Cannabis price 'race to the bottom' hurts market's future: OCS CEO

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The head of Ontario's cannabis distributor says the 'race to the bottom' happening with pot prices risks hurting the market's future.

The head of Ontario's cannabis distributor says the "race to the bottom" happening with pot prices risks hurting the market's future.

To stay competitive, cannabis producers have been dropping prices. Statistics Canada said a gram of legal cannabis cost $10.29 on average in 2019, whereas the OCS had some dried flower products selling for under $4 this week. "It's the same product, same terpene, same supplier, same manufacturer, same secondary package and label supplier. There's a lot more money being made down there."

Lobo also used his speech to warn that five years after legalization, the industry doesn't know how it would fare in some crisis times."What happens if we have a major recall resulting from adverse product reactions, negatively impacting the health of many Canadians?"

 

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