Episode 36

The Pressure of the Market – Psychedelics

In the final episode of this three-part series, we’re looking at the pressures of the psychedelic market. Like hemp, psychedelics got caught up in the smear campaign waged against cannabis in the ‘60s and ‘70s. But now people around the world are realizing that psychedelics are not only far less harmful than they were once made to believe, but also they can be used for some incredible benefits, including spiritual experiences, healing from trauma, and overcoming grief. 

In this episode, we explore the emergence of psychedelics and whether they’re worth exploring as a revenue stream right now.

SPEAKERS

Taylor Evans, Anthony Adkins, Adam Kulbach, Jesse Larson

 

Adam Kulbach  00:21

Hello and welcome to the higher enlightenment podcast brought to you by higher yields cannabis consulting your seed to sale Business Solutions team. My name is Adam, your host and part of the creative team here at higher yields. Today’s episode is the pressure of the market psychedelics with our guests, Taylor Evans, Anthony Adkins and Jessie Larson. In this episode of our three part series, we’re looking at the pressures of the psychedelic market, like camp. Psychedelics got caught up in the smear campaign waged against cannabis in the 60s and 70s. But now, people around the world are realizing that psychedelics are not only far less harmful than they once were made to believe, but also that they can be used for some incredible benefits, including spiritual experiences, healing from trauma and overcoming grief. So let’s get on with our show. Let’s start by having you guys introduce yourselves. Let’s start with you, Anthony.

 

Anthony Adkins  01:24

Absolutely. I’m Anthony Atkins. I’m the Director of Business Development here at higher yields. And really excited to be on the podcast today to be talking through the market market pressures of the up and coming psychedelic industry.

 

Adam Kulbach  01:37

Well, thank you, Jesse, can you introduce yourself?

 

Jesse Larson  01:40

Yeah, I’m Jesse Larsen. I’m the director of our design build and systems implementation department. I oversee building of our facilities usually around specifically for cannabis cultivation, retail, manufacturing, and processing. A lot of the same things go into this for for psilocybin while taking into some new some new considerations. So it’s an exciting topic. Yeah. And I’m excited to talk about it.

 

Adam Kulbach  02:06

Well, thanks for being here. And Taylor, could you introduce yourself?

 

Taylor Evans  02:10

My name is Taylor Evans. And I’m the client support Advocate here at higher yields. And I’m excited to talk through psychedelics.

 

Adam Kulbach  02:22

All thanks for being here. Taylor. On to the first question. Tell me about the history of psychedelics, from mushrooms to LSD to psilocybin.

 

Jesse Larson  02:32

And the history of psychedelics in use, and both medicinal and cultural practices dates back to the founding of the one of the earliest civilizations with that that is recorded, and that’s down in Mesopotamia, one of the biggest uses was, was in cultural practices to not only gain an understanding of one’s purpose and one’s abilities within this world, but to also at the other end, it’d be able to explore yourself get to get that type of perspective, that wasn’t always, that’s not always available in a sober mind. And while in the beginning, it really wasn’t it the, the uses while we correlate them to that today, in the past were, were more often used in ceremonial purposes. For instance, when white mushrooms I can’t think of the name right now. But if you go back, past the 1950s, Christmas cards actually had mushrooms on them. And those mushrooms are indicative of Siberia, where in those areas that the, the rituals concerning those mushrooms were outlawed. And so and so there, there are several different stories about how this came about, and how it was ultimately dealt with. But for a lot of people, the story of Christmas really comes back to the shamans in that area, delivering this type of practice and this type of mushroom to to people and meet and doing those practices was really the beginning stages of how this mushroom could be implemented within the culture and and even going back to the early days of of MK Ultra and the use of LSD and other mind altering substances and unwitting test patients, by the CIA, those those types of abilities and those types of uses. It has given has given psychedelics a bad name, just like cannabis. A lot of people still refer to cannabis as you know, marijuana, reefer madness. gunge the, the names go on and on. And one of the things that we’ve we’ve really found, especially in the international markets is the acceptance of cannabis as a as a form of medicine. And what we’re seeing now within, within the world, and especially within organizations such as the Veterans Administration here in the US, is is an openness and an acceptance to at least trying out these different types of different forms of medicine. And and while not every single one of them is going to be a cure. There’s there’s definite research avenues to go down through treatment, as well as as what it could down the line solve, especially when it comes to PTSD and traumatic injury, traumatic brain injuries. One of the things that I’ve I’ve always been been partial to, especially within the psychedelic market, is the Perspective Perspective, bringing that a lot of other consumable items that that that are available to the public, don’t necessarily give. And that’s one of the things that I think within this industry, and especially being a pressure of the market is is really going to where the customer wants to go. And what we’re seeing with increased conversation conversations around psychedelics and increased uses. One of the biggest, biggest uses while it while it might not be a psychedelic and dmn, Ma, for PTSD and different types of therapy, is starting to gain prominence. And so really exploring, being able to explore all of the options that are available within a market and just not focusing on one area particularly, but but being open to a vast array of options that are that are available within not only the cannabis market, but a new industry. That’s probably that’s going to be popping up within the United States here relatively soon, and that’s going to be psychedelics.

 

Adam Kulbach  06:54

Okay, thanks. Where are psychedelics illegal.

 

Taylor Evans  06:59

So, mushrooms are currently legal in Brazil, Bulgaria, Jamaica, the Netherlands, and Samoa. The movement to decriminalize psilocybin in the United States began in the 2000 10s, with Denver, Colorado, becoming the first city to do criminalize following Sue Oakland, Santa Cruz, California, Washington, DC, and as did in Somerville in 2021. So it’s definitely making its way around the world.

 

Anthony Adkins  07:40

Yeah, and it’s, it’s interesting that you’re seeing the decriminalization kind of happen on both coasts, and sort of in Central, you know, the central United States as well, because you have, you know, in addition to Oakland and Santa Cruz, California, we also have Oregon, right. was the first state to both decriminalize psilocybin and also legalize it for therapeutical use, which was pretty interesting. And then even, you know, Somerville, New Jersey, and Cambridge, Massachusetts, you know, doing that in February of 2021. So, yeah, you’re right, Taylor. I mean, it’s really interesting to see and hear what’s happening in, in the industry. Or, I should say, the future industry.

 

Adam Kulbach  08:28

Speaking of which, what is the forecast for the legality of psychedelics? Will it be as sweeping as cannabis has been in the last 10 years?

 

Anthony Adkins  08:40

I mean, from my perspective, I mean, that’s a good man, it’s a good question. You know, we’re seeing, you know, something that is probably has a more, even a more heightened sort of mode, looking for a heightened stigma to it, even beyond cannabis. And it’s always interesting to me, when you take a look at how deep the scientific community is getting into, and has been into psychedelics, you know, as Jesse pointed out with MK Ultra and the beginning of, you know, mean for the CIA to order the United States to buy up the global supply of LSD. Right. And then utilize it, and creates research grants for MIT, both MIT and Stanford, you know, back in that era, 50s 60s and it’s the mean the pharmaceutical companies, the research, scientific companies, the the psychological organizations come from, you know, companies, the ones that are, you know, trying To not only gain control of the mind, but also trying to gain control of the market. So it’s going to be a slow play, I really, really believe it’s going to be continued to be a slow play, just like cannabis has been, you know, with states, you know, either allowing it for some element of medical use, or, you know, finally, you know, creating a recreational environment around it. And then of course, regulating it from there, but I mean, I think it’s gonna, it’s, it’s gonna be slower than can cannabis actually.

 

Adam Kulbach  10:37

So Anthony, can you speak about what the Uruguay group is doing to prep for an explosion of psychedelic popularity? And what H YC has done the hell?

 

Anthony Adkins  10:49

Yeah, it’s actually pretty interesting, the foresight of scooped down in Uruguay. As you know, as Taylor pointed out, Brazil currently has that available right. So it’s close proximity. You know, the tourism markets are pretty interesting because it’s almost like countries like Argentina you know, allowing an opening up certain elements and providing certain elements to even tourists coming to their countries, but Uruguay is actually had been studying it when studying the environmental, the horticultural, the organic nature of what it would take to to grow and supply eventually the you know, magic mushroom community, if you will, from that standpoint. So the psychedelics of growing mushrooms in Uruguay is definitely on their, on their radar, and they’re utilizing their hemp capability capabilities, and usually their, their agricultural for cannabis capabilities. And learning actually, from Oregon, there’s a lot of a lot of information going back and forth between Oregon and that group there. And higher yields is, you know, facilitating and building those relationships to not only understand the North American market, but also understand the Latin American market and the power the, the agricultural environment down there.

 

Adam Kulbach  12:18

Okay, so where is the most opportunity for getting into psychedelics as a business?

 

Anthony Adkins  12:26

Jesse, what do you think about that one?

 

Jesse Larson  12:28

Well, definitely in the research, research and development portions are probably one of the best places if you’re looking to make an entry into psychedelics. I know that there’s an infrastructure bills possibly being signed today, which allows for more cannabis research into products being sold at dispensaries. And so there’s probably going to be some more options for market research and development in that area. For right now, I strongly believe that your best option is to start looking at which ways you might be able to qualify for a research and development grant, or some type of manufacturing in in something close to psilocybin, or some type of psychedelic so when the Switch comes over, it’s easy to switch over similar to hemp and THC cannabis. That’s where I see the most the most inroads going in to this product and its development for for sale and wide consumption within the US. Definitely on the research and development portion. Right now. We’re not building any any mushroom growing facilities, unfortunately. But when it comes time, I do know for a fact that several, several people within our network would like to have those built. And so it’s something that we’re going to be a part of the future. But for right now, as Anthony does like to say we slow down to go fast. Make sure everything’s in place, make sure your research is in place, make sure your companies are set up, make sure you’re compliant, all the way down the line. And when that time comes, just be ready to jump on over.

 

Anthony Adkins  14:10

Yeah, and it’s, in addition to that mean, we’re looking at these publicly traded companies, these organizations that are becoming publicly traded, and raising capital already, I mean, they’re estimating there’s a group by data bridge market research, it’s a global market. They’re saying that the global market for psychedelics is growing and will reach a value of over 6 billion within the next five years. And this, this represents a compound annual growth rate of over 16% for the industry. So there’s no doubt that it’s happening. And the companies that are out there like compass pathways that just recently raised 144 million on an equity offer. So we were seeing In a lot of things happening, not only you know, the Canada, of course is getting involved in it, too. So there’s a lot of things, a lot of great research opportunities to find out, you know, where were these gaps in the market, you know, to take advantage of and to, you know, get in on the actual the cutting edge of this new industry.

 

Adam Kulbach  15:24

Okay, so what should interested entrepreneurs know before venturing into psychedelics?

 

Anthony Adkins  15:32

Regulations? Compliance, you know, what I mean, relations and compliance? Yeah.

 

Taylor Evans  15:40

Definitely be prepared for just as much or even more regulation than cannabis.

 

Adam Kulbach  15:45

Yeah. Do you see any of the present conventional mushroom farms getting into the psychedelic business?

 

Anthony Adkins  15:56

Well, I think it’s a natural fit. You know, I really, really do, I think that there’s, you know, being able to lock in a cultivation, environment, growing environment that’s already conducive to, you know, fungi. And those those systems that are so important, and, you know, I think it would be a natural thing would be a natural movement, natural fit.

 

Jesse Larson  16:25

Yeah, Likewise, likewise, a lot of the considerations that need to be given to fungi are the same considerations that need to be given the cannabis, especially while creating what amounts to a micro environment with inside, inside each room, within your building, and doing what is needed for optimal growth, optimal and optimal levels within the mushrooms themselves. I mean, this this pertaining to psilocybin, but down the line, there’s always going to be care that is going to need to be put into this while the the area in which to grow mushrooms is not going to be the same amount of square footage as it is to grow cannabis, that consideration still needs to be there, if you’re going to if you’re making a product for public consumption, it needs to be handled and prepared in a in a clean and professional and compliant manner. So maintaining that that essence of compliance professionalism and, and knowing where, and what this product is, and what it’s used for, is always, always a good thing to be on the lookout for any entrepreneur entering this market.

 

Adam Kulbach  17:42

Okay, before we wrap up, does anybody have any final thoughts?

 

Jesse Larson  17:48

Yeah, you know, I mean, in closing, it’s, it’s a really, everybody is, I know, from my own personal experience, my parents trying mushrooms, they were they were scared at first. And it’s and it’s something that that stigma is runs so deep within the culture that we live in, it’s really breaking down those barriers, and having people understand that this is this is not something that’s, that’s going to kill you, it’s not something that is going to make you rip your eyes out and jump out of a building. It’s something to be used to not abused and, and enjoyed and, and to be implemented in the right way. But the benefits are, are just outstanding. And so really, you know, in the time that we have right now coming off of this pandemic, and the mistrust being so into the community, around pharmaceutical companies, by media behind any institution of power, it’s really, I think that the tide has legitimately turned. And that a lot of this will not be a pipe dream, it’s going to happen whether whether or not it happens tomorrow, or 10 years from now, it’s still going to happen, there’s too much in place to Fortnite to and so if it’s something that people want to get in or interested about, you know, I always say, you know, give us a call, we can talk about it, but but also understand what you’re getting into. This is not growing mushrooms in your closet and selling them for a million dollars and you’re gonna get rich and never have to work again. That’s not how cannabis works. That’s not how psilocybin works. That’s not how any reputable industry works. And so be prepared for that and be prepared for the compliance because the compliance will make or break you in the end.

 

Adam Kulbach  19:38

Well, thanks Jesse Anthony and Taylor for being on the show today. I really appreciate it Well, thank you folks for listening to the higher enlightenment podcast. For more information about our podcast, check out the information below. If you have suggestions for future shows, or you’d like to be a guest on the higher enlightenment podcast, get in touch through the information below or please call us at 844 High yield. That’s 844 H AI, why i e LD, please check out our website at higher yields consulting.com. There you can listen to all our previous podcasts. So until next time, thank you very much for listening. And we’ll meet again soon