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Abattis Looks to Become a Go-To for LPs to Diversify -- CFN Media
Abattis Looks to Become a Go-To for LPs to Diversify -- CFN Media.
About this update from Abattis Bioceuticals Corp
[{"type":"text","content":"\n \n \n Abattis Looks to Become a Go-To for LPs to Diversify -- CFN Media\n \n \nAbattis Looks to Become a Go-To for LPs to Diversify -- CFN Media\n \n SEATTLE, WA--(Marketwired - Aug 31, 2017) -  CFN Media Group (\"CannabisFN\"), the leading creative agency and digital media network dedicated to legal cannabis, announces the publication of an article discussing Abattis Bioceuticals Corp. (CSE: ATT) (OTCQB: ATTBF) and its goal of becoming a major partner for licensed producers to develop higher margin products in the cannabis industry.\n Canada's cannabis industry could reach up to C$22.6 billion in size over the coming years, driven by the legalization of recreational cannabis expected next year. While many licensed producers are simply focused on expanding capacity to meet demand, those looking toward the future are starting to seek out partnerships to build higher value products. After all, cannabis flower will inevitably become a commodity as the supply-demand dynamics even out in the coming years as licensed producers in Canada and other legally licensed producers around the world race to build the biggest grow ops.\n When it comes to investment, licensed producers are best positioned to capitalize on the growing demand for cannabis since they are the only businesses permitted to grow and sell the drug. Health Canada has already approved more than 50 licensed producers, ranging from established publicly-traded companies like Canopy Growth Corp. to small privately-held companies that are just getting started.\n These licensed producers are largely focused on scaling their operations by increasing square footage and enhancing crop yields. It's a reasonable approach, as demand is expected to rise at a brisk pace and some analysts predict a shortfall in available supply over the next year or two. PI Financial expects a 200,000 kilogram short fall by 2019 and estimates that LPs will have to cultivate a total of 610,000 kilograms of cannabis to fulfill domestic and export demand.\n Need for Diversification\n The risk for licensed producers is that their business becomes commoditized as the market matures and more supply comes online. While it could be several years before supply outstrips demand, many licensed producers are already looking for ways to differentiate their products to compete over the long-term. This is ...