Cannabis Industry Growing Rapidly In Canada Since The Legalization Of Recreational Use
A year ago Canada legalized recreational use marijuana sales. As the country marks the first anniversary approximately 1.5 million people have used legally purchased marijuana in that period. In the next five years, the total could reach around 7.3 million adult users.
The legalization of recreational cannabis presented huge opportunities for cannabis companies to earn even more. Canada has been at the forefront of legalizing cannabis use and this month they launched the Cannabis 2.0 products. This is a huge potential for companies such as Chemistree Technology Inc. CHMJF, Choom Holdings Inc. (OTCMKTS: CHOOF) and BevCanna (OTCMKTS: BVNNF)
Leveraging the recreational use market through expansion of operations
These emerging companies have already positioned themselves strategically in the cannabis market ready to reap the benefits. For instance, Choom recently announced that it had secured a leading retail network in Canada. The company announced that a retail licensee in Alberta was opening a cannabis retail outlet under the umbrella of the Choom brand. The company has been expanding its operations following the legalization of recreational cannabis in a bid to cut a larger market share in the segment.
Chemistree is another company that is riding on the legalization of adult-use cannabis. It has been expanding operations aggressively in areas such as Washington, California and New Jersey in anticipation of federal legalization in the US. Recently the company’s subsidiary announced that it was partnering with Applied Cannabis Sciences as it looks to expand to New Jersey. The company is looking to take its sugarleaf brand beyond California and Washington in the US to New Jersey.
As the industry grows and expands most of the cannabis companies are also growing their sizes through acquisitions and partnerships. In light of this BevCanna, a company that focuses on the manufacture and distribution of CBD infused products recently announced a supply partnership with Nextleaf Solutions (OTCMKTS: OILFF). The company has built a portfolio of global brands that have been successful in the market.