages of edibles. 943 packages of topicals. Health Canada did not say why the cannabis was destroyed by producers, but industry sources cite various reasons for regular destruction, including:
Clogged sales channels, as provinces opened stores slowly in the early years of legalization. Cannabis was produced before appropriate licenses had been secured, such as a sales license. Low-quality production. Production for testing only. Producers stockpiling cannabis in 2019 for the launch of 2.0 products, such as edibles and most extracts, in 2020. Moreover, the overall amount of destroyed cannabis has been growing steadily since late 2018.
Reported destroyed unpackaged dried cannabis from October to December 2018 was 11,548 kilograms, or 10% of production.
A year later, that total rose to 155,780 kilograms, or 15% of production.
In 2020, Canadian licensed producers destroyed 279,837 kilograms of unpackaged cannabis, or almost 20% of the 1,473,767 kilograms of dried cannabis produced that year.
“In commercial horticulture, a 5%-8% annual loss can be expected due to insect infestations, plant disease, crop failures and bad weather. If companies are destroying 15% or more of their inventory, it should be very alarming to owners and shareholders,” said Ryan Douglas, owner of the Ryan Douglas Cultivation consultancy and master grower for Canopy Growth predecessor Tweed from 2013 to 2016.
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