Canada’s recent legalization of marijuana will put pressure on the U.S. government to follow suit, says Coda Signature CEO Mark Grindeland. Coda Signature is the number one maker of cannabis-infused chocolate edibles in Colorado by market share and has seen a 100% growth from 2017 to 2018.
“It’s a huge milestone for Canada. We’re really excited for all of the companies up there. We’re incredibly excited. We do think that this will also influence Congress to address national legalization in the U.S,” he told Yahoo Finance.
Although marijuana is now legal for recreational use in Canada, cannabis-infused edibles won’t be legal for at least another year.
Grindeland is ready. “So we’ll be in that market. We do believe that as soon as infused products are available to Canadians that it will start to take market share away from flower sales, which has been the case in the U.S. in each state that has legalized,” he said.
In Colorado, Coda Signature has three of the top-ten selling marijuana-infused chocolate bars — Coffee & Doughnuts, Cream & Crumble, and Maple & Pecan. Grindeland attributes their growing popularity to their ease of consumption and their appeal to seniors.
“One of the other advantages of edibles, as well as topicals, [is] for seniors who are looking for medicinal effects of cannabis and CBD products,” he said.
Grindeland says that cannabis infused edibles have greater market share in Colorado than flowers.
“Today in Colorado, if you look at the overall market share, about 48% of the market is comprised of edibles, topicals, and concentrates, and you’ve got about 42% flower, meaning what Canada is selling today,” he said.
Grindeland says Coda Signature tries to distinguish its products the same way as top brands outside of the cannabis world.
“If you look outside of the cannabis world into consumer packaged goods, beverages … consumers are passionate about brands, and we think that the brands that gain market share in the cannabis industry will be the dominant brands and create great shareholder value in the future. It’s harder to brand flower,” he said.