Walmart’s Canadian unit is interested in selling cannabis-based products, but with no immediate plans.
After Coca-Cola was closely watching the marijuana drinks market for a possible entry and Corona beer maker Constellation Brands invested more than $4 billion in cannabis producer Canopy Growth, Walmart is the next in line showing serious interest.
According to Bloomberg, when PepsiCo Inc. said last week that it has no plans to invest in cannabis, its shares took a dip.
As Canada’s on the verge of becoming the first major economy to legalize recreational marijuana on Oct. 17, Walmart has shown interest mainly in the alcohol and beverage industries, considering entering the market for cannabis-infused products.
Diane Medeiros, spokeswoman for Walmart, said that “Walmart Canada has done some preliminary fact-finding on this issue, but we do not have plans to carry CBD (Cannabidiol) products at this time”.
Cannabidiol is the non-psychoactive chemical found in marijuana and does not cause intoxication.
A market on the rise
According to Roth Capital Partners analyst Scott Fortune, the legal cannabis market in Canada is targeting an estimated 32 million adults by 2025, and drive about C$10.4 billion in retail market sales.
The Canadian decision could make other countries spark their talk about legalizing recreational marijuana use, as several U.S. states are doing the same, despite still remaining illegal under federal law.