Canadian Cannabis: I'm not mad. I'm just... DISAPPOINTED
Salutations~
In just a few days time, we will be celebrating one year of legalized cannabis in Canada and it is starting to feel like it has been a bit of a let down for me. And I don't think I am the only one.
I mean- Yeah- Its awesome to be able to go to the store and pick up a few grams for the weekend when you're in a pinch. But what has become the norm these days- is one of two things: decent quality product with high prices and low availability, or low-mid grade product that has been sitting in storage for up to a year. ( also with high prices.)
There are quite a few gripes that customers have had since day one, that have still not quite sorted themselves out yet.
Excessive packaging, lack of volume discounts, inconsistent availability, inability to view product before purchasing, poor quality control, rushed harvesting / curing methods, sky high prices with low cannabinoid percentages and a lot of sub-optimal product have marred what should have been an overwhelming success story of legalization this year.
Provinces are still struggling with granting licenses to brick and mortar locations where consumers are able to access product without having to order online from government owned purchasing platforms. Ontario- Our most populated province has managed to lose over $42 Million during their first year, and are now contemplating getting out of the wholesale business altogether.
It is estimated that eight out of every ten dollars being spent on cannabis in Canada is going to non-taxed revenues, be them grey market dispensaries, mail order marijuana companies or into the pockets of local dealers in every community between Vancouver and St. John's.
Initial estimated sales at this point last year were forecast to displace 40% of black markes sales or approximately 5.7 Billion CDN. Legalized sales have only accounted for just under 1B$ this year, far lower than pundits initially predicted. The once promising cannabis sector has turned into a minefield for investors with "Rapid Panic" setting in as shares plummet.
BNN Bloomberg: Cannabis Gold Rush Falling Short Against Lure Of Cheaper Black Market Pot Say Analysts
Why are Canadians not buying into the legalized industry? Because its often not as desirable and its not nearly as cheap. When there is next to no price reduction for purchasing in larger quantities and with national prices averaging at 10.23$/g in the legal market, it is hard to compete with 100$ ounces delivered discretely to your door by MoM.
The Health Canada July 2019 Supply and Demand report showed a reported backstock of over 350,000Kg of dried cannabis and over 165,000 Liters of cannabis oil (!!!). I can only imagine this number has skyrocketed as more Licensed Producers are coming online every month.
I understand that scaling and rollout prices will be higher during the first year(s) and I am sure we will see some more competitive pricing schemes in the near future, but I don't think this can come fast enough for the majority of Canadians. Locally here in Manitoba- Our prices have actually INCREASED in the last few weeks, with few new products being introduced. I haven't done a review in over a month, due to lack of new / exciting products to try.
With Phase 2 of legalized cannabis products expected to rollout in the next 2 months; Edibles, topicals and concentrates will soon displace a further portion of the current market for dried flower product - and if analysts in Colorado have anything to predict- Is that the market for dried flower will decline sharply in the coming years.
My predictions for 2020: Massive boom in distillate products for vaping. A terrible sales record for edibles due to restrictive THC limits, while CBD beverages end up in every convenience store. Many companies will be bought, sold and consolidated as the financial pressures of a competive marketplace become too much for investors and smaller companies. Craft cannabis will get better and more expensive while home growers finally gain access to genetics that aren't from Tweed.
What will Critical Bowl become in 2020? A more critical look in my reviews as it's high time that companies step up their game to compete with the micro cultivators and seed banks that are winning Cannabis competitions in California, Colorado and the Netherlands. I am excited to write about legal rosin and Full Specturm Extraction products to arrive and hopefully bring a bit of pride to the legal Canadian cannabis market. And I am definetly excited to hopefully get seeds into soil and start my own growing journey... What will your 2020 be bringing you?
Cheers to you this weekend and be thankful that we've come this far. It can only get better!
In just a few days time, we will be celebrating one year of legalized cannabis in Canada and it is starting to feel like it has been a bit of a let down for me. And I don't think I am the only one.
I mean- Yeah- Its awesome to be able to go to the store and pick up a few grams for the weekend when you're in a pinch. But what has become the norm these days- is one of two things: decent quality product with high prices and low availability, or low-mid grade product that has been sitting in storage for up to a year. ( also with high prices.)
There are quite a few gripes that customers have had since day one, that have still not quite sorted themselves out yet.
Excessive packaging, lack of volume discounts, inconsistent availability, inability to view product before purchasing, poor quality control, rushed harvesting / curing methods, sky high prices with low cannabinoid percentages and a lot of sub-optimal product have marred what should have been an overwhelming success story of legalization this year.
 |
| Highest Priced Cannabis In Canada |
It is estimated that eight out of every ten dollars being spent on cannabis in Canada is going to non-taxed revenues, be them grey market dispensaries, mail order marijuana companies or into the pockets of local dealers in every community between Vancouver and St. John's.
Initial estimated sales at this point last year were forecast to displace 40% of black markes sales or approximately 5.7 Billion CDN. Legalized sales have only accounted for just under 1B$ this year, far lower than pundits initially predicted. The once promising cannabis sector has turned into a minefield for investors with "Rapid Panic" setting in as shares plummet.
BNN Bloomberg: Cannabis Gold Rush Falling Short Against Lure Of Cheaper Black Market Pot Say Analysts
 |
| Statistics Canada July 2019 |
Why are Canadians not buying into the legalized industry? Because its often not as desirable and its not nearly as cheap. When there is next to no price reduction for purchasing in larger quantities and with national prices averaging at 10.23$/g in the legal market, it is hard to compete with 100$ ounces delivered discretely to your door by MoM.
The Health Canada July 2019 Supply and Demand report showed a reported backstock of over 350,000Kg of dried cannabis and over 165,000 Liters of cannabis oil (!!!). I can only imagine this number has skyrocketed as more Licensed Producers are coming online every month.
I understand that scaling and rollout prices will be higher during the first year(s) and I am sure we will see some more competitive pricing schemes in the near future, but I don't think this can come fast enough for the majority of Canadians. Locally here in Manitoba- Our prices have actually INCREASED in the last few weeks, with few new products being introduced. I haven't done a review in over a month, due to lack of new / exciting products to try.
 |
| THC "Diamonds" |
My predictions for 2020: Massive boom in distillate products for vaping. A terrible sales record for edibles due to restrictive THC limits, while CBD beverages end up in every convenience store. Many companies will be bought, sold and consolidated as the financial pressures of a competive marketplace become too much for investors and smaller companies. Craft cannabis will get better and more expensive while home growers finally gain access to genetics that aren't from Tweed.
What will Critical Bowl become in 2020? A more critical look in my reviews as it's high time that companies step up their game to compete with the micro cultivators and seed banks that are winning Cannabis competitions in California, Colorado and the Netherlands. I am excited to write about legal rosin and Full Specturm Extraction products to arrive and hopefully bring a bit of pride to the legal Canadian cannabis market. And I am definetly excited to hopefully get seeds into soil and start my own growing journey... What will your 2020 be bringing you?
Cheers to you this weekend and be thankful that we've come this far. It can only get better!
 |
| MacStomper OG- Gage Green Group U.S.A. |
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