STAMFORD, Conn., Dec. 18, 2018 /CNW/ -- Cannabis Benchmarks®, a division of New Leaf Data Services, LLC (NLDS) and the cannabis industry's only independent Price Reporting Agency, initiates coverage of Canadian wholesale flower prices with the Canada Cannabis Spot Index (CCSI).
The CCSI represents the average wholesale price that an online or retail location pays for dried cannabis flower from Licensed Producers (LPs) under supply agreements with the provinces, and is available at www.CannabisBenchmarks.com.
Cannabis Benchmarks' methodology includes working directly with market participants from both the supply and demand sides, including analysis of public and private data, such as StatsCan and LP company filings, to assess the average wholesale price paid each week.
"Since the Canadian adult use market opened on October 17th, industry participants - including cultivators, processors, retailers, investors and equity analysts - have been seeking price transparency to analyze and navigate a dynamic market currently characterized by supply shortages and price swings from C$6.66/gram to C$8.23/gram," said Jonathan Rubin, CEO of NLDS. "We are pleased to offer the market an independent reference benchmark to support strategic, operational and investment related decisions, and look forward to introducing Provincial indices for Ontario, Quebec, Alberta and British Columbia in the first quarter of 2019."
Near-term shortages aside, as the large pipeline of cultivation capacity comes online in 2019, retail operations expand across the Provinces, and international export markets evolve, we expect volatile wholesale flower prices until supply and demand reach an equilibrium. "Price Reporting Agencies play a critical role in volatile markets, enabling buyers and sellers to transact with confidence, support fundamental analysis by investors and equity analysts, and provide definitive benchmarks for commodity traders," noted Rubin. The CCSI was C$7.79/gram, equating to US$2,678/pound, for the week ending December 14, 2018.
About Cannabis Benchmarks®
Cannabis Benchmarks® is a division of New Leaf Data Services, LLC. Our mission is to bring transparency and efficiency to cultivators, dispensaries, investors, traders, and other cannabis market participants through validated, standardized wholesale price benchmarks and market intelligence. For more information, please visit: www.cannabisbenchmarks.com
SOURCE Cannabis Benchmarks
For further information: [email protected], (888) 502-7298, http://www.cannabisbenchmarks.com