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article imageCanadians spent an estimated $5.7 billion on marijuana in 2017

By Karen Graham     Jan 25, 2018 in World
Toronto - According to a January 2018 report from Statistics Canada, In 2017, about 4.9 million Canadians spent $5.7 billion on cannabis for medical and recreational purposes. This was equivalent to around $1,200 per cannabis consumer.
With the Canadian government expected to legalize marijuana in mid-July, Statistics Canada has also built up its capacity to mine and analyze data in order to monitor the cannabis industry. And for data junkies, the results of the agency's 2017 report are very interesting.
According to CTV News, some of the Statistics Canada documents will be published quarterly. These are supposed to help local governments make informed economic and policy decisions as they are related to legalized marijuana.
The majority of the production of the cannabis industry is associated with the production of cannabis for non-medical purposes, which is currently illegal in Canada. The illegal production of cannabis for recreational use was $4.6 billion in 2017, compared with just under $400 million for the production of cannabis for medical purposes, according to the Globe and Mail.
The size of the cannabis producing industry in Canada (on a value-added basis) was estimated at $3.4 billion and had fallen to $3.0 billion in 2017, mainly due to declining prices in recreational marijuana. That put it on par with the beer industry, which was $2.9-billion in 2014. But keep in mind that Canada imports the majority of its alcohol and tobacco products, so this will have an impact on industry data.
Discount Medical Marijuana cannabis shop at 970 Lincoln Street  Denver  Colorado.
Discount Medical Marijuana cannabis shop at 970 Lincoln Street, Denver, Colorado.
O'Dea (CC BY-SA 3.0)
Statistics Canada is also looking at illegal sales of marijuana
The agency's report also had some information on illegal sales of cannabis outside Canada's borders. In the 1960s, around 40 percent of cannabis consumed in Canada came from outside the country. By 2017, purchases from outside the country had declined to 8.0 percent of the total consumption in Canada in 2017.
And on the other hand, so they say, the sale of cannabis to customers outside Canada's borders has increased from about 2.0 percent of the total production in 1961 to a whopping 20 percent in 2017. That amounts to almost $1.2 billion worth of cannabis sold illegally across the country's borders.
Interestingly, Bloomberg chimed in over the Statistics Canada report, noting that the total amount Canadians spent on marijuana last year was actually less than the market value of marijuana companies, Canopy Growth Corp. or Aurora Cannabis Inc. Both companies had their share prices triple last year, with their market value worth more than $6.0 billion apiece.
More about Canada, Marijuana, medical and recreational use, illegal sales, Statistics canada
 
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