CFN Media Group (“CannabisFN”) annouced publication of an article covering The Hydropothecary Corporation’s recently signed letter of intent to supply its home province of Quebec with 20,000 kilograms of cannabis products in the first year of legalization. That is the largest supply agreement announced in Canada to date, and the company says it is just the beginning.
According to Deloitte, Canada’s cannabis industry is projected to reach C$22.6 billion over the coming years. With recreational cannabis expected to be available by mid-August, provinces have been crafting the rules that will govern the distribution, sale, and consumption of cannabis within their borders. These rules will vary widely between provinces, with some adopting a public retail model and others choosing a public-private retail system.
Quebec has opted for the public model and has tasked the provincial liquor authority, the Société des alcools du Québec (SAQ), with setting up the public corporation responsible for cannabis retail and distribution, the Société Québecoise du Cannabis (SQdC). The SQdC will be the only cannabis retailer in the province, operating from both physical locations and an online store. Starting with 15 stores, the SQdC is expected to rapidly ramp-up to 150+ stores in the first two years.
With Quebec expecting to sell just under 58,000 kg of cannabis in the first year of legalization, Hydropothecary’s letter of intent for 20,000