RE:Ok, Starsearch40How are they selling for 7 per gram in the rec world? Those are medical direct sales prices. From their last MD&A:
"Average sales price per gram was $8.30 for the third quarter, as compared to $7.36 last year in the same quarter and $7.99 in the second quarter of fiscal 2018;"
So they are actually up, which is great to see, but the majority of rec is going to be wholesale, which will not be near 7. This is not something against canopy, but rather something all the lps will face.
I saw
this post here last week:
Sales: Recreational: 200,000,000 gm @ $$5.50/gm; cost @ $2.10/gm Medicinal: 9,000,000 gm @ $8.10/gm; cost @ $2.5/gm
I hope that's correct, but I thought 5.50 might be even too high. If canopy sells wholesale in canada at 5.50 a gram I will be very happy. I would be happier still if a govt didn't have any hand in this, but we kind of knew they would go this route.
Afaik, and please correct me if I am wrong, no agreement so far has explicitly stated publicly the price the government is paying, but rather just the quantity of the agreement. I believe only thcx has stated that they are selling to QC for 4 per gram. Now I believe in thcx's case, they consented before hand to agree to QC's price in order to get preference for their agreement. This probably resulted in a lower cost per gram, so maybe 5.50 is not out of reach, but I can't see how canopy (or any lp) is going to sell at 7.