Pot sector's 'teething pains' to lower sales by 30%: Scotia [Business News Network (BNN) Energy & Resources (Canada)]
Bank Nova Scotia Halifax Pfd 3 Ordinary Shares (BNS)
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Source: Business News Network
Pot sector's 'teething pains' to lower sales by 30%: Scotia Canada’s legal cannabis industry continues to undergo “teething pains” in the early days of legalization as analysts at the Bank of Nova Scotia lowered their pot sales expectations this year citing “temporary logistics issues.” Scotiabank analysts Oliver Rowe and Ben Isaacson published a research note Wednesday reducing its forecast of Canadian recreational sales in 2019 by 30 per cent, due to a variety of supply-chain issues including packaging and processing constraints, Health Canada inspections, and potential quality issues. “As we expect these issues, particularly the limited retail presence in key provinces, to continue through 2019, we have reduced those volumes by 100 metric tonnes, or 30 per cent of legal demand,” Scotiabank said. Total cannabis demand in Canada is forecast to be 900 metric tonnes this year and should climb to 1,100 metric tonnes in 2020, Scotiabank said. Of that total demand, the black market should
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