GOOD SHRINKAGE
How Canada’s plans for a new industry working group could shrink the illicit market
The federal government shared its plans to create a “cannabis strategy table” in its 2022 budget, which would create a new line of communication between the industry and regulators, reports the Globe and Mail.
Many in the industry have blamed disappointing results on high taxes and potency limits, which still diverts consumers to the unregulated market.
“It says to me that the folks in Ottawa are finally realizing that the cannabis industry, for all its ups and downs, has become a key economic driver,” said Omar Khan, senior vice-president of corporate and public affairs at cannabis retailer High Tide Inc.
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FAB FOUR (20)
‘All Things Must Grass’: George Harrison’s Estate launches cannabis brand
Cannabis company Dad Grass has partnered with the estate of Beatles guitarist George Harrison to launch new brand All Things Must Grass, reports Forbes.
Dad Grass co-founder Ben Starmer said it’s the perfect partnership since his company is all about the classics.
“Instead of following trends, we’re kind of a throwback to the good old days,” he said. “We keep things easy and dependable. Never fancy or complicated. The way smoking grass used to be back when George recorded his 1970 album All Things Must Pass.”
(George Harrison, since he is deceased, had no comment.)
CALLING BS
US cannabis lab-testing plagued by fraud
Each legal cannabis state has its own approach to lab-testing, which has created some “striking inconsistencies,” writes Cindy Orser, PhD, in an op-ed for Cannabis Industry Journal, such as which pesticides and how microbial contaminants are tested for.
And without federal oversight, some commit varying levels of fraud, such as:
- “Collusion” with cultivators and processors to inflate THC potency
- Agreeing to give pass for contaminants to retain clients
The takeaway
Working to change consumer attitudes toward THC potency could help, suggests the author. So could enforcing lab standards.
SHOW ME THE EURO
European cannabis anticipating more North American investment
Tilray, Aurora, Canopy and Curaleaf have already invested in European cannabis, reports BusinessCann.
But some of them, like Canopy Growth, have already divested some of their Europe-based assets, opening the doors for new players to enter the landscape.
- Little Green Pharma bought a Danish facility from Canopy for approximately €15 million below market value
- Canopy also sold C3 Pharma at a loss of approximately 60% of what it paid in 2019
In addition to Curaleaf’s 2021 acquisition of EMMAC Life Sciences for €300 million, Prohibition Partners estimates that another €180m in investments came into Europe last year from North America.
