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CannTrust, ‘leading’ medical cannabis provider, halts sales amid Health Canada probe


CannTrust, which describes itself as a “leading” provider of medical cannabis, has voluntarily halted all sales and shipments of its product after Health Canada found that it was growing cannabis in five unlicensed rooms and after the ministry received inaccurate information.

The company has also set up a special committee to investigate the matter.

CannTrust is doing this as a “precaution” as Health Canada investigates the company’s facility in Vaughan, Ont., a company release said Thursday.“CannTrust is working closely with the regulator through the review process and expects to provide further detail of the duration of the hold and other development as they become available,” the release added.

The moves come after the company said it had placed a hold on over 5,000 kg of dried cannabis that had been grown in unlicensed rooms at a facility in Pelham, Ont. between October 2018 and March 2019.

The company had applications for the rooms pending with Health Canada at the time.

CannTrust announced on Monday that it had placed a hold on approximately 7,500 kg of dried cannabis equivalent at its facility in Vaughan. That product had been produced in the unlicensed rooms in Pelham, CannTrust said.

The Ontario Cannabis Store announced Wednesday that it was pulling some of the company’s products from online sales, and from being shipped to brick-and-mortar stores, as Health Canada investigated.

Any customers who had ordered CannTrust product were eligible for refunds if the products were returned unopened within two weeks of delivery.

CannTrust serves over 72,000 medical patients with dried, extract and capsule products, it said in the release. The company operates a harvest facility in Pelham and a manufacturing facility in Vaughan.

 

 

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Canadian pot prices rise 17% after legalization

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Canadian first-mover cannabis advantage at risk from fast-growing U.S. firms

Canadian pot companies are beginning to face a growing threat from their southern neighbours. Bloomberg reports that the global advantage Canadian pot companies have enjoyed is on shaky ground given domestic sales limitations and exclusion from the huge potential of the U.S. market, as some U.S. multi-state operators begin to gain ground. That means Canadian licensed producers risk missing out on a market that’s estimated to be worth US$22 billion in legal spending by 2022. Canadian sales are forecast to reach US$3.8 billion by then. Meanwhile, several Canadian firms have established international operations in Europe and South America, but that isn’t really a substitute for U.S. growth, according to one leading cannabis investment banker tells Bloomberg.

Aurora boosts size of Alberta pot production facility by one-third

Aurora Cannabis may soon have the biggest pot production facility in the world. The company said Wednesday it is boosting the size of its Medicine Hat, Alta. high-tech Aurora Sun facility by one-third to 1.62 million square feet as the firm seeks to ramp up production amid growing global demand for medical cannabis. The increased size would boost production to more than 230,000 kilograms of cannabis per year, Aurora said, adding it expects Aurora Sun to complete construction by the end of the year.

Average cost of a gram of Canadian pot up by 17 per cent: Statscan

A crowd-sourced survey compiled by Statistics Canada found that the cost of a legal gram of cannabis in Canada appears to be rising as illegal cannabis prices drop. The data, which was compiled using 1,129 new submissions, 936 of which passed the editing and screening process, found that the average cost of dried cannabis has gone up by more than 17 per cent since legalization. Canada’s national statistics agency said the unweighted average price per gram of dried cannabis from both legal and illegal sources combined was $8.04 post-legalization. That legal price, which includes online and in-store purchases, amounts to approximately 17.3 per cent more than the pre-Oct. 17 price of $6.85 which included black market and medical marijuana pricing.

https://www.bnnbloomberg.ca/cannabis-canada-daily-canadian-pot-prices-rise-17-after-legalization-1.1242607