RE:RE:RE:Anyone know how many Millions we lost on the failed SA Hemp It appears Uruguay may not have the perceived demand for hemp that many expected. Auxly Cannabis (TSXV: XLY) announced this morning that the company would be halting its cultivation activities at its 80% owned Inverell S.A. subsidiary, along with pulling back domestic cultivation of cannabis as a means of cutting costs.
The halting of cultivation activities within the Latin American country is expected to save the cash-strapped cannabis producer approximately $6-7 million on an annual basis. Slow cannabis specific regulatory development in the region is being blamed for the decision, along with the slow development of “viable near-term commercial channels in the region.” The subsidiary still holds inventory from the previous season, which evidently resulted in the decision.