Shares in all of Canada's major listed cannabis companies surged on Tuesday, according to a report by the The Guardian, as the Canadian market reacted to Prime Minister designate Justin Trudeau's pledge to legalize recreational cannabis use.
According to London Free Press, "TSX Venture-listed Canopy Growth Corp , the first company to go public in the sector in Canada last year under the name Tweed Marijuana, rose some nine percent to C$2.37. Mettrum Health Corp and Aphria Inc. jumped eight percent and five percent, respectively."
Trudeau has said he plans to take steps "right away" to legalize cannabis. Canada's New Democratic Party, Green Party, Libertarian Party, and Marijuana Party all support legalization. The Bloc Québécois supports decriminalization of possession for personal use.
If Trudeau holds to his promise, Canada will become the first North American country to fully legalize cultivation, sale and recreational use.
In 2014, the South American nation of Uruguay became the first country to fully legalize; however implementation has been a struggle.
As for how quickly things will happen in Canada, Trudeau has said, we don't yet know: legalization could "happen in the first months, within the first year, or [...] take a year or two to kick in."
Analyst Aaron Salz tells the London Free Press when legalization does happen, he expects sales in Canada's medical market to jump from between $80-million and $100-million now, to more than $2-billion in a larger, recreational market.