Cannabis Market Pulse: Canada, U.S., and International Highlights (July 28 to Aug 4th 2025)

Last week’s cannabis news generated a wave of momentum across regulated markets. In Canada, Pure Sunfarms announced a major cultivation expansion, BC wholesale sales rebounded, and federal tax reform discussions gained momentum. The U.S. saw Delaware officially launch adult-use sales, Texas advance a hemp THC ban, and Trump reportedly doubled down on rescheduling support. Meanwhile, a coalition of cannabis testing labs, including Assured Testing Laboratory, filed a billion-dollar fraud lawsuit against equipment giant PerkinElmer. Internationally, Ireland and India reported major trafficking busts, Switzerland opened public consultation on legalization, and UK travellers were identified as targets of cannabis smuggling networks in Thailand. From growth signals to regulatory shakeups, the global cannabis sector continues to evolve rapidly. 

Village Farms Expansion of Pure Sunfarms Cultivation

Village Farms announced a bold expansion of its Pure Sunfarms cultivation footprint, strengthening its position as a leading player in Canada’s greenhouse-grown cannabis market. This initiative aims to meet increasing demand both domestically and for export, supporting the company’s low-cost, high-efficiency production model. Leadership described the expansion as a sign of their long-term confidence in the growth of the Canadian cannabis sector. The expanded capacity is expected to generate local employment and enhance market share across key product categories.

BC Cannabis Wholesale Sales and Delivery Rebound

British Columbia reported modest growth in Q1 2025 wholesale cannabis sales, supported by a rebound in its direct delivery program. Retailers have increasingly adopted farm-gate distribution models, offering more efficient and localized access to supply. This shift is helping stabilize wholesale prices and restore confidence among small- and mid-sized producers. The rebound also indicates improved cooperation between private retailers and the provincial authorities regulators.

PMRA Updates on Cannabis Pesticide Guidelines

The Pest Management Regulatory Agency (PMRA) issued updated guidance outlining new protocols for pesticide use in cannabis and hemp cultivation. These adjustments aim to enhance clarity and ensure compliance, particularly concerning approved agricultural inputs. Licensed producers will need to review their current practices to align with the revised standards. The update demonstrates Canada’s ongoing commitment to product safety and international export readiness.

Cannabis Industry’s Growing Contribution to GDP

Despite a broader slowdown in the national economy, Canada’s cannabis industry continued to grow its contribution to GDP. This performance highlights the sector’s resilience and increasing maturity within the Canadian economic landscape. As other industries stagnate, cannabis is increasingly seen as a stabilizing force that fosters innovation, employment, and tax revenue. It sends a strong message to investors and policymakers alike.

Challenges in Cannabis Impairment Detection

National attention has shifted to the issue of cannabis impairment detection, especially in driving and workplace safety settings. Experts emphasize the scientific gap between THC presence and actual impairment, challenging existing enforcement methods. The absence of standardized, reliable roadside testing continues to hinder legal cases and workplace policies. There is a growing call for innovation in detection technology and policy reforms among stakeholders groups.

Cannabis NB Q1 2025/26 Performance

Cannabis NB reported a year-over-year increase in product sales for Q1 2025/26, although net income declined. The sales rise was attributed to strong demand for new formats, including edibles and vapes. However, increasing operational costs and shrinking margins have created financial challenges. The results highlight the need for greater efficiency and adaptability in the government-run retail sector model.

Federal Excise Tax Reform Announcement

The federal government announced plans to examine cannabis excise tax reform in 2026, addressing longstanding industry concerns. The current system, designed for a nascent sector, has not kept pace with the competitive pressures producers face today. Reform could provide relief from unsustainable cost structures and create new growth opportunities. This indicates Ottawa's willingness to work with industry stakeholders and update outdated policies frameworks.

Rapid Dose Therapeutics Launches Sublingual Strips

Ontario-based Rapid Dose Therapeutics unveiled its new line of sublingual cannabis strips, developed in partnership with Eco Canadian Organic. These fast-acting, smoke-free products cater to consumer demand for discreet and convenient formats. The launch is part of a federally funded harm reduction pilot program, highlighting government interest in supporting innovative alternatives to traditional consumption. It marks a meaningful shift toward functionally driven, health-oriented cannabis products.

Cannabis Testing Lab Lawsuit Over Equipment Reliability

Cannabis testing laboratories have filed a lawsuit in Suffolk County Superior Court in Massachusetts against their equipment manufacturer, citing performance failures that compromised data reliability. The case could establish a precedent for accountability in cannabis testing, where precision is vital for compliance. Laboratories play a crucial role in ensuring consumer safety and upholding product standards. This legal action underscores the importance of reliable technology throughout every stage of the value chain.

Delaware’s Launch of Adult-Use Cannabis Sales

Delaware officially entered the adult-use cannabis market on August 1, allowing legal sales to consumers aged 21 and over. The launch reflects a years-long push by advocates and lawmakers to establish a regulated retail framework. Early signs indicate strong consumer turnout and interest. This development places Delaware among the growing list of states embracing full-scale cannabis legalization.

Governor Meyer’s Visit to MariMed Grow Facility

In a show of support for the state’s developing cannabis industry, Delaware Governor Matt Meyer toured MariMed’s cultivation facility just days before adult-use sales commenced. The visit highlighted the sector’s potential for economic growth, job creation, and tax revenue. It also conveyed a clear message that cannabis is now integrated into the mainstream policy and economic agenda. Public backing from state leadership bodes well for the long-term industry credibility.

Texas Moves to Ban Hemp-Derived THC

The Texas Senate approved Senate Bill 5, which would ban any hemp-derived products containing detectable amounts of THC, excluding CBD and CBG. This firm stance marks a significant departure from federal hemp regulations and has worried retailers and manufacturers in the industry. If passed, the bill could greatly impact the Texas hemp market. It also highlights a broader cultural and political divide surrounding cannabis and hemp policies in the U.S.

Trump’s Reported Support for Cannabis Rescheduling

Reports indicate that former President Donald Trump has privately reaffirmed his commitment to federally rescheduling cannabis. This development increases interest in the 2026 election cycle and could impact cannabis policy discussions at the national level. While nothing official has been submitted, the potential for regulatory reform and market access remains significant. The industry is watching closely for confirmation or follow-through.

AYR Wellness Extends Waiver Agreement

AYR Wellness announced it has extended its limited waiver agreement with senior noteholders, a move aimed at creating financial flexibility. This extension gives the multistate operator more time to implement cost-cutting measures and operational improvements. The decision reflects broader challenges faced by many U.S. operators in a tightening capital market. Stakeholders are watching AYR’s next strategic moves.

Glass House Brands Responds to ICE Raid

Following a July 10 ICE raid that led to one worker’s death and multiple detentions, Glass House Brands is acting quickly to improve labour compliance. The company is reviewing its internal policies and increasing efforts on documentation and workforce training. This tragic incident has reignited wider concerns about immigration, worker rights, and industry responsibility. The company’s response will likely influence labour expectations across the sector.

Norwalk Smoke Shop Raided for Illegal THC Sales

Law enforcement in Norwalk, Connecticut, raided a local smoke shop suspected of selling unlicensed THC products. Authorities seized over three pounds of illegal cannabis items during the operation. The incident highlights the ongoing tension between legal and grey markets, especially in states with partial legalization. Compliance and licensing remain top priorities for enforcement agencies.

Major Cannabis Smuggling Bust in New York

A $2.5 million smuggling operation was dismantled in New York, leading to the arrest of six people and the seizure of over 2,000 pounds of cannabis. The cross-state operation uncovered sophisticated logistics and distribution methods. Authorities described the bust as one of the largest in recent memory. It highlights the ongoing demand for illicit cannabis even in regulated markets states.

U.S. Hemp Industry Scores Legislative Victory

The U.S. hemp sector achieved a significant victory as the Senate removed language from a funding bill that would have heavily restricted hemp-derived THC products. This move safeguards crucial pathways for processors and retailers operating within the federal hemp framework. The industry credited organized advocacy for changing the outcome. It’s an uncommon example of bipartisan support for cannabinoids innovation.

Irish Authorities Seize €2.1M in Cannabis at Port of Cork

Irish customs officials confiscated approximately 107 kilograms of cannabis valued at €2.1 million at the Port of Cork. The cannabis was smuggled from Belgium inside a commercial shipment, resulting in the arrest and remand of one individual. This operation underscores the scale and international scope of cannabis trafficking networks in Europe. It also highlights the importance of cross-border enforcement coordination.

Tripura Musician Arrested in Major Cannabis Bust

In India’s Tripura state, a local musician was arrested after authorities found 173 kilograms of cannabis on his property. Officials suspect the individual was connected to a larger regional trafficking network. The case has attracted media attention because of the suspect’s public profile. It shows how cannabis distribution networks are reaching into unexpected areas society.

85kg Cannabis Seized in Jabalpur Trafficking Operation

Authorities in Madhya Pradesh arrested four individuals and confiscated 85 kilograms of cannabis in a bust targeting an inter-state smuggling network. The operation was part of a larger crackdown on cannabis trafficking across central India. Investigators believe the seized cannabis was headed to metropolitan markets. The arrests are part of a broader effort to curb illegal trade in large quantities of illegal substances regions.

Switzerland Opens Public Consultation on Legalization

Switzerland took another step toward full cannabis legalization by launching a public consultation period on new regulatory proposals. The plan builds on the country’s successful pilot programs and aims to formalize access, taxation, and safety guidelines. Public and stakeholder feedback will inform the framework before any final decision is made. Switzerland is positioning itself as a European model for balanced, data-driven cannabis reform.

British Tourists Exploited in Thai Cannabis Trade

UK authorities raised concerns over a troubling trend: British tourists being recruited into cannabis trafficking operations in Thailand. Post-decriminalization, gaps in regulation have left room for criminal exploitation of unwitting travellers. The issue is prompting warnings from consular services and calls for regulatory refinement. It’s a cautionary tale about the unintended consequences of partial legalization without full oversight.

From expansion in Canadian cultivation to regulatory tensions in Texas and billion-dollar lawsuits in the testing sector, the cannabis industry made significant moves this past week. Village Farms announced an expansion of its Pure Sunfarms facility, while Health Canada supported a new harm reduction pilot using sublingual strips. Delaware officially began adult-use cannabis sales, Texas advanced legislation to ban hemp-derived THC, and a coalition of laboratories, including Assured Testing Laboratory, filed a lawsuit against equipment manufacturer PerkinElmer for allegedly selling faulty cannabis testing systems. On the global stage, Switzerland launched a public consultation on full legalization, while Irish and Indian authorities carried out large-scale trafficking operations busts.

The pace of change isn’t slowing down, and if you’re involved in this industry, staying informed is essential to staying competitive. What do you think was the most game-changing headline this week? Share your thoughts below or discuss how your team is navigating the evolving cannabis landscape.