As outdoor cannabis licences nearly double in 2020, growers say they don’t expect pandemic-related delays for the coming planting season — and some analysts are predicting the increase of low-cost production will create an oversupply scenario in Canada’s weed market this summer.
Last year, Health Canada awarded outdoor licences to a small crop of cannabis companies, with just enough lead time before the spring planting season.
But the federal agency told Mugglehead that as of April 30 it had issued 363 cannabis licences in total. Forty-six of them authorize companies to grow weed outdoors. Twenty of the outdoor licences were granted in 2020.
Of the 46 licences that include outdoor cultivation: 28 are for standard cultivation, 15 are for micro cultivation and three are for nursery cultivation. Health Canada’s most recent statistics show that licensed outdoor canopy exceeded indoor for the first time last November by 450,000 square metres. The agency says it still has 70 applications in-queue that include an outdoor area.
Read more at mugglehead.com