Some are hoping that the shutdown of Chinese supply will positively affect U.S. producers of products that otherwise would be sourced more inexpensively.
It is about all anyone is talking about, understandably. Mostly the fear of the unknown and the inconsistent messaging from some officials are driving the intense focus on the coronavirus, which has now been labeled a global pandemic.
What we know for sure is how it has been impacting the world economy and, in particular, the cannabis industry. This is especially true with respect to the virtual shutdown of business activity in China. What are some of the impacts seen and yet to come in the cannabis space?
- Hardware. Delivery of products from China is being delayed or canceled, affecting the supply chain for products such as cannabis vaporizers or vapes. In addition, as indicated by MJBizDaily, Chinese factory shutdowns are affecting the shipment and delivery of testing and extraction equipment and packaging for cannabis products. This has not quite hit the market yet as many had over-ordered in anticipation of the Chinese New Year celebrations, which typically shut down businesses for a few weeks.
- Hemp. China is also considered to be the largest global producer of hemp. While farmers there …