The first cooperative of cannabis growers will open in Canada
In the city of Taber, the first Canadian Grassland Taber Cooperative (GTC) cannabis grower cooperative will open on an area of 25 hectares. The complex will consist of farmland, a processing plant, and a research center.
The future of the Canadian cannabis industry for craft products
Large Canadian hemp companies record a further drop in revenue. Revenue Canopy Growth in the second fiscal quarter of 2020 decreased by 15% compared with the first trimester (from 68.3 to 57.8 million dollars). Unsatisfactory results of the enterprise’s commercial activity led to a massive sale of securities: the stock price fell by 14% from November 13 to 14, while over the past six months, the decline was 67%.
The director of the cooperative Lindsay Blackett believes that large enterprises suffer losses due to illegal dealers: “Only small and medium-sized businesses can compete with the black market. We are going to produce craft marijuana, which is in high demand among consumers.”
According to Blackett, the project will need to invest from 70 to 100 million dollars. The company plans to attract 20 cannabis growers and 10 processing plants that will produce different types of goods: from marijuana to non-psychoactive food. Farmers will receive at least $ 6 per gram of marijuana, in addition, the cooperative will provide cultivators with equipment, electricity, water, and seeds at no cost.
Hemp cooperative will contribute to economic development
GTC will be located in the Eureka industrial park with a developed infrastructure, so the company will save on operating costs and will be able to cooperate with neighboring institutions. On the territory of the object, they plan to build a restaurant, shop and craft shops. Now the leadership of the cooperative is in talks with the Canadian Ministry of Health on the issue of obtaining a license for the cultivation and processing of cannabis. Blackett hopes that the company will open in April 2020, and the first crop will be harvested by the beginning of 2021.
Taber Mayor Andrew Prokop believes that the establishment of hemp cooperatives is an innovative method of stimulating economic growth. In an interview, he said: “The main tasks indicated in the strategic plan of the city include community development and production growth. We are pleased that Taber will be at the forefront of innovation and collaboration. The city’s cooperation with the cooperative will be synergistic due to the existing agricultural base ”
The director of GTC said that the company will pay special attention to the production of food products with cannabinoids, which were legalized on October 17, 2019. According to Blackett, the volume of trade in these goods will reach $ 5 billion by 2024.