The jump in stock prices hemp companies after the change of administration in Canada

For a year of legal sales of hemp, the Canadian authorities will be able to collect about 411 million Canadian dollars in taxes.

The promises of the new prime minister of Canada, Justin Trudeau, "immediately to proceed with the consideration of the legalization of cannabis" have not gone unnoticed by the hemp market in the country. Shares of many hemp companies in Canada surged once a day after the victory of the Liberals over the previous Conservative administration, which was headed by the infamous in the circles of hemp community Stephen Harper.

For example, the company's shares Aphria, who the day before the election cost only 6.26 cents per share, jumped up prices in the dollar by mid-Tuesday. Shares Canopy Growth, until recently bore the name Tweed Inc, rose from 5.82 cents per share to a record price at 1.78 dollars.

Participating in the exchange trading hemp companies are a relatively recent phenomenon in Canada. They emerged only last year, when the country's Ministry of Health has decided to centralize medical cannabis market, which resulted in the country has several large hemp companies including the authorities received permission to leave for financial exchanges.

Since then, some of these firms benefited from government permission and went on equity markets in search of investment. Of course, a difficult status of psychoactive hemp in the eyes of Canadian laws prevented them attract serious investments, resulting in shares of companies still wore prices in cents rather than dollars.

"Another victory for the progressive country, after coming to power of the Liberals, could be the reform of the laws on legalization," said an analyst at Dundee Capital Markets, Aaron salsa.

According to him, the arrival of Trudeau and his party to power in Canada have a positive impact on the dynamics of the cannabis market in the country, as well as on the share prices of companies involved in it.

Reforms in Canada to legalize a large extent be able to increase the available market companies, given that in all of Canada is now registered only about 40,000 health care consumers, while estimates of sociologists, psychoactive cannabis regularly uses approximately 2.3 million inhabitants.

At the moment, nobody spent calculations of the potential profits from the fiscal legalization of the use of psychoactive hemp in Canada. Even the Liberals are not currently included in potential tax revenue from the regulated market of hemp into their financial plans for the coming year.

Nevertheless, analysts, thanks to drawing parallels with the market Colorado, estimated that for the year of legal sales of hemp, the Canadian authorities will be able to collect about 411 million Canadian dollars in taxes. Moreover, it should be noted that this number was derived taking into account the level of consumption of cannabis, similar to what is now observed in Colorado, in the calculation of similar low enough for the hemp market taxes.

Another old counting profitability legalization conducted by a few years ago in the United States ArcView Group found that full legalization in the United States brought to the neighbor in Canada about 1.8 billion profit from the hemp market only in 2013, with the potential development of the market to come to 10.2 billion by 2018.

Currently in the US, unlike Canada, sales of recreational cannabis is legal in the territory of 4 states and the District of Columbia. At the same time, another 15 states decriminalized personal use of cannabis.