A major Canadian producer of greenhouse-grown fruits and vegetables plans to turn at least one of its B.C. greenhouses into an enormous marijuana production facility.
Village Farms, based in Delta, B.C., has announced a joint venture with Emerald Health Therapeutics, the parent company of licensed medical cannabis producer Emerald Health Botanicals, also based in B.C.
Under the terms of the deal announced late Tuesday, Village Farms will provide Emerald with an existing 1.1 million square foot greenhouse in Delta, in exchange for $20 million cash and a 50 per cent stake in the joint venture. If approved and licensed by Health Canada, the greenhouse could yield more than 75,000 kilograms of marijuana per year, the companies say.
Emerald has the option to lease two more greenhouses from Village Farms in the future, for a total of 4.8 million square feet of growing space with an estimated annual yield of 300,000 kilograms. Village Farms CEO Michael DeGiglio said he expects the first greenhouse to converted for cannabis farming by 2018.
Joint ventures are definitely making the production at a lower cost for both parties. Also with major companies like Village Farms and others you can see just how big this industry is really growing.
Marijuana is the future of many things. Farming, economy, production etc. With the amount of jobs it can create in its industry I believe the people that are most against Marijuana will see the value of what it can do.
Licensed producer Aphria, based in Leamington, Ont., also touts its medical marijuana as being greenhouse-grown, with the slogan ‘powered by sunlight.’ Tantalus Labs, a recently licensed company based in Vancouver, is also focusing its business model and marketing efforts on greenhouse growing.
A number of other licensed cannabis producers are already operating greenhouse growing facilities, or building them out for the future, like Aurora Cannabis is doing with an 800,000 square foot in Leduc County, Alberta.