How e-growing platforms will reshape the medical cannabis market
|Canada was one of the first countries in the world to announce the legalization of medical cannabis and intended to be the largest manufacturer of drugs on its basis. However, the country hasn’t been moving forward on global cannabis production over the past three years, and millions of dollars allocated to expand the industry have been wasted by companies licensed to cultivate the plant. At the same time, Canadians continue to buy cannabis-containing drugs on the black market. Can Canada become a center for medical cannabis production? Let’s get to it.
Canada vs Europe: where is more lucrative to cultivate cannabis
Canada announced a legalized production of cannabis in 2018 and almost immediately started working on certified farms to produce high-quality primary products. But so far, medical cannabis from Canada has not gained mass acceptance. Conversely, the product manufactured by many farms wasn’t of the best quality: the buds were contaminated with bacteria and some of them were moldy. In other words, the product was far from GMP standards.
Thus, Canada simply could not compete with manufacturers in Latin America and Europe, where the finished primary product was of high-quality and several times cheaper. Today, Germany is the European center for medical cannabis manufacturing with an import of 9,249 tons in 2020.
Moreover, the domestic manufacture of medical cannabis is rapidly developing in the country. Local companies use the so-called Crowdgrowing model to combine cannabis cultivation and monetary benefits for the supporters.
This revolutionary model developed by Juicy Fields. Allows anyone to join one of the most profitable and fastest growing businesses in the world. Only Internet access is required. Actually, users invest through JuicyFields platform in support of medical cannabis farms and cultivators, then they benefit from the product sale with a possibility to withdraw profits in fiat or crypto.
Each partner’s facility participating in the crowdgrowing on the JuicyFields platform is licensed and complies with GMP/EU GMP, GACP standards and the infrastructure to support.
With headquarters in Europe, JuicyFields applies strict quality standards for cultivating only medical cannabis at licenced greenhouses around the world and for providing platform users the benefit after the plants are harvested and sold. Currently, the company partners are leading agricultural companies and experts in jurisprudence, science and marketing.
The company harvested in excess of 37 tons of medical cannabis on the territory exceeding over 150,000 sq m. in the first quarter of 2021 alone. According to founder and CEO, Alan Glanse, the growth has only just begun and “the company’s major goal is to be listed in the TOP 5 cannabis producers by 2025 along with such giants as Curaleaf, Trulieve Cannabis, Canopy Growth и Green Thumb Industry. We aim to produce not less than 379 tonnes of cannabis and become the number one brand among psychoactive medical and recreational cannabis products”.
How Crowdgrowing platform development will affect the black market
Using the Crowdgrowing model can indeed help develop a legal market for medical cannabis. However, if you compare the Europe and Canada markets, then serious differences can be seen. As of today, the Canadian market is saturated with high-priced, poor quality products. A flood of government-issued licenses has opened the doors for startups and entrepreneurs into the market. But distinct product quality standards have not been established yet. In 2018, 129 medical cannabis sales and cultivation licenses were given out by Health Canada versus 540 licenses issued in 2020 and yet the black market prevails. It’s because the quality of products on the black market is higher than legalized companies have.
Such companies like JuicyFields, are building the bridges between the demand and the legal market, by providing the opportunities for new entrepreneurs to join the legal side, creating high quality initial products that are highly attractive to customers and patients. It is likely that companies with such a model will quickly drive out Canadian manufacturers from the market, creating a new environment for quick and legal earnings.
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