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ILLEGAL WEED GETTING CHEAPER, LEGAL PRICES RISING

According to Statistics Canada, the price of illegal cannabis is going down attracting more buyers, aswhile the price of legal product is going up.

  • In Stats Can’s Q2 2019 Crowdsourced Cannabis Prices numbers, 59% of respondents bought illict cannabis, over 55% in Q1.
  • The number who said they chose illicit cannabis because legal product was too expensive increased to 34% from 27% in Q1.

Deloitte analyst Rishi Malkani noted, “The fact of the matter is everyone is just using vapeable oils right now and those are only available through the illegal market. After December when you’ve got people filling the gap in products available in the illegal and legal markets, you’re going to see another big push to the legal channel like you did when dried flower first became legal.”

  • The average price of illicit cannabis across Canada was $5.93, down from $6.23 in Q1, while the average price of legal cannabis increased to $10.65 from $10.21. The difference between averages prices is 80%.
    CBC Business, Vancouver Sun
  • Much of the illicit dry flower available on Mail Order Marijuana sites is of significantly higher quality than many LP products, a friction that grower Ryan Lee considered the greatest impediment to the legal market. He asked, “Do we really expect Canadians to consume an inferior product because it is legal & avoid breaking the law?”
    National Magazine, Twitter

Quick Hits

  1. A Vancouver moviegoer said he was “shocked” to see an ad from Canopy showing someone rolling a joint. Chris Whelan doesn’t think ads should be shown before movies anyway, but opposes cannabis ads because he was “brought up thinking that this is something you don’t do openly.” The Cineplex VIP cinema said they only showed cannabis ads before movies classified as “Restricted,” barring minors.
    CBC Vancouver

  2. A Twitter user noticed WeedMD‘s product pages disappeared from the Ontario Cannabis Store website, and were replaced by their new REC brand Color Cannabis “at a ~20% price increase.” Twitter—WhatsMyPot
  3. For those looking to buy environmentally sound cannabis, here’s a breakdown of percentages of clean energy and organic output for Canada’s six “greenest” companies.
    Corporate Knights