Over the next decade, marijuana is projected to be one of the fastest growing industries in North America.
There are tens of billions of dollars in sales conducted annually in the black market, which implies that demand for cannabis products is strong. As legalizations pick up throughout the U.S., and with Canada becoming the first industrialized country to green light adult-use weed in the modern era in 2018, the time is ripe for investors to consider pouncing on pot stocks.
Aurora’s growth blueprint goes up in smoke
By the midpoint of 2019, Aurora looked as if it had a clear path to become a cannabis leader. The company had 15 cultivation facilities that, if fully built out, could yield north of 650,000 kilos of weed a year. Being able to produce so much cannabis made it more likely that the company’s production costs per gram would be among the lowest in the industry, and that it’d sign numerous wholesale supply agreements.
It also had access to around two dozen international markets. This includes the U.S., which Aurora entered with its acquisition of cannabidiol (CBD)-focused company Reliva in May 2020. Since Canadian demand was expected to peak between 800,000 kilos and 1 million kilos per year,