Article by Leaf News
Canada’s two biggest legal cannabis producers both reported financial results to investors this week. Other than growing tons of weed with Ottawa’s approval, the reports show Canopy Growth and Aurora Cannabis have something important in common: both companies want to sell as much marijuana as possible outside their home country.
That might seem surprising, since the Canadian market for legal recreational cannabis market is still so new. But Canopy Growth is already operating to some degree in foreign countries including Germany, Denmark, the United Kingdom, Poland, Spain, Jamaica, Australia and Brazil.
Aurora has also been spending big money to set up medical marijuana operations in many of those same jurisdictions — for example, the company’s latest management discussion and analysis document touts its plans to acquire a drug manufacturer and distributor in Mexico. All told, Aurora says it’s now operating in 23 countries around the world.
Understanding the value of international markets to these two cannabis behemoths is as simple as reading two numbers in Canopy Growth’s latest MD&A. In the last quarter, Canopy’s average sales price for recreational cannabis in Canada was $6.96 per gram. But medical cannabis sold internationally was worth far more: $13.28 per gram.