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Inventory
12 Months Ended
Dec. 31, 2020
Inventory Disclosure [Abstract]  
Inventory

5. Inventory

Inventory is comprised of the following items:

 

 

 

December 31,

 

 

 

2020

 

 

2019

 

Raw materials

 

$

15,223

 

 

$

15,926

 

Work-in-process

 

 

61,867

 

 

 

53,973

 

Finished goods

 

 

16,555

 

 

 

17,962

 

Total

 

$

93,645

 

 

$

87,861

 

 

Inventory is written down for any obsolescence, spoilage and excess inventory or when the net realizable value of inventory is less than the carrying value. During the year ended December 31, 2020, the Company recorded charges for inventory and inventory-related write downs as a component of cost of sales. Cannabis products were written down by $24,288 and hemp products were written down by $4,040 (2019: $49,378 and $3,880).

 

Included in the inventory-related write downs in the cannabis segment are write downs of $4,934 resulted from a loss on deposit payments for future purchases of inventory to secure supply (refer to Note 6) and $5,157 of additional termination penalties to the same supplier.