British Columbia Legal Cannabis Sales Surge Amidst Challenges
British Columbia (B.C.), Canada, has experienced a remarkable 40.9% increase in grams sold of legal cannabis, reaching a total of 33,879,347 in the quarter ending September 30, 2023. Despite this growth, the industry is grappling with fierce competition, leading to an 11.7% year-over-year decline in average prices.
Key Points:
- Market Growth: B.C. experiences a substantial surge in legal cannabis sales, reporting an impressive 40.9% increase in grams sold.
- Price Pressure: Despite the surge in sales, average cannabis prices witness an 11.7% year-over-year decline, impacting overall revenue growth.
- Competition Rise: The British Columbia Liquor Distribution Branch (BCLDB) reports an 8.4% rise in legal cannabis stores in B.C. over the past year, reaching a total of 490.
- Consumer Behavior Shift: Crimped household budgets during the pandemic led consumers to buy in bulk for discounts, impacting sales frequency and product choices.
- Taxation Challenges: High taxes pose challenges for legal cannabis businesses to compete with the illicit market, affecting profitability, reported BIV.
Amidst these challenges, major players such as OrganiGram Holdings Inc, Rubicon, and Village Farms International Inc, along with Cronos Group Inc, have played significant roles in shaping the market dynamics.
Regulatory Shift in the Asia-Pacific Cannabis Sphere
Recent regulatory updates in the Asia-Pacific cannabis sphere spotlight Australia’s Therapeutic Goods Administration (TGA), which has revamped medicinal cannabis advertising guidelines.
Notable points include:
- TGA’s Overhaul: TGA’s major rewrite clarifies advertising rules for medicinal cannabis under the Therapeutic Goods Act 1989.
- Contextual Emphasis: TGA stresses the pivotal role of context in determining advertising, cautioning against references, such as ‘plant-based medicine,’ that subtly promote medicinal cannabis.
- Health Services Advertising: New guidelines discourage health service ads referencing prescription-only medicines, urging clinics to focus on services like pain management.
- Exclusive Health Professional Promotion: TGA permits advertising exclusively to health professionals, emphasizing restricted public access to such materials.
In a related development, Clever Leaves Holdings Inc. has secured Australian GMP certification for its Colombian facilities from TGA, further expanding the global cannabis regulatory landscape.
Antigua and Barbuda Cannabis Committee Calls for Legislative Review
Antigua and Barbuda’s Effect of Marijuana Committee is conducting a focused review on marijuana’s impact, with specific attention to its effects on youth.
- The committee, consisting of professionals from diverse backgrounds, aims to recommend revisions to the government, addressing challenges since the substance’s decriminalization in 2018.
- Key areas for reconsideration include the 15-gram allowance, provisions for growing four plants, and regulations limiting marijuana smoking to private residences.
- The committee anticipates releasing its findings in nine months, aiming to inform and guide the government’s approach to cannabis legislation on a global scale.
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