Given the recent panic in black market cartridges and the impact on the legal market, this is a very fitting day. Canadian company Cronos has fallen 50% since its peak in March, with losses blaming struggling sales. But another 5% drop recently has been blamed on the vaping crisis, at least in Investor Place.
With a death toll of up to six people and more hospitalizations, contaminated vape packs have become an epidemic. The latest evidence at least confirms that black market pods are the culprit, with signs that vitamin E acetate and other illegal juice cutting methods are the root cause.
Meanwhile, Michael Singer, executive chairman of Aurora Cannabis in Canada, expressed concern about the impact of the U.S. vaping crisis. The Canadian cannabis industry is regulated by Health Canada and enjoys the full government support that U.S. cannabis companies still lack at the federal level.
President Donald Trump’s call for a ban on “flavored vaping” is predictably far removed from the real problem and has executed the wrong scapegoat there. It’s like banning coffee because someone went blind after drinking moonshine. In fact, punishing the legal market just makes more room for the black market, and even adds fuel to the fire.
Likewise, people are reluctant to buy vaping products over the counter until more is known about the epidemic. We just hope they don’t turn to black market cartridges on the street.
Post time: Apr-12-2022