Walmart Canada Considers Selling Cannabis Products Following National Reform
Recently, representatives from Walmart’s Canadian branch announced to the press that the corporation, which operates supermarkets in nearly every city across the country, is planning to sell products containing cannabinoids in its stores. More specifically, the company is currently conducting an “analytical mission” to determine which cannabis-related products could be freely sold in their supermarkets.
According to a press release from company administrator Diana Medeiros, Walmart stores are most likely to offer CBD extracts intended for both vaporization and topical use. In any case, the company will conduct a series of surveys among its customers and Canadian government representatives to assess the possibility of introducing other types of cannabis products in the pharmacy sections of its stores.
The Canadian government has already estimated that, by the end of the year, the legal cannabis market could generate at least $1 billion in profit. Given this potential, it’s no surprise that Walmart and several other major international corporations are eager to claim a share of this new market.
Other Major Companies Eye the Canadian Market
In addition to supermarket chains, many companies in the food and beverage industry are turning their attention to Canada. For example, last month, Coca-Cola announced plans to produce CBD-infused soft drinks with a Canadian subsidiary. Beer company Molson Coors also hopes to launch several types of cannabis beer in the new market, which until now have only been sold in limited batches in a few California cities. At the end of September, cosmetics firm Estée Lauder expressed interest in the new market, planning to release a line of body care products containing cannabinoid extracts.
Growth of Cannabis Cafés and Retailers
It’s important to note that the government’s regulatory framework also allows for private retail businesses, meaning that by the end of the year, major Canadian cities could be filled with new CBD cafés and coffee shops. These would be similar to vegan restaurant chains like By Chloe, which already sell CBD cocktails and smoothies in several regions of California. Recently, such establishments, previously found only in U.S. states where cannabis is legal, have begun to appear in European countries that still maintain strict criminalization. For example, Blooms Cafe recently became the only legal distributor of CBD extracts in Ireland, and White Wolf Yoga and Kitchen opened soon after in Liverpool. It’s likely that similar cannabis cafés will soon appear in other countries around the world.
Impact on Small Businesses and the Industry
It’s somewhat encouraging to see that cannabis has become so accepted in Western society that even image-conscious corporations are actively considering joining a market that was, until recently, in the shadows. However, this interest from business giants poses a significant risk that small firms and independent farmers could be pushed out of the market they helped create. It’s possible that as international legalization expands, the market will become too crowded for small and regional players to survive, resulting in the new industry being divided among large companies.