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Aphria Inc. APHA

Aphria, which is headquartered in Ontario, produces and sells medicinal and recreational cannabis. The company operates through retail and wholesale channels in Canada and internationally. Aphria is a main distributor of medical cannabis to Germany and has operations in over 10 countries outside of Canada. However, it does not have exposure to the U.S. CBD or THC markets due to the constraints of federal prohibition. It has some U.S. exposure through the acquisition of SweetWater, a craft brewer


NDAQ:APHA - Post by User

Bullboard Posts
Post by Duediligence33on Nov 22, 2017 11:40am
117 Views
Post# 27011747

Optics of Politics

Optics of PoliticsHealth Canada and the Liberal Government and the Senate have  the public to scrutinize their actions and policies - they are elected and appointed (in the Senate) so all many people as possible have to be appeased and they have to be fair and just.

It is wise politics to declare (theorectically) that ANYONE can apply for a licence and grow in a field or have a commercial operation.

However, in the practical business world of money and profit the actual practice to grow an agricultural  crop like Cannabis for use as a medicine in various forms (gels oils etc)  or for recreational use it  has to pass econominc sense.

The risks of outdoor farming are many (climate change drought or excess rain or wind damage and pests) and thats why there are greenhouses even for vegetables.

1. Canada's climate only has a limited outdoor growing season.
2. The cost of security and fencing.
3. The cost of irrigations and fertilizer and pest control.
4. Lack of sunshine control for flowering and passing the Health Canada rigours for sale.
5. The labour cost of harvesting and trimming processing.
6. Infrastrucure housing to prepare the final product and to process oils.
7. WHO can they sell to ?  

Not the public is appears so that leaves :
a) goverment outlets - they will get low prices
b) other LP's - they will get low prices

Also what is to stop the large LP's themselves from buying up prime fertile and and growing outdoors also in cmpetition with the small fry guys.

This clarity of Health Canada is politically good for the public and will assuage the business investors who now have more information to base their investmetns on.

ALL LP's  will benefit from this latest news as the government is crossing all the t's and dotting all the i's prior to final 3rd reading and Senate presentation and eventual legalization.

They want to get this done right for every stakeholder and to avoid any criticism.

Bullboard Posts