indoor cannabis cultivation - canadian greenhouse …...summary •broken coast is focused on...
TRANSCRIPT
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INDOOR CANNABIS CULTIVATIONPOSITIVE AND NEGATIVE ASPECTS OF PRODUCING CANNABIS
INDOORS VS GREENHOUSE
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CONTENTS• What is Broken Coast?
• What is indoor growing?
• Positive aspects of indoor growing
• Negative aspects of indoor growing
• Indoor vs Greenhouse
• Hybrid greenhouses
• Cost of energy for indoor growing
• Summary
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BROKEN COAST
• 45,000 sqft, entirely indoor,
Licensed Producer
• Produce approximately
300kg/mo of dried flower
• Produce approximately
60kg/mo of trim
• Staff of almost 100 people
• Focused on producing highest
quality cannabis
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WHAT IS INDOOR GROWING?• GROWN ENTIRELY WITH ARTIFICIAL LIGHTING AND CLIMATE CONTROL
• GROW ROOMS ARE COMPLETELY SEALED FROM THE OUTDOOR
ENVIRONMENT
• REMOVE ANY KIND OF STRESS THE PLANT WOULD EXPERIENCE IN NATURE
• TRY TO MIMIC NATURE AT ITS FINEST
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BENEFITS OF INDOOR CULTIVATION
• Temp&humidity control
• Co2 control
• Day/night cycle control
• Consistent light
• Consistency in product size, quality,
potency
• Steady supply of fresh product
• Full employment
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ARTIFICIAL LIGHTING
• ALWAYS THE SAME SPECTRUM
• ALWAYS ON THE SAME CYCLE
• ALWAYS THE SAME INTENSITY
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ARTIFICIAL ENVIRONMENT
• ALWAYS THE RIGHT TEMP
• ALWAYS THE RIGHT HUMIDITY
• ALWAYS THE SAME CO2 LEVEL
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THE POINT OF ALL THIS:
• DRAMATICALLY INCREASED
GROWTH
• DECREASE FLOWERING TIME
• IDEAL BUD STRUCTURE
• CONSISTENT POTENCY
• STRONG TERPENE PROFILE
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THE POINT OF ALL THIS:
• QUALTIY DEPENDS ON
CONSISTENCY
• FULL EMPLOYMENT
• STEADY SUPPLY OF FRESH
PRODUCT
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DRAWBACKS OF INDOOR CULTIVATION
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DRAWBACK: ENERGY CONSUMPTION
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DRAWBACK: CONSTRUCTION COST
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DRAWBACK: HIGH OPERATING COST?
TRUE OR FALSE?
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INDOOR VS GREENHOUSE
• INDOOR OFFERS COMPLETE ENVIRONMENTAL
CONTROL
• CONSISTENT LIGHT INTENSITY AND TEMP
• INDOOR HAS HIGHER ENERGY COST
• INDOOR HAS HIGHER CONSTRUCTION COST
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INDOOR VS GREENHOUSE
• GREENHOUSE HAS LOWER ENERGY COST
• GREENHOUSE HAS LOWER CONSTRUCTION COST
• LESS ENVIRONMENTAL CONTROL
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INDOOR VS GREENHOUSE
• ENVIRONMENTAL CONTROL IS COST VS QUALITY
• MORE CONTROL = MORE COST
• BETTER ENVIRONMENT = BETTER QUALITY
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HYBRID GREENHOUSEGREENHOUSE WITH THE SAME ENVIRONMENTAL CONTROLS AS AN
INDOOR FACILITY
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● REDUCE ENVIRONMENTAL SWINGS BY USING OF ARTIFICIAL LIGHTING AND HVAC
● HAVE TO COMPENSATE FOR OUTDOOR ENVIRONMENTAL SWINGS (SUMMER/WINTER)
● LACK OF INSULATION MEANS MORE COOLING IN SUMMER, MORE HEATING IN WINTER
● GAIN IN ENVIRONMENTAL CONTROL MEANS HIGHER ENERGY AND CONSTRUCTION COST
● EVERY COST INCREASE REDUCES THE BENEFIT VS INDOOR
● CONFLICTING GOALS OF COST EFFICIENCY AND QUALITY
HYBRID GREENHOUSE
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WHAT MAKES CANNABIS HIGH QUALITY?
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TERPENE PROFILE
BUD SIZE
BUD DENSITY
COLORATION
CANNABINOID CONTENT
MOISTURE LEVEL
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THE ECONOMICS OF QUALITY
WHAT DOES INDOOR GROWING COST?
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BROKEN COAST PRODUCTION COST
• All in cost of $2.65/g
• Includes overhead, management,
maintenance, etc.
• Electricity cost is $0.18/g
(excluding trim)
46%
7%2%
6%
20%
2%
17%
All in cost of production under adult use
wages electricity grow materials shipping costs packaging maintenaince Other
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BROKEN COAST PRODUCTION COST
• Electricity cost is $0.18/g
(excluding trim)
• Reducing energy expenses by 2/3
would save $0.12/g
46%
7%2%
6%
20%
2%
17%
All in cost of production under adult use
wages electricity grow materials shipping costs packaging maintenaince Other
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BROKEN COAST PRODUCTION COST
• Expected average shelf price of
Broken Coast dried flower under
adult use: $12.00/g
• Reducing energy expenses by 2/3
would save $0.12/g
• $0.12/g would reduce our average
shelf price by 1%
46%
7%2%
6%
20%
2%
17%
All in cost of production under adult use
wages electricity grow materials shipping costs packaging maintenaince Other
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SUMMARY
• Broken Coast is focused on producing the highest quality
cannabis possible.
• Our quality based brand means we must have complete control
over the growing environment.
• Energy costs associated with indoor growing do not represent a
significant percentage of the selling price for our products.
• Our discerning customers would not notice a reduction in shelf
price but would not accept a reduction in product quality.
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THANKS FOR WATCHINGJOHN MOELLER
PRESIDENT
BROKEN COAST CANNABIS