Canadian health-related cannabis exports tripled in 2018

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Exports of health-related cannabis from Canada soared final year as the country’s largest licensed cannabis organizations continued to establish beachheads in new health-related markets overseas.

Shipments of dried cannabis tripled to 1,460 kilograms (three,219 pounds) in 2018, compared with 500 kilograms in 2017 and only 44 kilograms in 2016.

Exports of health-related cannabis oil doubled final year to 920 liters (240 gallons), compared with 430 liters in 2017 and 100 liters in 2016.

No health-related cannabis was exported from Canada in 2015.

The expanding exports come as Canadian organizations appear to safe market place positions in nations that lately legalized health-related marijuana and other people with maturing markets.

It is also indicative of expanding demand for health-related cannabis in nations that at the moment have no capacity to cultivate their personal health-related cannabis or create their personal solutions, such as Germany.

Having a slice of that demand is a core element of the technique for lots of publicly traded Canadian cannabis firms, whose lofty valuations are largely primarily based on international sales expectations – sales that as a result far stay incredibly low.

Nations with newly legalized health-related markets typically rely on imports to meet demand as they create cultivation capacity and establish regulatory structures.

The all round health-related cannabis exports probably rank Canada third in worldwide exports, behind the United Kingdom (dwelling to Sativex-maker GW Pharmaceuticals) and the Netherlands, dwelling to Bedrocan, which is authorized to export 1,500 kilograms of health-related cannabis to Germany annually.

Bulking up overseas

Exports from Canada could tail off via 2020, as Canadian firms develop out significant cultivation infrastructure overseas that will at some point supplant the country’s international shipments.

Alberta-primarily based Aurora Cannabis expects the initial “saleable” harvest from its Nordic 1 facility in Denmark to be prepared in mid-2019. These sales will be aimed at the booming German market place.

The initial phase of Aurora Nordic 1 is 100,000 square feet. The second phase, a 1 million-square-foot expansion, is below building.

Rival Canopy Development of Ontario expects to begin shipping health-related cannabis from its Odense, Denmark, facility in September.

Canopy subsidiary Spectrum Cannabis Denmark’s 430,000-square-foot greenhouse currently has a cannabis production license from the Danish Medicines Agency, Laegemiddelstyrelsen.

Tilray mentioned it completed a harvest of health-related cannabis at its European Union campus in Cantanhede, Portugal, and expects a number of harvests in the coming months.

The British Columbia-primarily based but American-owned organization mentioned it started production at Tilray Portugal with a view toward facilitating exports to nations in the European Union from there rather than from Canada.

For its element, Cronos Group’s exports from Israel could be on the horizon. The Ontario-primarily based organization launched a joint venture there in 2017 for the production, manufacture and distribution of health-related cannabis.

Cronos Israel is constructing a Phase 1, 45,000-square-foot greenhouse that is anticipated to create up to five,000 kilograms of cannabis annually. Anticipated completion is the initial half of this year.

Its 17,000-square-foot manufacturing facility is anticipated to be completed in the second half of 2019.

Matt Lamers can be reached at [email protected]

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