Cannabis stocks could face a new boom
There are special cannabis clinics in Canada and the plant has been used there for medicinal purposes for some time. The fact that the acquisition of cannabis will now be legalised in Canada from 18 October on, is already a sensation. Purchase, cultivation and possession are then permitted. In 2013, Uruguay began lifting the ban by allowing cannabis use under state control.
But Canada isn't just any small country. According to Health Canada's data, the market for medical devices is growing strongly, so there is also great potential in the neighboring USA. An average annual growth rate of 29 percent is expected between 2014 and 2020. Mind you, only for medical purposes.
Canada's move towards legalisation could also encourage other countries to relax or lift the ban on cannabis. If investors are considering investing in the cannabis industry, they should nevertheless pay attention to the quality of the companies. After all, many companies have sprung up that have hardly any market opportunities and thus also no stock market opportunities.
The Canadian Cannabis Conference in Frankfurt on 21 and 22 October will provide an opportunity to find out more. This is the first of its kind and German investors and Canadian cannabis companies meet.
Canada's largest producer of organic cannabis is the Green Organic Dutchman Holdings. The cultivation facilities are located in Ontario, Quebec and Jamaica or are being built or expanded there. For medical purposes, the company may also deliver to Germany. The acquisition of HemPoland will allow Green Organic Dutchman to generate immediate revenues.
Another interesting company in the industry is Ravenquest BioMed, a licensed cannabis producer with sites in Ontario and Alberta. Ravenquest BioMed maintains a research partnership with McGill University in Montreal. The annual production target is 7,000 kilograms of cannabis.
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