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Canadian Monthly Cannabis Inventory and Inventory Change

Below is the part of a weekly series of benchmarks provided by the team at Cannabis Benchmarks®. 


This week, Cannabis Benchmarks examines the continuing buildup of cannabis product inventory held in federal and provincial storage facilities.

As of the end of April, total unpackaged inventory stood at over 620,000 kg - there was also over 85,000 kg of packaged inventory in the possession of cultivators, provincial wholesalers, and retailers. These numbers dwarf current Canadian legal cannabis consumption, which we estimate at roughly 20,000 kg monthly.

While demand for legal cannabis is growing in Canada, monthly production continues to outpace sales by about a factor of five, exacerbating the oversupply.

Given this situation, it is likely that significant amounts of inventory are destined for destruction, with Licensed Producers forced to write down the losses.

Source: Canada Cannabis Spot Index, Cannabis Benchmarks