Article content continued
“All our people are young entrepreneurs with tons of Canadian cannabis experience,” he elaborates. “We’ll be taking lessons from the Canadian legalization experience and applying them down in the U.S. to become a thought leader and industry consolidator.”
State markets to watch — and build in
It’s not by chance that Fiore has focused on Nevada and California: It’s because these markets easily outstrip all of Canada in profitability. Whereas an estimated 5 million Canadians consume marijuana (as of 2019), roughly 50 million people fly into the city of Las Vegas alone every year. Not only is this figure greater than Canada’s entire population, an exponentially larger proportion are looking to consume marijuana.
“You’ll note that the retail dispensaries in Las Vegas are lined up at 10:30 at night for half an hour just to get inside. They offer way more products, way better branding and they offer higher priced products,” says Anderson.
Fiore’s Desert Hot Springs dispensary. Photo by Supplied
Nevada is also a closed market: only 60-80 cultivation and retail licenses have been distributed to the entire state, compared to thousands in states like Washington and Colorado.
Fiore is in the process of expanding their Apex production facility north of Las Vegas, implementing LED lights and their proprietary organic grow methodology developed in the Canadian market.
In the future, Fiore will secure funding to expand the facility significantly and add a full suite of extraction capabilities for the production of edibles, concentrates and vape products under their Diamante brand. The company expects to see revenues grow more than fivefold after the planned expansions are completed.
Furthermore, Anderson feels that lesser government intervention in the U.S. market results in a better-quality product. “In California and Nevada, we see superior genetics cultivated by multi-generational families that have been