Cannabis producer WeedMD plans big outdoor expansion in Strathroy

A Southwestern Ontario cannabis producer plans to dramatically boost its yield by adding up to 50 acres of outdoor growing space.

WeedMD has applied to Health Canada to begin outdoor cultivation at the site of its Strathroy greenhouse operation, the company announced Tuesday.

The move, if approved, would increase WeedMD’s total production footprint to 250,800 square metres and boost its annual yield to 100,000 kilograms, the company says.

“In November 2017, we initially selected this 98-acre property in Strathroy because of its expansion potential, which included low-cost scalable outdoor production that is strategically located alongside our licensed state-of-the-art greenhouse propagation operations,” chief executive Keith Merker said in a statement.

The first phase of the project will begin this year – with the first harvest expected in the fall – and be completed in 2020, the company says.

And WeedMD’s expansion has the support of the local government.

“Our municipality is proudly home to a thriving agricultural community which has long supported our local businesses and we’re pleased that WeedMD continues to expand its local footprint in a progressive and economically-viable manner,” Strathroy-Caradoc Mayor Joanne Vanderheyden said in a statement.

“We welcome and wholly support its push for outdoor expansion along with the job opportunities, sustainable cultivation and community engagement it will bring for the continued long-term growth of our municipality.”

Cannabis grower 48North, located outside Brantford, became the first in Canada to apply for an outdoor grow licence last year after the federal government announced it would lifts its ban on outdoor cultivation. Since then, other companies have followed suit.

Health Canada has imposed the same strict security rules for growing pot outside as it requires for indoor cultivation. Those include surveillance cameras, perimeter monitoring, intrusion detection and alerts, access control, tracking anyone who enters or exits the site and microphonic cabling to detect movement or vibration near the fence.

Outdoor growing is seen as a cheaper alternative to greenhouse and indoor cultivation. Cannabis grown outdoors will typically be used for cannabis extracts, especially cannabidiol (CBD), the non-psychoactive component of marijuana touted for its therapeutic effects.

“With the anticipated demand for extracted products and cannabis concentrates, our experienced cultivation team and proven outdoor grow genetics are expected to generate high yields at very low cost,” WeedMD’s chief cannabis officer Derek Pedro said in a statement.

“The addition of an outdoor grow will ensure that WeedMD is positioned to meet the needs of its patients and customers in the ever-expanding cannabis market.”