The BC Liquor and Cannabis Regulation Branch (LCRB) has updated its regulations to allow cannabis retail store licensees and their employees to accept samples from a federal licence holder. 

These changes will apply to Cannabis Retail Stores (CRS) and Producer Retail Stores (PRS ie farmgate).

A sample can not be used for any type of inducement. The LCRB has no limit on the size of a cannabis sample, but notes that samples are expected to be “of reasonable size and quantity and should have little retail value”.  The retailer must provide a “nominal fee” for the sample.

A representative with BCs Ministry of Public Safety and Solicitor General says that while a the nominal fee/value is not defined in legislation or regulation, the amount can be negotiated between the licensees. An example of a nominal fee could be $2, says the representative.

Although retailers are not allowed to supply cannabis samples to other cannabis licensees, the LCRB says they are exploring this possibility in the future, along with allowing all marketing licensees to accept and provide samples to other licensees. 

The change is based on industry feedback. Earlier this year, BC confirmed they were engaging industry on the issue. 

Randy Rowe, the owner of the Grow Up industry conference, taking place October 1-3 in Victoria BC, says he was one who worked closely with the BC government to push for these changes. Grow Up’s Victoria event has been structured to allow for samples, which will be carefully tracked. 

“This is a game changer for brands in BC,” says Rowe. “Being able to get in front of retailers gives producers a stronger opportunity to educate retailers on their product. For cannabis events like ours, this gives us the opportunity to bring a large number of retailers and brands together to be able to provide samples.”

CRS and PRS licensees will be required to keep records relating to cannabis samples that contain the following information (handbook section 3.4.17):

a) the unique excise tax identifier from the original packaging of the cannabis sample;

b) the date the licensee received the cannabis sample;

c) the federal licence holder and name of the representative that provided the cannabis sample;

d) the nominal purchase amount that the licensee paid for the cannabis sample; and

e) the amount or quantity of cannabis sample received.

Some other provinces allowed such samples from the beginning of legalization, like Ontario and Saskatchewan, while Alberta recently began allowing them this past March.

Earlier this year, a spokesperson for the Cannabis Cultivators of BC, representing a handful of producers, told Stratcann that its members would love to see the province create an accessible cannabis sampling program. This would allow producers to inform retailers of what is already on the market and what is coming soon.

“Allowing cannabis sampling gives retailers the ability to touch, see, and feel the products they plan on bringing into their stores, increasing transparency in the process and instilling confidence in what they recommend to their consumers.

“Items for consideration could include making sampling available for products prior to provincial launch by BCLDB and allowing producers to distribute samples directly from their own facilities: aspects which would help our sector improve speed, remove administrative burden, and remain responsive to changing consumer and retailer needs.”

Jaclynn Pehota, the executive director of the Retail Cannabis Council of BC (RCCBC), told StratCann her organization has been lobbying the BC government to make such changes, as well. 

“Product sampling is critical to making informed wholesale purchasing decisions for licensed retailers. Sampling is also an important sales tool for producers,” Pehota tells StratCann. “RCCBC made a formal recommendation in April 2023 that representative samples of any cannabis product in the market should be allowed on a B2B basis in BC.”

SEPTEMBER 25, 2023 | DAVID BROWN

GrowerIQ, a seed-to-sale software company for cannabis producers, has now secured just over one million dollars in funding from the federal government. 

In a press release today, the Ontario-based company announced the completion of its latest funding round, securing CAD $1,080,000. GrowerIQ says the funding, which comes through the Federal Economic Development Agency for Southern Ontario (FedDev Ontario), will be used to improve its cannabis tracking system.

The announcement comes following the recent news of Barbados selecting GrowerIQ as the exclusive cannabis tracking partner for the country. 

Andrew Wilson, CEO of GrowerIQ, says the funding round will help the company continue to grow as not only a Canadian brand but a global one. 

“Our goal is to bring together all systems, processes, advisors, and capabilities into one place, to help simplify what can easily spiral into something very complex,” Wilson previously told StratCann about his approach to the service. “We built the seed-to-sale platform from the perspective of the grower, and coded those insights right into the system’s process flows. So, users of GrowerIQ benefit from those decades of agricultural experience just by using the system.”

Cannabis sales in Canada passed the 420 million mark again in June, following a slight decline after the Christmas shopping season.

Total retail sales of cannabis in June 2023 were over $426 million, up from $415 million in the previous month and a peak of $425 million in December 2022.

Like sales in many retail sectors, cannabis sales have dipped in the months following the Christmas shopping seasons over the last three years, before again building on an ongoing, upward trend. 

The number of retail stores across Canada also continues to grow, although the pace has slowed considerably compared to the first four years of legalization. 

• BC: 506 public and private stores as either open or “coming soon”
• Alberta: 746
• Saskatchewan: 177
• Manitoba: 189, 109 of which are in Winnipeg 
• Ontario: 1,748 as authorized to open 
• Quebec: 98
• New Brunswick: 25 public stores, plus six private stores and six farmgate stores 
• Nova Scotia: 49
• PEI: 4 
• Newfoundland and Labrador: 45
• Yukon: 6 cannabis stores
• Nunavut: 1 licensed store
• Northwest Territories: 6 brick-and-mortar locations, plus one online store

August 23, 2023 | stratcann.com | Staff

Federal Cabinet Approves Legalization Measure In Germany

Earlier today members of Germany’s government announced that the nation’s federal cabinet had approved a draft cannabis legalization measure that would serve as the first phase of an ongoing cannabis policy modernization effort largely led by Germany’s Health Minster Karl Lauterbach. The measure now heads to the Bundestag for consideration by members of the legislative body.

The proposal, as it currently stands and subject to further potential changes, would allow adults to legally cultivate, possess, and consume cannabis for personal use in Germany. The measure would also create noncommercial clubs that would provide cannabis to members. Purchasing limits would be involved, as would ‘buffer zones,’ limits on the number of clubs per jurisdiction, and a limit of 500 members per club. Minister Lauterbach made an appearance later in the day, during which he defended his measure:

Germany

Written by Johnny Green on August 16, 2023. Posted in Policy.

California Governor, Gavin Newsom, has signed into law legislation that allows marijuana to be sold legally at a variety of events.

Assembly Bill 128 allows state regulators to issue licenses for Cannabis Event Organizers, which would be defined by law as “a licensee authorizing onsite cannabis sales to, and consumption by, persons 21 years of age or older at a county fair event, district agricultural association event, or at another venue expressly approved by a local jurisdiction.”

The proposal was signed into law by Governor Newsom on July 10. The measure was passed with overwhelming support in the state legislature, with a 75 to 1 vote in the Assembly and a 40 to 0 vote in the Senate.

• By Anthony Martinelli in News

More opportunities for Indigenous cannabis entrepreneurs in B.C. will soon be made available, according to the province.

The government announced Saturday that it has allocated nearly $2.3 million to be added to the B.C. Indigenous Cannabis Business Fund (ICBF).

WATCH: The provincial government is furthering their support for Indigenous cannabis entrepreneurs in B.C., announcing $2 million in funding in an effort to increase opportunities for businesses. Jasmine King reports.

The fund’s goal is to increase Indigenous participation within B.C.’s cannabis industry.

“I commend the province for enhancing its support of First Nations cannabis-related economic development through the ICBF,” said Regional Chief Terry Teegee with the BC Assembly of First Nations.

“This fund is one example of how the BC Assembly of First Nations advocates and works collaboratively to advance First Nations rights and interests in alignment with the United Nations Declaration on the Rights of Indigenous Peoples.”

The funding announcement comes days after the First Nations Leadership Council’s call for the provincial and federal governments to change cannabis legalities to align with the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP) and to support First Nations’ fulsome participation in the cannabis economy.

According to the province, the one-time fund will go toward supporting business planning and advisory services, and will help First Nations cover the costs of licensing and permits. It will also serve as capital funds to support the launch or expansion of businesses.

The funds will be provided through the New Relationship Trust, which is responsible for administering ICBF.

“The cannabis sector can be a multifaceted decision for First Nation communities and entrepreneurs,” said Walter Schneider, New Relationship Trust’s chief executive officer.

“The additional funding means unlocking more opportunities for First Nations seeking to advance their own path toward economic development in the regulated cannabis industry.”

WATCH: There’s no doubt the cannabis industry has had a major affect across the country since its legalization 5 years ago. As Victoria Femia reports hundreds of people gathered in Kelowna, on Friday to discuss how to incorporate cannabis into the tourism sector.

Just like wine, British Columbia is also known for its bud.

That was evident during the second annual cannabis summit in Kelowna, B.C., where a new study says there’s a major market for cannabis tourism.

“There is a market for this,” said Susan Dupej, president of the Canadian Cannabis Tourism Alliance, “for new products for people who want to try new products and tourism, hospitality experiences provide this context for people to do that.”

Essentially, the study looked at the potential demand for cannabis tourism in Canada, and what drives people to travel to participate in cannabis-included activities.

Of those activities, edibles were the most desirable method of consumption within the study.

“Eating an infused meal, this is an accessible way for people to try cannabis for the first time or a beverage or an infused edible of some kind,” said Dupej, who is also a researcher at the University of Guelph in Ontario.

The survey revealed that B.C. is the top tourism destination for cannabis, followed by Ontario and Alberta.

While cannabis is one obvious factor, where you can consume it also part of the equation.

“The outdoors, the Okanagan Valley, just look around,” said Dupej.

In related news, the ongoing review of the federal Cannabis Act and the role that Indigenous communities play is up for discussion

“I think First Nations, right from the beginning of cannabis legislation, have wanted more involvement consultations to discuss how First Nation jurisdictional issues and cannabis legislation work together to create an industry for Indigenous participation,” said Darwin Douglas, All Nations CEO.

“There are a lot of amazing ideas that are coming out of our Indigenous partners,” added Jaclynn Pehota, B.C. Cannabis Council executive director.

“And I think the government would be very wise to listen because not having listened in the past has not had a positive outcome for anybody.”

One major concern surrounding cannabis tourism is spaces for consumption, since every part of Canada has different laws regarding consumption.

“There are inconsistencies,” said Dupej. “Not only is that a problem for citizens, but for tourists.

“We don’t want to put tourists at risk. We don’t want to put tourists in danger unknowingly; that’s one of my concerns.”

Friday was the first day of the three-day summit at the Hotel Eldorado in Kelowna. Different topics will be discussed each day.

Today in Germany federal ministers from the nation’s government held a press conference in which they announced components for what will serve as the ‘first phase’ of adult-use cannabis legalization in the European Union’s most populous country.

“In a first step, cultivation in non-profit associations and private cultivation should be made possible nationwide. In a second step, the sale in specialist shops will be implemented as a scientifically designed, regionally limited and time-limited model project. In the model project, the effects of a commercial supply chain on health and youth protection as well as the black market can be scientifically examined in more detail.” Government officials stated in a press release after today’s press conference.

According to details offered up during the press conference, a video of which is embedded at the end of this article, there will be a possession limit of up to 25 grams of cannabis and a cultivation limit of a maximum of three plants. The legal age will be set at 18.

“Cannabis is a common stimulant. It is often offered and used illegally in Germany. This is often a health hazard. Adolescents in particular are impaired in their social and cognitive development by cannabis. Despite this, more and more young people are using the drug. The black market goods are often contaminated and create additional health hazards. We can no longer accept this. That’s why we dare the controlled sale of cannabis to adults within clear limits and push back the black market, flanked by preventive measures for young people. Health protection is the priority. The previous cannabis policy has failed. Now we have to break new ground.” said German Health Minister Karl Lauterbach about cannabis policy in Germany.

“The previous restrictive handling of cannabis in Germany has failed. Banning cannabis criminalizes countless people, pushing them into criminal structures and tying up immense resources from law enforcement agencies. It’s time for a new approach that allows more personal responsibility, pushes back the black market and relieves the police and public prosecutor’s offices. We trust people more – without downplaying the dangers that can emanate from cannabis consumption.” added German Federal Minister of Justice Marco Buschmann.

Another key component of the legalization plan’s first phase, which will serve as the foundation for adult-use cannabis access for many consumers in Germany, will be noncommercial associations or clubs. Membership will be capped at 500 consumers per club.

“Membership fees cover the cost price, staggered according to the quantity supplied ( possibly with a basic flat rate and an additional amount per gram supplied). The number of members per association is limited to a maximum of 500 with a minimum age of 18 years and domicile or habitual abode in Germany. The number of associations can be limited by population density.” today’s press release stated.

“The use of cannabis is a social reality. Decades of prohibition policies have turned a blind eye to this and, above all, caused problems: at the expense of our children and young people, the health of consumers and the law enforcement authorities. Now we are creating a coherent and pragmatic cannabis policy from a single source, from cultivation to consumption. Nobody should have to buy from dealers without knowing what they are getting. Through controlled cultivation and distribution within the framework of cannabis clubs, we strengthen youth and health protection. And: We cut the ground for organized crime, which does not even shy away from selling it to children. With a regional model project, we are also exploring the possibilities of a commercial supply chain.” said Federal Minister of Agriculture Cem Özdemir.

The second phase of the legalization plan announced today, which the Minister of Agriculture touched on in his comments, will involve the launch of regional adult-use commerce pilot projects, somewhat similar to what is in place in Basel, Switzerland. Although, what will likely be implemented in Germany will presumably be on a much larger scale. The following details were released today regarding pilot projects:

• The project duration is 5 years from the established supply chain.
• There is a spatial restriction to delivery points and adult residents of certain districts/cities in several federal states (opt-in approach).
• Within the framework of the law, approval of the sale of edibles is being examined in compliance with strict youth and health protection regulations.

A third phase for legalization, which appeared to only be lightly alluded to today, is the push for nationwide adult-use sales. Leading up to today’s press conference Germany’s Health Minister indicated via comments to the media that the push for nationwide sales is not over. Rather, more time will be needed to lobby the European Union which appears to be willing to allow possession, home cultivation, noncommercial clubs, and regional pilot programs yet is still not willing to approve national sales. Thankfully, German lawmakers are not giving up, albeit moving forward on other legalization components pertaining to personal freedom in the meantime.

“The cornerstones of the 2-pillar model (“ C lub A nbau & Regional -Modell/ CARe ”) have been developed by the Federal Ministry of Health as the leader, as well as the Federal Ministry of the Interior, the Federal Ministry of Justice, the Federal Ministry of Agriculture, the Federal Ministry of Economics and the Federal Foreign Office in accordance with the technical responsibilities. The EU and international law limits were taken into account. On the basis of the key issues paper, the federal government will now present a draft law at short notice.” government officials stated in today’s press release.

“The federal departments are working on all parts of the project within the scope of their respective responsibilities under the overall leadership of the BMG. Both pillars are incorporated into concrete draft laws, with the working draft for pillar 1 being presented in April 2023, followed by the draft law for pillar 2. The results of the scientific report already commissioned on the effects of the legalization of recreational cannabis on health and youth protection in other countries are taken into account for both pillars.” the press release also stated.

“At the same time, the Federal Government is continuing its efforts (particularly through the missions abroad) to promote its approaches to its European partners and is also examining the extent to which a sufficient number of EU Member States can initiate the initiative in order to comply with the relevant EU legal framework in the medium term to be made more flexible and developed further.” the press release concluded.

International Cannabis Conference – Written by Johnny Green on April 12, 2023. Posted in Policy.

The B.C. Cannabis Summit returns to Kelowna for a second year

• Brittany Webster
• Mar. 27, 2023 2:30 p.m.
• News

The B.C. Craft Farmers Co-op has announced that All Nations Mestiyexw will be the title partner at the 2023 B.C. Cannabis Summit in Kelowna.

All Nations is an Indigenous-led cannabis producer that weaves traditional Indigenous practices with innovative cultivation methods.

“At All Nations, we focus on strengthening the connection to Indigenous communities. We strive to make a positive socioeconomic impact with Indigenous communities, always encouraging and inspiring Indigenous participation in this industry,” said All Nations CEO Darwin Douglas. “Our model is recognized by Indigenous communities across the country. It speaks to where Indigenous communities are in their quest for economic sovereignty and their desire to build prosperity – seeking business opportunities within their Nation and on their traditional territories. All Nations is about producing great cannabis, creating hope for communities, bringing the Indigenous people into this industry and creating a future that’s sustainable and creating positive societal impact.”

The three-day summit will be packed with vendors, prizes, and guest speakers including Deputy Premier Mike Farnworth and Nelson-Creston MLA Brittny Anderson.

Tickets are limited and can be purchased online.

The summit will be held at the Eldorado Resort April 21-23.

READ MORE: A dope 4/20 in Kelowna with the B.C. Cannabis Summit

Prime Minister Justin Trudeau acknowledged the need for the government to “catch up” with the cannabis industry’s concerns around issues like high taxation in a recent public event.

In a town hall meeting on March 16 in Newfoundland and Labrador, Trudeau responded to comments from Taylor Giovannini, the owner of local cannabis producer and retailer Oceanic Releaf. 

Giovannini shared her concerns with the challenges businesses like hers face due to issues like high taxes and reluctant banks. 

The cannabis industry has been calling for reforms to the federal excise tax rate for years now, arguing it ends up taking as much as 30 percent or more of their revenue. For fiscal year 2018-2019, the first year of legalization, the CRA assessed $71,922,000 for cannabis duty on dried/fresh cannabis flower and $19,534,000 for cannabis extracts, including edible/ingestible cannabis oil, for a total of $91,563,000. 

“Now “that we’ve got the public health and safety stuff out of the way, or on the way, I think you’re absolutely right we should absolutely take a closer look at ‘okay, what do we do then to make sure that this is a beneficial industry’?”

Prime Minister Justin Trudeau

For fiscal year 2019-2020, the CRA assessed $229,697,000 for cannabis duty on dried/fresh cannabis flower and $25,743,000 for cannabis extracts, including edible/ingestible cannabis oil, and $1,182,000 for cannabis edibles, for a total of $256,622,000. 

Many cannabis companies in Canada have long found it difficult to find and keep a bank or other lending institution, or even to maintain an account, with one producer recently even filing a lawsuit against several Canadian banks. 

Giovanni told Saltwire that the first cannabis retail store she opened “almost collapsed” when the Bank of Montreal cancelled their business account.

Challenges faced by cannabis businesses in Canada trying to get and keep relationships with lending institutions are well known, with many banks unwilling to do business with what they see as an uncertain industry. 

Some have turned to smaller lending institutions like credit unions, some of which have leaned into the gap left by larger banks.

Giovanni’s question for Trudeau was asking when the new cannabis industry will see relief on some of these issues, especially in light of the federal legislative review of the Cannabis Act.

In his response, Trudeau first brought up the government’s historical public-health focussed messaging around legaization, but noted that now that the legal system is established, the government has a need to take a look at ensuring those businesses who “stepped up” in this new industry can survive. 

“We didn’t legalize so that there would be growth in jobs and opportunity, we legalized out of a public health concern,” Trudeau told the crowd. “The current situation was not keeping Canadians safe, it was giving kids too-easy access to cannabis. It was fuelling the black market that then turned around and fuelled all sorts of other illegal activities, and we made the decision on a health basis. If we had gone into this saying ‘okay let’s design a burgeoning new industry that we can create success’, we might have made some different choices, but we looked at it from a public health and safety standard.

“Now that we’ve got the public health and safety stuff out of the way, or on the way, I think you’re absolutely right that we should absolutely take a much closer look at ‘okay, what do we do then to make sure that this is a beneficial industry?’

“You can say ‘well it’s a drug’, but boy are we ever proud of our wineries across Canada, are we ever proud of our microbreweries…these are consumption choices… People are evolving, and I can understand that the people who stepped up into the industry in its infancy are being part of the growing pains. And we will try and make sure that we’re capturing your concerns as we look at renewal of the Act, which we knew we were going to need to do.

“There is a little more clarity about how the industry is evolving, and it’s easy to say ten years from now, fifty years from now, it will be great. Right now you’re in the industry, you have payroll you’re trying to make, you’re trying to support people. We want to try and get there for you as well. But this was done not because we were going to create jobs with it—although we knew that would happen. It was done out of a public health and justice approach. But hopefully we’re going to be able to catch up and be supportive of the real positive industry that it has become.”

The Cannabis Act review panel has been engaging with numerous cannabis industry stakeholders, patient groups, and others across Canada since the full panel was announced in late 2022. The group is tasked with then compiling a report for the government based on that feedback, which will be presented in the House of Commons likely in early 2024. 

In addition, as part of Budget 2022, the federal government noted that as the legal cannabis industry in Canada grows, there are opportunities for the federal government to “streamline, strengthen, and adapt the cannabis excise duty framework specifically, and other excise duty regimes under the Excise Act, 2001 accordingly.” That work is being conducted, in part, by ISED—Innovation, Science and Economic Development Canada—a federal agency that focuses on increasing Canada’s share of global trade.