Cannabis company HEXO Corp. is about to launch a brand-new product in the SQDC that aims to undercut the price of illicit cannabis. This new product will be the first one-ounce container available on the legal market.
HEXO will release "Original Stash," a 28-gram product, this Thursday at SQDC locations across the province. It will cost $125.70, taxes included, or $4.49 per gram. That's more than a dollar lower than the latest Statistics Canada report on the cost of illegal cannabis.
On average, cannabis in Quebec costs $10.65 per gram. Like illegal cannabis, that price drastically lowers when you buy in bulk amounts. HEXO's "Original Stash" will be the first-ever 28-gram product to hit the shelves in Quebec.
HEXO is attempting to stay competitive with the illicit market. According to the latest statistics, 43% of Canadian males and 40% of Canadian women still go to illicit sources for their weed. In Quebec, the average price of illegal cannabis is $5.85.
At only $4.49 per gram, HEXO's "Original Stash" is now the lowest-priced product (per gram) in both the legal and illegal markets.
According to Global News, HEXO is able to offer this product at a lower price point because of increased production scales and lower hydroelectricity costs. Packaging will also be reduced to better accommodate the larger size.
"Original Stash" will have 12% to 18% THC, which falls in the mid-strength category of products at the SQDC. HEXO, a Gatineau-based company, will only offer the product in the Quebec market for the time being.
In terms of pricing, Quebec pays among the lowest prices in Canada on both the legal and illegal markets.
The product will gradually roll out across the country following release in Quebec this Thursday. "Original Stash" will be a hybrid Sativa-dominant flower.
Plastic-conscious consumers will be happy to know that "Original Stash" will have way less packaging than people are used to. Instead of giant plastic containers, "Original Stash" will come in a sleek black bag, reminiscent of those you'd find with your street dealer.
It's becoming increasingly difficult for consumers to distinguish between legal and illegal products, according to HEXO's CEO, Sebastien St-Louis.
"Illegal cannabis websites are well built, allow consumers to purchase online, and products are delivered to their doors. But we know that illegal cannabis products can—and often—contain heavy metals, pesticides, and other contaminants, and that concerns me deeply,” he said in a press release.
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