A 5-year Retrospective of Cannabis in Canada

Five years have passed since Canada's landmark decision to legalize cannabis for recreational use through implementing the Cannabis Act in October 2018. This pivotal act not only transformed the country's legal landscape, but also triggered a wave of changes in public perception, industry dynamics, and technological advancements.

Among the many significant developments, cannabis extraction emerged as an important aspect, revolutionizing product diversity and accessibility. As we reflect on this transformative period, let's delve into the data, evolution, challenges, and the profound impact of cannabis legalization over the past five years in Canada.

The Evolution of Cannabis in Canada

Canada's legalization of cannabis marked a departure from conventional drug policies. The act aimed to manage the illicit market, promote responsible consumption, and improve public safety. Initially, the rollout faced hurdles, including supply issues, regulatory complexities, and the stigma associated with cannabis use. However, the industry rapidly evolved, with the emergence of licensed producers, advanced extraction methods, retail stores, and a diverse range of products.

There have been many changes and developments that have occurred during the five years since legalization. Statistics Canada has provided a report summarizing data that they have collected during this period that shares useful information.

During the beginning of legalization there were only 182 stores that sold cannabis legally. This number quickly began to grow as more entrepreneurs and businesses sought to join the industry. In 2023, it was recorded that there were now 3,332 legal cannabis stores operating within the country. This growth is mirrored by the increase in legal cannabis consumption during this period. As more Canadians begin to adopt legal recreational use, the total amount of cannabis consumed in Canada from a legal source rose from 22% in 2018 to 70% in 2023.

As the industry flourished and grew, more money began to flow into the Canadian economy, in 2022 the annual sale of non-medical cannabis reached $4.5 billion. Although this was the case, the Cannabis boom started to decline, and the market began to slow as we entered 2023. Though this has taken place there are still many developments, advancements, and exciting projects that are still happening within the industry.

The Role of Cannabis Extraction

One advancement in the cannabis industry was the refinement of extraction techniques. Cannabis extraction involves separating the desirable compounds, such as cannabinoids and terpenes, from the plant material to create concentrates, oils, edibles, and other derivative products. This has unlocked a world of possibilities, allowing for precise dosing, improved product quality, and has diversified the methods to consume cannabis.

Technological Innovations in Extraction

Over the past five years, technological advancements have played a crucial role in refining extraction methods. Innovations such as industrial scale solventless Vapor-Static extraction, supercritical CO2 extraction, winterization, and ethanol extraction have revolutionized the production of cannabis products. These methods have enhanced extraction efficiency and purity ensuring high-quality end products.

Product Diversification and Accessibility

Cannabis extraction has been instrumental in expanding product diversity and accessibility. Consumers now have access to a variety of cannabis products, including oils, tinctures, concentrates, edibles, topicals, and more. This diversification has helped cater to a broader consumer base, providing alternative consumption methods, and offering more precise dosing for medical users.

Public Perception and Education

The legalization of cannabis has prompted a shift in public perception. There has been a gradual destigmatization of cannabis use, accompanied by increased interest in its potential medicinal and wellness applications. However, education remains pivotal. Providing accurate information about responsible consumption, potential risks, and the medical benefit of cannabis is crucial to encouraging informed decisions among consumers.

Economic Impact and Industry Growth

The legalization of cannabis has stimulated economic growth, created jobs, generated tax revenue, and encouraged innovation. The industry has witnessed substantial investments, research & development, and the emergence of startups focusing on cannabis-related technologies. Moreover, Canada's approach has served as a blueprint for other nations exploring cannabis legalization, contributing to the global conversation on drug policies.

The past five years since cannabis legalization in Canada have been a period of transformation, marked by milestones, challenges, and market developments. Cannabis extraction has been a cornerstone of this evolution, paving the way for diverse products and consumption methods. As the industry navigates the next phase of development, collaboration, innovation, and informed decision making will remain essential in shaping a future with a sustainable and thriving cannabis landscape.

Interested in learning more about the cannabis industry and how you can improve your extraction process? Contact Maratek today.

Resources: Research to Insights: Cannabis in Canada (statcan.gc.ca)