Canadian CANNAINVESTOR Magazine July / August 2018 | Page 337

337

Very few

Licensed

producers in

Canada are producing organic

for that reason alone. All the rigorous testing and

quality assurance measures involved make it a less formidable cash cow. Certain cannabis companies

seem to be embracing that fact, giving reason to as why Organic cannabis

generates a 26%+ premium compared to non-organic cannabis. (SOURCE: CannStandard) But those statistics have no relation to recreational market. Many anticipate that this premium will skyrocket with the introduction of legal concen-trates and edibles in the not so distant future. Not everyone is sold that his will lead to a huge increased demand for organic cannabis.

Organic products will defiantly further themselves as material differentiators in concentrates and edibles but it’s essential that they need to establish a medical consumer base. Unlike organic cannabis, it’s rumoured when the cannabis extraction process occurs, pesticides & harmful solvents become concentrated as well. That’s why natural product preferences will weigh heavily on the minds of today’s cannabis consumers. Giving those companies producing organic certified cannabis a competitive advantage over the competition for decades to come. But do they really have an advantage over its top shelf competitors?

The main differentiator when selling cannabis is and will always will be Quality. Going the organic route may have unintended consequences to that of the overall quality of the cannabis. Many black market growers shun any ideas of organic nutrients and growing techniques. For one, the production cost associated are much higher. And two, the yields & THC, CBD, Terpene content tend to be much lower in mass production. Now, beyond simple black market grows. Some Master growers argue anything organic can essentially be emulated with proper flushing and proper curing techniques which brings into question organic cannabis altogether. Should there really even be such a thing?