There are opportunities for cannabis tourism in Atlantic Canada, these two experts say-if only the regulations would allow for them
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There are opportunities for cannabis tourism in Atlantic Canada, these two experts say—if only the regulations would allow for them BY SARAH SMELLIE ATLANTICBUSINESSMAGAZINE.COM | 21
THE NEW AMSTERDAM? Imagine the tourism ad: a man standing at the edge of rocky cliffs, before levelling off, if the experience of sporting a newsboy cap and a thick beard. As he looks out onto the legalization in American states is a good water, the sun peeps over the horizon, the sky blazing orange. He indicator of what’s to come. The disappointing market news is pulls a pipe from his pocket, packs the bowl with Atlantic Canadian- “more of a short-term view,” Chesworth branded cannabis, and lifts the stem to his lips. says. However, she does see hope for cannabis tourism here, or even canna- bis-friendly services to market to tour- Could a day come where an ad like Right now, Newfoundland and ists—if regulations allow. “It hasn’t this is playing on screens in Europe or Labrador does have an advantage with picked up yet,” she says. “But I think it Asia, in hopes of attracting tourists to privately-owned stores being able to will in the future.” a thriving Atlantic Canadian cannabis offer a different shopping experience, tourism industry? but it’s a small gain and hardly enough, “My first thought was, ‘No, I don’t he says. think it’s going to happen. I don’t know But King has faith. As government how sustainable it is,” says Shawn King, and the public become more comfort- a Halifax-based marketer and host of able with cannabis, and as more people Turning a New Leaf, a podcast about enter the market, craft growers will cannabis in Canada. spring up and give the regulations a “But then I started to think about it push, he says. And government will be like the wine industry.” under increasing pressure from entre- That’s a model with possibilities, he preneurs to ease up on the rules and let says. If growing facilities could operate them develop the market. King says he’s like vineyards and market themselves as already getting asked for his input on destinations, offering travelers opportu- ideas from entrepreneurs eager to build nities to sample different strains and the themselves a place in the market but are products made with them, even having ultimately stymied by tight regulations. restaurants or breweries on site where “You get enough of those people, guests can have a drink and a bite to government will relent,” says King. The Nancy Chesworth, research associate, eat—perhaps made with ingredients entrepreneurs will just have to come University of New Brunswick infused with the local crop. They could up with something that will shine even even pick up souvenirs and some of their when the novelty has worn off, he says. She thinks the scenery in a place favourite strain at the gift shop on the Nancy Chesworth agrees that the like Cape Breton or Newfoundland and way out. regulations have to loosen up before Labrador, coupled with the strong local That could be a major draw for people cannabis tourism has a chance in and regional culture, gives Atlantic from away, he says. Atlantic Canada. A research associate Canada a real shot at being a major But current regulations don’t allow at the University of New Brunswick, she Canadian weed destination. The only for anything like that, he points out. was all set to offer a course on cannabis place she sees having a leg-up is British For starters, in every province but tourism this fall, but it was cancelled Columbia with its long-standing history Newfoundland and Labrador, cannabis when not enough students enrolled. as a pot-friendly place. can only be sold at government-run Chesworth thinks news about disap- She points to Colorado, where recre- stores. And we’re nowhere near the pointing returns, including the New ational cannabis was legalized in 2014. point where customers could consume Brunswick government saying it lost There, government embraced the cannabis products in any kind of restau- serious money selling cannabis, may tourism possibilities and ventures like rant or café, let alone at a production have turned the students away. cannabis wellness retreats, yoga classes, facility. A report from the Atlantic Prov- cooking classes, walking tours and inces Economic Council, drawing on smoking lounges thrive. Just two years Statistics Canada numbers, says the after legalization, the state attracted 6.5 black market still has a lion’s share of million cannabis tourists, according to the recreation market: 79 per cent of the Colorado Department of Revenues. the product and two-thirds of the sales And then there’s California, where in the second quarter of 2019. Though recreational cannabis was legalized in legal production and sales did have a 2016. There, weed tours are the new bigger hold by the end of the first year, wine tours. Or you could do both: the report says black market prices were wine and weed tours, and even craft dropping to make up for the loss in busi- beer and weed tours, are increasingly ness, making it increasingly tough for popular. Patrons can travel from the legal players to compete. wineries and breweries to growing The report also says PEI Cannabis facilities on party busses or limou- Management ultimately reported a loss. sines. The laws are still adjusting (at The New Brunswick government has first travelers could smoke cannabis since put out a call for a private operator in those vehicles, and the driver was to take over Cannabis NB. sealed off by a glass partition—which Shawn King, head of marketing for PAX Labs Nonetheless, the report says the isn’t allowed any more), but the point in Canada and host of Turning a New Leaf industry will likely keep growing “at a is that the industry isn’t held up by the podcast double-digit pace” for two more years pace of legislation. 22 | JANUARY/FEBRUARY 2020
Chesworth thinks cannabis cruises could do well in Atlantic Canada, but Weeding through the numbers cautions that with legal weed still so new, insurance hurdles will likely be Licensed growers high for any cannabis tourism. “Insur- (as of Sept 2019) ance companies may not know how to handle this,” she says. As for government-led ad campaigns featuring squinting smokers on salty 6 N.B. 3 P.E.I. 9 N.S. 2 N.L. = 200,000KG Currently produced by licensed cannabis growers in Atlantic Canada per year seaside shores to attract tourists, she’s not sure we’ll ever get there. “Finding a 21% carrier for that message on the standard media could be a bit of a trick,” she says, laughing. “It would have to be handled very well and the message would have to Atlantic Canadians who This number is up modestly be clear to the people you’re targeting.” reported using licensed or from the same period in 2018, unlicensed cannabis, prior to legalization, when 19 King wonders if the campaigns per cent of Atlantic Canadians compared with 16 per would even be necessary. “I think that cent nationally. and 16 per cent of Canadians the global press is doing that job for us (By end of second quarter 2019) reported consuming cannabis. in many ways,” he says. He says he was recently in Amsterdam and most of the people he spoke to knew Canada had legalized cannabis. APEC predictions for 2020 “I asked [one man] if he’d ever come to (by year end) Canada and he said, ‘I will now.’” FEEDBACK 2,800 employed $700M invested in their 300,000KG * dchafe@atlanticbusinessmagazine.com Produced by licensed facilities cannabis growers a @AtlanticBus; #CannabisTourism Source: APEC Report Card: Atlantic Canada’s Licensed Cannabis Industry One-Year Later Innovative Three-Tiered Cultivation High-quality indoor cannabis production at low costs. Learn more about Atlantic Canada’s original licensed producer at organigram.ca OGI0007V1
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