Canadian MMJ Producers May Expand Internationally

intA couple of medical marijuana (MMJ) producers in Canada are now eyeing internationally expansion amid the significant changes in the country’s marijuana industry.

One of these companies is MedReleaf, a licensed medical cannabis producer and seller. It has already partnered with the Compassionate Care Center of New York to apply for a licensed in the US state. In addition, MedReleaf is considering an expansion to Europe and South American, according to a Canadian Press report.

Another Canadian MMJ company, Tweed Marijuana, is planning to expand to other countries in 2016. Possible candidates are Brazil and Chile, the report said. Notably, Tweed has recently made headlines after it acquired Bedrocan Canada, another big name in Canada’s medical cannabis space.

The teaming up of major players, as well as the creation of new regulations, brings significant changes to the Canadian marijuana landscape. While these changes could create new opportunities, companies may slow their plans of expansion in order to prop up their domestic operations for the changes first.

But according to MedReleaf CEO Neil Closner, Canadian companies are better poised than US companies to expand internationally.

Experts have pointed out that medical cannabis is federally legal in Canada, and government rules have forced cultivators in the country to produce pharmaceutical-grade marijuana. By contrast, US marijuana rules differ by state, making it more challenging for US companies to capitalize on economies of scale, said Closner.

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