October 17th is the day when cannabis is set to be legal in Canada. However, there is a more sinister plot where the weed cartel and the government are working together. This has been observed for years, a silent partnership is obvious when you look at it. Big money is involved and many people’s livelihoods are at stake.
Costs of Growing Weed
These are the estimated prices for growing weed in these environments. These are factoring in for labor, electricity, supplies, equipment maintenance, licensing fees, etc.
$1.2-$2/ gram for indoors
$0.75/ gram for green house
$0.24/ gram for outdoors *Canada is proposing that weed be able to be grown outdoors.
THC VS. CBD
Cannabis is composed of both THC and CBD compounds. These are the chemical compounds which natural weed has. The legal weed that’s on the market when measured by scientists contain only THC. Some still have small traces of CBD.
Why did they breed CBD out from these strains?
Because CBD has many health benefits associated with it and counterbalances the psychosis that occurs when the user smokes the weed. With the absence of CBD, there is only THC.
With only THC, marijuana is more addictive and causes psychosis. That is why users feel that most of the weed is really strong when compared to years ago. This is because of the absence of CBD in the strains.
They purposely bred strains to get more people addicted to weed. As you can see, the government really wants to capitalize on this by getting more people addicted. The big weed corporations and the government are working hand in hand with the big growers going for a monopoly and the government getting rich from taxation.
Prices of Weed
Much like the oil cartels control the output and prices, a new weed cartel was quickly established. They work hand in hand with the Canadian government to suppress prices to price the smaller growers out of the market.
Setting the prices low is a strategy to kill the illegal dealers and the smaller growers. By keeping prices of legal weed low, the users will start migrating from purchasing weed from the illegal dealers to the legit dealers. Only the big players can do this because they can flood the market. That’s why the big players work together to control the pricing of the market.
With these players holding the power, the illegal growers now have to compete with their pricing. The retailers are having a blast while the people who produce the cannabis are having a silent war.
10 years ago, prices per pound hovered around $3200-$3600. Now the prices per pound hover around $1500-1800. Now do you see why the small growers are suffering? They’re getting priced out of the market. The bigger growers can grow more quantity, which makes up for their losses, the smaller growers can’t.
Marijuana growers in Canada are licensed every 2 years, they need to be registered with the CRA and report their output to them, they also have to be registered with Health Canada. This license expires every 2 years and growers must get re-licensed every 2 years. There are a lot of licenses that are out right now but in the future, the government has no guarantees of re-licensing them all. After 2 years, it may be time to say bye-bye to many of the smaller growers.
Weed in Liquor Stores
The liquor stores here in Canada are run by the government. Legal weed will be sold in these government liquor stores. The government will also sell weed online using Shopify and will have delivery services. Alcohol is highly addictive and with the new legal weed containing only THC, it will be highly addictive as well.
We can no longer stop legal weed in Canada. The only lucrative market for illegal growers is to export it south to America or overseas. Illegal growers shouldn’t try to compete on prices in Canada anymore but should look to growing specialized strains which aren’t available on the legal markets.
When the Canadian government fully legalizes weed, there are rumors that some strains may be cut. If this happens, the illegal growers can still grow these strains and sell them on the black market. The retailers are profiting like crazy right now but without these growers, what will the market look like. We need to look at the bigger picture with where this is heading.
The government is stepping onto the scene and is trying to control things. There is a way to control the government and we are working on that right now. It will be an interesting series of events.