Canadian growers turn to new crops amid cannabis glut

Added on 20 October 2023

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Canadian growers turn to new crops amid cannabis glut

Some of Canada’s largest cannabis cultivators are turning to vegetables, fruits and orchids to bolster their bottom line as macroeconomic fundamentals continue to challenge the struggling industry.

The latest licensed producer to enter the food business is Leamington, Ontario-based Tilray Brands, which recently said it was converting part of its sprawling facility in Gatineau, Quebec, to grow fruits and vegetables.

Tilray joins Alberta-based Aurora Cannabis and British Columbia-headquartered Village Farms International in diversifying their main business at a time when a glut of marijuana has sent wholesale prices tumbling.

Last year, Aurora branched into the vegetable propagation and ornamental flowers business with its acquisition of Bevo Agtech, one of North America’s largest suppliers of flowers and vegetable seedlings, for 45 million Canadian dollars ($35 million).

“Everybody’s trying to figure out what to do with (the greenhouses), and you’re never going to get all your money back,” Aurora CEO Miguel Martin told MJBizDaily in a phone interview.