Floods In BC – How Will This Affect The Cannabis Industry?
Because of the floods all over the province. A state of emergency has been declared in British Columbia. Massive floods have created mudslides and the devastation is widespread; Thousands of people are affected and many have had to evacuate their homes. Major highways have been destroyed and many have lost their livelihoods. For the cannabis industry, the effects of this emergency have only just begun. Here’s a look at the impact the British Columbia floods have had on the industry so far and what consumers can expect in the future.
Deliver
Expectations for delivery delays have already been set, so supplies will collapse. With so many undermined highways, the supply chain has come to a standstill. The question is how long?
Heavy rains triggered landslides across the Lower Mainland, including near the Agassiz exit along Highway 1 East. (Photo / Joonrym Koo)
In the short term – There will be delays in replenishing the products. Retail stores are not getting their orders on time and if they do they may be missing some items. There are concerns about shipping products to and from the provincial distribution department, but in the meantime, wait; this applies to both wholesale and single orders.
Long term – Rescue workers are still working to clear the flood and once that is complete repairs can begin. Until then, traffic will be moving at a trickling pace. Thanks to strict regulations, there are limited options for transporting cannabis products. For licensed production facilities, this means waiting for replenishment, i.e. production statuses. The only alternative is to transport products by air; While this may be feasible for some large companies, it is not a solution for smaller organizations or one-off jobs.
Jima Cannabis – Abbotsford
Jima Cannabis is a chain pharmacy based in Abbotsford BC. They had to close their doors because of rising water nearby. While the store is not under water, the surrounding community has been evacuated since Tuesday. Monday’s extreme weather flooded part of a nearby freeway and rescue workers are still working to clear the area. For Jima Cannabis this means not only a disruption of business, but also of supply; the impact will be determined by the time it takes for supplies to resume and the Abbotsford site to reopen.
Dunn cannabis
Dunn Cannabis is a licensed producer with two growing areas on the lower mainland. Fortunately, both of them are perfectly fine thanks to the altitude of their location. However, the biggest concern for them is delivery delays and the impact on smaller manufacturers. According to Chief Executive Logan Dunn, “The bigger players have a lot more skills. The small producers and our partners such as processors may not have the opportunity to get products to where they are needed on time. “
Chief Executive of Dunn Cannabis, Logan Dunn, at the Langley facility.
The BC flooding will have a direct impact on the cannabis industry and some will feel it more than others. It’s a difficult situation, but many remain positive; According to Logan Dunn, “It’s really hard for a lot of people, but we can keep growing weed.”
Footnote (s)
https://www.theprogress.com/news/update-multiple-vehicles-washed-off-lougheed-highway-rockwell-drive-closed-due-to-landslide/
https://globalnews.ca/news/8380618/british-columbia-state-of-emergency-floods/?utm_source=site_banner_persistant
https://www.guelphtoday.com/national-business/bc-pot-sector-bracing-for-delivery-challenges-and-shortages-after-extreme-weather-4767260
https://www.nsnews.com/cannabis-news/the-latest-news-on-mudslides-and-flooding-in-british-columbia-for-nov-16-2021-4763588
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