Tilray, a major marijuana grower, has announced that it would close its Nanaimo facilities and concentrate production in British Columbia at its Broken Coast site in Duncan.
This major city employer is departing Nanaimo, putting hundreds of people out of work.
According to a statement released on Wednesday by spokeswoman Berrin Noorata, the Canadian firm will shut its Duke Point office and facility by spring 2022 as it implements operating savings.
Tilray stated that it will phase down its Nanaimo growing facility and Duke Point headquarters, with the process anticipated to be completed next spring.
Also Read: World Anti-Doping Agency to Review Olympics marijuana Ban After U.S. Athlete Sha’Carri Richardson’s Disqualification
Tilray began operations in Duke Point in April 2014 and rapidly established itself as a major employer in the area, employing horticulturists, customer service representatives, and others involved in packing and shipping.
After combining with Aphria, another major cannabis producer, the publicly listed cannabis behemoth announced operational savings. As a consequence, according to Noorata, the business now “operates the top state-of-the-art cultivation and production facilities throughout Canada and worldwide.”
According to NanaimoNewsNOW, the company’s imminent exit would affect between 160 and 170 workers at the Tilray Nanaimo facility.
“We will work with workers who are interested in transferring and looking for possibilities at our Broken Coast facility.”
Tilray’s decision, according to Mayor Leonard Krog, is a significant setback for the area.
“This is a major setback. It will have a major impact on our community’s economy. I’m extremely disappointed by this, and can only hope that another large employer, such as Tilray, would be able to take over and utilize their space,” Krog said Wednesday afternoon.
“Tilray will focus on local B.C. cultivation at the Broken Coast plant on Vancouver Island, while producing and manufacturing internationally in Portugal and Germany.”
Tilray, according to Krog, is home to not just a large number of employment, but also high-quality, well-paid ones, which he expects to change the local economy and real estate market.
By the conclusion of the fiscal year 2024, the publicly listed business hopes to have generated $4 billion in sales. It aspires to grow its cannabis retail market share in Canada from 16% to 30%.
Tilray launched its Nanaimo plant in 2014, employing approximately 300 employees at its height, establishing the previously fledgling company as a significant employer in the area.
Also Read: Whole Flower Cannabis can now be Bought by Qualified Medical Marijuana Patients in Virginia’s Dispensaries
Broken Coast, Aphria One, and Aphria Diamond, all in Leamington, Ontario, High Park in London, Ontario, Tilray in Cantanhede, Portugal, and Aphria RX GmBH in Neumunster, Germany, are among the company’s operations.
Tilray said in its announcement that it wants to engage with its Nanaimo employees who are interested in other possibilities at its growing site on Vancouver Island’s Broken Coast.
Tilray will be able to operate more effectively, reduce expenses, and provide the highest-quality goods to its patients and customers while generating growth and shareholder value by concentrating local cultivation and production at the remaining locations throughout Canada, according to Noorata.