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9 retail cannabis locations to move to public hearing in Surrey in April

A public hearing for nine cannabis retail store applications in Surrey will be held on Monday, April 14, 2025. 

The stores, if approved, will be the first in the city, BC’s second-largest. Surrey City Council first released a proposal for up to 12 cannabis stores in early 2024, approving the plan in April

At the time, the city had said it would consider up to two locations for each of its six distinct communities: Whalley/City Centre, Newton, South Surrey, Guildford, Cloverdale, and Fleetwood. Three of those original stores were not included in this round of approvals. 

In a council meeting on land use on March 10, Surrey City Council members voted to move those nine applications to the public feedback stage of licensing. All councillors approved each one, except for Councillor Nagra and Mayor Locke, who opposed them all. (h/t to surreyleadernow for first noticing the vote.)

One of the original cannabis retail applicants, 137 Brands at 17608 56 Avenue, was replaced with “UEM Cannabis” with a proposed location of #100 5828 176 Street. It was suggested that the location would be too close to a school. That application was not scheduled for the April 14 meeting. 

The second original Cloverdale location was Queensborough Cannabis at 19581 Fraser Highway. That location is also not scheduled for the April 14 meeting. 

The third, Surrey Cannabis Connection at 15148 Fraser Highway, was also not included. 

Surrey is the second-largest municipality in British Columbia, after Vancouver, with a population of more than 560,000 people. Vancouver, which has more than 660,000 people, currently has 80 cannabis stores according to the city’s document (83 listed as open or in the queue according to BC).

In 2023, Surrey City Council began exploring the possibility of allowing cannabis stores, directing city staff to develop a plan. In July of that year, council sent a plan back to city staff to be reworked to address some councillors’ concerns.

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Researchers at a Vancouver college want to find the best pre-roll in Canada

Researchers at Langara College’s Applied Research Centre in Vancouver recently began collaborating with BC-based cannabis producer Pure Sunfarms to discover what makes the best pre-roll.

The work, which launched in January, is one of several announced projects at the college’s Applied Science for the Canadian Cannabis Industry (ASCCI, which are supported by $4.7 million in grants from federal, provincial, and private funders, including companies operating in the cannabis space like Pure Sunfarms, Avicanna Inc., and Jazz Pharmaceuticals.

Cannabis researcher Markus Roggen tells the Langara Voice that this cutting-edge research is relatively unique since few companies test the consumption process of their products.  

“If you smoke the same joint five times, you’ll see that they behave slightly differently, burn slightly differently,” Roggen said. “You don’t see that with a cigarette.”

Roggen and his fellow researchers are using a “mechanical lung” they call KARL to mimic the act of smoking in a controlled setting. One of the goals, he explains, is to balance the effects of THC and terpenes throughout the whole joint.

“[We can see] how much THC, how much CBD, how many terpenes you inhale, per puff and for the whole joint,” Roggen said.

Cannabis pre-rolls have been gaining market share in recent years, although quality continues to be a challenge for industry and consumers alike. The number of units of cannabis pre-rolls delivered to stores in Ontario surpassed dried flower in early 2023, with that trend increasing in the first half of 2024, according to the most current data available. 

Another cannabis lab has undertaken similar research into vape pens to better understand the realities of the impact of their use on the hardware.  

Langara College’s cannabis research will continue into 2026. The college was awarded one of the largest grants received by a post-secondary institution in British Columbia for cannabis research in 2021. The ASCCI research project received a grant of $2 million from the Natural Sciences and Engineering Research Council (NSERC) and $1.3 million from the Canadian Foundation for Innovation (CFI).

“The research addresses questions of importance to industry such as: what is the genetic basis of cannabis varietal designation? What is the relationship between varietal and compound production? How can new varietals be developed in a targeted way?” said Kelly Sveinson, Chair, Applied Research Centre, Langara College at the time. “Connecting industry, College researchers, students, and other institutions, this program will leverage federal funds to build global competitiveness in the sector and develop skilled people in the field.”

Featured image via the LangaraVoice.ca

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TRYGG Collective acquires Tricanna Industries through RVO

BC-based TRYGG Collective has acquired cannabis processor Tricanna Industries through a court-approved RVO process, says TRYGG CEO and Founder Fabrizio Rossi.

Tricanna, also based in British Columbia, initially filed a Notice of Intention (NOI) on February 5, listing $3.2 million in liabilities. The company listed $2.9 million in unsecured debt and $1.7 million in secured debt, for a total of more than $4.6 million.

On February 2, 2025, Tricanna entered into a subscription agreement with Rossi, reflecting a renegotiated offer that was said, at the time, to be intended to close by way of an RVO.

“This move brings our vision full circle: an amazing house of brands, cutting-edge pre-roll technology, and a fully licensed processing facility in the Lower Mainland, BC,” said Rossi in a post on Linkedin on March 17. “With three Blackbird by RollPros, two PreRoll-Er, infused pre-roll equipment, and pallets of product already moving through the facility, TRYGG Collective has cemented itself as the dominant pre-roll and co-manufacturing player in Western Canada.”

“A huge thank you to our partners who stood by us through this gut-wrenching process, and a special recognition to the Tricanna Industries Inc. team for their dedication and resilience in ensuring another cannabis venture didn’t fade into the night.”

Founded in early 2022, TRYGG provides packaging and processing options for Canada’s small, craft cannabis growers.

TriCanna’s NOI in February stated that Rossi had been discussing the possibility of purchasing Tricanna since early January 2025, for $200,000.

Between January 2 and February 2, 2025, Tricanna founder Dayna Lange negotiated with Rossi to increase the purchase price. The renegotiated offer was expected to pay out Community Savings Credit Union, which had previously provided a total approved credit facility for Tricanna worth $250,000. Even though Community Savings is the first secured holder, they have clarified with StratCann that they are not owed any money.

Tricanna says it has recorded operating losses since its June 18, 2018 incorporation. The company was first licensed by Health Canada in 2020 and has provided cannabis processing services for numerous cannabis companies, many of which are listed as unsecured creditors of Tricanna.

This article has been updated to clarify that Community Savings Credit Union has no outstanding debt with Tricanna.

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Legal cannabis plants do not void policy, rules BC Court of Appeal

A BC Court of Appeal judge has sided with a man who previously had an insurance claim denied due to a small, legal cannabis grow site in his home. 

In a ruling posted on March 14, 2025, the judge found that a previous court decision that sided with the man’s insurance company was incorrectly interpreted, allowing the appeal. 

The man had appealed an order of the Supreme Court of British Columbia from 2021 (Busato v. Gore Mutual Insurance Company) that denied his coverage after a 2017 kitchen fire that was unrelated to his cannabis grow operation.

The appellant, Anthony Busato, lost his home in Peachland, BC, to the fire. A claim he made to his insurance provider, Gore Mutual Insurance Company, was denied due to the discovery by the insurer that the man was growing approximately 25 cannabis plants in his home.

Although the plants were authorized under a licence from Health Canada and he had been insured by Gore since 2014, the insurance provider denied his claim for compensation for his loss. Gore, in their denial, pointed to an exclusionary clause in the policy that did not allow cannabis cultivation on the property. 

Busato sued his insurer, but the judge in the case sided with the insurance company. In the appeal, the new judge ruled that the first judge erred in their ruling, saying it was based on a previous court case, which the appeal judge said was not relevant as they dealt with illicit cannabis production. The first of those cases involved the illicit production of cannabis extracts rather than a legal, licenced medical grow operation, while the second dealt with a 300-plant operation that the owners made efforts to hide. 

Busato made no such efforts to hide his small grow operation. In addition, even after denying his claim for a supposed breach of policy, Gore did not cancel Busato’s policy and continued to collect payments. 

“Since the appellant’s cultivation was not illegal nor did it create unusual risks, the appellant could reasonably expect the exclusion did not apply,” wrote the Honourable Justice Winteringham, in part, in their decision. “I accept that the appellant did not give evidence about his expectations but it is reasonable for an insured party to expect that an exclusion, which is drafted in a way that targets illegal activity, would not apply to their legal use of property.”

“The appellant was using medicinal marijuana to relieve chronic and debilitating pain experienced following back surgery,” the judge continued later in his ruling. He sought and obtained a license that permitted him to grow up to 73 marijuana plants. He had 25 plants at the time of the fire. While not determinative, the cause of the fire had nothing to do with his marijuana plants, as the trial judge found, and there was no suggestion that the appellant misled or misrepresented the insurer in any way. Further, the judge relied heavily on the underwriter’s evidence from an Ontario case where the same exclusion was at issue in different circumstances. In my view, these circumstances support a finding that it would be unjust or unreasonable to give effect to the exclusion.”

Rubicon Organics announces first international cannabis shipment to Poland

Rubicon Organics Inc. has announced its first shipment of dried cannabis flower into the international market with a shipment to Poland.

Rubicon is a certified organic greenhouse cannabis producer in Delta, British Columbia. The company recently announced plans to acquire an indoor production facility in Hope, BC, the former Canna Farms facility from MediPharm labs

The company says the new facility, with an incremental 4,500 kgs of annual production capacity, will help Rubicon to supply both the domestic and international markets. Rubicon says that Poland’s medical cannabis market has more than 90,000 registered patients, with the country representing a “key entry point” into the European cannabis markets, where medical cannabis adoption is expanding rapidly. 

“This inaugural international shipment marks a pivotal moment for Rubicon as we bring our premium cannabis products to patients beyond our borders,” said Margaret Brodie, CEO of Rubicon Organics. “As we scale up our production capabilities, I’m excited that Rubicon will be able to deliver more of our premium cannabis to both our customers in Canada and fill the high demand for BC Bud internationally.”

According to the Canadian government, there were 67,475.28 kilograms of dried cannabis exported to the international market in the first six months of 2024 alone and 79,279.75 kilograms exported in 2023, a trend expected to continue.

In their most recent quarterly report in November 2024, Rubicon Organics brought in $13.5 million in net revenue, its highest revenue in eight consecutive quarters, but still reported a relatively small net loss of $168,498.

Rubicon sells three flagship brands: their “super-premium” Simply Bare Organic, premium brand 1964 Supply Co, cannabis wellness brand Wildflower, and the Homestead Cannabis Supply brand. The company says it currently has over 294 unique SKUs available for sale across Canada, with over 99% coverage of the addressable market in both non-medical and medical sales channels.

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Manitoba bill seeks to end controlled-access licences in urban areas

New proposed amendments to Manitoba’s regulations would limit cannabis sales to age-restricted stores in urban areas of the province. 

As part of the provincial government’s spring agenda, proposed amendments to the province’s Liquor, Gaming and Cannabis Control Act would, if enacted, ensure that the sale of cannabis in Winnipeg and other urban areas is confined to age-restricted stores. 

Bill 9, The Liquor, Gaming and Cannabis Control Act (2), was tabled on March 5 by Manitoba’s Minister of Justice and Attorney General Matt Wiebe. 

The province previously paused their “controlled access” licensing twice in 2024, which allowed cannabis to be sold in mixed-use convenience stores where minors were permitted inside. Initially, those types of licenses were intended for more remote, rural locations but had begun being applied in more urban settings, prompting concerns from some cannabis retailers.

At the time of the initial pause on that type of licensing, Domo, which operates a chain of more than a dozen gas stations and convenience stores in Winnipeg, had been in plans with a Manitoba retailer to supply the chain with their locally-produced cannabis products.

Manitoba also recently passed legislation that will allow people to grow up to four cannabis plants at home, which is expected to come into force by the spring.

Update: In an email with the press secretary for Cabinet Communications on March 7, it was confirmed that the legislation is not retroactive. It would not apply to existing controlled-access stores in Winnipeg or other urban areas. About ten such shops currently operate in Winnipeg.

In a media scrum on Wednesday, March 5, Minister of Justice and Attorney General Matt Wiebe said the issue was about keeping the general public safe, keeping store employees safe, and making sure cannabis stays out of the hands of young people.

“My opinion is that gas stations should sell gas and convenience stores should stick to Slurpees,” said Wiebe. “We want to make sure that there’s access to the market, but we don’t want our children exposed to this.”

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BC’s Tricanna Industries filed Notice of Intention, seeking buyer

BC-based cannabis processor Tricanna Industries Inc. filed a Notice of Intention (NOI) on February 5, listing $3.2 million in liabilities, including $1.1 million owed to the Canada Revenue Agency and $31,408.26 in GST.

The company lists $2.9 million in unsecured debt and $1.7 million in secured debt, for a total of more than $4.6 million.

Since filing the NOI, the company says it has continued its normal operations and intends to continue to carry on business with its suppliers on terms which are acceptable to Tricanna, its suppliers, and regulatory bodies. 

As a result of filing the NOI, all proceedings against Tricanna and its assets were automatically stayed until March 6, 2025, which may be extended by further Court approval.

Tricanna offered semi-automated pre-roll production, packaging for cannabis products, trimming, and distribution services for cannabis cultivators and other producers. The company operated from a leased production facility in Mission, British Columbia. The facility is owned by a separate holding company and is not subject to these proceedings. 

In its first report to its creditors, the company reported net losses for the year ended December 31, 2024, and further reported that the Canada Revenue Agency (CRA) informed Tricanna that it may initiate action against the company with respect to the outstanding balance owed to the CRA for excise tax. 

The actions threatened by the CRA included freezing bank accounts, as well as suspending or not approving a renewal of Tricanna’s excise tax license, a move the CRA has used against other companies in recent years. Without this licence, a company cannot operate in the cannabis industry. 

As a result of what Tricanna says are significant operating losses and the pending action from CRA, the company’s Management decided to seek creditor protection to permit a restructuring of Tricanna’s financial affairs. 

Tricanna’s management filed the Notice of Intention to Make a Proposal (NOI) pursuant to the provisions of the Bankruptcy and Insolvency Act on February 5, 2025, and MNP Ltd. consented to act as Licensed Insolvency Trustee in the proposal proceedings. 

The company is currently seeking to extend the deadline to file a proposal until April 20, 2025, as well as the approval of a Reverse Vesting Order (RVO) to vest all of the company’s excluded assets, excluded contracts and excluded liabilities.

The subscription agreement includes that a portion of the secured liabilities owing to investors Victor Neufeld, Gary Leong and Thomas Tardi will be retained by the company as documented by a non-interest bearing, demand promissory note and will be satisfied from the Subscription price upon closing. Neufeld is a retired executive from Aphria Inc., while Leong was previously the chief scientific officer at Aphria, along with several other subsequent cannabis industry positions. 

The subscription agreement also includes that in the event that a balance is owed to Community Savings Credit Union, it would also be retained by the company.

In the weeks leading to Tricanna’s NOI, the company underwent an informal sales process, contacting various parties to solicit an offer to purchase the company. Tricanna approached parties that its directors believed could benefit from acquiring Tricanna and had sufficient cash reserves to be able to close a transaction quickly. 

Several parties engaged in the informal sales process did not present offers, citing concerns with Tricanna’s “limited working capital” and the company’s requirement to close a transaction quickly. 

Another party was approached by Tricanna, but they did not proceed with an offer as the prospective purchaser lacked experience in the cannabis industry. 

Tricanna continues to employ four full-time employees, which it intends to retain, with one employee’s hours being reduced. 

The federal excise arrears include an additional $280,042.02, which relates to excise duties that were assessed against a significant amount of cannabis inventory that was stolen from Tricanna’s premises on September 1, 2023

In an affidavit, the president and director of Tricanna, Dayna Lange, says the insurance proceeds did not compensate Tricanna for the excise duties on the stolen inventory. 

Tricanna says it has recorded operating losses since its June 18, 2018 incorporation.

On February 2, 2025, Tricanna entered into a subscription agreement with Fabrizio Rossi, the CEO of cannabis company the Trygg Collective, reflecting a renegotiated offer that is intended to close by way of an RVO.

Tricanna was first licensed by Health Canada in 2020.

h/t Insolvency Insider

Rubicon Organics looks to acquire former Canna Farms facility from Medipharm Labs

Rubicon Organics Inc. has entered into a purchase and sale agreement with Medipharm Labs Inc. to acquire the former Canna Farms facility in Hope, British Columbia. 

Medipharm took over ownership of the 47,500-square-foot indoor cultivation facility as part of its 2023 acquisition of Vivo Cannabis, which had acquired Canna Farms in 2018.  

The purchase price for the Hope Facility is $4.5 million. It is subject to several conditions including the company’s satisfaction with due diligence, financing, and approval of Rubicon’s board of directors. The Company intends to use the Hope Facility to increase its production capacity. The transaction is expected to close in the second quarter of 2025, with Rubicon projecting a first harvest in 2025.

“Acquiring the Hope Facility is a milestone for Rubicon Organics and further strengthens our premium production capacity, setting up Rubicon Organics to service the growing demand for our leading brand portfolio, and accelerating our growth beyond our existing footprint,” said Margaret Brodie, CEO of Rubicon.

The former Canna Farms facility was one of a handful that received a commercial production licence in early 2014. It was also one of the first of these companies to post a profit while large pubcos continued to spend more than they brought in. 

Keith Strachan​​​​, president of MediPharm Labs, told StratCann in 2024 that the decision to ramp down production at the Canna Farms facility was made in 2023. This decision reflected, at the time, the declining price of cannabis and the small facility’s inability to compete with larger-scale growers, especially greenhouse growers. 

“We slowly stopped cultivating there due to existing inventory and market conditions and just the ability to buy bulk flower at a better price than what we can grow it for,” explained Strachan.

Rubicon operates a 125,000-square-foot hybrid greenhouse, certified by the Fraser Valley Organic Producers Association (FVOPA) for organic cannabis cultivation, located in Delta, BC, about an hour from Hope. 

In its most recent quarterly financials, Rubicon Organics reported $13.5 million in net revenue in Q3 2024, the three months ended September 30, 2024, the company’s highest revenue in eight consecutive quarters.

Rubicon sells three flagship brands: their “super-premium” Simply Bare Organic, premium brand 1964 Supply Co, cannabis wellness brand Wildflower, and the Homestead Cannabis Supply brand. As of the end of September 2024, Rubicon had over 294 unique SKUs available across Canada, with over 99% coverage of the addressable market in both non-medical and medical sales channels.

Featured image of the former Canna Farms facility in Hope, BC via Google Maps

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Calgary passes motion to move forward with on-site cannabis sales at events

Calgary City Council voted 8-6 in favour of a motion to have city staff align the city’s bylaws to allow a permitting process and festival applications to allow for the sale of cannabis at minors-prohibited events.

The notice of motion was brought to council by councillor Kourtney Penner, who told councillors the goal was not to promote cannabis use but to align the city’s bylaws with provincial regulations. This is similar to changes made by Edmonton.

In 2024, Alberta began allowing cannabis retailers to apply for a licence extension for the purposes of selling cannabis at a minors-prohibited entertainment event or cannabis industry trade show. Municipalities must also sign on to the change, which Edmonton did last year

“What this is is creating a legal business process that is in line with legislation from the provincial government,” Councillor Penner told her fellow councillors before today’s vote. “What is already happening is cannabis is being consumed at 18 plus, adult-only festivals and events.” 

“What this isn’t is creating an open and permissive environment to use cannabis at those festivals. We already have regulation that defines where it can be used. So it’s not about a puff of smoke or a waft of smoke that you’re walking through. It is simply about creating a safer environment for sales on sites, just as we create a safe sales environment for alcohol. This is a legal substance where adults are making adult choices on what they choose to consume.”

“This is really about [regulation] and policy and not about the judgement we should be passing on people for what they choose to do as adults,” she added.

Councillors Mclean, Wyness, Dhaliwal, Chu, Sharp, and Chabot voted against the motion.   

City staff will now need to bring such proposed changes back to council for consideration at a future date. That is expected April 15.

Currently, ​​cannabis sales at events in Calgary must be made through an order-and-delivery method. In 2024, a Calgary cannabis retailer hosted a cannabis consumption space at the Badlands Music Festival, which included the ability to buy cannabis. Festival-goes could place an order on the retailer’s website, and the product would be delivered to the festival’s cannabis garden.

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Canada’s Largest Women-in-Weed Networking Event Returns to Toronto

Marigold PR is proud to announce the return of Radicle Femmes on March 6, 2025 – an event series that is all-in on the empowerment, celebration, and advancement of women in cannabis.

Its largest annual gathering is taking place in Toronto, ON on Thursday, March 6, ahead of International Women’s Day. The event, sponsored by the Ontario Cannabis Store (OCS), will be held at Soluna Toronto and will bring together the bright minds and bold voices of women powering the Canadian cannabis industry and their allies. Other event partners include Green MonkéGlacial Gold, the Independent Retail Cannabis Collective (IRCC)Jane DopeOB Consulting, and Sister Merci.

Radicle Femmes has quickly become a popular platform for women driving change in the cannabis sector. Since its launch in 2024, the community has partnered with more than 20 brands and attracted over 500 attendees from events held nationwide. This year, its International Women’s Day event promises to deliver even more value with thought-provoking panel discussions, industry data, and valuable B2B networking opportunities.

“Green Monké was built on community, and as a woman-led brand with a passion for the plant, we know the power of connection,” says Jen Lockwood, CMO and Co-founder of St. Peter’s Spirits. “This women-focused cannabis event matters to us as a brand—fostering authentic, supportive industry relationships helps us all thrive.”

The name “Radicle” was chosen with intention by event organizers. The radicle is the first part of a plant seedling to emerge, developing into the root and laying the foundation for growth. Much like its namesake, Radicle Femmes is about sparking growth in the cannabis industry. The event’s tagline, “I can’t believe we still need these events,” also captures a powerful reality. Despite the strides women have made, gender equality remains a work in progress in cannabis and beyond with only 20.9% of private sector businesses in Canada being women-owned.

Radicle Femmes Schedule of Events

Retail Revolution: Women Transforming Cannabis Retail
From women-led stores to crafting retail strategies that resonate with women consumers, we’ll hear from powerful women who lead this space and how businesses are targeting this growing demographic. Panellists include Janani Nadesananthan, National Director of Retail Sales at IRCC; Katy Perry, Founder and CEO of Toke Cannabis; Ritika Kumar, Director of Marketing at High Tide; and Zaira Gaudio, Co-founder and Creative Director of Curious Cannabis Co.

Women and Weed: Unveiling the Trends and Expectations of Consumers
Sarah England, Director of Market & Customer Experience Intelligence at the OCS, will share survey findings and trends that offer a deep dive into the intersection of women and the retail sector.

Crafting the Future: Women Shaping Cannabis Brands
Hear from women who are redefining the industry on topics like building authentic connections with consumers, creating products that resonate, and fostering inclusive brand communities. Panellists include Emma Andrews, CEO of Nextleaf Solutions; Jen Lockwood, CMO and Co-founder of St. Peter’s Spirits; Marina Gorin, Senior Director of Sales at Weed Me; and Maude Arsenault, Advisor, Communications & Content Creation at SQDC.

Lunch and Networking
The networking lunch at Radicle Femmes offers a relaxed, welcoming environment where attendees can engage in meaningful conversation. 

“Radicle Femmes has become a space where people can find opportunity. We’ve seen women land new roles, businesses close deals, and attendees walk away feeling re-energized about the industry,” says Katie Pringle, CEO and Co-founder of Marigold PR. “It’s a reminder of the importance of community in driving real progress.”

Since 2017, Marigold PR has been at the forefront of hosting impactful events for women in cannabis, bringing together thought leaders and tastemakers from all corners of the country. Radicle Femmes has evolved into a cornerstone event for both the agency and the broader cannabis community, offering a platform that not only amplifies diverse voices but also creates strategic, targeted opportunities for partnering brands.

Radicle Femmes is proud to have the support of ADCANNCannabis MarketSpaceHigh Moon Magazine, and StratCann as esteemed media partners. For media inquiries and press passes to the event, please contact Ashley Buck at [email protected].

Attendance at Radicle Femmes is strictly limited to those aged 19+, and pre-registration is required. To stay updated with event details, follow @radiclefemmes and secure tickets early!

Content sponsored by Marigold PR

Metrc launches retail ID cannabis pilot project in Alberta

Two Edmonton-based cannabis companies—Plantlife, a cannabis retail chain, and Token Naturals, a cannabis producer—and US-based technology company, Metrc, are launching a pilot project in Alberta designed to improve the transparency and safety of cannabis products.

First shared in the trade publication Cannabis Equipment News, as part of the public-private partnership, Metrc will employ quick response (QR) codes using Retail ID to provide consumers with real-time access to data such as lab test results, Certificate of Analysis (COA), product origin, potency, authenticity, and supplemental information, including cannabinoids, terpenes, cultivar, and photos. Ultimately, this will help consumers identify legal cannabis products and learn more about them.

“Alberta is leading the charge in making government and markets more efficient by reducing red tape and unlocking the potential of private enterprise,” said Dale Nally, the Minister of Service Alberta and Red Tape Reduction. “This pilot is yet another example of that effort: using technology to increase consumer confidence and transparency, reduce inefficiencies, and keep Albertans safe.”

“Metrc Retail ID unlocks existing data from across the supply chain and makes it available to consumers.”

Michael Johnson, Metrc

Health Canada proposed amendments in 2024 to expand labelling options by permitting the use of QR codes on any container used to package a cannabis product. The proposed changes would authorize QR codes on cannabis products for any purpose, such as inventory and tracking purposes, or providing consumers access to websites or other information. 

Those changes could come into force in the coming weeks, but an early election could pause those efforts. Health Canada in the past has instructed producers to remove QR codes.

“Metrc Retail ID unlocks existing data from across the supply chain and makes it available to consumers,” said Metrc’s Chief Executive Officer (CEO), Michael Johnson. “Instead of product information being siloed within businesses, we’re creating transparency for the consumer.”

Keenan Pascal, CEO of Token Naturals, says the Metrc system will help the company make buying cannabis a more consumer-friendly process.

“Token Naturals works to make the cannabis industry more accessible to participate in,” said Keenan Pascal, CEO of Token Naturals.

“By adopting Metrc’s Retail ID system, we would be ushering in the next generation of the cannabis industry, one that is transparent, responsible and engaging by leveraging existing information to enhance consumer awareness.”

Token Naturals will use Metrc’s software to generate and print product-specific QR codes and ship them with select products to Plantlife dispensaries. When a consumer purchases the selected product, Plantlife will provide a QR code sticker for the consumer to scan with their phone. Once scanned, the QR code navigates to a landing page that provides additional product information in a user-friendly format.

Plantlife Cannabis’ vice-president of operations, Ian Scott, says the company often receives inquiries from customers who wish to better understand label and packaging information.

“The technology reinforces why consumers should be buying from the legal, regulated market,” said Scott. “These products are rigorously tested and safe for consumption, and with Retail ID, consumers will now know exactly what they’re putting into their bodies—something the illicit market can’t compete with.”

Throughout the pilot project, Metrc says it will look to streamline the evaluation process by bridging the gap between cannabis growers, distributors, manufacturers, retailers, and regulators. Metrc has previously announced several track-and-trace partnerships with cannabis businesses in the US and internationally.

7ASHISH brand Lebanese Blonde hash recalled in Ontario for labelling error

The OCS issued a product recall notice for 7ASHISH brand Lebanese Blonde hash from CanWe Growers Inc. on February 12 for incorrect packing and labelling. 

The recall was initiated by CanWe Growers because 500 units of 7ASHISH Lebanese Blonde (SKU#: 315124_1g) with the Lot Number CW24LBD0001HS and package dates of 3 January 2025 and 22 January 2025 were mistakenly packaged and shipped with the 7ASHISH Pink Afghan (SKU#: 317157_1g) product inside.

The affected products were incorrectly labelled as Lebanese Blonde with a THC of 355.54 mg/g (35.55%) when in fact the product inside is Pink Afghan with a higher THC of 424.55 mg/g (42.46%).

The product’s Universal Product Code is UPC#: 00628233340122.

Edit to add: On February 17, Health Canada issued a recall notice for the same product, which states that the product label has incorrect cannabinoid values, where the total THC labelled is lower than the actual THC.

Health Canada also adds that as of publication of their notice, CanWe Growers Inc. has received three complaints regarding the labeling. Health Canada has not received any complaints related to the recalled lot. Neither CanWe Growers Inc. nor Health Canada have received any adverse reaction reports for the recalled cannabis product lot.

There were 4176 units of recalled product were sold from January 10, 2025 – February 12, 2025.

Cannabis sales continue to increase in Quebec

The SQDC reported a net and overall result of $40.5 million for the third quarter of the 2024-2025 fiscal year, which ended January 4, 2025. This was compared to $33 million for the same quarter in the previous year and $29.4 million in the previous quarter

Cannabis sales in the province in the most recent quarter were $235.9 million, up year-over-year from $201.6 million in Q3 2023-2024 and up from $173.7 million in the previous quarter.

The SQDC saw a 17% year-over-year increase in sales compared to the same quarter of the previous fiscal year, and sales volume increased by 28.6% year-over-year. Quebec moved 47,843 kg of cannabis in the most recent three-month reporting period, up from 34,675 kg in the previous quarter and 37,215 kg for the same quarter of the 2023-2024 fiscal year.

The provincial cannabis agency attributes this increase in sales to the growing demand for cannabis extracts, which includes cannabis oils and capsules, as well as the limited number of resins, rosins, and hash that can meet the province’s 30% THC limit. The province is also looking to allow sales of cannabis vapes by the end of 2025

In the last quarter, SQDC sold more cannabis at a lower price than in the same quarter last year. In Q3 2023-2024, there were 6 million transactions for all cannabis products combined, with an average selling price of $5.67 per gram, including all taxes. This is compared to 4.9 million transactions in the same quarter last year at an average selling price of $6.23 per gram.

The vast majority of sales were from brick-and-mortar stores at $226.5 million, compared to $189.3 million for the third quarter of the previous fiscal year. Online sales were $9.4 million, down from $12.3 million in Q3 2023-2024, which SQDC attributes to the postal strike last November

The SQDC currently has 101 brick-and-mortar retail locations open in the most recent quarter and currently lists 104 as licensed, with plans for more in 2025 

The $40.5 million in revenue from the SQDC’s cannabis sales, in addition to the $51.5 million it brought in from its 75% share of the federal excise tax applied to cannabis, mean that the province brought in $92 million, which it says was reinvested into health-related issues like prevention and research into cannabis.

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Ontario county bylaw effective at managing designated cannabis production sites

Norfolk County in Ontario has concluded five years of bylaw enforcement of cannabis production sites, according to a new report.

The southern Ontario county says it was the first in Canada to take steps to manage personal and designated medical grow licenses through local zoning bylaws, leading to significant enforcement measures and an apparent end to any new, similar production sites. 

The county estimates its efforts led to the removal or destruction of more than 400,000 cannabis plants.

When cannabis was legalized in late 2018, Norfolk County established a new zoning bylaw to address concerns with setbacks from neighbouring residences and site plan control issues such as parking, lighting, and odour emissions. 

The new report, shared with council on February 11, details enforcement actions over the previous five-year period, which concluded in October 2024.

Under local bylaws, cannabis facilities without filtration systems are required to have a 300m setback from neighbouring homes, while those with suitable filtration require a 150m setback. 

The county first issued warning letters to locations suspected of operating a non-commercial cannabis operation. The county says these letters were mostly ignored, so it began issuing fines under its zoning bylaw. 

The report says that ten federally licensed commercial cannabis producers (LPs) operating in the county complied with the requirements, but not one of the many other designated producers did. 

Over the five years of bylaw investigation, the county fielded complaints about 130 locations. Of those 130 complaints received from 2019 through 2024, 80 locations (61%) were found to be producing cannabis by the time the investigations were finished. 

Three locations were reported to the OPP for minor Cannabis Act violations, and three others were determined to have Legal Non-Conforming status under the county’s bylaw.

Forty properties were found to be producing cannabis in violation of zoning, leading to charges, with 82 property owners facing 166 charges. Four of those property owners were charged twice because they were found to still be growing cannabis after the first charges were laid by county bylaw. Only one of the 40 locations was found not guilty, as they claimed to be growing hemp and not cannabis.

There were also 33 court orders issued to property owners to cease production of cannabis, and 38 owners received fines ranging from $1,000 to $120,000. There were over $800,000 in fines handed out by the courts.

Inspections also led to Norfolk County Bylaw executing five search warrants for evidence of cannabis production that led to the destruction of 82,520 cannabis plants. Another 270,920 cannabis plants are said to have been taken out of production voluntarily by growers. 

In addition, county bylaw also provided information to the Ontario Provincial Police (OPP), leading to the execution of police search warrants where another 82,000 cannabis plants were located and destroyed, with criminal charges filed. The report estimates a total of $430 million worth of potential cannabis destroyed as a result of these bylaw efforts, based on an estimate of a “finished street value” of about $1000 per mature cannabis plant. 

Norfolk County received $237,000 from the Ontario Cannabis Legalization Implementation Fund, which it used to help pay for these enforcement services. 

So far, there have also been approximately $800,000 in cannabis-related fines given out through various provincial offences. A total of $220,000 of these fines have been collected as of the end of January 2025, a collection rate of about 27%. These payments go to county bylaw to further offset enforcement costs. 

h/t to the Simcoe Reformer

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The political blame-game

Norfolk County is the most prominent example of this kind of bylaw enforcement, an approach encouraged by Health Canada for several years in response to complaints about personal and designated production sites. 

Managing the issue of such licences has been politically contentious for many years, with many law enforcement agencies, municipalities, and counties claiming they don’t have the time or ability to deal with such locations. For its part, Health Canada notes that the system that allows such personal and designated sites has been repeatedly upheld by the courts in Canada. 

Federal regulations allow for cannabis to be grown for medical purposes by someone authorized by a medical professional, or to assign a designated grower to do so for them. Such designated sites can allow for up to four different production licences, often leading to a large number of plants being grown in a commercial capacity, at times even in residential settings. This has led to complaints about the smell of cannabis, light pollution, and concerns about crime. 

In the report, Norfolk County claims that not one of the designated producer locations in Norfolk County was ever inspected by Health Canada for compliance with Cannabis Act regulations, adding that Health Canada has said that they have no capacity to do so.

However, Health Canada has ramped up inspections of such licences, with more than 300 in the last two years. The most recent annual report also included 20 compliance and enforcement activities (other than inspection) for registered personal and designated production of cannabis for medical purposes, such as conducting seizures and destructions.

Such inspections often need to be accompanied by local law enforcement to ensure the safety of inspectors. 

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Of the 160 inspections of registered personal and designated production of cannabis for medical purposes locations in 2023-2024, 74 were in British Columbia, 63 in Ontario, 18 in Quebec, and 5 in New Brunswick. In the previous year, the majority of such inspections (115 out of 170) were in Ontario.

Health Canada also recently sent a memo to provincial colleges of physicians and surgeons, advising them that it may contact healthcare practitioners to ask for evidence to support the amount of cannabis they have authorized for their patients. The memo highlights the regulator’s ongoing efforts since 2019 to address authorizations of large amounts of cannabis several times over the industry average. 

The federal regulator has also refused or revoked over 1,400 registrations, including more than 700 for public health and safety reasons. This represents a 113% increase in refusals and revocations, and a 423% increase in the number of refusals and revocations made on the grounds of public health and public safety since March 2022.

In 2024, police in Ontario seized 345 kilograms of cannabis and thousands of cannabis plants from an address in Elgin County after a referral from Health Canada. The referral from the inspectors noted that the address was associated with three expired Health Canada registrations to produce or designate someone to produce cannabis for medical purposes.

Many municipalities in Canada have long expressed frustration at what they feel is an inability to manage these non-commercial, personal and designated medical cannabis licenses, which often operate in residential zones. Despite not allowing for commercial sales, these licences can allow for very large plant totals based on a doctor’s recommendation. 

In 2020 in British Columbia, the Sunshine Coast Regional District tabled a resolution at the annual Union of British Columbia Municipalities meeting calling for more power for municipalities to deal with personal and designated medical grow licenses in residential communities.

Because they are not commercially regulated like federally licensed cannabis growers and processors, there are no federal requirements for things like odour control. However, municipalities and counties can establish their own zoning bylaws to address this issue, as is the case in Norfolk County. 

A 2024 report from Winnipeg city staff says there have been no public complaints or licence applications following the designated medical cannabis production zoning amendments adopted in 2022. The city adopted its new bylaw to regulate designated medical cannabis production sites in April 2022 following community concerns about such operations occurring in residential areas.

Such licences have been under increased scrutiny in the past few years from several municipalities and many Conservative MPs, especially in Ontario, where the OPP says criminal enterprises are exploiting the Health Canada medical, personal and designated cannabis production regime. 

In 2022, municipalities in Alberta also called for limits on medical cannabis grows in residential areas.

In 2020, Diane Finley, the MP from Haldimand-Norfolk raised the issue in the House, saying the current regulations create a “ loophole” that large-scale growers are taking advantage of.

Featured image shows the inside of a production site raided by Norfolk County Ontario Provincial Police (OPP) in 2020

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Quebec begins 2025 cannabis survey

Quebec has begun outreach for an annual survey to understand the perceptions of and experiences with cannabis among people in the province. 

The Québec Cannabis Study is managed by the Institut de la statistique du Québec. The 2025 survey is the sixth year the survey has been held since 2018, targeting people aged 15 and over living in Quebec. 

The questionnaire will ask about prevalence and frequency of cannabis use, forms and methods of consumption, reasons and context of use, sources of supply, and risk of problematic use. It will also examine social norms and perceptions towards cannabis, driving and use, and cannabis consumption  during the COVID-19 pandemic.

Several different publications will be published based on the results of these annual surveys on the Institut de la statistique du Québec website. The first results of the 2025 study will be published in the form of highlights in October 2025, while more detailed results will then be released in a full report in April 2026. 

Publications from previous editions of the study can be found here. The results from the 2023 survey were first shared in April 2024. That survey found a decrease in the proportion of people who consumed cannabis in Quebec between 2022 and 2023 and an increasing use of cannabis vapes

The institute will provide results to the provincial Ministry of Health and Social Services, excluding the respondent’s name, address, and telephone number.

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Ontario Cannabis Store & DiversityTalk to host Black History Month event

DiversityTalk, a Black-led health and social development consultancy, is hosting an immersive four-day Black History Month event at the Worth Gallery in Toronto from February 25 to 28, 2025, in partnership with the Ontario Cannabis Store (OCS).

The four-day event will focus on storytelling, resilience, and the vibrant cultural heritage of Black communities, inviting thought leaders, advocates, and influencers to engage in meaningful conversations and experiences.

“We are proud to host an event that not only celebrates the vibrant heritage of Black communities but also highlights the importance of reclaiming our narratives in all aspects of life, including within the cannabis industry,” said Ika Washington, the founder of DiversityTalk.

The event will spotlight the intersection of creativity, resilience, and heritage. It will feature visual exhibits, artistic showcases, and community discussions designed to foster inclusion, engage storytelling, and address important cultural conversations.

With a special emphasis on the history and stigmas surrounding cannabis in Black communities, participants can expect to leave feeling informed, empowered, and inspired, adds Washington.

“Through this event, we aim to foster dialogue, create awareness, and inspire action toward a more inclusive, diverse, and equitable future for all,”  she says.

The event includes a multimedia exhibition chronicling cannabis’s East African origins and its role in modern Black communities through curated videos, photography, historical artefacts, and original performances and exhibits from Black creators exploring themes of identity, perseverance, and cultural heritage.

A community discussion will also take place on Thursday, February 27, 2025, at 6:30 PM. The three-hour session will feature panels, personal storytelling from leading thinkers and cultural activists, and an audience-led Q&A.

The organization says this event is an example of DiversityTalk’s ongoing commitment to creating inclusive spaces for education and meaningful conversations in partnership with the Crown corporation Ontario Cannabis Store.

“We invite all community leaders, advocates, and influencers to join us in this journey of celebration, empowerment, and education,” remarked Ika. “Together, let’s reclaim the power of storytelling and of history.”

More information about this event can be found here.

Calgary city councillor wants to allow cannabis sales at events in the city

A city councillor in Calgary is trying to bring the city’s rules about cannabis sales at events in line with provincial rules put in place in 2024. 

As reported by the Calgary Herald, councillor Kourtney Penner says she will present a notice of motion at the city’s executive committee meeting on Tuesday, February 11. The motion will ask city administration to propose bylaw and business licence amendments to allow for cannabis to be sold at adult-only events.

Alberta Gaming Liquor and Cannabis (AGLC) made regulatory changes in January 2024 to allow licensed cannabis retailers in the province to apply to the AGLC for a licence extension for the purposes of selling cannabis through a temporary store licence at minors-prohibited entertainment events or cannabis industry trade shows.

AGLC rules, however, also require municipal approval for the location of the temporary cannabis store and documentation from the event entity/organization, providing the cannabis licensee care and control of the location. 

If passed, the proposed changes in Calgary would pave the way for those kinds of licenses in the future. 

Penner tells the Calgary Herald that she wants to help “level the playing field” between alcohol and cannabis, since such sales are already allowed for alcohol sales at events. 

“If we look at alcohol sales, you can sell alcohol on site and consume on site,” she said. “That rule doesn’t exist for cannabis. For cannabis, you can’t bring your own but you’re allowed to purchase from a designated retailer who then has to walk through the site and bring it to you.”

“I think the irony (of me bringing this forward) is that these are not events I attend, nor do I use cannabis,” she added. “But this is really about enabling business and creating opportunities for businesses that are legally permissible.”

A Calgary cannabis retailer hosted a cannabis consumption space at the Badlands Music Festival in 2024 which included the ability to buy cannabis. Festival-goers could place an order for cannabis on the retailer’s website, which was then delivered to the cannabis garden at the festival.

Update: On February 11 the executive committee voted 9-1 to forward the motion to the to be forwarded February 25, 2025 council meeting for consideration. Councillor Dan McLean was the only nay vote.

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Cannabis Xpress to open new location in Dalhousie, New Brunswick

Private retail chain Cannabis Xpress is opening its fourth private retail store in New Brunswick, located in the town of Dalhousie, about a three-hour drive north of Moncton. 

The new store at 448 William St is scheduled to open on February 21. It will be the first licensed cannabis store in the town of about 3,000 people and the tenth private retail store in New Brunswick since the province began accepting applications in 2022.

This will be the 18th Cannabis Xpress (stylized as CANNABIS XPRESS) location in Canada. The retailer also has 14 locations in Ontario. 

New Brunswick also recently announced Requests for Quotations (RFQs) for four more private stores. 

“Our experience in New Brunswick has been overwhelmingly positive,” says Chris Jones, the owner of Cannabis Xpress. “Since entering the market, we have grown rapidly and now operate four out of the ten private cannabis retail stores in the province, making us the largest private retailer in New Brunswick.”

“This success has reinforced our commitment to further expanding in New Brunswick while maintaining our focus on customer service and accessibility,” he tells StratCann. “We have built a strong and positive relationship with Cannabis New Brunswick, which has been instrumental in our success in the province. Their structured and strategic approach to cannabis retail sets them apart from other provinces, ensuring a well-regulated and sustainable market that benefits both retailers and consumers”

Jones also adds that his experience operating retail stores in New Brunswick has been more positive than his experience in Ontario, especially given the highly saturated nature of the Ontario retail cannabis space. 

The New Brunswick government’s goal with adding private stores was to bring cannabis to smaller, underserved communities. The province currently operates 27 public Cannabis NB stores, nine (soon to be ten) privately run cannabis stores, and seven cannabis farmgate stores. 

The Cannabis NB FarmGate program allows licensed New Brunswick cannabis producers to sell their own products on-site at their facilities. However, privately operated cannabis stores in the province still must purchase their products from Cannabis NB, which controls distribution in the province.

The other private cannabis stores in New Brunswick are Cost Cannabis, which has two locations, and Green Timber Cannabis, Le Marchand Du Cannabis, McCannabis, and Pinnacle, which each have one location. 

In its 2024-2026 Strategic Plan, the provincial cannabis agency also says it’s looking to increase opportunities for private sector participation in the legal cannabis market in New Brunswick and explore possible options for “on-site consumption opportunities” that can increase legal access and “meet the needs of current and potential customers.”

A recent annual report from Cannabis NB shows that while dried cannabis flower continues to make up the majority of sales, its market share, like in many other provincial markets, is shrinking as concentrate sales increase. New Brunswickers prefer more “convenient” cannabis products as the market continues to shift to products like vape pens, concentrates, and pre-rolls, especially infused pre-rolls, notes the report.

New Brunswick sold nearly $27 million worth of cannabis in the second quarter of 2024.

Feature image of 448 William St. via Google Maps

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Cloudz 7g recalled in Ontario due to mould concerns (updated)

The Ontario Cannabis Store posted a product recall notice for Cloudz 7g from Blizza Brands due to a potential issue with visible mould spores. 

The OCS recall notification, posted on February 5, states that the 7-gram SKU’s lot number is BA25DF1. It was packaged on January 25, 2025, and has the UPC code 00628090000245.

The recall was initiated by Blizza Brands Inc., which also sells under the Volo and Keff brands. The reason provided for the recall was: “Product potentially infected with visible mold spores as it came from the same batch of bulk cannabis flower.”

On February 27, Health Canada issued a recall notice for this product, noting that, to date, Blizza Brands Inc. and Health Canada have not received any complaints related to the recalled lot. Neither Blizza Brands Inc. nor Health Canada have received any adverse reaction reports for the recalled cannabis product lot.

There were 120 units of recalled product sold from January 27, 2025 – February 4, 2025.

This article has been updated to include new information from Health Canada on February 27.

Producers can now enter into private label agreements with multiple retailers for the same product in Alberta

Effective immediately, licensed cannabis producers may enter into a private label agreement with multiple retailers in Alberta for the same product or products.

The announcement was made in a bulletin shared online on February 5, 2025. 

The notice advises licensed producers and Alberta retail cannabis store licensees of changes to the provincial cannabis regulator’s private label policy rules in its Cannabis Representative Handbook and Retail Cannabis Store Handbook.

Under Alberta Gaming, Liquor and Cannabis (AGLC) rules, a “Private Label” cannabis product, also known as “Store Brand cannabis products,” is a cannabis product that is manufactured for a retail licensee or a licensed premises and may include features like a licensee name or logo or a licensed premise’s name or logo; a licensee trademarked name or logo or a licensed premise’s trademarked name or logo; or a statement such as “manufactured exclusively for name of licensee or licensed premises.”

Private label products may only be sold by the licensed premises or licensee whose name appears on the label.

The AGLC first announced on May 31, 2024, that it would begin allowing private-label cannabis products, effective immediately. The Alcohol and Gaming Commission of Ontario (AGCO) began allowing such products in 2022 after a brief opposition to the program.

Wholesale cannabis sales in BC remain relatively stable in Q3 2024, direct delivery sales rebound

Wholesale cannabis sales in BC in the last three months of 2024 (Q3 2024) were $146.9 million, up 7.5% from the same period in 2023, but down slightly from the previous quarter ($147.2).

The province wholesaled 38,727,543 grams of cannabis in October, November, and December 2024. The average price of all cannabis products continued to decline to $3.79 per gram, while the average price of dried flower also reached its lowest yet at $3.14 a gram. 

At the end of the reporting period, there were 512 retail cannabis stores in BC, up from 510 in the previous quarter and 496 in Q3 2023. 

Sales of 1, 3.5, and 14/15 gram SKUs declined year-over-year by 8.4%, 24.3%, and 0.9%, respectively, while sales of 7-gram SKUs increased by 26% and 28-gram SKUs increased by 7.2%.

The total grams sold for 1-gram and 3.5-gram SKUs declined by 9.6% and 19.8%, respectively. However, the total grams sold for 7-gram SKUs increased by 33.4%, while 14/15-gram SKUs increased by 6.8%, and 28-gram SKUs increased by 8.3%.

Inhalable extracts sales were $55.4 million, cannabis flower was $44.2 million, and pre-rolls were $31.9 million. 

Edibles sales totalled $7.8 million, while ingestible extracts (capsules and oils) were $4.2 million, and beverages were $2.7 million. 

Topicals sales were $751,403, and seeds were just $5,600. 

Inhalable extract sales increased by 15.7% year-over-year, and units sold increased by 13.8%. Dried flower sales increased by just 0.8%, while units sold decreased by 1.7%.

Beverage sales increased year-over-year by 18.5% and 12% by units sold, while pre-rolls sales increased by 8.2% and units sold increased by 9%.

Edibles sales increased year-over-year by 2.1%, while units sold increased by 18.9%. 

Disposable vape pen sales increased by a whopping 193.9% year-over-year and 92.6% in terms of units sold (258,418 units sold), continuing an ongoing trend. Sales of infused pre-rolls increased by 19.3%. 

Sales in BC’s direct delivery program, which allows some BC cannabis companies to ship directly to retailers, bypassing the provincial central warehouse, showed quarterly increases following several previous declines. 

While the total grams sold of cannabis (including equivalence) through the program were down 21.1% year-over-year at 554,102 grams, this figure was up from the 484,000 grams sold in the previous quarter, reversing an earlier trend

Similarly, wholesale sales through the direct delivery program were down 19.8% year-over-year to $2.5 million, up from the $2.3 million sold in the previous quarter.

The average price of cannabis sold in the program was $4.58, up from $4.51 in Q3 2023, but down from $4.79 in the previous quarter. 

The average price of dried flower in direct delivery was $3.91, down from $3.93 in the same quarter last year, but down from $4.34 in the previous quarter of 2024. 

Sales of cannabis edibles and beverages were $57,047 in Q3 2024, up from $47,831 in Q2 and $16,169 in Q3 2023. 

Sales of cannabis flower were $1.20 million, down from $1.24 in the previous quarter and $1.9 million in the same quarter last year. 

Ingestible extracts sales in terms of dollars sold increased by 20.9% year-over-year, inhalable extracts increased by 89.9%, pre-rolls declined by 38%, seeds declined by 67.4%, and topicals increased by 94.5%.

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New Brunswick issues RFQ for several new private cannabis stores

The New Brunswick Liquor Corporation (NBLC) has issued new Requests for Quotations (RFQ) for several new privately-run cannabis stores in the province. 

On January 27, NBLC posted RFQs for retail cannabis store locations in Cap Pelé, Saint John, Rogersville, and St George. New Brunswick has already issued nine different private retail cannabis store licences.

Note: On February 3, Cannabis NB added a RFQ for a fifth retail location, this one in Belle Baie.

The provincial government, which first announced its plans for around a dozen new stores in 2021 under the previous PC government, began the vetting process for ten new private cannabis stores following a tender process that ended in October 2022. The first, a Cannabis Xpress, opened in the summer of 2023. The tenth, located in Dalhousie, is expected to be licensed later this year. The Liberal Party of New Brunswick formed government in the province in late 2024, following the most recent provincial election.

The provincial government’s goal in adding private stores was to bring cannabis to smaller, underserved communities. The province currently operates 27 public Cannabis NB stores, nine privately run cannabis stores, and seven cannabis farmgate stores. 

The Cannabis NB FarmGate program allows licensed New Brunswick cannabis producers to sell their own products on-site at their facilities. However, privately operated cannabis stores in the province still must purchase their products from Cannabis NB, which controls distribution in the province.

Cap Pelé has a population of around 2,500 and is located about a 30-minute drive from Moncton. Rogersville has a population of about 1,200 and is located about an hour’s drive north of Moncton.  St. George has a population of about 1,500 and is located in the southwest corner of the province, near the border with Maine. 

Loch Lomond Rd. is in east Saint John, NB, with a population of around 71,000 and four current CannabisNB locations. 

Cannabis NB also recently posted a job listing for a new store in Fredericton. 

The closing date for four of potential new private cannabis stores in New Brunswick is currently listed as February 26, 2025. Questions must be submitted by 4:30 PM AST on February 10, 2025. The fifth RFQ, shared on February 3, has a close date of March 3, 2025, at 1:30 PM AST.

In its 2024-2026 Strategic Plan, the provincial cannabis agency also says it’s looking to increase opportunities for private sector participation in the legal cannabis market in New Brunswick and explore possible options for “on-site consumption opportunities” that can increase legal access and “meet the needs of current and potential customers.”

A recent annual report from Cannabis NB shows that while dried cannabis flower continues to make up the majority of sales, its market share, like in many other provincial markets, is shrinking as concentrate sales increase. New Brunswickers prefer more “convenient” cannabis products as the market continues to shift to products like vape pens, concentrates, and pre-rolls, especially infused pre-rolls, notes the report. 

New Brunswick sold nearly $27 million worth of cannabis in the second quarter of 2024.

Featured image of Cap Pelé, via Google Street View.

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Green Acre finds success with living soil craft cannabis

Nestled on one acre on a 1,200-acre farm east of Edmonton sits Green Acre, a micro cultivator run by a small family team in St. Paul, Alberta. 

Derek Severin and his brother Clayton began growing their first crops at Green Acre in 2021, selling through third-party partners into the Alberta and Ontario markets. They’re now entering their fourth year of operation, and Derek says he feels they’ve really begun to hit their stride. 

The two brothers manage most of the day-to-day operations at the small facility, tending to plants, handling paperwork, connecting with buyers, and keeping the lights on. In addition, the two brothers get help from Derek’s father-in-law, Brent Becker, a shareholder in the company who also helps with tasks like harvest. 

The two first began looking at a cannabis cultivation licence around 2017, at a time when they were seeing a downturn in the oil patch where they both worked. They had a passion for cannabis, explains Derek, and were looking for a career change. With legalization on the horizon, they began looking into different licence types and decided to pursue a micro licence. 

This was partly because of the lower cost of such a licence and also because Severin felt this would allow Green Acre to focus on a high-quality product. He says this has allowed them to not only stand out in the market but even thrive in a time when many in the industry are facing challenges. 

“We really focus on quality over quantity and that’s worked out really well for us,” says Severin. “We also do everything by ourselves, and we like it that way to maintain quality.”

Part of that focus on quality has been learning how to master living soil in their three 700-square-foot flowering rooms. Severin, who operates as Master Grower at the company—one of the many hats he and his brother wear—says he became interested in living soil and has found it has lived up to the hype in terms of quality, especially once he and his brother got over the initial learning curve.

“We made the decision to grow in large raised beds,” he explains. “We’ve seen others making it work commercially and it was something we wanted to learn. That was quite a learning curve, and it took about a year and a half to really understand that and begin to dial that in. But once we did, I think we’ve just hit the ground running. And the market is reflecting that, I think. People really seem to like what we grow.

The Green Acre facility in the summer

“It’s a way for us to stand out in the market, and we’ve found that the plants tend to thrive and find their full potential, with deeper flavours and very smooth smoking and clean effects.” 

It wasn’t always easy, though. Due in part to that initial learning curve, they were often lucky to just break even in the first few years. But in 2024 they began seeing a real shift in the market, with prices becoming a little more reasonable. 

“It was pretty tough to survive the first two years. We were selling at around our cost, or just below it, just to be able to pay the bills. But more recently, we’ve seen more demand at better prices. I attribute that to our focus on quality and getting to where we want to be with a quality product.

“About nine months ago, we felt a change in the market. Before that, we were really struggling. It was tough, with price compression being right around what it costs us to produce. Then about nine months ago we just saw a real uptick in demand.” 

Currently, Green Acre sells its products through third-party partners in Alberta and Ontario, including Peachey Keen, Slurricake, AK Funk, and Gastropop. 

Severin says staying small-scale is part of the key to their success. Although it’s been difficult, he says he would gladly do it all over again, especially with some of the increased interest in craft quality product and a slight increase in wholesale prices. 

“Even just an extra fifty cents a gram can make a big difference. It’s been extremely hard. But if I knew we could be where we are today, yes: I would absolutely do it again.”

“I think there will always be a place for the small batch guys. We only put plants in our rooms we know we can tend to. And it’s really tough to do the quality we’re doing on even a medium size scale. So I think we’re growing on another level than a lot of the bigger guys and there will always be a consumer looking for that extra level.”

The Green Acre facility in the winter

“We no longer have funding for cannabis enforcement,” says Toronto’s head of municipal licensing and standards

Toronto’s head of municipal licensing and standards says his agency no longer has the money to enforce the province’s cannabis laws. 

In a meeting of Toronto City Council’s budget committee on January 15, Carleton Grant, executive director of municipal licensing and standards, told council that his agency can no longer afford to handle retail cannabis enforcement. 

“We no longer have funding for cannabis enforcement,” Grant told the committee in response to a question from Jennifer McKelvie, Toronto City Councillor for Scarborough Rouge-Park. McKelvie was asking about provincial funding from cannabis sales to deal with enforcement, something the province provided in the first few years of legalization. 

Grant says his department has received $8.5 million in funding from the province over the last three or four years, which was used to help lower the number of illegal stores in the city from over 100 to “less than ten.” He says the number of illegal stores in the city is now back up to around 70. 

“This industry has changed significantly. It is criminal. It is organized crime. It is not appropriate for me to send my staff into these locations where there are weapons and there is criminal activity taking place. No other city in the province of Ontario does this with bylaw enforcement. This budget signals my exit from cannabis enforcement.”

It’s not safe to send officers into these illegal establishments, he added.

Grant added that their enforcement efforts are often not effective because these businesses can afford to just keep paying the fines, and enforcement should be done by provincial police.

Councillor Chris Moise, Ward 13, asked Grant for more details about the efforts his department has made, in coordination with Toronto police, to shut down unlicensed stores and why stores so often quickly reopen following enforcement. 

“We do not go into these locations without Toronto police,” Grant noted.

“What I’m saying is we’ve made efforts over the last five, six years to close them down, to put up concrete blocks that are only to be removed within 24 hours. We have boarded up buildings. We have been counter-sued for locking a tenant into a business. We have used every tool available to us. What I’m saying is they are reopening because of the financial benefits to them, and what I want to stress is that we are not the right level of enforcement to do this work.” 

He went on to say that the province has identified $31 million for the OPP to do this work, and that’s where it needs to go. 

“The city of Toronto is where the bulk of the stores are because of the population, [police and OPP] should get the bulk of the money.”

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Toronto’s 2025 budget includes $86.9 million for Municipal Licensing & Standards, a 10.1% increase from the previous year. The budget also includes $1.4 billion for Toronto Police Services. 

As part of Ontario’s 2024 economic and fiscal outlook in brief, the provincial government committed to investing $31 million over the next three years to support the Provincial Joint Forces Cannabis Enforcement Teams (PJFCET). This OPP-led centralized enforcement unit focuses on the cannabis file.

This investment, says the government, would enable the PJFCET to “respond to the challenge of illegal online operators and crack down further on the production, sale and distribution of illegal cannabis in the online and offline space.”

The economic and fiscal outlook, in brief, affirms the province’s previous 2024 budget, which had referenced the $31 million commitment. 

Earlier in 2024, Toronto City Council passed a motion asking the province to undertake a comprehensive review of the Provincial Cannabis Control Act, 2017. The motion states that a review is “imperative to ensure the effective regulation and enforcement of cannabis-related matters” in Ontario.

Municipalities need more tools and resources to address these illegal cannabis businesses, the motion read, including “exploring options to strengthen enforcement measures, increase penalties for non-compliance, and improve collaboration between municipalities and provincial authorities.”

The illicit market in Ontario has grown considerably in the past year, and many retailers and other cannabis industry participants have been calling on the province to do more. By some estimates, several hundred new, unlicensed retailers have begun operating in different parts of Ontario, with close to 100 in Toronto alone. While some have faced enforcement, many have not, causing frustration for licensed retailers who incur numerous fees in order to operate with the province’s approval.

Grant’s comments to council echo those of Toronto cannabis store owner Paul McGovern, a former police officer with Toronto Police Services who stepped down in 2018 to open Vertie Cannabis. McGovern told StratCann last year that he believes Ontario needs more of a province-wide approach to enforcement, similar to the approaches provinces like British Columbia and New Brunswick have taken.

StratCann reached out to representatives at the City of Toronto in 2024, and their response revealed a need for the province to review the Cannabis Control Act, which has not been updated since before legalization.

“In March 2024 Toronto City Council requested the Province of Ontario undertake a comprehensive review of the Cannabis Control Act, 2017, in consultation with municipalities, including roles and responsibilities, funding, and enforcement, and addressing unlicensed cannabis establishments,” said Shane Gerard, Senior Communications Coordinator. “The Cannabis Control Act, 2017 has not undergone a comprehensive review since it was introduced seven years ago.”

He added that the province is responsible for licensing and regulating private cannabis retail stores through the AGCO, which in turn enforces the regulations. Further, Gerard said that the city does, in fact, go after property owners.

“The City can, and does, file charges against property owners who are in contravention of the Cannabis Control Act. Individuals charged can face fines of up to $250,000 and face imprisonment of two years (minus one day).”

The city also pointed out that the current Cannabis Control Act provides limited authority to municipal by-law officers.

“These officers do not have arrest powers and are not permitted or trained to use force while carrying out enforcement activities. This makes the enforcement of unlicensed cannabis dispensaries challenging and presents health and safety risks to officers.”

h/t Toronto Star

Saskatchewan removes some storage requirements for retailers, wholesalers

The Saskatchewan Liquor and Gaming Authority (SLGA) has sent a notice out to stakeholders regarding policy changes to cannabis secure storage requirements in the province.

As of January 7, 2025, permitted retailers and wholesalers in the province are no longer required to build separate cannabis secure storage areas within their stores and warehouses.

Other aspects of the province’s facility security requirements such as alarms and camera systems remain in place. 

In addition, retail and wholesale permittees are no longer required to store cannabis in a separate secure storage area within the store or warehouse outside of operating hours. 

Type 2 integrated stores that operate 24 hours a day will need to keep all cannabis products locked up after authorized cannabis retailing hours. Integrated cannabis retail store permits are able to sell cannabis, cannabis accessories, and cannabis ancillary items alongside other goods or services, and a type 2 integrated permit is one that allows minors. 

The SLGA says the changes are in response to industry feedback and a review of other provincial policies. Alberta recently made similar rule changes for retailers.

Featured image of Modern Day Cannabis in Saskatoon.

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Manitoba’s home grow cannabis bill could come into force in April

The Manitoba government is seeking feedback on its proposed repeal of the prohibition on adults growing up to four cannabis plants at home. The law will require plants to be grown indoors only.

The Liquor, Gaming and Cannabis Authority of Manitoba (LGCA) has now shared an opportunity for public feedback on the regulatory changes, with a proposed Coming into Force Date of April 1, 2025.

Bill 34, The Liquor, Gaming and Cannabis Control Amendment Act, which repealed Manitoba’s ban on growing up to four cannabis plants at home, passed on June 3, 2024. The ban on growing cannabis at home had been put in place by the former Progressive Conservative government in Manitoba in 2018. The Manitoba NDP committed to repealing the bill and did so after forming government following an election in October 2023. 

The proposed regulations would allow a person who is 19 years of age or older to cultivate up to four cannabis plants in their “ordinary residence.” However, a person will not be allowed to cultivate cannabis plants in different residences at the same time, and only four plants can be in a home, regardless of how many adults reside there. 

All cannabis plants will be required to come from seeds or plant material that is not illicit cannabis, and all plants must be cultivated indoors in a room or container that is securely locked or in a location that is not otherwise accessible to young persons. 

The proposed regulations state that a person who is cultivating cannabis in their residence may possess cannabis that they have cultivated that is not packaged, labelled, and stamped while that cannabis is in their residence. However, a representative with LGCA told StratCann in an email on Monday, January 6 that this section of the proposed amendment to the Cannabis Regulation is not stating that an individual cannot bring cannabis they’ve grown legally in their home outside of their home.

“Individuals will be able to carry the equivalent of 30 grams or less of cannabis, which could include their home-cultivated cannabis, outside of their home, in accordance with possession limits under The Liquor, Gaming and Cannabis Control Act,” confirmed the communications analyst via email.

Note: This article has been updated to include comments form LGCA.

The move will make Quebec the only province that still does not allow residents to grow cannabis at home. In 2023, the Supreme Court upheld the province’s right to ban growing cannabis at home.

In September 2024, the provincial government completed targeted stakeholder consultations. The LGCA invited First Nations organizations, industry and business organizations, law enforcement, Manitoba Health and Addictions, The Residential Tenancies Branch and other stakeholders to submit feedback on the proposal and the potential safety and security requirements for doing so.

The LGCA and Manitoba Justice will also jointly communicate with municipalities to provide a summary of the laws and regulations and answer questions about where complaints can be directed.

Jesse Lavoie, who helped to spearhead a lawsuit targeting Manitoba’s home grow ban with his group TobaGrown, says he is happy to see the law progressing but has concerns with some of the proposed regulations.

“Our initial excitement about the passing of this Bill has been tempered upon reviewing the preliminary draft, which proposes restrictions requiring plants to remain indoors. This is a critical moment for Manitobans to engage and provide constructive feedback to the Government of Manitoba. We are committed to doing so.”

Kirk Tousaw, a lawyer who has worked with TobaGrown on the campaign to change the provincial law, shared a similar sentiment with StratCann.

“We are pleased that Manitobans will finally be able to grow their four plants like almost all other Canadians have been permitted to do since 2018,” says Tousaw. “That said, it is disappointing that Manitoba will continue to prohibit outdoor cannabis cultivation on the misguided belief that doing so will protect young people. Cannabis has been grown outdoors throughout Canada, legally for decades when you consider medical cannabis cultivation, and there are virtually zero incidents in which young people have accessed it. This is just continued fear mongering that has no place in modern Canadian society.”

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Greenway Greenhouse acquires Choice Growers’ brands

Ontario-based Greenway Greenhouse Cannabis Corporation has entered into an asset purchase agreement with Choice Growers Cannabis Inc. to acquire the company’s consumer brands. 

Under the December 17 purchase agreement, Greenway acquired all of Alberta-based Choice Growers‘ consumer packaged goods brands, SKUs and listings of the brands, trademarks, goodwill, and other associated intellectual property.

The deal includes a write-off for the amount Choice Growers owes Greenway and a royalty payment equal to varying percentages of net revenue over a period of six years.

The acquisition includes all of Choice Growers’ brands, including Grapefruit God Bud (also known as Grape God), The Jeffrey, Watermelon Pebbles, Pink Lemonade, Duke Nukem, Tangerine Dream, and Blackberry Cheesecake.

In a press release, Greenway says the acquisition will enable it to expand further into the CPG sector of the Canadian cannabis market and introduce its products to a broader audience nationwide.

Jamie D’Alimonte, CEO of Greenway, said: “Acquiring the brands from Choice Growers will help Greenway grow the number of SKUs we have in Ontario and bring Greenway products into new provinces. The Choice Growers team have built strong brands that have demonstrated real consumer appeal. As with many cannabis brands, future success will depend on delivering great products and ensuring they reach consumers at an affordable price.

“We are excited to combine our high quality, low cost cultivation with the consumer brand recognition of Choice Growers’ products. Our team is looking forward to bringing these brands under the Greenway banner, to enhance profitability and introduce Greenway’s quality cannabis to new consumers across Canada.”

Greenway recently reported net revenue of $1.8 million in Q2 2025, but an operating loss of $770,347 and comprehensive loss of $1 million.

Greenway’s primary business model is to cultivate, bulk package, and wholesale dry flower to other cannabis companies. In addition to wholesale sales, Greenway sells cannabis through its brands EPIC Cannabis Co. and MillRite, with pre-rolls and 7-gram SKUs of flower. MillRite saw a 71% increase in total units sold from the previous quarter (Q1 2025).

The company has a licensed indoor nursery and a separate licensed greenhouse for standard cultivation. The nursery is currently used to store and maintain mother plants and genetics and to propagate clones and vegetative plants for production.

7-day suspension notice for Ontario retailer for third-party delivery service, selling cannabis outside province, more

The Alcohol and Gaming Commission of Ontario (AGCO) has issued a Notice of Proposal to suspend the Cannabis Retail Store Authorization for 12473291 Canada Inc., operating as Montrose Cannabis in Pickering, Ontario.

The seven-day suspension has been proposed following AGCO inspections that revealed significant breaches of the Cannabis Licence Act, 2018 (CLA) and its regulations.

In May, AGCO inspectors attended the retail store located at 1755 Pickering Parkway and determined that the store had been unlawfully using a third-party delivery service – a violation of regulations under the CLA, which require that cannabis be delivered only by the licence-holder or an employee who has successfully completed the required education and training.

During that inspection, evidence was also discovered that the store had been unlawfully selling its product to customers in Alberta, Manitoba, Northwest Territories, Quebec, and Yukon. Under the CLA, licensees are not permitted to sell cannabis outside of Ontario, which may also constitute a violation of the Cannabis Act (Canada).

Finally, Montrose Cannabis was also determined to have been selling cannabis in quantities exceeding the legal maximum of 30 grams of dried cannabis or its equivalent in a single transaction.

The AGCO says it worked with the licensee to educate them on their obligations and to bring them into compliance. Inspectors conducted a follow-up inspection last month, where it was determined that despite a commitment to coming into compliance, the licensee had continued to operate in violation of the CLA.

An establishment served with a Notice of Proposal has the right to appeal to the Licence Appeal Tribunal (LAT), an adjudicative tribunal independent of the AGCO and part of Tribunals Ontario.

The AGCO says it will continue to take all appropriate actions to ensure compliance and that the safety of Ontarians is not jeopardized.

“Cannabis retail laws and regulations are in place to protect the public and ensure the legal cannabis market operates responsibly,” said Dr. Karin Schnarr, registrar and CEO of AGCO. “When licensees fail to meet their obligations, the AGCO will take decisive action to uphold the integrity of Ontario’s cannabis retail system.”

Nick Baksh, the founder of Montrose Cannabis, tells StratCann that retailers need more delivery options.

“Alberta and British Columbia allow cannabis retailers to offer parcel delivery, but Ontario lags behind in making cannabis accessible—particularly in rural areas. This gap is pushing consumers back to the illicit market. If the Ontario Cannabis Store (OCS) can ship products directly, why can’t licensed retailers?

“I’ve raised this issue with the Minister of Finance, the Attorney General, local policymakers, and even the mayor, but no progress has been made,” he adds. “Allowing licensed retailers to ship directly to customers would not only curb the illicit market but also enhance public health and safety while fostering healthy competition in the industry.”

If a cannabis retail licence is suspended, the store must post a sign about the suspension in a place where people can easily see it from outside the store.

The AGCO also recently issued a $100,000 fine to a retail chain for disallowed “data deals” that amounted to paying for shelf space.

This article has been updated to include comments from Montrose Cannabis.

Featured image via Google Maps.

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BC’s third cannabis farmgate store plans to open in early 2025

BC’s third cannabis farmgate store received provincial approval recently, with plans to welcome customers in the new year.

Weeds International Inc., a micro cultivator in Pitt Meadows, BC, received its producer retail store licence, i.e. cannabis farmgate, from the BC government on Friday, December 13, after a lengthy application approval process. 

In addition to their micro cultivation site, Weeds’ owners Don and Devon Briere and Carol Gwilt also operate retail locations in Vancouver and Sechelt. The Weeds brand has been part of BC cannabis culture for more than two decades, with a former chain of retail stores that operated across the province years before legalization. 

Weeds’ new farmgate licence is the third such licence issued in the province since it began accepting applications for Producer Retail Stores (PRS) in November 2022. Only three companies have applied for such a licence. The province has also licensed two similar stores, one in Williams Lake and one in Chilliwack, under special arrangements with local First Nations called Section 119 agreements.

The company is now waiting on their final business licence from the city of Pitt Meadows, where they are located. 

Gwilt says she and the Brieres were very excited to get the final provincial approval. They are now working on putting the final touches on the store, with the goal of a soft launch in February. 

“It’s been a vision for a long time for us,” she tells StratCann. “To be able to grow and sell and share weed with our community is an honour. We love being in Pitt Meadows and we’re happy to have the community come to our farm and experience this with us.”

Don Briere says the Weeds team has several other pieces of the puzzle they hope to bring about later in 2025, including an outdoor consumption space and, more long term, the possibility of a more focussed tourist experience by creating nearby guest houses, where people can visit their farm and buy and sample products over several days. 

“It’s been a long time coming; there’s been a lot of slowdown and turns and roadblocks, but we’re here now,” says Briere. We just have to persist and keep on truckin’.”

BC’s first cannabis farmgate location, ShuCanna, located in Salmon Arm, opened in the summer of 2023. The second, the Victoria Cannabis Co (VCC), opened its cannabis farmgate store in October 2024 after a lengthy approval process with the city. 

Ontario was the first to launch its farmgate program in 2021, licensing the first two locations on April 20 of that year. As of May 2024, Ontario listed five fully licensed farmgate locations. New Brunswick became the second province to announce a cannabis farmgate program, also in 2021, allowing for “on-site selling of in-house products for local LPs, nurseries, and micros.” The province currently lists seven such locations.

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BC researchers looking at impacts of cannabis use on driving abilities

A researcher with the Vancouver Coastal Health Research Institute and the University of British Columbia is recruiting people who use cannabis for medical purposes for a driving simulation study.

The study, which plans to begin recruiting for participation in early 2025, is being led by Dr. Jeff Brubacher, the director of the Vancouver General Hospital Emergency Medicine Research Program. Brubacher is also director of the Road Safety and Public Health Research Lab at the University of British Columbia (UBC), and professor in the UBC Department of Emergency Medicine. 

The goal of the study is to look at two separate streams of medical cannabis users: Those who are just starting to use cannabis for medical purposes and those who have been using it for this purpose prior to the study. 

In the first stream, those with no prior medical cannabis use will be tested before beginning their use of cannabis, then again after the onset of use after one month and four months.

Brubacher explains this will help provide a baseline of participants’ driving abilities, giving a better understanding of how cannabis use might impact them. While impairment from cannabis is one factor to consider, he also notes that some who are using cannabis for medical purposes are doing so to help transition away from opioids or benzodiazepines, which could mean impairment could potentially decrease following cannabis use. 

“The question is, what happens to your driving after you start medical cannabis,” he explains. “Did you get better or did it get worse?”

The second stream of study participants will be recruited from people already using cannabis for medical purposes with authorization from a medical professional. Similarly, the goal with this cohort will be to measure the impact of cannabis use on their abilities to drive, as well as taking specific cognitive tests. 

Cannabis users will be asked to abstain from taking any cannabis products the night prior to the study. On the day of the study, they will take the tests before using cannabis and then again after 30 minutes, two hours, four hours, and six hours. 

“The question there is, after I take my regular cannabis, do I have some driving impairment or not,” said Brubacher. “And if I have it, when does it occur and how long does it last?”

Driving abilities will be monitored using the High Fidelity Driving Simulator, measuring for things such as speed, weaving, reaction time, and collisions. The study will be conducted at the Vancouver General Hospital campus in Vancouver. 

In addition, researchers will take blood samples from participants to determine the level of detectable THC in their system. This will not only provide researchers with a correlation between participants’ results on the driving simulator but also give participants a better understanding of their blood/THC levels at any given time, especially after they have abstained overnight.  

This is especially important, he notes, since THC can linger in the blood sometimes well after any impairing effects have passed. The allowable legal limit in Canada is less than 2 nanograms (ng) of THC per millilitre of blood. 

“How many people are driving around with a THC level that is illegal—above 2 nanograms per millilitre for example— but are totally unimpaired?” he asked. “I think we have to look at that because it’s not fair or just for someone to be on prescribed medication and be at risk that if anything happens and they get tested, there could be legal implications. So I think knowing their THC levels when they’re not impaired will be interesting.” 

The Canadian Institute of Health Research (CIHR) is funding the research. It is seeking to recruit 360 medical cannabis users for the study, which is expected to take around three years. 

Brubacher and his team are also working with Vancouver-area medical cannabis clinic Green, Leaf Medical Clinic to recruit participants for the study. 

Working with the clinic’s medical director, Dr. Carolyn MacCallum’s patients who fit the parameters of the study will be given a chance to participate. 

Fonda Betts, the clinic’s CEO, says she and her team are excited to be a part of the project and highlight the need for this type of research. While there has been similar research looking at non-medical cannabis users, building a set of data that looks at how cannabis use impacts driving abilities, if at all, is important. 

“It’s a little different when you’re using it as a medical patient compared to recreational cannabis use. A medical patient is using it for symptom management, a better quality of life, whereas a recreational user may be used to being impaired, using cannabis to get high.” 

The goal for a medical cannabis user under the guidance of a medical professional at Green Leaf is to achieve what she says is a goal of finding beneficial effects for the user before reaching a level that impairs the person. 

“This study, I hope, will help show that medical cannabis will have little to no impact on driving abilities. That’s our hope. So if we can provide the data to support that, it can reassure patients, health care professionals, and the public that medical patients are using it safely.”

Those interested in taking part in the study can reach out here: [email protected].

Police in Ontario recover stolen cannabis

On Friday, November 29, 2024 members of Durham Regional Police North Division in Ontario recovered more than 60 pounds of stolen cannabis and approximately 550 cannabis plants.

The information was shared in a post on December 6 by Durham Regional Police. The cannabis was found during a traffic stop that led to a search of the vehicle while patrolling in the area of Scugog Line 14 and Highway 12 in Brock.

An investigation revealed that an “out of region” licensed cannabis grow operation had been broken into and the cannabis was stolen. All items were seized and the two men were arrested.

A 30-year-old male from Richmond Hill was charged with Criminal Code and Cannabis Act offences, including: Break and Enter – Commit; Possession of Property Obtained by Crime over $5000 and Adult Possess Illicit Cannabis. He was released on an Undertaking.

A 57-year-old male from Toronto, is charged with Criminal Code and Cannabis Act offences, including: Break and Enter – Commit; Possession of Property Obtained by Crime over $5000; Fail to Comply – Release Order and Adult Possess Illicit Cannabis. He was held for a bail hearing.

Researchers in Saskatchewan looking at how edibles can impact driving

Researchers at the University of Saskatchewan’s Driving Research and Simulation Laboratory will begin looking at how cannabis edibles impact people’s ability to drive in 2025.

“There’s a lot of research on smoked cannabis and the impacts on driving, but very little on the effects of edibles,” Alexander Crizzle, the lab’s director and an associate professor of public health, tells the CBC.

Participants in the study will get to eat a 10 mg THC edible and will be provided with snacks and cab fare home. 

The research team will then measure participants’ impairment utilizing their in-house driving simulator, Crizzle tells the CBC in Saskatchewan. 

“We also have a battery of tests where we can look at how people think and we kind of stress them out a little bit to see how well they perform under a certain amount of stress. That kind of gives us a good indication of how much the edibles are impacting their ability to think and drive.”

The Driving Research and Simulation Laboratory (DRSL) at the University of Saskatchewan is directed by Crizzle and contains state-of-the-art driving simulators to study the impact of technology, rehabilitation, road design (e.g., intersections, roundabouts, bicycle lanes), and training. Among other features, the DRSL also has a full array of clinical assessments such as vision, cognition, and motor tests. 

The lab is also a co-investigator in the multi-year “Don’t Drive High” campaign from 2021-2024, with funding from the Canadian Institute of Health Research (CIHR). This Canada-wide project partnered with young Canadians to better understand the factors that influence their decision to drive high. 

A recent 2023 report from Public Safety Canada found that 23% of cannabis users nationwide admitted to driving within two hours of consumption.

In new figures from 2024, the number of people who reported using cannabis before driving (18%) increased slightly from the year prior (15% in 2023) but is still lower than the 27% who reported doing so in 2018. 

This included 16% who reported driving within 2 hours of smoking or vaporizing cannabis and 10% who reported driving within 4 hours of ingesting cannabis.

Of those who reported using cannabis in the past 12 months, 78% said they believe that cannabis use impairs one’s ability to drive, while 13% responded that it depends, and 6% responded that it did not impair one’s ability to drive.

Image via usask.ca

BC businesses team up to research effects of e-beam irradiation on cannabis

A cannabis education group has teamed up with a cannabis testing lab in BC to look into the impacts of remediation on cannabis. 

Francis Hall and Tom Rothmeier, the team behind Urbanistic, a cannabis education and quality grading company based in BC, recently launched a study looking into how cannabis is affected by the e-beam remediation process, not just immediately after remediation but also several months later. 

While there have been studies done on the effects of irradiation on cannabis, those results were only looking at the immediate impacts, not long term, says Hall. He and his partner Rothmeier wanted to better understand how that process can change cannabis after it’s sat on shelves. 

Hall says the idea is one he has been looking at for a while, and it finally came together once they found the right partners, with both a local producer providing cannabis samples and a local lab to test those samples.

The unnamed producer is providing two 160-gram samples from the same lot/batch, one that will go through a standard e-beam remediation process and one that will not. Those samples will then be shared with analytical cannabis testing lab Northern Scientific, also in BC, which will test them for things like cannabinoid and terpene levels, as well as microbes like mould and mildew.

Those samples will be tested right after the e-beam remediation process, done at a facility in BC, and again after three, six, and, ideally, nine months. This will give a better real-world look at how the e-beam process impacts both product quality and shelf stability for microbials. 

“It just struck me that a big thing we’re missing is we’re not reflecting the average supply chain that a product actually goes through until it reaches the consumer,” he explains. “So that was more the point that I was coming from. Is this research fit for purpose and an accurate representation of how a product typically gets remediated and moves through the supply chain?”

Zack Paul, the CEO and founder of Northern Scientific, Inc., located in Langley, BC, says he was eager to participate in the research when approached by Urbanistic. Not only is he interested to see the long-term effects of remediation on cannabinoids and terpenes, but also the long-term implications of the effect of microbials on shelf-life stability.

This is important not only for cannabis sold in Canada—which might wait weeks or months from harvest to being sent to a distributor, then to a store, before a consumer buys it—but also for cannabis sold on the international market. These products, he says, can often take an even longer and more circuitous route to consumers, making it especially important to ensure the remediation process helps hold back unwanted microbial growth not just immediately after but several months later. 

“We’re very happy to be on board, and it’s fascinating, the information we’re going to see at the end of this,” says Paul. “It’s valuable research that we just don’t have.”

“No one really does testing post-e-beam or irradiation for potency or terpenoids, so to be able to see what degradation, analytically, we can find is going to be fascinating. 

“As well, with microbiology, we know that with irritation or e-beam, it more or less stunts or puts those microbes dormant. It doesn’t kill them completely. So you will start to see regrowth, it’s just a matter of when.”

Urbanistic is hosting a GoFundMe campaign to help raise $15,000 to pay for the research. Although the page refers to research on irradiation, Hall reiterates that the research is specifically on the e-beam process, which differs somewhat from the irradiation process. Both are used by cannabis companies in Canada for the purpose of remediating their crops for shelf stability, although e-beam has become the more commonly used process in recent years.  

Acknowledging this important distinction, Hall says he chose the term “irradiation” because it’s the most commonly understood term among consumers.

In addition to lab testing, Urbanistic will also apply their own in-house grading system to the product, which includes blind sensory examination as well as product sampling to see if there are any noticeable effects of the e-beam process, either visually, from the aroma, or taste or even overall effect and experience. 

I think that will complement the lab testing really well,” says Hall. “I think it’s going to give us an understanding of how the remediation has changed everything from the curing and freshness of the plant to the colours of the plant, the robustness of the trichome heads, the colour of the trichome heads, all the way through to the actual consumption of the product.”

You can learn more about the project here.

What is remediation? 

In the simplest sense, irradiation works by exposing harvested cannabis to radiation—commonly either gamma, electron-beam (e-beam), or x-ray—to render contaminants like mould spores and other microbes inert and harmless to the consumer. 

At the outset of legalization, gamma irradiation was the most common method of decontamination, but since then, some producers have moved to e-beam remediation, a shorter and cheaper process than gamma that produces comparable results. Irradiation is a general term for when radiation interacts with an object, while e-beam irradiation is a specific type of irradiation that uses high-energy electrons to sterilize products.

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AGLC makes several updates, clarifications to retail cannabis and cannabis representative policies

The Alberta Gaming, Liquor and Cannabis (AGLC) has made amendments to its Retail Cannabis Store Handbook and the Cannabis Representative Handbook.

In a November 28 bulletin, the provincial cannabis regulator noted several updates to the two relevant handbooks to cannabis retailers and registered cannabis representatives. AGLC is responsible for overseeing relationships among cannabis suppliers, cannabis representatives, and cannabis licensees.

One change allows cannabis retailers to now use their secure cannabis rooms for more than just the storage of cannabis, and another allows cannabis stores to now sell lighter fluid refills. The policy that previously didn’t allow the off-site sales of non-cannabis items has also been removed.

The rest of the changes are related to advertising and promotion, primarily to clarify existing policies. 

For example, cannabis suppliers, cannabis representatives, and licensees are now specifically responsible for ensuring their advertising, including any advertising conducted jointly or by a third party, complies with all legislation and these policies.

Other changes/clarifications include:

  • Advertising may not include content that displays or identifies a cannabis product or accessory.
  • The definition of “Product Promotion” now includes activities not only within licensed premises.
  • Clarification on how cannabis representatives and retail cannabis store licensees are permitted to promote cannabis products.
  • Promotion outside of places where persons under the age of 18 are prohibited from entering by law must: a) be directly communicated (i.e. mail-outs, email, etc.) to an individual, by name, who has been confirmed to be 18 years of age or older; or b) include reasonable steps in online promotion to ensure that persons under the age of 18 cannot access the promotion (i.e., age verification).
  • Free cannabis or cannabis accessories are now prohibited in the promotion of cannabis products and accessories (this does not apply to sampling to retailers).

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Cannabis vapes coming to SQDC by fall 2025

The Société québécoise du cannabis (SQDC) is adding vaping products to its product offering, but consumers will have to wait a year or so to buy them.

In an information note to all suppliers posted on November 28, the provincial cannabis wholesaler and retailer says it has decided to finally allow the sale of vape products in order to provide a lower-risk alternative to Québec customers compared to unregulated vape products that are easily purchased across the country. 

The SQDC company will hold an online meeting on December 10 to explain to suppliers its requirements for batteries and cartridges. To ensure products comply with regulations and that the new process goes smoothly, the SQDC says it is giving itself approximately one year before beginning to sell these products.

“In a year or so, Québec consumers will have access to quality regulated products, will know exactly what they are inhaling, and will be guided by knowledgeable trained advisors,” reads the bulletin, in part [translated].

The new category will be introduced gradually, with an initial rollout of around 20 products. The SDQC has confirmed with StratCann that all provincial rules for cannabis products will apply to cannabis vapes, including Quebec’s 30% THC limit. In addition, no additional flavours can be added to these products except for cannabis-derived terpenes that are already in the product.

The SQDC will hold two separate product calls, one for batteries and the other for cannabis vape cartridges. The first online meeting on December 10, 2024, will also be the opening date of the battery product call, with an end date of January 31, 2025.

The SQDC will then open up a product call for cannabis vape carts on March 31, 2025, which will end on April 25, 2025. 

The planned start of sales will be fall 2025. 

A Media Relations Team representative with SQDC told StratCann via email: “We took this decision in response to the rising popularity of this method of use (vaping) and the risks associated with vaping products from the illegal market. These products frequently contain banned chemical substances, THC levels that exceed Quebec standards, appealing flavors and aromas, especially for young people, and make inaccurate claims. ”  

Despite a provincial ban, a quarter of cannabis-using Quebecers report using cannabis vapes, according to a survey from the Institut de la statistique du Québec (ISQ) in early 2024. Twenty-five percent of Quebecers who reported consuming cannabis in the past year said they have vaped it. 

Quebec banned cannabis vape pens in 2019. Since there is no legal source for cannabis vapes in Quebec, residents told ISQ that they sourced their vapes from family and friends, from legal sources in other provinces, from illicit suppliers, and/or online. Newfoundland and Labrador had also previously banned the sale of cannabis vapes but began allowing them in 2022. Prince Edward Island has also banned cannabis vapes. The provincial online cannabis store did recently list a few cannabis vapes but they are now listed as out of stock.

The survey results come from the 2023 Quebec Cannabis Survey (EQC), collected between February and July 2023 from 13,209 people. The first results from the survey were released in October 2023.

Most Quebecers who consume cannabis do so by smoking it (81%), while 31% reported using edibles and 23% consuming oral cannabis drops such as cannabis oils. These oils have the same active ingredient as in cannabis edibles.

About three-quarters (71%) of Quebecers over the age of 15 who consumed cannabis in the last year reported getting at least some of their cannabis from legal stores in Quebec (SQDC).

Note: This article has been edited to include additional information from SQDC.

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Health Canada grants cannabis testing licence to Brock University

Brock University in St. Catharines, Ontario, has received an analytical testing license from Health Canada.

The license will allow researchers at Brock to analyze cannabis samples‘ chemical and biological components for effectiveness and safety.

Testing will take place using equipment within the Brock-Niagara Validation, Prototyping and Manufacturing Institute (VPMI).

“The cannabis analysis license truly opens the doors for the types of support that the VPMI can provide for the industry across the Niagara region, Ontario, and Canada,” says VPMI Scientific Director and Associate Professor of Chemistry Paul Zelisko.

“The licence will also permit the VPMI to support stakeholders in typing cannabis strains for more targeted and personalized applications and to help those within the industry to find value added compounds in waste materials to promote a more circular economy,” he adds.

These waste materials can include cannabis leaves, stems, and roots. Zelisko says.

“Discovering valuable compounds in this waste material can help a company mitigate costly disposal fees and/or develop new revenue streams,” he says.

The testing will also help companies look into the addition of particular flavours and scents to their cannabis edible, beverage, and vaping products to ensure products remain within Health Canada’s allowable THC limits. 

Brock’s Acting Vice-President of Research, Michelle McGinn, says the new license is “a milestone” for the University and the Niagara region.

“It opens a new frontier for cannabis research that has immense implications for public health and economic growth,” says McGinn. “Consistent with VPMI’s mission, we are applying our specialized knowledge and state-of-the-art equipment to solve real-world challenges and thereby demonstrating how science and business flourish together.”

Health Canada has also renewed a research-related cannabis license granted to Brock University in 2019, one of the country’s first universities to receive a cannabis-related research and development license.

That license allowed Cool Climate Oenology and Viticulture Institute (CCOVI) researchers and local industry partners to identify plant virus infections in cannabis and to develop cannabis-infused drink technology.

An analytical testing licence from Health Canada allows for activities such as testing for chemical contaminants, microbial contaminants, cannabinoid content, dissolution or disintegration, sterility, stability testing, and/or pesticides.

Health Canada currently lists 136 laboratories as being authorized to conduct analytics testing under the federal Cannabis Act. Brock’s new licence was issued on October 24, 2024.

Cannabis NB launches Good To Know cannabis awareness campaign

Cannabis NB, the provincial cannabis regulator and retailer in New Brunswick, has launched an education campaign aimed at informing consumers about the risks of illegal cannabis products.

The campaign, called Good To Know, uses recent findings by the Research Productivity Council (RPC) of New Brunswick, which showed chemical contaminants, including pesticides, found in illicit cannabis samples, particularly vaping cartridges, in the province.

The provincial agency first launched the Good To Know campaign in 2022, which at the time focussed on similar testing by RPC that looked at samples of several cannabis products obtained from markets in New Brunswick, including dried flower and edibles, and tested them for things like THC levels, moulds, heavy metals, and pesticides.

This year’s iteration of the education campaign focuses on sharing information through digital displays and billboards, video ads, and Snapchat, targeting New Brunswickers 19 years and older. The campaign messaging will also be leveraged in Cannabis NB stores and on social media.

“Our commitment to safety and education is the foundation of Cannabis NB’s culture. It’s built into the sales experience and training of our teams,” says Lori Stickles, President and CEO of Cannabis NB. “While legal cannabis must be tested for contaminants, illicit cannabis does not comply with Health Canada’s Good Production Practices. It is important that consumers have access to information, understand the risks associated with illegal cannabis, and make educated choices on quality and safety by turning to Cannabis NB and its certified private retail stores.”

In 2024, Cannabis NB also participated in awareness and education activations at two major festivals, the Moonlight Bazaar in Saint John in August and the Harvest Music Festival in Fredericton in September.

Nova Scotia also recently launched a similar public education campaign. The Ontario government launched their Buzz Kill campaign in October, which included a pop-up store made to look like an illegal pot shop.

In Alberta, the Alberta Gaming, Liquor and Cannabis (AGLC) recently launched its Forget Bad Bud campaign as well, drawing attention to the differences between the legal and illegal cannabis markets in Canada. 

Alberta sold $673.5 million worth of cannabis in 2023-2024

The Alberta Gaming, Liquor and Cannabis Commission (AGLC) brought in $63.9 million in net revenue from $673.5 million worth of cannabis sold in the province for the year ended on March 31, 2024, reporting $10.8 million in net income after expenses. 

This is up from the $60.4 million in net revenue in the previous year but down from the $18 million in net revenue for the 2022-2023 fiscal year. This is due to higher operating expenses and significantly lower profit from operations in the most recent year. 

This figure does not include an additional $210 million in cannabis tax revenue collected by the Government of Alberta for the year ending March 31, 2024. The province’s additional 6% markup on cannabis products contributed to net revenue of $38.1 million. 

Net income for the AGLC for all the files it manages (cannabis, liquor, and gaming) was $2.3 billion in the most recent fiscal year. 

The 2022-2023 fiscal year was the AGLC’s first profitable year from cannabis sales.

The number of licensed cannabis stores at the end of March 2024 was down slightly from previous years, with 752 compared to 756 in the two previous years. 

Every product category except for dried flower, milled flower, beverages, topicals and seeds saw total dollars sold increase. 

Sales of dried flower were relatively flat at $207.4 million compared to $206.9 million in the 2022-2023 fiscal year, and down from $226.5 million in 2021-2022, likely reflecting ongoing price compression as well as a shift in the market to concentrates and vape pens. 

Despite this decline in total revenue, the volume of dried cannabis sold continued to increase, reflecting declining retail prices. The province sold 65,127 kg in the 2024 fiscal year, up from 59,121 in the previous year and 59,490 in 2022.

The number of vapes sold and total sales also increased, as did pre-rolls, extracts (significantly so), edibles, and beverages. 

Other highlights from the AGLC’s 2023-2024 fiscal report:

  • The AGLC estimates it saved the cannabis industry more than $4 million through the reduction of listing fees for cannabis SKUs, among other procedural changes.
  • Another nearly $3 million in estimated cost savings for the industry through the amendment of storage requirements.
  • Alberta expanded access to legally regulated cannabis with temporary retail sales at events (i.e. festivals) and extended hours of operations approved, increasing revenue-generating opportunities.
  • The AGLC conducted 3,442 inspections of cannabis retailers, with a 98% compliance rate. 
  • The province spent $2.1 million on its Cannabis Sense education program.
  • The province is currently developing a recycling plan that will allow for cannabis containers to be recycled.
  • As of March 31, 2024, Alberta had 2,356 cannabis SKUs listed for sale, up from 2,085 in 2023 and 1,664 in 2022.
Chart from AGLC.ca

Atikameksheng Anishnawbek seeks negotiations with Ontario on retail cannabis

The Ontario NDP’s Opposition Spokesperson on Health is asking the provincial government to respond to a First Nations government request to enter into negotiations with the provincial government regarding the operation of a retail cannabis store.

The comments came during the debate of Bill 223, the Safer Streets, Stronger Communities Act, 2024, which includes a potential ban on the advertisement and promotion of cannabis that is sold unlawfully. France Gélinas, the NDP MPP for the riding of Nickel Belt, read the letter from the government of Atikameksheng Anishnawbek, formerly known as the Whitefish Lake First Nation, an Ojibway First Nation in northern Ontario. Gélinas is also the Vice Chair of the Standing Committee on Social Policy and a member of the Standing Committee on Public Accounts.

The MPP says Atikameksheng Anishnawbek is waiting on a response to a letter signed by the chief and sent to Ontario’s Ministry of the Attorney General. The MPP’s comments also state that she suspects that the proposed legislation that amends the provincial Cannabis Control Act to ban the advertisement and promotion of cannabis that is sold unlawfully is intended to target First Nations. 

“When a First Nation takes the time—and this is signed by the chief, and copied to me and to everybody else—please make sure that you treat them with respect and that you answer their letter, so that they can be partners with the provincial government and not have the Cannabis Control Act and schedule 1 go after First Nations communities.”

However, Ontario Attorney General Doug Downey responded to Gélinas’ comments, assuring her that the section of the bill that references the advertising and promotion of illicit cannabis is not intended to target First Nations. 

“We are providing another tool for police to go after those who are online, marketing and advertising illegal cannabis,” said Downy, directing his comments to the Speaker of the House. 

“I did listen to my colleague from Nickel Belt and concerns around First Nations. This is not a tool focused on First Nations. This is a tool focused on the bad actors in the online space, because it is a little bit of Whac-A-Mole, where they sometimes put up a site and then switch over to another site, and the public is not protected in that unregulated market. So this is a tool for the police to go after them with provincial measures, in addition to the existing tools that are there federally, the Criminal Code and otherwise. We want to go after the advertising and promotion of the sale of illegal cannabis as part of our plan to go after the black market, protecting our communities and looking after our children.

“I don’t think anybody thinks that we should be ignoring the illegal cannabis market and the bad actors behind it, and I would look forward to my colleagues across the way supporting us on this piece and others.”

The comments were made during the second reading debate of Bill 223 on November 19. The letter from Atikameksheng Anishnawbek, as shared by MPP Gélinas, reads:

“Please accept this letter as our formal request to enter into negotiations regarding the operation of a retail cannabis store in Atikameksheng Anishnawbek.

“As a First Nation, it is important to us that we regulate and control businesses that operate on Atikameksheng lands. To that end, we would always reserve the right to control and administratively run those businesses to protect the interests of members of our community.

“It is necessary to point out that we reserve the right to license, as a governing body, those who wish to conduct all businesses, including distribution of cannabis.

“As such, formal approval from the provincial government is not a requirement for us to proceed with this process. Having said that, it is in everyone’s interest that we strive to harmonize rules and regulations between Atikameksheng, its citizens, and the policies and procedures set out by the provincial government.

“It would only be in matters where our interests may diverge that Atikameksheng would seek an independent path. At this stage, we do not foresee such a divergence.

“It is important for us to move forward expeditiously as we wish to ensure that the sale and distribution of cannabis within Atikameksheng lands is properly regulated so as to prevent third-party black market enterprises from establishment (sic) in our community.

“As we move forward, we are open to discussions with you to harmonize our processes and policies with those of the provincial government.

“We welcome your suggestions as to how we might best achieve the intended harmonization.”

The Atikameksheng Anishnawbek Cannabis Vending Bylaw 2018 banned the sale of cannabis in the community. In 2023, the community voted in favour of its proposed 2023 Cannabis Control Law. The law authorized and directed the Gimaa (Chief) & Council of the First Nation to make any changes as necessary to the Atikameksheng Anishnawbek Cannabis Control Law.

In 2021, members of the Anishinabek Police Service carried out a raid on an unauthorized cannabis store, with two charged with possession for the purposes of distributing and selling cannabis and the store’s cannabis seized by police. According to a media report, the store quickly reopened. 

Representatives from Atikameksheng Anishnawbek were not immediately available for comment.

The 2023-2024 Atikameksheng Anishnawbek Annual Report refers to the completion and implementation of the community’s Cannabis Control Commission.

Featured image via atikamekshenganishnawbek.ca

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Ontario cannabis retailer fined $100,000 for illegal “data deals”

A cannabis retailer in Ontario will have to pay a $100,000 fine for pursuing and accepting prohibited payments from licensed cannabis producers.

The decision, posted by the Alcohol and Gaming Commission of Ontario (AGCO) on November 19, comes following the issuance of an administrative penalty to Cannabis Xpress in April 2024 of $200,000. 

The cannabis retailer, which operates 14 locations in Ontario and three in New Brunswick, had appealed that decision. Cannabis Xpress has now withdrawn its appeal, says the AGCO, with the retailer admitting that some of the “data agreement” effectively induced it to purchase the relevant products from Canadian cannabis producers. 

The provincial regulatory agency began investigating after receiving information about possible “inducement activity.” The AGCO investigated Cannabis Xpress, including a review of over 82,000 relevant documents. The agency found that Cannabis Xpress’ “Data Services Program” and/or other agreements with licensed cannabis producers are actually an inducement program.

“Ontario’s anti-inducement rules exist to protect small businesses and consumers from predatory ‘pay to play’ schemes,” said Dr. Karin Schnarr, registrar and CEO of AGCO. “The AGCO will continue to monitor business arrangements between licensed retailers and producers and will take strong action against any licensee found to be engaging in illegal behaviour.”

A representative from Cannabis Xpress was not immediately available for comment.

The AGCO says that between January 2021 and July 2023, Cannabis Xpress entered into agreements or arrangements with at least 61 LPs, the majority of which were referred to as “Data Sharing Agreements” or “Data Agreements.” Data on cannabis sales, especially from larger chains with numerous locations, can be valuable to producers, allowing them to better understand what products are selling well and where. 

So-called “data deals” have been controversial in the industry for some time, with some Ontario retailers calling out the practice last year. Provincial rules do allow retailers to sell data to producers. The OCS began sharing similar information earlier this year in a move that some hope would address these market demands. 

Although Cannabis Xpress’ agreements appeared, on the surface, to be related to the sale of such sales data, the AGCO says that the fees to be paid under some of the agreements were based on the number of Stock Keeping Units (SKUs) to be carried at Cannabis Xpress stores.

Cannabis Xpress’ communications with cannabis producers, continues the AGCO, implied that these companies could expect to enhance sales volumes in their stores by entering into these “data deals.” 

According to the AGCO, the company represented to the cannabis producers that: “our goal is to have long-term relationships with a limited number of suppliers, and pump as much volume as we can out of the stores.”

An email shared with StratCann from Cannabis Xpress by a cannabis producer confirms the same language, which also stated that the fee for the data depends on a few factors, such as the product category and total number of SKUs.

The AGCO also alleges that some Canadian cannabis companies (LPs) were told that the retailer was not willing to purchase their cannabis products without entering into a data agreement. Other cannabis companies that tried to renegotiate, terminate, or alter the terms of their data agreements with Cannabis Xpress say they saw the purchase of their cannabis products decline in volume and frequency.

Cannabis Xpress retail staff were also allegedly informed that, before they stocked new products, they were to confirm whether the LP had a data agreement in place.

Cannabis Xpress retail staff were also said to have been told not to “mention deals of any sort to customers or brand reps we don’t have a deal with” and “[i]f someone asks why we don’t stock a certain brand, just politely say we have the maximum amount of SKUs we’re able to get at the moment, or something along those lines.”

Some publicly traded cannabis companies report sales of their own data programs. Ontario’s rules allow retailers to sell data to producers, allowing them to better understand product sales trends.

Nova Cannabis, a company behind one of Canada’s largest chain of cannabis stores, Value Buds, recently reported revenue from its own “proprietary data licensing arrangements” of $12.4 million for 2023, an increase of 125% from $5.5 million in 2022.

High Tide, another sizeable retail cannabis business in Canada with more than 150 Canna Cabana locations across the country, reported sales from its own “Cabanalytics business data and insights platform” increased to $6.5 million in the third fiscal quarter of 2023 from $5.5 million during the same period in 2022.

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Law firm says SQDC broke provincial rules with “rotating” SKU pricing

A law firm in Quebec has modified an application for a class action suit against the Société québécoise du cannabis (SQDC) relating to how the provincial cannabis retailer priced their products. 

On November 15, 2024, lawyers at Groupe SGF amended an application for authorization to include what they say is a claim that the SQDC admitted they sold “rotating” SKUs at a lower price than regular SKUs, potentially violating provincial cannabis rules. 

Groupe SGF first filed a class action suit against the SQDC earlier this year on behalf of the plaintiff, Gabriel Bélanger, alleging the provincial cannabis agency does not comply with the Consumer Protection Act (CPA). In that case, Bélanger argues that the SQDC forces people to make “blind purchases” of cannabis products listed on their website.

In a press release last May, the SQDC said it was taking the time to look into the issue properly but noted that its initial comment was that it disagreed with the applicant’s claims and intended to contest the application.

Lawyers at Groupe SGF say they believe that the class action is now open to all cannabis consumers who purchased so-called “Non-Rotating” products from the SQDC, whether online or in-store. Groupe SGF says this would have meant consumers paid a higher price for the same product than if it had been put in a product with a variety displayed as “in rotation.”

The lawyers for the plaintiff, Mr. Gabriel Bélanger, believe that all of this is in violation of the prohibition on providing a discount to the consumer on the price of cannabis as per Quebec’s Cannabis Regulation Act.

This amendment may still require approval by the Court, notes Bélanger’s lawyers, who believe that at this stage, such a request should be granted. If not granted, they say they will file a new class action. 

The original class action includes anyone who has purchased cannabis in the “dried flower” and “pre-rolled” categories for which the strain displayed on the SQDC website has been “strain rotating” since October 17, 2018.

A media representative for SQDC tells StratCann that the agency will take the time to review those allegations.

“However, we remain confident that we comply fully with the law and that we respect our customers’ interests,” the representative added in an email.

BC Gov seeks to seize two properties they say are connected to cannabis trafficking

The BC Government filed a civil lawsuit in the BC Supreme Court on November 12 against a Kelowna business they say was purchased with proceeds of crime and operating as a money laundering operation for drug trafficking, primarily cannabis. 

The government is seeking to seize two properties connected to the business that it says are connected to finds from illegal drug trafficking. 

The province’s director of civil forfeiture says All Out Customs & Collision Ltd. in Kelowna is a front operation that does not conduct any legitimate business. 

Police raided the business in December 2023 following an investigation that began in February of the same year. Police seized 8.2 kilograms of cannabis and about three kilograms of cannabis oil, as well as smaller amounts of cocaine, MDMA and psilocybin mushrooms. Police also seized $17,000 in cash. The owner of the business and the two properties the province seeks to seize, Richard Kelly Madore, was arrested at the time. 

Madore has a previous cannabis-related arrest from 2012 when he was found on a logging road with $100,000 in cash and 20 kilograms of cannabis. Those charges were later downgraded to possession, a conditional sentence, and a fine, but police contend he is a “high-level” cannabis trafficker. 

The BC Civil Forfeiture Office contends that one of the properties it wants to seize, Madore’s home, was purchased with the proceeds of crime, along with his All Out Customs business and property. 

Last year, the BC government passed the Civil Forfeiture Amendment Act, 2023, giving it the power to begin legal proceedings against property connected to illegal cannabis grow operations. The government had pursued such cases prior to the passage of the 2023 law, as well. BC’s civil forfeiture program was created in 2006 and has come under criticism from civil liberties groups.

In December 2023, the BC Supreme Court put a pause on the province’s efforts to seize $12 million in properties connected to illegal cannabis and psilocybin dispensaries. 

In May 2024, The BC Civil Forfeiture Office began civil forfeiture proceedings against two properties following investigations into the sale and distribution of illicit cannabis by a company operating in Surrey, BC. 

The investigations by Surrey RCMP into the illicit sales and distribution of cannabis took place from April 2020 to February 2022. The two properties are located in Maple Ridge and Mission

The BC government filed its fourth unexplained wealth order (UWO) application in September 2024, seeking to seize $5.6 million worth of properties connected to what police say was a large, illegal cannabis production and distribution business.

h/t Castanet

One man’s journey to grow the cheapest cannabis in Canada

Todd Veri has been working with, and adjacent to, cannabis in BC’s Kootenay region going back decades. 

When legalization lumbered its way into Canada, like many in his walk of life, he decided to take a crack at getting a federal license to grow cannabis on outdoor farms in the region.

What began as a co-op with two different farms (with plans for more) has been pared down over the years through layers of regulations and business and interpersonal challenges into a one-person operation on a small farm about one hour north of Nelson, BC.

Todd Veri on his cannabis farm

Among the goats and cows and the hay he feeds them, Todd Veri grows four acres of cannabis varieties at Cedar Bug Farms, as he’s done there for several years. Now, after more than five years of trying, learning, and adapting, Veri says he hopes this will finally be his year to bring a crop fully to market. 

“This year was all about trying to put the pieces together that worked. We had a lot of challenges in previous years, but I also learned a lot along the way.”

One of those lessons was not to over-build and to see how the plants respond to being left more to their own devices. In the first few years, the farms had multiple employees working all season long to plant, weed, tend, and harvest. This year, Veri has done most of this work on his own. And that has meant learning to let a lot go. 

“Weeds were a big part of it. I learned to let a lot of the wild plants just grow, which created a more beneficial micro-ecosystem that seemed to support itself, rather than spending a lot of time and money weeding and mowing.”

This move alone meant he could handle on his own what would have been handled by a team of ten in the first few years. He says that keeping costs down was always part of the plan, which is one of the reasons he chose outdoor production.

“We chose outdoor because I saw the drive to the bottom in terms of prices. The amount of overproduction was predictable. I still see outdoor as the best way to deliver something of high quality and value for people to smoke.”

Though, over the years, the entire process has taken its toll on Veri and the farm. Not only did the co-op model unravel in the first few years, but he now needs to sell the farm to cover the ongoing expenses he’s incurred to get to this point. 

Despite these challenges and obstacles, Veri is one of the more optimistic people in the industry. He says he prefers to own and learn from his mistakes rather than focusing on the things he cannot change or finding external situations to blame. 

“It’s been very hard. Having to sell the land I’ve been growing on is hard. But I have to stay positive, and that perspective is why I think this is still a viable business. Every year, I’ve learned what to do right and what not to do next time.

“My hope is to find someone who will buy the farm and I can continue to operate it for them, so this year’s harvest will be what I hope will prove that model.”

Veri has about one-third of his field planted this year and expects 50-80kg to be ready for sale in the coming months. 

His dream has been to sell into the BC market as an outdoor, BC-grown product, but he’s also exploring other options, including the export market. Finding a market for outdoor product in Canada can be difficult, he says, but he believes that growing at a lower cost than indoor, and with a better terpene profile from the natural light, will win over consumers who may be more accustomed to indoor product. 

“BC has a long history of great outdoor cannabis, especially in the Kootenays. We need a way to bring that to the legal market.”

Record net revenue for Rubicon Organics despite softened demand and price compression in key markets

Rubicon Organics brought in $13.5 million in net revenue in Q3 2024, the three months ended September 30, 2024, its highest revenue in eight consecutive quarters, but a net loss of $168,498. 

Net revenue was up compared to the same period in the previous year ($10 million) and the previous quarter ($12.1 million). Net losses have steadily declined over the last three quarters.

The BC-based certified organic cannabis producer has seen year-over-year quarterly revenue growth from Q1 2022 until Q2 2023, which the company attributes to increased demand in key provinces. In the most recent quarter, for the three months ending September 30, 2024, the company reported its highest net revenue achieved in one quarter.

Rubicon sells three flagship brands: their “super-premium” Simply Bare Organic, premium brand 1964 Supply Co, cannabis wellness brand Wildflower, and the Homestead Cannabis Supply brand. The company says it currently has over 294 unique SKUs available for sale across Canada, with over 99% coverage of the addressable market in both non-medical and medical sales channels.  

Total operating expenses increased year-over-year from $3.4 million to $3.7 million, but general and administrative expenses decreased by $19,887. The company expects to continue its year-over-year growth in net revenue, much of this from its branded products that are produced using external capacity and thereby deliver lower gross margins.

In the last two quarters of 2023, Rubicon saw a decline in net revenue, which it says is due to softened demand and price compression in Alberta, Ontario, and Quebec, as well as overall economic challenges facing consumers. 

The company incurred $4.3 million in excise taxes from $17.8 million in product sales, up from $2.9 million in excise taxes from $13 million in sales in the three months that ended September 30, 2023.

“Rubicon Organics record net revenue for both Q3 and year-to-date 2024 reflects our strength and position as Canada’s leading premium House of Brands,” said company CFO Janis Risbin. “Rubicon Organics continues to innovate and expand our product offerings, solidifying a strong market share in premium flower, pre-rolls, edibles, and more. I’m particularly proud of the success of our 2024 vape launch, which has already achieved 55% distribution in just six months. Looking ahead, we expect to drive further growth in Canada and beyond, as we intend for new market entry in 2025.”

Rubicon’s 125,000-square-foot hybrid greenhouse is certified by the Fraser Valley Organic Producers Association (FVOPA) for organic cannabis cultivation.

Nova Scotia’s “safe” cannabis campaign irks Dalhousie clinical psychologist

A marketing campaign by Nova Scotia’s cannabis regulator is catching flack from a clinical psychologist for what he says is the promotion of cannabis use. 

The marketing campaign by Nova Scotia Liquor Corporation’s cannabis branch (NSLC) that seeks to draw a distinction between legal and illegal cannabis products based on product testing refers to legal cannabis as the “safe” choice. 

Clinical psychologist Simon Sherry, a psychology professor at Dalhousie University, tells media in Nova Scotia that the campaign is in the wrong for what he says is promoting cannabis use and the idea that cannabis is a safe product. 

“Representing cannabis as a safe and a no-risk product, … that simply is inaccurate,” Sherry told CTV News Atlantic.

“It flies in the face of an extensive research literature that links cannabis up to depression, anxiety, psychosis, impaired concentration, impaired memory, respiratory problems, and a host of other difficulties.” 

A representative for NSLC tells CTV news that the goal of the campaign was to highlight the risks of using unregulated cannabis products rather than encouraging people to use cannabis. 

“As the responsible retailer for beverage alcohol and cannabis in the province, NSLC has a duty to share messages to help consumers understand the risk in making cannabis purchases from the illicit market,” said an NSLC spokesperson. 

“The goal of the awareness campaign is to help consumers understand the importance of safe, regulated cannabis, by focusing on product quality and public safety.” 

Several other provinces have recently launched similar campaigns aimed at informing cannabis consumers of the difference between legal and illegal cannabis products, including the lack of testing and quality assurance standards in the unregulated industry. 

In October, the Ontario government launched their Buzz Kill campaign, which included a pop-up store made to look like an illegal pot shop. The OCS’ goal was to help educate consumers on the difference between legal, tested cannabis products and those that can be found in an array of illegal and unlicensed stores operating in the province. 

In Alberta, the Alberta Gaming, Liquor and Cannabis (AGLC) recently launched its Forget Bad Bud campaign, as well, drawing attention to the differences between the legal and illegal cannabis market in Canada.  

The campaign focuses on issues like quality control, strain selection, and education. It also seeks to educate consumers on how to identify an illegal cannabis store, especially the prolific number of illegal cannabis websites that ship cannabis products across the country.

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Kahnawà:ke Cannabis Control Board issues first micro cannabis production licence 

The Kahnawà:ke Cannabis Control Board has issued their first micro cannabis production licence, a business called MSJ Cultivation.

The Mohawk Council of Kahnawà:ke (MCK) has spent several years creating its own licensing program for cannabis production and retail. The new micro licence was issued by MCK on November 8 and expires in five years. MSJ is licensed by Health Canada under the name Michael Stalk.

This is the second licence the agency has issued, the first was for a standard cultivation and processing licence. The standard cultivation licence and the standard processing licence from KCCB were both issued to 9076484 Canada Inc on December 3, 2021 and February 14, 2023, respectively.

The micro cultivation licence authorizes MSJ to cultivate, possess, and test cannabis, as well as sell cannabis to holders of a valid distribution licence or export from the Territory to a licensed processor or retailer in another jurisdiction. Only a distribution licence holder is authorized to distribute cannabis products within Kahnawà:ke territory (Kahnawake) to a retail dispensary licence holder. The board has said they will only issue one such distribution licence. 

The business also has a micro cultivation licence from Health Canada, which is one of MCK’s licensing requirements for producers. In 2021, the band agency announced a memorandum with Health Canada in relation to their cannabis production regulations. The process was years in the making, Tonya Perron, who has led the cannabis file for the MCK for several years, explained to StratCann at the time. 

The Kahnawà:ke Legislative Commission (KLC) posted its retail cannabis regulations in December 2023 and its production regulations in 2021. Comments on the community’s Facebook page regarding the announcement showed an array of opinions on the licensing process and the presence of cannabis in the community.  

The territory’s cannabis regulations essentially mirror Health Canada’s production regulations while affirming the Band’s jurisdictional authority within their community. The community has no such relationship with Quebec’s provincial retail licensing authority. The Kahnawake Mohawk Territory is a First Nations reserve of the Mohawks of Kahnawá:ke, located on the south shore of the Saint Lawrence River in Quebec, Canada.

In October, the Kahnawà:ke Cannabis Control Board (KCCB) also posted notice of six cannabis retailers that submitted applications for a retail licence, which are currently under review 

In her conversation with StratCann in 2021, Perron said the process of creating such regulations has been one of balancing the interests of those who want to operate in the industry with those who have concerns about the impacts of cannabis on the community. 

“It’s a fine line to walk between all of those differing opinions, but that’s what makes our community so beautiful and so unique. People come from different places in the way that they think,” said Perron. “But one thing that’s for sure is that everybody in the community definitely states that it’s up to us to decide what needs to be done here and not for anybody else to tell us what should be done here.”

Earlier this month, MCK chiefs voted against having a new community-wide referendum on cannabis after the topic was raised at a Council meeting last week. 

Kahnawà:ke is not the only community to issue cannabis licences. The Okanagan Indian Band in British Columbia recently issued at least three retail cannabis licences, two to Timix Wellness Inc. and one to Nature’s Own Cannabis.

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Assault with knife leads to two arrests, raid of unlicensed cannabis store in Halifax

On November 11, The Special Enforcement Section of the RCMP/HRP Integrated Criminal Investigation Division executed a search warrant at an illegal cannabis store located on Lucasville Rd., seizing cannabis products and arresting two.

Police seized edibles, pre-rolled joints, resin, shatter, and vape products.

The search came the day after Halifax Regional Police (HRP) received a report of an aggravated assault by a man armed with a knife at the same location. The victim suffered serious injuries and attended hospital. The two men are known to one another.

A 51-year-old man from Annapolis Royal and a 59-year-old woman from Chester were arrested. They will be facing charges of Possession for the Purpose of Distributing and Possession for the Purpose of Selling under the Cannabis Act.

The man and the woman were released on conditions and are scheduled to appear in Dartmouth Provincial Court on December 30, 2024, at 9:30 a.m.

The assault and cannabis investigations are being led by the RCMP/HRP Integrated Criminal Investigation Division with assistance from the RCMP Halifax Regional Detachment and Halifax Regional Police.

On October 17, the Cumberland Integrated Street Crime Enforcement Unit (CISCEU) arrested two people before executing a search warrant at a location on South Albion St. The search warrant followed public complaints about the ongoing sale of cannabis from the illegal storefront.

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Conservative BC MLA blames legalization for illegal weed bust

A recently re-elected BC MLA is raising eyebrows with the province’s legal cannabis industry following a recent comment she made on social media platform “X” that said cannabis legalization is fuelling the illicit market.   

Elenore Sturko, who was just re-elected as the representative for the riding of Surrey South in BC’s recent election, made the comment on October 29, the same day the RCMP announced the seizure of a large quantity of cannabis and cannabis products from two unlicensed stores on Vancouver Island. Sturko was previously elected under the BC United banner.

“Great work by police confiscating drugs marketed to kids,” wrote Sturko on X. “More proof that legalization does not eradicate the illicit market, but instead fuels more drugs & crime.”

Neither Sturko nor the BC Conservatives replied to a request for comment on the issue or if the party itself is supportive of the province’s legal cannabis industry as of press time. Sturko is a former Surrey RCMP officer.  

Sturko was first elected to the riding of Surrey South in September 2022. Surrey, the second largest municipality in BC after Vancouver and eleventh in Canada, has a traditionally socially conservative voting base. The city itself only recently began the process of allowing companies to apply for a handful of cannabis store licences, one of the last prohibition-era holdouts in a region that has otherwise embraced cannabis legalization. 

“It’s disappointing to see that. Whether this is in BC or any other province, the intention of legalization was to create a safe and regulated product and keep it out of the hands of youth. By raiding illicit operators, really what they’re trying to do is take away that unregulated product that is shown time and again to be untested and have toxic ingredients.”

Cory Waldron, Mood Cannabis

The issue highlights one of the challenges facing the cannabis industry in BC, where a large portion of the voting public is at best uninterested in industry concerns, if not still outright hostile or dismissive to them.

Cory Waldron, the owner of Mood Cannabis, a cannabis retailer in Nanaimo, BC, and president of the Licensed Retail Cannabis Council of BC (LRCCBC), says he thinks the MLA misunderstands the issue.

“It’s disappointing to see that,” says Waldron. “Whether this is in BC or any other province, the intention of legalization was to create a safe and regulated product and keep it out of the hands of youth. By raiding illicit operators, really what they’re trying to do is take away that unregulated product that is shown time and again to be untested and have toxic ingredients.”

The comments, he says, reflect a broader issue in BC politics where neither major party seems to be listening to the concerns of the legal industry. The industry is at a “critical point,” he explains, in terms of the sustainability of legalization. Companies are facing considerable challenges and not getting support from the government, be it provincial or federal.

Screenshot via the platform formerly known as Twitter

“I think both parties [in BC], the Conservatives and NDP for the most part, don’t really want to deal with the problems that we’re seeing in BC. Not only as retailers but at the producer level as well. The file is kind of treated like the bad kid in the corner. We’re forgotten.”

“Statements like these make me wonder if our policymakers are completely unfamiliar with how our industry works. The popularity of unregulated edibles is evidence that we need better regulations, not proof that legalization fuels more crime.”

Walker Patton, BC Cannabis Alliance

Walker Patton, from the BC Cannabis Alliance, representing cannabis producers in BC—especially craft producers—shared a similar sentiment. 

“Frankly, it’s disappointing,” Patton tells StratCann. “Statements like these make me wonder if our policymakers are completely unfamiliar with how our industry works. The popularity of unregulated edibles is evidence that we need better regulations, not proof that legalization fuels more crime. Or maybe I’m being naive in taking a comment like that at face value.”

When elected in 2020, Sturko replaced BC NDP MLA Mike Starchuk, who served as MLA for Surrey Cloverdale from 2020-2022. Before that time, Starchuck was a member of Surrey City Council from 2014-2018. In 2018, he came out in support of cannabis legalization, noting his municipal party, Surrey First, had a plan for limited cannabis retail in the city rather than an outright ban. 

Ridings in BC like Surrey Cloverdale are often dominated by more socially conservative politics, which highlights one of the challenges the legal industry faces in the province. The provincial government under the BC NDP have for years now been largely unresponsive to many industry concerns regarding provincial regulations and policies and their impact on the health of the legal cannabis sector in the province.

With an opposition apparently still stuck in the land of reefer madness and a voting public that appears to support this sentiment, there is little incentive for the BC NDP government to listen. MLA Sturko’s comments shouldn’t be surprising but instead should serve as another healthy reminder of how much further the industry has to go to shift this narrative among voters.

Even six years into legalization, there are still many who outright oppose the legal industry or, at the very least, don’t prioritize the industry’s concerns.

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AGLC launches Forget Bad Bud campaign

Alberta’s cannabis regulator has launched a campaign to encourage cannabis consumers to not use the illicit market.

Alberta Gaming, Liquor and Cannabis (AGLC) launched their Forget Bad Bud campaign in October, drawing attention to the differences between the legal and illegal cannabis market in Canada. 

Similar to a recent campaign launched in Ontario, AGLC’s Forget Bad Bud campaign focuses on issues like quality control, strain selection, and education. It also seeks to educate consumers on how to identify an illegal cannabis store, especially the prolific number of illegal cannabis websites that ship cannabis products across the country. 

From the website:

“When you buy illegal, you can’t be sure what you’re getting. A website could look like the real deal but open you up to identity theft and fraud. The same old bud you’ve bought for years may look legit, but instead come loaded with ingredients that cause a dangerous reaction, and potency levels that could result in unwanted effects.”

The campaign includes several short videos with people “breaking up” with their illicit cannabis dealers, as well as an online quiz to test people’s knowledge about cannabis and Canada’s legal cannabis program.

Enforcement against illicit online cannabis retailers has been a challenge for law enforcement in Canada. Such websites are easily discovered in online searches.

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Winnipeg staff report recommends keeping designated production licensing in place

A new report from city staff in Winnipeg says there have been no public complaints or licence applications following the designated medical cannabis production zoning amendments adopted in 2022.

The city adopted their new bylaw to regulate designated medical cannabis production sites in April 2022 following community concerns at such operations occurring in residential areas within the city. Health Canada allows the licensing of designated individuals to grow cannabis for others who are authorized to access cannabis for medical purposes. 

Such licences have been under increased scrutiny in the past few years from several municipalities and many Conservative MPs, especially in Ontario, where the OPP says criminal enterprises are exploiting the Health Canada medical, personal and designated cannabis production regime

A southern Ontario county says they are the first in Canada to take steps to manage personal and designated medical grow licences through local zoning bylaws. Not limited to Ontario, though, in 2022, municipalities in Alberta called for limits on medical cannabis grows in residential areas.

As part of Winnipeg’s 2022 bylaw, city staff were also required to put together a report two years later on the effectiveness of the new licensing program. Staff were given an extra six months in April 2024 to complete the report, which is scheduled to be reviewed by the city’s Standing Policy Committee on Property and Development on November 8. 

The report notes that since the program’s implementation, there have been no licence applications for designated cannabis production facilities. It also points out that the city has not received any calls from residents about such licences during this time.

City staff also note that while Health Canada’s public portal said at one point there were around 2,000 designated and personal medical growers operating in Manitoba, as of October 2022, these numbers now show fewer than 20 designated growers in the province.

While personal and designated production licences had seen several years of steady declines, a recent report from Health Canada notes an uptick in licence issuances in 2024, including in Manitoba.

The number of personal and designated medical grow inspections conducted by Health Canada has been increasing in the last few years. There have been more than 300 such inspections in the previous two years.

All such designated growers of cannabis for medical purposes in the City of Winnipeg are required to be licensed under, and comply with, the bylaw. The licensing program allows city officials to conduct inspections, suspend or revoke a licence, or issue a fine if there are health and/or safety concerns.

Manitoba also recently passed a law that will allow people in Manitoba to grow up to four cannabis plants at home, although the law is still not in force. The staff report says that public consultation will be launched through Manitoba’s online consultation platform, EngageMB in the fall of 2024, with proclamation expected to be in early 2025.

City staff does not recommend any changes to the city’s bylaw.

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Legal pot shops in Vernon see surge in customers following recent raids

Cannabis retailers in Vernon, BC, say they have seen an increase in new customers in the days following recent raids of several unlicensed stores operating just outside city limits. 

Provincial inspectors recently closed down a handful of unlicensed cannabis stores operating on Okanagan Indian Band Land near Vernon over a few days at the end of October. Although those stores have reportedly now reopened, some owners and managers at licensed retail shops in the Vernon area say they saw an increase in new customers following those temporary closures. 

“Yes we have seen an increase in customers, especially new customers,” says Sarah Ballantyne, the owner of Spiritleaf Vernon. Ballantyne says her store even had to place a larger weekly order to respond to this increased demand. 

She says she has seen similar cycles of new customers following other enforcement actions in the past, which can ebb and flow depending on how fast the raided stores restock and re-open. 

“We go through this every once in a while when it happens. It can be a bit of a rollercoaster, but we get restocked every Thursday.” Lower-priced ounces, she notes, have been in particular demand. 

Lance Ashlin-Mayo, the manager at Lucid Cannabis in Vernon, says he’s seen a similar increase, if only briefly. 

“I have noticed an uptick in sales,” Ashlin-Mayo tells StratCann. 

Still, not all of the new customers passing through his doors stick around, he says, as some still balk at the prices in the legal market, as well as the restrictions on edibles that don’t exist in the unregulated or illegal market.  

“There’s some things with a legal store, we just cannot compete with them, and that’s flower and concentrates.” he continues. “They can sell flower for like $60 an ounce. I can’t even buy it from the government for $60 an ounce, and that’s before I mark it up. And the government ties my hands on the edibles, while they’re selling gummies with 100 milligrams [THC].”

“I’ve got people coming in and looking at my prices and yelling at me. And then I have people coming in and seeing the 10 mg edibles and turning around.”

“The people that were going to the Green Mile are on the low end of the pay scale. They like their weed, but they only have so much money. A lot of people on disability would go to the Green Mile to get as much as they could for the lowest price. People who have money, go to the legal stores.”

Some of these new people he’s seeing through his front doors stick around; others return to the illegal market as soon as they can. 

“I’m a pretty good salesman, but people only have so much money.”

Ounces for sale at an unlicensed cannabis store near Vernon, BC

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Police arrest two in Woodstock, NB following raid of cannabis store

Police in Woodstock, New Brunswick, raided what they say is an illegal cannabis shop on October 22, seizing cannabis and cannabis products and arresting two people

Earlier in October, members of the Woodstock Police Force’s Integrated Enforcement Unit (IEU) initiated the investigation into an illegal cannabis dispensary that had set up shop in Woodstock.

Following the initial investigation, members of the Woodstock IEU, Street Crime Unit, and Community Engagement Unit, along with officers from the Department of Justice and Public Safety, executed a search warrant at the dispensary, Woodstock Medicine Chest & Trading Post, located at 114 Queen Street, Woodstock, in a coordinated operation.

As a result, a 48-year-old woman and a 57-year-old man were taken into custody and now face charges under the Cannabis Act. Both individuals were released and are scheduled to appear in court in April 2025. The investigation remains ongoing, and additional charges may follow as authorities continue their inquiry.

Items seized during the search included over six pounds of dried cannabis, more than 500 cannabis pre-rolls, hash, shatter, edibles, and vapes.

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Surrey City Council to consider 12 cannabis stores, the first in the city

City Staff are recommending that Surrey City Council initiate rezoning applications on behalf of the eight successful applicants at twelve locations to permit Cannabis Retail on the proposed sites.

The recommendation will be presented at a council meeting on Monday, November 4. The staff report intends to inform the council of the successful applicants to the Request for Expressions of Interest for Cannabis Retail. 

Surrey City Council released a proposal for up to 12 cannabis stores in BC’s second-largest city in early 2024, approving the plan in April. The city has said it would consider up to two locations for each of its six distinct communities: Whalley/City Centre, Newton, South Surrey, Guildford, Cloverdale, and Fleetwood.

If the council approves the recommendations in the report, staff will then begin a site-specific rezoning application for council consideration on behalf of each of the selected applicants to permit cannabis retail use at their proposed locations.

If the rezoning of a property to permit cannabis retail use is approved, prospective retailers would then need to get a business license from Surrey.

City staff screened out six applications on the basis of an incomplete submission submitted within the RFEOI period. The remaining applications were then deemed eligible for the second stage evaluation.

The results of this secondary selection process identified that the successful applications in each of the communities are:

  • Whalley/City Centre
    • “Dutch Love Cannabis” #201-13650 102 Avenue 
    • “Local Cannabis” 10449 King George Boulevard 
  • Newton
    • “Imagine Cannabis” #502-7380 King George Boulevard 
    • “Surrey Cannabis Connection” 
  • South Surrey
    • Burb Cannabis” #108-15775 Croydon Drive 
    • “Dutch Love Cannabis” #125-16030 24 Avenue
  • Fleetwood 
    • “Inspired Cannabis” #103-9014 152 Street
    • “Surrey Cannabis Connection” 15148 Fraser Highway 
  • Cloverdale
    • “137 Brands” 17608 56 Avenue 
    • “Queensborough Cannabis” 19581 Fraser Highway 
  • Guildford
    • “Inspired Cannabis” 10383 150 Street
    • “Imagine Cannabis” #5-10330 152 Street

Court weighs in on cannabis company’s stock valuation

An Alberta court had to weigh in on a dispute regarding share price between a Canadian cannabis company and the company’s former Chief Operating Officer.

The case involved a dispute between Daniel Jean Laferriere, who was the COO of Simply Solventless Concentrates Ltd. (SSC) in 2020 and 2021, and the company itself. Laferriere argued that shares he sought to have redeemed at the end of 2023 were worth $0.20 a share, while the company argued they were worth $0.017 per share.

While the former valuation would have made Laferriere’s two million shares worth $400,000, the valuation offered by Simply Solventless would have made the shares worth $34,000. The judge in the case found the value of the SSC shares on December 5, 2023, was $0.05 per share, or $100,000 total. 

The dispute goes back to SCC’s attempts to take SCC stocks public in 2021 through another company, Dash Capital Corp. SCC shareholder approval of the deal was required, and Laferriere exercised his right at the time to disagree with the deal and have his own shares redeemed. SSC shares began trading in late December 2023.

Laferriere argued that his shares were worth $0.20 at the time he redeemed them because SCC shares were offered and purchased for $0.20 per share in the private placement with Dash Capital Corp. 

SCC’s representatives disagreed, arguing that the $0.20 per share private placement was based on a price for “units,” each of which included a share as well as a warrant. This warrant allowed its holder to purchase another share at the same price at a later date. SCC argued the fair value of a share was from $0.02 to $0.05, while the warrant’s value was $0.15 to $0.17 each. This made the average share price $0.035 per share, which is what the SSC offered to the former COO.

The judge disagreed with both parties’ arguments. He noted that the $0.20 per share valuation claimed by the former COO would mean that the attached warrants had no value, while saying that SCC’s arguments placed its share price (alone, without the warrant) at $0.035 per share, just over 10% of the unit price. 

The court rejected both of these valuations, instead ruling that the value of the SSC shares on December 5, 2023 was $0.05 per share. 

Court documents also show some of the reasons behind SCC’s “hail Mary” attempt to stay afloat after finding themselves with “significant and long overdue” accounts payable, which included outstanding legal fees of over $500,000 and a tax debt of approximately $1.5 million.

Since that time, the company has seen a considerable turnaround. For the twelve months ended December 31, 2023, SCC generated net income of just over $1 million, up from a nearly $1.7 million loss in the previous year.  In the first two quarters of its most recent fiscal year, the company has reported $502,536, and $1,220,798 net and comprehensive income. In September, they announced a plan to buy Alberta cannabis producer ANC for $10 million.

SCC’s stock (HASH.V) closed at 0.64 on October 30.

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Details emerging in CSU raids on OKIB land near Vernon, BC

BC’s Community Safety Unit, which focuses on enforcement of provincial retail cannabis rules, shut down several unlicensed cannabis stores in the Vernon area this week. 

Many details remain unclear, but what is known is that on October 29, CSU officers attended three or four small cannabis stores operating on Okanagan Indian Band (OKIB) land near the town of Vernon. Local media has confirmed the action was taken by the BC CSU.

The BC Community Safety Unit, under the Policing and Security Branch of the Ministry of Public Safety and Solicitor General, is responsible for compliance and enforcement under the provincial Cannabis Control and Licensing Act (CCLA), focusing on the illegal sale of cannabis. CSU investigators can carry out compliance and enforcement activities against unlicensed cannabis retailers and other illegal sellers across the province.

A request was made for comment from OKIB leadership on the issue, but no response was provided by press time. Local Media also reported that the raided locations have since re-opened.

The outlet further reports that OKIB chief and council met with the CSU in July at a meeting open to the public.

“Chief and council have asked the Provincial Community Safety Unit to assist in the enforcement of OKIB’s Cannabis Control Law,” the meeting announcement reads. “OKIB’s Cannabis Control Law was developed in consultation with community and reflects a balance that allows businesses to thrive while providing community members with peace of mind.”

One cannabis store owner operating on OKIB land that was not raided tells StratCann that his understanding is that OKIB leadership had been in recent talks with the BC government about bringing in the CSU to address some stores that were potentially violating OKIB cannabis regulations that require among other things, certain levels of First Nations ownership of stores operating within their territory. 

Cory Brewer, who operates two Timix’x Wellness cannabis shops and is the president of the Syilx Cannabis Society, representing members of the Syilx Okanagan Nation, says there have been concerns in the community that some stores have been taking advantage of the ability to operate under the protection of First Nations communities without following community standards.

He says his understanding is that OKIB is also in the process of updating its cannabis regulations, which currently require that a store be at least 51% owned by a Band member. The regulations also include requirements such as those for security cameras, 19+ access only, no onsite consumption, no proximity to schools, etc. 

“A lot of band members will take chump change just to let someone that’s not First Nations plop a sea can or something like that on their land and open up using their status card,” Brewer tells StratCann. 

He says the distinction is frustrating to himself and others who are indigenous-owned and operating with the support of the community. 

“It makes us all look really bad because we’re very particular about who we work with.”

Rob Laurie, a lawyer who represents several First Nations cannabis businesses in the province, including Brewer, says he is seeing law enforcement in BC taking a divide-and-conquer approach—sometimes in coordination with First Nations leadership and sometimes not.

On the same day as the CSU raids in Vernon, the federal RCMP announced a series of raids on Vancouver Island that took place in early October, resulting in six arrests and the seizure of more than 120,000 cannabis edibles from two unlicensed cannabis stores. Specifically, police listed Green Coast Dispensary in Port Alberni, Coastal Storm Dispensary in Lantzville, and five residences on Vancouver Island. 

Laurie says the stores they closed appear to be connected to First Nation-owned stores he represents but were decidedly not First Nations owned, while others under the same or similar retail brand that were operating on First Nations land went untouched. 

“There seems to be a distinction in the stores that they’re hitting,” Laurie tells StratCann. “They’re splitting the herd between the Indigenous and the non-Indigenous participants.”

Still, Laurie says there doesn’t appear to be much rhyme or reason to the raids. Cannabis shops, some of which he represents, operating on First Nations land in Comox, BC, were twice raided by the CSU earlier this year.

Despite the raids, he says he hasn’t seen any charges related to them, many months later. 

“For whatever reason,” Laurie told Stratcann earlier this year, “they are just not taking the same degree of enforcement against the Indigenous operators as they would against non-Indigenous. And I think that’s similar to the test cases with dispensaries in the City of Vancouver, they’re taking a cautious approach because what if they’re wrong? What if the courts agree with the Indigenous community, not the government.”

The province has shared a similar perspective on the subject.

Although the BC Government has long taken the position that BC’s Cannabis Act is a “law of general application” that applies to all of British Columbia, including First Nations’ land, the province’s Minister of Public Safety and Solicitor General Mike Farnworth has said in the past that there is a concern that this interpretation could be “tested” by actions such as enforcement that could be interpreted differently by the courts.

Edit to add: Castanet, which covered these raids quite well, noted that as of October 31, the initially-raided stores had re-opened, while a new store faced a raid.

Featured image via Google Maps

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Ontario affirms $31 million commitment to take on illicit cannabis market

The Ontario government has affirmed their plan to invest $31 million over the next three years to take on illegal cannabis stores. 

As part of Ontario’s 2024 economic and fiscal outlook in brief, the provincial government is committing to investing $31 million over the next three years to support the Provincial Joint Forces Cannabis Enforcement Teams (PJFCET). This OPP-led centralized enforcement unit focuses on the cannabis file.

This investment, says the government, would enable the PJFCET to “respond to the challenge of illegal online operators and crack down further on the production, sale and distribution of illegal cannabis in the online and offline space.”

The new economic and fiscal outlook in brief is an affirmation of the province’s previous 2024 budget, which had referenced the $31 million commitment. 

Earlier this year, Toronto City Council passed a motion asking the province to undertake a comprehensive review of the Provincial Cannabis Control Act, 2017. The motion says a review is “imperative to ensure the effective regulations and enforcement of cannabis-related matters” in Ontario.

Municipalities need more tools and resources to address these illegal cannabis businesses, the motion read, including “exploring options to strengthen enforcement measures, increase penalties for non-compliance, and improve collaboration between municipalities and provincial authorities.”

An unlicensed cannabis store in downtown Ottawa operating as an “Indigenous trading post” according to a sign on the window. Image from StratCann.

The illicit market in Ontario has been growing considerably in the past year, and many retailers and other cannabis industry participants have been calling on the province to do more. By some estimates, several hundred new, unlicensed retailers have begun operating in different parts of Ontario in the past year, with close to 100 in Toronto alone. While some have faced enforcement, many have not, causing frustration for licensed retailers who incur numerous fees in order to operate with the province’s approval. 

Toronto cannabis store owner Paul McGovern, a former police officer with Toronto Police Services who stepped down in 2018 to open Vertie Cannabis, told StratCann earlier this year that he believes Ontario needs more of a province-wide approach to enforcement, similar to the approaches provinces like British Columbia and New Brunswick have taken.

McGovern also argues that public awareness is an issue. While store owners might follow this closely, the general public, municipal and provincial lawmakers, and the legal system in general might not. While some in the justice system might still think the landscape is similar to the wave of stores opening in the years before legalization, he says the arguments that might have held up in court then will not now. 

“I get the impression that maybe not everybody in the justice system is aware of what’s going on. We’re hyper focused on this in our industry but I don’t think the same is true for the general public or for police agencies. So part of the challenge is helping them understand how different things are today than in, say, 2016.”

Raj Grover, CEO of High Tide, which operates more than 70 of its Canna Cabana retail cannabis locations in the province, welcomed the new announcement in the budget. 

“As Canada’s largest cannabis retail chain with 72 stores + over 700 employees in Ontario, we at [High Tide] welcome the Ontario gov FES commitment to help law enforcement crack down on illegal cannabis promotion/advertising,” wrote Grover in a Tweet. “We look forward to seeing more details as they are released.”

Ontario’s portion of the federal cannabis excise duty, which is 75% of every dollar collected, is expected to be around $379 million in 2024-2025. The province brought in $215 million in 2021-2022, $310 million in 2022-2023, and $344 million in 2023-2024 (interim figure). 

The Ontario Cannabis Store brought in $186 million in 2021-2022, $234 million in 2022-2023, $242 million in 2023-2024, and is projected to bring in $225 million in 2024-2025.

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In 2018, Ontario set aside $40 million over two years to help cities manage the implementation and oversight of cannabis legalization. The first $30 million was distributed in 2019, with $10 million set aside for unforeseen costs. Ontario also invested $3.26 million to support municipalities through enhanced enforcement against illegal cannabis operations.

This plan, called the Ontario Cannabis Legislation Implementation Fund (O.C.L.I.F.), was to be used for increased enforcement (e.g. police, public health and by-law enforcement, court administration, litigation), increased response to public inquiries (e.g. 311 calls, correspondence), increased paramedic services, increased fire services, and by-law/policy development (e.g. police, public health, workplace safety policy).

Ontario has distributed four payments from this fund, with cities receiving at least $5,000 each payment. Toronto received just over $3 million for its first payment, $3.7 million for its second, and $1.5 million for its third, and just last month received the fourth and final payment of $747,954 for a total of just under $9 million.

The cost of policing and enforcement has been a major part of municipal budgets all across Canada, with a significant portion of cannabis tax revenue and other related funding going to police, enforcement, fire and emergency services as it relates to cannabis legalization. This is in addition to costs associated with developing and maintaining municipal zoning rules and bylaws.

Toronto police asked for an additional $1.5 million from the city in 2021 to address the cost of cannabis-related enforcement in the department.

Toronto Police Services’ (TPS) 2022 operating budget noted that the department had a balance of $3 million in reserve, with an expected $500 million in funds withdrawn that year. It was projected to have just over $1 million in reserve for these funds in 2023 and just over $500,000 in the beginning of 2024.

Those numbers were updated in the 2023 budget to an expected $136,000 after withdrawing nearly $2 million. 

When negotiating for a 75% share of all federal cannabis excise taxes collected, provinces argued that the costs of addressing the new cannabis laws in Canada would largely be borne by themselves, cities, and law enforcement. 

According to the Federation of Canadian Municipalities (FCM), municipal administration and local policing costs linked to the legalization of cannabis will total $3-4.75 million per 500,000 residents. 

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New Brunswickers prefer convenient cannabis products

New Brunswickers prefer more “convenient” cannabis products as the market continues to shift to products like vape pens, concentrates, and pre-rolls, especially infused pre-rolls, according to a new annual report from Cannabis NB.

Sales of dried flower still represented just over half (50.6%) of sales by category, down from 52.5% in 2022-2023, with concentrates and extracts at 35.2%, up from 33.5% in the previous year. Sales of edibles were the third largest product category, with 7.4% of sales by category. 

The newest annual figures from the provincial cannabis agency Cannabis NB show $93.8 million in total sales for the year ended March 31, 2024, a 12.4% increase from the previous year. From this, the provincial agency generated $22.7 million in net income, a 24% increase from the previous year. 

While dried cannabis sales still increased year-over-year, whole flower sales in the Picture Province were just over 30% of overall sales, while infused pre-rolls now represent 15% of total concentrate sales.

In the most recent fiscal year, Cannabis NB brought in eight of its planned nine private retail cannabis locations, part of a commitment to diversify the retail market and bring stores into more remote regions of the province. Total sales in the private retail channel were more than $2.8 million.

New Brunswick also has 25 Cannabis NB locations in the province and seven approved cannabis farmgate locations. The provincial cannabis agency also supports the local cannabis industry by working with local producers who currently contribute 21.5% of total sales. Cannabis NB says they expect this number to continue to grow as more locally-made products become available. 

There were 279 products from New Brunswick producers available in the province as of March 31, 2024 (out of 1,927 from across Canada). Whole flower was the largest category, with 58 SKUs, followed by cannabis accessories at 46 and concentrates at 42. The province carried 19 clone SKUs in 2023-2024, the most of any province. Ontario is the only province that eclipses New Brunswick producers in terms of available SKUs (848).

Cannabis NB was the first ever cannabis board in Canada to host a consumer-facing education event, the New Brunswick Cannabis Expo, with over 1,400 attendees. The Cannabis Expo is a cannabis education trade show that’s expertly crafted for 19+ New Brunswickers who consume cannabis.

Image via Cannabis NB

“For us, delivering for the people of New Brunswick means generating revenue to support the province, while consistently prioritizing safety, responsibility, and top customer service,” writes Cannabis NB president and CEO Lori Stickles in the annual report.

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BC pot shop fined for selling cannabis at too low of a price

A cannabis store in BC has been ordered to pay a $1,000 fine for selling cannabis at too low of a price. 

Cost Cannabis in Revelstoke, BC was ordered to pay a $1,000 fine after it was ruled in a hearing in October that it had violated provincial rules that prevent a retailer from selling cannabis at a price below the price that the licensee paid to the government for the cannabis, and below the wholesale price of the cannabis on the day the licensee sells it to the patron.

A Notice of Enforcement Action (NOEA) issued to the business alleged that on April 22, 2024, BC’s Liquor and Cannabis Regulation Branch (LCRB) received a complaint that the retailer was advertising all products and accessories in the store were for sale at 50% off.  

Following that report, an LCRB inspector conducted an inspection of the store on April 25. In the report, the inspector noted that they had asked about four specific products, and the staff member they spoke with confirmed that their sale prices were lower than their list prices.  

Screenshot

A few days later, on April 29, the same inspector then sent a request to the store licensee asking for a list of cannabis products inventory, a list of cannabis sales records, monthly Health Canada reports, and cannabis purchase records for January through April. The licensee provided responses to these requests in May, except for the monthly Health Canada compliance reports. 

Through this process, the inspector determined that the retailer had sold products below the price they paid the provincial wholesale distributor (LDB) for them.

From the options of a one to three-day licence suspension and/or a $1,000-$3,000 monetary penalty, the licence holder received a $1,000 fine. This was because it was the retailer’s first violation of this type within a one-year period. 

The retail licence holder admitted that the province’s minimum pricing rules had been broken, accepting a financial penalty, but also argued that the rule for minimum pricing is not effective in the government’s stated goal of preventing over-service and/or over-consumption. 

Instead, they argue the rule should be changed.

“The Licensee says the historical illegal market in cannabis sales continues to be significant,” reads the document. “These ‘grey sale’ cannabis products can and are being sold cheaper than the government-supplied cannabis products, and this disparity is pushing the industry to remain underground.  This (the underground market) is much more likely to be a source of over-service and over-consumption than sales by Licensees for less than the minimum pricing.  This is especially concerning as the grey market products may be tainted and are not as safe as the government-supplied products.”

The licensee will be required to pay the $1,000 penalty to the general manager of the Liquor and Cannabis Regulation Branch, on or before November 23, 2024. Signs will also need to be posted within the store showing that a monetary penalty has been imposed, and be placed in a prominent location by a Liquor and Cannabis Regulation Branch inspector or a police officer.

Featured image of a Cost Cannabis location in Ontario

Radicle Femmes celebrates Canadian women in weed this November

This November, Marigold PR is bringing together professional women in cannabis with a trio of Radicle Femmes Holiday Networking events across three major Canadian cities. Whether you’re in Vancouver, Calgary, or Toronto, join Marigold PR for the perfect way to wrap up 2024. 

These events are designed to celebrate the achievements of women working in the cannabis industry with an afternoon of meaningful conversation, community building, and inspiration. 

Celebrating the achievements of women in cannabis is important for many reasons. Most importantly, it promotes diversity and inclusion in a historically male-dominated sector. Networking events like Radicle Femmes help pave the way for a more open and inclusive industry where women are empowered to take on leadership roles and bring their unique perspectives to business, advocacy and product development. 

Showcasing these achievements also helps inspire the next generation, showing that success is possible. It also helps to challenge industry norms around gender bias and fosters a culture where women can excel. 

Building strong networks of support, collaboration, and mentorship is essential to succeed in this evolving industry. Many women in weed have had to overcome significant barriers working in the industry, and celebrating these achievements acknowledges their resilience and builds momentum for continued progress where it’s most needed. 

The Radicle Femmes Holiday Networking event features delicious food, refreshing non-alcoholic drinks, and plenty of opportunities to meet and mingle with some of the most dynamic women in the cannabis community. From seasoned industry veterans to emerging entrepreneurs, Radicle Femmes offers a unique space to foster relationships, share insights, and inspire collaboration. Plus, fabulous gift bags! 

Whether you’re looking to expand your network, reconnect with familiar faces, or simply enjoy a relaxing event with like-minded women, Radicle Femmes is the ideal way to end the year. 

Tickets are available here for all three locations: 

  • Vancouver: Wednesday, November 13 @ the Water Street Cafe 
  • Calgary: Thursday, November 14 @ The Wednesday Room 
  • Toronto: Tuesday, November 19 @ KISSA 

Partners include Spark Business Strategies, Sense & Purpose, Frankie Smoke, Blunt Botanicals, OB Consulting, Social Smoke Co, Sister Merci, Jane West, Jane Dope, Stewart Farms, BZAM, Mindful Vitality Practice, StratCann, Cannabis MarketSpace, Grow Opportunity, ADCANN, Cannabis Retailer, Mixed Sweet Media, Candace Cosentino, Miranda Hudson, and Maggie Jane Marketing, with VIP partner Canadian Cannabis Exchange (CCX).

AGLC quickly corrects course on sampling rule change

Alberta’s cannabis regulator is walking back a recent rule change for cannabis sampling, saying some of the messaging in an industry memo was incorrect.

In a memo that was sent out to cannabis companies on Friday, October 18, Alberta Gaming, Liquor and Cannabis (AGLC) said cannabis sampling could only take place in retail cannabis stores. The agency now says that parts of that memo were not accurate and sampling activities can still be conducted in age gated settings like industry events, not only retail stores.  

The previous memo, the provincial agency now says, was only intended to serve as a reminder of existing policy.

“There was an error in the memo that went out on October 18,” a media representative for AGLC said in an email to StratCann. “AGLC apologizes for the confusion and any frustration this may have caused. An updated letter was sent today to clarify that policy has not changed and update the information that was shared with cannabis licensees.”

“The previous letter incorrectly stated that samples may only be provided in retail cannabis stores. The updated letter clarifies that policy does allow cannabis representatives and retail cannabis store licensees to promote cannabis products and accessories in places where persons under the age of 18 are prohibited. This provision allows for cannabis representatives to provide cannabis licensees samples at locations where minors are prohibited such as an industry event. The intent of the letter was to remind cannabis licensees that samples cannot be provided or sold to the public.”

Responding to concerns expressed in a StratCann article earlier this week, a new memo to industry from AGLC also notes that a “cannabis licensee” who is authorized to receive a cannabis sample can include those representing and acting on behalf of a licensee, such as a store manager.

This is not the first time such messaging had to be walked back by the agency. In September 2023, the AGLC reversed course after a policy change to delist products containing CBN was said to be based on a misinterpretation of federal messaging.

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Manitoba extending pause of “controlled access” licensing another 18 months

Manitoba is extending its review of licences that allow some convenience stores to sell cannabis.

Earlier this year, Manitoba announced that it was pausing its “controlled access” licensing, which allowed cannabis sales in convenience stores, until October. In an announcement reported by the Canadian Press, the province is extending that moratorium for another 18 months, to December 31, 2025. 

Such controlled access licences allow for cannabis to be sold in convenience stores and gas stations that carry other non-cannabis products. According to provincial rules, businesses holding a controlled-access licence may allow young persons to enter the store, but cannabis must not be visible or accessible.

“This is a very important issue, and the province wants to make sure we get this right,” said Glen Simard, the minister responsible for the Manitoba Liquor and Lotteries Corporation, in a written statement, as reported by the Canadian Press.

“That’s why we are extending the pause to continue our consultations.”

Some cannabis retailers in the province have, in the past, expressed concern about such licences. Melanie Bekevich, the owner of Mistik Cannabis in Winnipeg and a member of the Retail Cannabis Council of Manitoba (RCCMB), told StratCann in April that the organization had met with the Manitoba government to express their concerns with how these licences are being issued. 

When the moratorium was first announced, Edwardo Famakin, a spokesperson for Manitoba cannabis producer WOWKPOW, told StratCann that he and his partners were “blindsided” by the announcement as they were in the final stages of receiving approval for an agreement with Manitoba retail/gas station Domo to supply the chain with their locally-produced cannabis products. 

At the same time, Raj Grover, the CEO of High Tide Cannabis, which operates several Canna Cabana cannabis stores in the province, said he had concerns that the licences were being granted in ways that may not have fit with the intention of the rule. 

“We applaud Manitoba’s new NDP government for confirming today that it will place a six-month moratorium on new controlled access cannabis retail licences,” said Grover in April. “These licences were intended to provide access to legal cannabis in rural communities without an established legal retail cannabis store; however, many of the controlled access licences were granted to convenience and grocery stores within downtown Winnipeg. We hope that the six-month review will help establish important guardrails to ensure that these licences are limited to underserviced communities only, as was originally intended.”

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AGLC says sampling restricted to retail store owners in Alberta (This decision has now been reversed)

The AGLC is reminding the Canadian cannabis industry that cannabis product samples may only be provided by provincially-registered cannabis representatives within retail stores. 

Note: AGLC has now said this memo was incorrect. You can read about this correction here.

The provincial cannabis regulator (Alberta Gaming, Liquor and Cannabis) sent out a memo on October 18 to all cannabis licensees, representatives, and suppliers, reminding them of the province’s rules around cannabis sampling. 

While AGLC allowed cannabis sampling in 2023, cannabis suppliers must be registered with AGLC as “cannabis representatives,” and samples can only be provided by those representatives directly to retail cannabis store licensees in retail cannabis stores. 

These product samples, reminds AGLC, are for licensee use only and may not be provided directly to a licensee’s staff or the general public. 

The memo also notes that “AGLC inspectors attended recent cannabis industry events and observed Cannabis Representatives and Cannabis Suppliers providing cannabis product samples to event attendees.” 

From the memo:

“Cannabis product samples may only be provided by Cannabis Representatives directly to Retail  Cannabis Store Licensees in retail cannabis stores. Cannabis product samples are for licensee use only and may not be provided to a licensee’s staff or the general public. They must meet all Health Canada requirements including packaging, labeling and federal compliance reporting. Records of all cannabis product sampling activities must be retained for 6 years. Cannabis Suppliers are not permitted to represent or promote cannabis products in Alberta including engaging in cannabis product sampling activities unless they are a registered Cannabis Representative with AGLC. Cannabis Representatives and Cannabis Suppliers may not sell or give away cannabis products in Alberta.”

Trina Fraser, who works with many clients in the cannabis industry as a partner at Brazeau Seller Law in Ottawa, says she has some initial questions about the new guidance provided in the memo. 

“The clarification that samples can only be provided within retail cannabis stores (thereby prohibiting the provision of samples at industry events taking place outside of a retail store) is new,” Fraser tells StratCann via email. “That said, it has always been clear that the quantity limit is on a ‘per licensee’ basis (as opposed to a ‘per budtender’ basis), making compliant distribution at events challenging.

“It is interesting, though, that they say samples are ‘for licensee use only and may not be provided to a licensee’s staff’,” she adds. “Most licensees are corporations. How does a corporation “use” cannabis? Who exactly are you providing the sample to, if not to a staff member?”

Randy Rowe, CEO and President of the Grow Up Conference and Expo, which held its two-day industry conference and trade show in Edmonton in September, said he’s surprised by the memo and is prepared to take all steps necessary to ensure his event and its attendees remain compliant. 

“I agree that there needs to be strict processes for handing out samples,” says Rowe, who has worked with other provinces to ensure that all his events carefully track any sampling activities that may occur at his trade shows—information he’s happy to provide to regulators as well as brands. 

“It’s not affordable for smaller craft growers to compete with larger producers that can go store to store providing samples,” adds Rowe. “Holding events that allow compliant sampling is essential for brands to get their product to as many retail cannabis store licensees as possible. By allowing compliant sampling, brands can hit hundreds of retail stores in one day, saving thousands of dollars.”

Jen Meyers, CEO & Founder of Alberta-based micro processor Zelca Ltd., tells StratCann that she would prefer to see the province find a way to regulate sampling at events because it’s more cost-effective for smaller companies like hers rather than needing to hire a marketing agency to visit hundreds of stores across the province. 

“Do you know how hard it is to get to all the stores? It’s very nice to be able to go to an event and talk to 30 retailers in an hour. They can’t just kill that altogether. How can I, as a small producer, get out to all those stores if I do want to give them samples?”

The AGLC lists more than 700 licensed cannabis retailers in the province.

Kendra Richter, an assistant manager at Calgary Co-op Cannabis, says she’s open to guidance, but is left with more questions than answers with the way the memo is worded.

“I agree that there needs to be strict processes for handing out samples. The surprise here is this feels over and above the initial cannabis sampling policy. It’s interesting that they put this policy in place and let it run for over a year and are now adding to it in this way.”

Two key pieces she’s reaching out to the AGLC to get more clarity on are the requirement that samples be provided to the licensee rather than a store owner, manager, or buyer and if the part about samples not going to employees applies to store managers like herself, as well. 

“The way this has been presented is as if it’s just making sure we’re aware [of existing policy], but I think more questions need to be asked so we can know what this really means.”

Alberta’s rules for cannabis sampling allow for a maximum size of 3.5 grams of flower or its equivalent in other product types. For products that are not available in that small of SKU size, the smallest available product may be used instead. Records of all samples provided must be retained for six years and are subject to AGLC review upon request. Each product may be sampled no more than twice in a calendar year.

The Kind cannabis sampling event took place in Edmonton recently.

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Yukon cannabis report highlights need for cannabis consumption spaces for tourists

Municipalities in the Yukon say there is a need for public consumption spaces in the Territory to provide a legal space for tourists to smoke cannabis when visiting. 

Currently, cannabis consumption is only allowed in a private residence in the Yukon, and adjoining property, although the Territory’s regulations do allow for other possibilities for other types of locations in the future. 

Despite this ban, in a recent survey, municipalities told the territory about what they say are high rates of cannabis smoking and vaping in outdoor public spaces. The territory sees hundreds of thousands of tourists annually, a significant part of the economy

This call for public cannabis spaces was just one of many pieces of feedback provided to the Yukon government as part of its recently released five-year review of its cannabis legislation and regulations, as well as the overall impact of federal legalization. 

In a new What We Heard report, which helped to inform its Five Year Review report, an array of issues are highlighted from the 307 responses received, as well as engagement with First Nations, municipalities and local advisory councils, RCMP, MADD, and many other organizations and government officials.

Among the feedback and recommendations:

  • Concern with “normalization” and public consumption, overall health risks, youth use rates, and impaired driving, including consumption while driving.
  • Concern about illicit online stores and what RCMP say are challenges with enforcement.
  • Call for more education of the general public about the harms and effects of cannabis. 
  • Better insight is into how the government uses cannabis tax revenues.
  • Municipalities expressed concern with excess packaging leading to litter.
  • Retailers want to be able to sell products other than cannabis, like t-shirts, water bottles or snacks, and offer loyalty programs. Some would like to buy cannabis directly from producers.
  • More clarity around what constitutes a “THC unit” for proper dosing.

Yukon cannabis industry

The five-year review also notes some statistics about the overall result of the industry in the territory in the first five years of legalization. 

The legal cannabis market in the most western of the three territories has grown from just over $2 million in 2018/19 to $13 million in 2023/24. More than 80% of Yukoners acquired their cannabis from legal sources within the territory. 

Yukon has six cannabis retailers which employ around 40 people. Cannabis distribution is overseen by the Yukon Liquor Corporation (YLC). Wholesale-to-retailer sales went from $3.5 million in 2019-2020 to $9.2 million in 2023-2024.

The territory sold 495,850 units of pre-rolls from 2018-2023 and 448,993 units of dried flower (all SKU sizes). Edibles sold more often than vapes (272,775 vs 136,233).

During the 2023/24 fiscal year, the Yukon Liquor Corporation remitted $369,000 to the Government of Yukon’s general revenues in relation to cannabis. The Yukon government received $952,639 from its share of the federal cannabis excise tax. The report says the Yukon government uses all cannabis-related profits for general government services and programming.

Cannabis laws

There were 73 total violations from cannabis-related charges from 2019-2023, the majority (40) for unauthorized possession/care and control in a vehicle. There was one reported charge for public consumption in this time period. 

Public Health

Cannabis-related emergency department visits increased from 40 in 2016 to 104 in 2021 (with a drop in 2020) before declining significantly to 50 in 2023. There were 275 emergency room visits related to cannabis use in the five years before legalization and 471 in the five years after. The paper notes this could be due to an increase in consumption or because people felt more comfortable presenting at an emergency room with a cannabis-related issue after its use became legal. 

While the rate of cannabis use among young people remains a concern, the age at which Yukoners say they first tried or started using cannabis has increased with legalization, from 18.9 in 2018 to 20.8 in 2023.  

Those who report consuming cannabis actually declined from 2022-2023 for those 16-35 and over 56, while it stayed the same for those 36-55.

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BC Budtenders Union secures contract wins for Vancouver cannabis store employees

A union representing cannabis retail workers in British Columbia says it has secured key contract wins for workers at a Vancouver cannabis store. 

The BC Budtenders Union, which represents workers at several cannabis stores in BC, first served strike notice at a Canna Cabana in Vancouver on October 8 following a vote in favour of a strike by employees in May.  

The Union, UFCW 1518, now says they have received concessions from Canna Cabana addressing employee concerns. Those concessions include ensuring a minimum of two members on duty, with an additional staff member available on weekends, allowing workers to receive tips, creating full-time positions, paid breaks, and paid education and bereavement leave, with eligible employees receiving access to group health and medical plans.

“These workers stood together and were united in their fight for a fair contract by delivering a 100% strike vote,” said UFCW 1518 President Patrick Johnson. “United, the committee returned to the bargaining table with a strong mandate and won significant improvements, including new full-time positions, adequate staffing levels, paid breaks, and benefits.”

Canna Cabana is part of a chain of cannabis retailers across Canada that is owned by parent company High Tide, which operates more than 180 stores, including eight in BC. BC doesn’t allow a company to operate more than eight cannabis stores in the province. Four are located in Vancouver, and the other four are spread out across the province, including Fort St John, Prince George, Kamloops, and Cranbrook.

In March of this year, the union announced that employees at the Davie Street Canna Cabana had joined the BC Budtenders Union. At the time, the union said staff were pushing back against low wages, minimal protections, and limited job security.

The BC Budtenders Union has slowly been gathering members since it became the first union to represent budtenders in Canada in 2020. There has been an increase in cannabis store employees joining unions in the past year, especially in BC and Ontario. 

As of April 2024, the BC Budtenders Union said it represents workers at nine cannabis businesses and 16 locations.

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BC cannabis nursery and university collaborate on cannabis barcoding project

A Vancouver Island cannabis nursery has teamed up with BC’s Kwantlen Polytechnic University (KPU) to develop affordable methods for growers to more accurately identify what cannabis cultivars they are growing. 

Life Cycle Botanics, a cannabis nursery located just north of Nanaimo, BC, has been partnering with researchers at KPU in 2024 to develop a barcoding project for cannabis that creates a library of known cultivars. 

The process creates a database of Short Sequence Repeats, or SSRs, which are repeating sequences of DNA that are used as molecular markers in genetics. By working with a cannabis nursery with a large array of cannabis cultivars to draw from, KPU’s researchers could utilize their knowledge and experience with documenting these SSRs, creating the foundation for an expanding library of known cultivars.

The benefit for growers, explains Andrew Hand, head of science at Life Cycle Botanics, is that this can both help them better identify cultivars they have in-house, as well as serve as IP protection by creating a way to accurately identify any of their exclusive cultivars being used by other cultivators without permission. The project with KPU is nearing completion, at which point they hope to release it to other growers. 

It’s a well-known technology, he explains, and is an easy and cost-effective way to identify one plant phenotype, in this case cannabis, from another.

“For the most part, even experts have a hard time splitting hairs between strains when they’re in their vegetative state. So this is a way to be able to determine, definitely, without needing to flower a plant, ‘yes, this phenotype is what we think it is’”.

“[KPU] have been great to work with, and have done a great job helping us document this entire process,” Hand tells StratCann. “We’re right on schedule where we have these regions identified and they’re being validated and we’re almost ready to go so we can utilize this technology internally, or to provide for other growers.” 

In instances where a plant may have been mislabelled, or even inaccurately identified in the first place, or simply lost in the crowd, such cost-effective technology, continues Hand, can help quickly and easily get a mother room back into order. Given the amount of genetic drift in some cannabis cultivars, as well as how easy such misidentification can be, this can lead to problems for breeders and growers alike who might otherwise need to grow a plant out for several weeks or months to know its true genetic expression. This testing will save that time and effort. 

This can also help more rapidly identify any new cultivars, he notes.

“We’ve developed a barcode database for all of our strains [at Life cycle]. We know what the barcode should physically look like when you do this test. So if we have a bunch of unknown plants, we would test against our known catalogue of barcodes. And if it doesn’t line up, then we know we have a new genotype.”

In addition, as more breeders and nurseries are selling their unique cultivars to commercial growers, often under a limited or exclusive contract, such testing can help protect that IP, he adds. 

Dr. Paul Adams, the Director of the KPU Applied Genomics Centre, says the partnership is like many others his department has with different branches of agriculture. By partnering with LCB, his team has access to a greater cannabis genetic bank, while KPU offers the equipment and expertise, as well as interpretation of the data they collect. 

“Our entire focus is using genomic, genetic tools to support agriculture. We have a bunch of…high tech equipment and a bunch of people who know how to use that technology and we use it to support agriculture in whatever way they need.”

Another valuable application of the technology, he adds, is for breeding, by selecting for desirable traits or selecting out undesirable traits. 

“There’s actually quite a bit you can do in terms of cultivar development and breeding strategies,” says Adams.More about KPU’s program is available here.

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Cannabis research lounge in Toronto exploring cannabis and music

A new cannabis consumption lounge is now open in downtown Toronto, and it’s looking to explore the relationship between cannabis consumption and music. 

Operating alongside cannabis retailer Body and Spirit Cannabis and Lit Research, Club Lit is a new, legally operating cannabis consumption lounge at 361 Yonge Street.

Like its neighbour at Lit Research, the Club Lit lounge operates for research purposes only. An example of that research is a new observational study, in collaboration with Toronto Metropolitan University (TMU), to better understand how cannabis influences auditory experiences and musical enjoyment.

The new program is launching with a grant from the Science of Music, Auditory Research, and Technology (SMART) Lab at TMU, located just steps away from Club Lit.

Made possible by an Accelerate Grant from Canadian nonprofit Mitacs, the SMART Lab will utilize the new cannabis consumption space to explore how the level of high may affect how a listener engages with music.

“The research we conduct in this space will break new ground,” says Frank Russo, Director of the SMART Lab. “I am particularly interested in the concept of absorption in music and to see how it might be altered while under the influence. Looking ahead, I can see how this might even open new avenues of research on music-based treatments for mental health.”

Club Lit is located on the same block as TMU’s Student Learning Centre, providing the centre with more immediate access to a real-world laboratory for cannabis research and education.

Al Shefsky, President of Cannadigm, which operates Lit Research, said: “We are excited to collaborate with TMU on this groundbreaking research initiative at Club Lit. Cannadigm is leveraging our team’s extensive cannabis knowledge and expertise to enhance consumer experiences, supporting academic research that has the potential to improve people’s enjoyment and quality of life.” 

Shefsky also owns and operates the neighbouring cannabis store Body and Spirit Cannabis and is the founder of Lit Research. Launched in 2022, the latter has been hosting regular sessions that seek to help cannabis producers and brands provide a unique, value-added educational experience to anyone looking to learn more about their products. 

The Health Canada-licensed research facility says it has administered and collected data from over 12,000 individual product testing sessions to date. Cannadigm’s new consumption space, Club Lit, is located adjacent to but separate from Lit Research and bills itself as a real-world observational laboratory where participants may consume cannabis while enjoying music and authentic cannabis culture, all in support of academic research and education.

Club Lit is located at 361 Yonge Street, Unit C, in the heart of Downtown Toronto. More info on Club Lit can be found here.

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Ontario sold more than a billion dollars worth of weed in the first half of 2024

Authorized cannabis stores in Ontario sold more than one billion dollars worth of cannabis in the first half of 2024.

This was 21% more cannabis by volume and 11.8% in dollars sold in the first six months of 2024 compared to the same period in 2023, according to new figures shared by the Ontario Cannabis Store (OCS). 

Total cannabis sales at legal, licensed stores in Canada’s most populated province totalled $1,029,614,280, from an array of 4,746 different SKUs. The average wholesale (not retail) price of cannabis sold in this time frame was $3.84 a gram, not including HST. This figure includes both dried flower and pre-rolls. 

Ontario had 1,721 authorized retailers as of June 20, 2024, a 3% year-over-year increase. The number of stores increased in every part of Ontario except for Toronto, which lost 11 stores compared to the same period in 2023, a 3% year-over-year loss. 

New store authorizations have slowed down considerably. There were 123 new stores “onboarded”* from January 1 to June 30, 2024, a 20% decrease from the first six months of 2023. There were also 80 stores offboarded from January 1 to June 30, 2024, a 13% decline from the number of stores that closed in the first six months of 2023. 

*Onboarding is the process an authorized retailer and authorized cannabis store goes through to be able to access the OCS online B2B portal for wholesale orders.

The OCS distribution centre shipped 204,314,110 grams of cannabis (and its equivalent) to authorized stores over this period, an increase of 18.5% year-over-year.

The number of units of cannabis pre-rolls delivered to stores surpassed dried flower in early 2023, with that trend increasing in the first half of 2024. The OCS delivered 34,063 total deliveries in this time period, a 5% year-over-year increase, and delivered more than 50 million units.

Cannabis vapes remain the most common source of product complaints, with 71% of the 14,161 complaints relating to vapes, just 16% relating to dried flower products and 9% related to extracts. 

The number of SKUs available through the OCS’s flow through program increased considerably in the first half of 2024, while the number of active SKUs stocked at the OCS distribution warehouse remained relatively consistent. 

Total grams of cannabis sold in the first six months of 2024 were 190,527,442, a 21% increase from the 157,495,201 grams sold in the first six months of 2023. And while cannabis sales have appeared to cool off nationally in the past year, the OCS says the total value of legal cannabis sales in the first six months of 2024 was $1,029,614,280, an 11.8% increase compared to the $921,021,041 sold over the same period in 2023. 

Dried flower still dominated retail sales, followed by pre-rolls, infused pre-rolls, and vapes. A new report available to OCS vendors says that 58% of consumers are looking for lower-potency cannabis products so they can have more control over their dose. 

The average wholesale price per gram of pre-rolls in the first half of 2024 was $4.63, while a 3.5 gram SKU was $5.24 per gram. A 7 gram SKU was $3.56, a 14 gram was $3.66, and a 28 gram was $2.82.

While the OCS sets wholesale prices for cannabis in Ontario, retailers choose their own retail price. According to Headset, a cannabis data tracking company, the average price of cannabis at retail stores as of September 2024 was $9.39 in Ontario. This is slightly higher than BC, but lower than Alberta, says Headset. The average sale price for cannabis in Quebec in the three months ending June 22 was $5.84.

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How much does a legal weed grower in Canada actually get from that ounce you bought?

Ever wonder just how much of your hard-earned dollars make it back to the grower when you pick up some weed at the store?

A group of BC-based cannabis businesses recently launched a campaign to draw attention to just how little cannabis growers receive for their cannabis amidst a complex supply chain. 

While the general public may think the cannabis industry is awash in cash, the reality is much more dire, especially for small, craft growers who are not propped up by investor dollars. 

The BC Cannabis Alliance—comprising around two dozen cannabis cultivators and processors in BC—says they are seeking to draw attention to how issues like provincial and federal taxes and fees impact growers, especially BC’s small craft cannabis growers.

As part of the campaign, the Alliance is sharing information with retailers and consumers on where the money consumers pay for cannabis actually ends up. Using a series of infographics that feature popular dried flower SKUs in the BC market, the organization breaks down how various levels of government receive a little over half of every dollar spent. In contrast, cannabis producers receive less than 20%. 

Using one example produced by the Alliance, a popular 28-gram package of cannabis sold in BC for about $82:

  • nearly $9 goes to sales tax
  • another $28 goes to the excise tax (75% of which goes to BC)
  • The BC LDB receives another six dollars as the distributor

This leaves about $15 for the producer out of the $82 the consumer spends, with that $15 often further divided between processor and grower. 

Various cards highlighting different popular flower SKUs in BC will be shared with retailers in the coming weeks. 

In addition, the Alliance is highlighting an additional fee charged by the BC government to use their Direct Delivery program, which allows some small BC growers to ship directly to retailers. This program was touted as a way to help small, craft growers and producers in BC, but the BC LDB has kept the 15% “proprietary fee” they charge to warehouse and distribute cannabis attached to these direct sales. This is despite the provincial cannabis distributor not actually handling or processing these direct sales in any way. 

“The addition of this 15% markup to be paid to the government, despite them not ever handling the product at any point in the supply chain, is an example of the government saying one thing ‘to support small farms’ and doing the opposite,” says Alannah Davis, CEO of Dabble Farms, who is a part of the Alliance. 

The organization has also created a petition to draw attention to this BC-specific issue, which calls for the BC LDB to drop its “Proprietary Fee” for Direct Delivery from 15% to 3.5% to help improve economic viability for all BC’s craft producers.

“BC is now home to some of Canada’s favourite cannabis brands, but excessive taxation means our best growers, processors, and retailers are struggling to get by,” says the organization’s website. “Between taxes, fees, and mark-ups, the government often takes the most while contributing the least. For BC’s most popular products, that take can be more than half.

“We’re here to rally support for simple changes while helping policymakers create a more sustainable cannabis industry.”

More information can be found at BCCannabisAlliance.com.

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Santé Cannabis launches 3-year real-world evidence study

A Quebec company that helps bridge the gap in medical cannabis access launched a new study this week that will look at the outcomes and effectiveness of different medical cannabis treatment plans.

Santé Cannabis, a community-based centre focussing on medical cannabis care and clinical research for more than a decade, will be drawing on this experience to lead the recruitment of 3,000 people using cannabis for medical purposes. 

The study is also supported by grants from Aurora Cannabis, Tilray Medical, and Vectura Fertin Pharma, a Singapore-based company working with cannabinoids. Santé is also seeking assistance from other organizations. 

“This study will investigate outcomes of a new wave of medical cannabis product formats, including capsules, tablets and innovative sublingual products, as well as new cannabinoid formulations such as CBN and CBG,” says Dr. Lorne Wiseblatt, a family medicine and palliative care physician with Santé Cannabis. “As clinicians, we must uphold our responsibility to support our patients with safe and effective treatment options.”

Dr. Michael Dworkind, the Medical Director & Co-founder of Santé Cannabis and an Associate Professor in Family Medicine at McGill University, adds:

“While medical cannabis has been legally accessible in Canada for almost 25 years, there are still many unanswered clinical questions to support its therapeutic use for conditions including chronic pain, epilepsy, spasticity, sleep, anxiety, and depression. This is such an important initiative to prioritize patients’ needs in the age of cannabis legalization.”

Santé Cannabis has—with the help of its team of physicians, nurses, and support staff—provided assessment and support to more than 20,000 patients since 2014, and is Canada’s first independently accredited cannabis Contract Research Organization (CRO).

The organization also holds four Cannabis Research Licences, allowing it to conduct clinical trials and observational studies. It also launched a patient-centred Psychedelic-Assisted Therapy program in 2024 to advance access to legal treatments, improve research & insurance coverage, and lead the development of innovative supportive care models.

There were more than 180,000 medical client registrations with federally licensed sellers of cannabis for medical purposes in March 2024, the most recent figures available. The average daily amount authorized by healthcare practitioners for individuals registered to access cannabis for medical purposes from federally licensed sellers was 2.4 grams per day.

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OCS to open illegal pop-up “cannabis shop” in Toronto

The OCS will be hosting a fake cannabis store in Toronto on the sixth anniversary of legalization to highlight the need for consumers to distinguish between legal and illegal stores. 

Beginning on October 17, 2024, the Ontario Cannabis Store (OCS) will host a four-day “Buzzkill” pop-up—a retail space designed to look like an illegal cannabis store within the heart of the largest city in Canada, at 474 Queen Street West.

The OCS’ goal is to help educate consumers on the difference between legal, tested cannabis products and those that can be found in an array of illegal and unlicensed stores operating in the province. 

“With this campaign, the intention is to reach adult consumers who may not realize they shop at illegal dispensaries, or who may believe that all cannabis is created equal, in a way that captures their interest and creates conversation,” says Amanda Winton, Manager, Communications and Strategic Engagement at the OCS. “We want to drive the message that shopping legal means shopping safe.”

Instead of cannabis products, those who visit the “store” will find mock packaging that highlights the risks of illegal cannabis. One example is a satirical beverage called ‘Pesti Cider’ which reads: “What gives this cannabis-infused cider its signature oomph? We like to think it’s love. But realistically, it’s probably our unregulated use of toxic pesticides. Don’t worry though, we’re like pretty sure it doesn’t have any long-term effects …”

The Buzzkill pop-up is part of a broader Buy Legal campaign the OCS launched on October 7 and will run through November 30. The buylegal.ca page on the OCS website has complimentary information emphasizing the need for third-party testing for cannabis products, something generally not found in products in the illicit and unregulated market. 

The page also includes information on how to distinguish a legal, licensed cannabis store in Ontario from some of the many new unlicensed stores that have been proliferating in different parts of the province, especially Toronto and Ottawa, often operating within a few steps of legal stores.

The Buzzkill campaign, meanwhile, takes a more tongue-in-cheek approach.

“At Buzzkill, we’re all about bringing you the best selection of cannabis products from sources unknown and untested,” reads a page on the OCS website. “So what if we don’t have the right paperwork? Just roll with it. Whether it’s a mystery strain or an edible with a surprise kick, we’ve got you covered – as long as you don’t ask too many questions.”

As part of the campaign, OCS has also launched a “takeover” of the Reddit page /r/TheOCS, an otherwise unofficial review page for products available through the OCS. The takeover includes numerous ads promoting the campaign to “Shop safe. Shop legal.”

Screenshot of r/theocs

A 2022 study from the National Research Council on behalf of the OCS and Ontario Provincial Police showed that 86% (19 out of 22) of the illegal cannabis edibles tested contained multiple pesticides, in many cases at levels several hundred times above Health Canada’s limits. THC levels in those edibles were also often much lower than advertised. New Brunswick and British Columbia have released similar testing results looking at illicit products.

The OCS also notes that a recent survey found that 62% of all Ontarians aged 19+ ranked “no quality control or assurance of product safety” as one of the top three downsides of illegal cannabis. The survey also noted that two in three Ontarians believe that if a cannabis store is open, it must be legal, which can allow some unlicensed operators to operate in plain sight. 

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BC Budtenders’ Union gives strike notice to Vancouver Canna Cabana 

The BC Budtenders’ Union says they have served a strike notice at a Canna Cabana store in Vancouver.

In a post shared on UFCW 1518’s social media accounts on Tuesday, October 8, and confirmed to StratCann in an email, the union said the store’s workers were prepared to strike to address what they say is a shortage of hours at the Davie Street Canna Cabana in downtown Vancouver, leading to understaffing. UFCW is the United Food and Commercial Workers Union.

“Members at this store have made it clear they are prepared to strike to seek a fair contract that addresses a shortage of scheduled hours,” wrote the union in a post. “It’s not in the interests of staff or customers for a dispensary to be understaffed.”⁠

Canna Cabana is part of a chain of cannabis retailers across Canada and is owned by parent company High Tide, which operates 184 stores as of October 7, including eight in BC. BC doesn’t allow a company to operate more than eight cannabis stores in the province. Four are located in Vancouver, the other four are spread out across the province in Fort St John, Prince George, Kamloops, and Cranbrook.

A representative for High Tide told StratCann that the company did not wish to weigh in at this time. 

“Out of respect for the collective bargaining process, we will not be commenting at this time.”

In March of this year, the union announced that employees at the Davie Street Canna Cabana had joined the BC Budtenders Union. At the time, the union said staff were pushing back against low wages, minimal protections, and limited job security.

A post on the union’s Facebook page at the time said the two-year contract for those employees includes a 6.5% wage increase, retroactive pay on all wage increases to November 11, 2023, doubling the call-in premium to $1.00 per hour, and “timely and fair redistribution of cannabis samples from sales reps.”

BC began allowing producers to provide samples to retailers in 2023.

The BC Budtenders Union has slowly been gathering members since it became the first union to represent budtenders in Canada in 2020. There has been an increase in cannabis store employees joining unions in the past year, especially in BC and Ontario. 

As of April 2024, the BC Budtenders Union said it represents workers at nine cannabis businesses and 16 locations.

Fifteen of these locations are cannabis stores. It also represents workers at a cannabis production facility in BC, the first cannabis production facility to successfully unionize in Canada, following a 2020 court ruling that found the company had unfairly penalized workers for trying to unionize

Not all employees have stuck with their decision to join a union, though. Employees at Eggs Canna on East Hastings in downtown Vancouver voted to join the union in early 2022 but changed course shortly after, voting to decertify union membership, meaning it no longer acts as their bargaining agent. 

A media representative with UFCW 1518 told StratCann they currently have around 150 members in 12 cannabis stores and one commercial grower. In April 2024, the union told StratCann that UFCW represented workers at nine cannabis businesses in BC (including one grower) and 17 locations.

In December 2023, Trees Cannabis, which has several unionized stores, announced that it and its subsidiaries filed for and were granted creditor protection under the CCAA. Two of four unionized Trees locations in BC have since closed (Alpha St and Fort St).

Employees at a Kiaro Cannabis in Port Moody, BC recently joined the union.

UFCW 1518 is British Columbia’s largest private sector union, with more than 27,000 workers in the retail, industrial, cannabis, healthcare, professional, and agricultural sectors.

In September, about 40 workers at five The Joint cannabis dispensaries in the city of Saskatoon joined UFCW Local 1400. This marked the first time cannabis workers have organized with this union in Saskatoon.

Featured image via Google Maps

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Lessons learned on choosing a processor, from one outdoor micro grower

An outdoor micro cultivator on Vancouver Island who recently gave up their federal cultivation license says their biggest challenge wasn’t taxes or regulations, but the struggle to find a reliable processing partner to get their product to market.

Highlighting one of their most recent challenges, Katy Connelly of Sea Dog Farm, says they recently had to take a processor to court over non-payment, resulting in a default order in BC Small Claims Court in June 2024. In July, the court issued an Order for Seizure and Sale, granting permission for a bailiff to seize and sell Black Fin Extracts Ltd.’s assets in order to pay their debts.

Black Fin is a micro processor also located on Vancouver Island. The company’s representatives did not respond to a request for comment for this article. The company’s website is no longer available but was active and archived as recently as July

Connelly says after agreeing to buy their cannabis harvested at the end of the 2023 season and sending it to them to be processed and packaged for retail sales, she and her partner never heard back from Black Fin. After several months of trying to contact them, Sea Dog was forced to sue Black Fin for their payment for or return of their cannabis. 

This was not Connelly’s first challenge with producers, though. She explains that previous deals with four different processors in 2020, 2021, and 2022 also did not work out as promised, saying they either never received their product or payment, or they received much less than anticipated or promised. 

Sea Dog Farm first received its outdoor micro cultivation licence in late 2019 for just $15,000, markedly lower than the hundreds of thousands or even millions of dollars some spend on a facility to get licensed. Sea Dog is a small, 5-acre, family-run farm selling fruits, veggies, honey, flowers and alpaca fibre, often through their farmgate stand in Saanichton.

Now that she has revoked her federal cannabis cultivation licence, she says she’s looking forward to turning all her focus to the rest of the farm, which does not come with such challenges. 

“Every year, I make a multitude of verbal agreements with florists, local farmers markets and distributors to sell my organic farm-grown products (non-cannabis),” Connelly tells StratCann. “I then give out thousands of dollars in invoices every month. Without fail, every single invoice was paid in the manner agreed upon and on time. 

“My experience with five different processors in the cannabis space has been the exact opposite. Not one processor has paid the agreed upon price, processed on time or paid in full.”

“In my experience, the challenge, for small-scale growers in the legal cannabis industry do not stem from taxes or government oversight. Challenges for micros can be directly linked to unprofessional conduct by processors.”

For other growers in similar shoes, Connelly says payment up-front is much smarter than profit sharing, even if it can mean (in theory) more money to do profit sharing. 

“Toll processing, with the costs upfront, would have been a better approach than profit sharing with a processor who can add costs and hold on to profits. Sending flower to a processor (or multiple processors) in smaller batches with firm, non-negotiable deadlines would have reduced the risk to the grower.”

Sea Dog Farm’s micro cultivation licence was officially revoked on Friday, September 13, 2024.

Aurora and UBC partner on research to breed fruity-smelling cannabis

The University of British Columbia (UBC) has received a grant to help improve the breeding of more fruity-smelling cannabis.

The $500,000 grant, provided by Genome British Columbia (Genome BC), was announced by Aurora Cannabis Inc., which says the project, Genomics-enabled Aroma Breeding in Cannabis, will directly support the companies’ genetics work around cannabis. 

The project is led by Dr. Jose Celedon, Principal Scientist, Breeding and Genetics at Aurora, and by Dr. Joerg Bohlmann, a professor at UBC, focusing on validating genetic and chemical markers for fruity aroma in cannabis. 

“Through this work Aurora will deepen our understanding of cannabis genetics with a focus on aromas, a leading driver of consumer preference that directly impacts the user experience,” said Dr. Jose Celedon, Director, Breeding and Genetics at Aurora. 

“By collaborating with UBC on this Genome BC-funded project, we are able to fully execute this aroma research without the typical financial constraints, allowing us to continue simultaneous work on additional important breeding traits, such as yield, potency and disease resistance. We are eager to see the outcomes of our work and the impact on the future of cannabis breeding.”

Aurora has been collaborating with researchers at UBC for several years. In 2023, Aurora announced they were teaming up with a UBC researcher to create cannabis more adapted for outdoor production in Canada. The company’s breeding program and cannabis breeding facility, Occo, is in collaboration with an adjunct professor from UBC.

Aurora recently patented a series of genetic and chemical markers for fruity aroma, which were identified through its CanD diversity panel. This new collaboration, says the cannabis company, will allow Aurora to validate these markers using cutting-edge approaches that would otherwise require significant funding. The data generated from this work will support the discovery and launch of cultivars with unique and improved aromas, alongside high yield and potency.

Aurora’s in-kind contributions to the project include conducting sensory analysis of fruity aromas, and leading bioinformatic analyses with in-house software. UBC’s contributions to the project through Genome BC funding will involve sequencing transcriptomes, analyzing the volatile chemistry, and conducting functional characterization of the genes responsible for fruity aromas in cannabis. 

If successful, Aurora hopes the methods developed in this project can then be adapted to explore other aromas, strengthening the publicly traded cannabis company’s “aroma-related intellectual property portfolio.”

Genome BC is a not-for-profit organization that has helped conduct genomics research and innovation for nearly 25 years. Genome BC has attracted over $1 billion in direct co-investment to the province, which has contributed to funding more than 550 genomics research and innovation projects. In 2020, Genome BC announced a $4.3 million project to breed powdery mildew-resistant cannabis cultivars.

Manitobans may finally be able to grow cannabis at home in 2025

Manitobans may finally be able to grow cannabis at home beginning in 2025, according to a new announcement from the provincial government. 

In an email to the Winnipeg Free Press on September 25, Manitoba Justice Minister Matt Wiebe said the provincial government is in the process of drafting the regulations for a bill passed in June.

“The (Liquor, Gaming and Cannabis Authority) is drafting regulations to ensure the framework for growing cannabis at home prioritizes public safety, with a focus on protecting youth and ensuring cannabis plants are not accessible to young people,” the minister’s email said.

The provincial government is expected to post the proposed regulations by the end of 2024 to allow time for public feedback. This is a change in the plans announced in June when a source with the Manitoba government told StratCann that such rules would be expected to be in place by November 2024.

When the bill was being debated in Manitoba parliament earlier this year, the Progressive Conservative opposition brought up concerns that they were passing a bill that had not yet been written. Only once the regulations are finalized will people in Manitoba be able to grow up to four plants at home. 

Specifics such as where plants can be grown on a person’s property are still unknown. 

 “Who will monitor these grows, and who will monitor the sale of the seeds to produce these cannabis products?” asked PC MLA for Brandon West Wayne Balcaen when the bill was debated earlier this year.

The penalty in Manitoba for growing cannabis at home is currently a $2,542 fine, as well as up to a year in prison and forfeiture of personal property.

Manitoba and Quebec are the only two provinces to ban growing cannabis at home. In April of this year, the Supreme Court of Canada upheld Quebec’s ban on home-grown cannabis, ruling that the province has the authority to enforce such a ban, even in the face of federal rules allowing up to four plants per household.

Canadian Cannabis Leadership Summit 2024 in Ottawa

The Cannabis Council of Canada (C3) is hosting its Canadian Cannabis Leadership Summit 2024 in Ottawa on Tuesday, October 1. 

The half-day event will take place at the National Arts Center (NAC) in Ottawa near Parliament Hill, with four panels from 1:00-5:00 pm focussed on issues facing the industry.

Those panels will include an in-depth conversation about the excise duty and its impacts on the industry, with C3 calling for a 10% ad valorem rate to replace the $1 a gram rate. A second panel will explore the need for a single national excise stamp. The third and fourth panels will focus on reducing the overall regulatory burden and the need for industry to come up with a standard “unit” of THC. 

C3 president Paul McCarthy, who has been busy reinvigorating the organization since taking on the position in April, says he’s bringing together topics and speakers that reflect the most pressing issues the industry currently faces.

“There are a number of goals associated with this conference. I think it is important to establish the Canadian Cannabis Council not just as a trusted voice in this industry but as the trusted voice. To do that, we need to be leading the conversation, and doing so in a responsible and credible manner. That requires taking on the tough issues by bringing together the leading experts, be it in cannabis, mental health, finance, or whatever discipline is needed. That is how you advance the conversation. And if you look at our panels, you’ll see precisely that.”

Speakers include Beena Goldenberg, CEO, Organigram; Orville Bovenschen, President, Pure Sunfarms; David Lobo, CEO, Ontario Cannabis Store; Dr. Mark Ware, Director, Allan Edwards Pain Management Unit; Gillian Schauer, Executive Director, US Cannabis Regulators Association; and, Barry Katzman, Managing Director, Peak Processing.

“Job number one,” continues McCarthy, “is about the financial viability of licensed producers. That is why two of the four panels we are hosting are on the excise duty rate and the excise stamp. These represent our top two issues. We want to bring these conversations to the doorstep of Parliament so that there is broader awareness and understanding and so that everyone is clear on what we are asking for.”

McCarthy says he has plans for C3 to host more events of this kind in the next year. Keeping events like this to just a few panels not only reflects the busy nature of the industry, he explains, but also recognizes that the politicians and policymakers they are also speaking with have busy schedules and many competing priorities.

“We are hosting this over an afternoon because we feel that’s the most effective way to do it: be laser-focused on the top priorities. You cover less width but get more depth. And then people are really clear about what is important to you and why. Of course, in this instance, change to the excise tax is imperative if we are to have financial viability for licensed producers. It’s the top issue by far.”

More information on the Canadian Cannabis Leadership Conference is available here.


Arbitrator rules cannabis detection was not impairment

A federal arbitrator recently ruled that a train engineer who was found to have had cannabis in his system did not need to face penalties because he was not impaired.

The locomotive engineer from Saskatchewan tested positive for THC in a urinalysis conducted on March 30, 2022, after an incident where the engineer had failed to secure his train. 

Although an oral swab and breathalyser were both negative, urinalysis showed that he was positive for cannabis metabolites (53 ng/ml). 

The man’s union brought the grievance to arbitration, arguing that since the man was not found to have been impaired, a penalty of a thirty-day suspension and six months of random on-the-job testing was uncalled for. 

The company, Canadian Pacific Kansas City, argued that the random testing is appropriate for safety reasons, given the dangerous nature of the work, even if no discipline is imposed.

The man told company investigators at the time of testing that he had consumed a cannabis candy some 16.5 hours before his tour of duty.

In his analysis, the arbitrator noted that urinalysis has “repeatedly been found by arbitrators to be incapable of assessing when or in what quantity drugs were consumed, and whether the employee was impaired.” Because of this and because the engineer, who had 28 years of seniority at the time of the incident, showed no signs of impairment, the arbitrator found him not to have been impaired. 

As such, in a ruling posted on September 16, federal arbitrator James Cameron ruled that the thirty-day suspension be struck down, with the employee compensated for lost time. He also found that the six months of random testing was not warranted since he was not impaired and was, therefore, not in violation of company policy. 

Another ruling, posted on the same day by the same arbitrator, ruled that a subsequent termination of the same employee who had been found to have alcohol in his system following testing conducted under the initial six-month random sampling penalty was uncalled for.

The locomotive Engineer, John Downey of Sutherland, SK, was dismissed from service by Canadian Pacific Kansas City on January 28, 2023, after testing positive for alcohol on December 5, 2022. 

The man’s union argued that he was not actually impaired at the time of testing, nor had he intentionally violated company policy by consuming alcohol nearly a full day prior to his shift. 

Downy told company investigators at the time of his random sampling that he had consumed alcohol around 20 hours before the start of his next shift, accounting for the breath alcohol content screening at 0.051% Blood Alcohol Content and subsequent lab confirmation positive at 0.046% BAC.

Company policy based on his previous suspension and six months of random testing was that Downy could not consume any intoxicating substances during the six-month period. He and his union contend that Downy thought the only substance covered in this ban was cannabis. 

The company argued that Downy was subject to duty in the day prior to the shift where he tested positive for alcohol because he was on call. The union successfully argued that he was not subject to duty at the time and, therefore, should have his position reinstated and made whole for the loss of wages and benefits, minus mitigation.


New cannabis distribution warehouse coming to NWT

The Northwest Territory Liquor and Cannabis Commission (NTLCC) has selected a contractor to build a new cannabis warehouse in Hay River.

Buffalo Parcel Courier Services was recently selected to build a new cannabis warehouse, first reported by NNSL Media. The procurement process for a new cannabis warehouse in NWT began in June. The territory received two applications, awarding the contract to Buffalo Parcel Courier Services on September 6.

The territory’s current staging area for cannabis distribution was temporary. The new space is expected to cost about $300,000 to build. Cannabis is currently sold in two liquor stores across the Northwest Territories (NWT) under contract with the NTLCC, four private stores, and one private online store.

In the year ended March 31, 2024, $8.4 million worth of cannabis was sold in NWT. Most of this ($5.6 million) was dried cannabis while $2.3 million was inhaled extracts.

The Northwest Territories Liquor and Cannabis Commission is responsible for the purchase, sale, classification and distribution of liquor and cannabis in the Northwest Territories and is administered through the Government of the Northwest Territories, Department of Finance.

NWT has one licensed cannabis producer, Boreal Cultivation, located in Yellowknife. Boreal was licensed in 2021.

Cannabis farmgate in Canada: From farm to joint

While there are several thousand cannabis stores in Canada, consumers can purchase cannabis directly from the grower at just a handful of locations.

Only about a dozen of these cannabis farmgate stores operate in a handful of provinces, allowing consumers to engage more directly with the cannabis grower or processor. Each province has a slightly different approach to this type of licensing, and each business has found its own unique angle to the model.

Ontario was the first to launch its farmgate program in 2021, licensing the first two locations on April 20 of that year. As of May 2024, Ontario listed five fully licensed farmgate locations. 

New Brunswick became the second province to announce a cannabis farmgate program, also in 2021, allowing for “on-site selling of in-house products for local LPs, nurseries, and micros.” The province currently lists five such locations after the sixth in the province was forced to give up its production licence. 

In late 2022, British Columbia began allowing applications under its farm-to-gate Producer Retail Store licensing model. Since the launch of the program, only three companies have applied. The first opened in 2022, while a second was just licensed on September 12 with a grand opening expected in the coming weeks. The third applicant is currently working its way through the licensing process. 

Here’s a breakdown of the different approaches to farmgate in each of these provinces, as well as the businesses operating under such licences. 

Cannabis farmgate in Ontario

Ontario currently lists five farmgate locations: Thrive Cannabis in Simcoe, Kingston Cannabis in Kingston, Level Up in Toronto, Royal Cannabis Supply Company in Toronto, and Station House Cannabis Co. in St. Thomas. 

The cost of licensing associated with a farmgate licence (Retail Operating Licence (ROL) and Retail Store Authorization (RSA)) in Ontario is around $10,000 for the first two years. More information about Ontario’s farmgate licensing process can be found here

Station House Cannabis in St. Thomas ON

Cannabis farmgate in New Brunswick

There are currently six cannabis production licence holders in New Brunswick with a farmgate licence: Eco Canadian Organic in Rexton, Sana’a in Miramichi, Hidden Harvest in Moncton, Stewart Farms in St. Stephen, Green Herb Farms in St Joseph-de-Kent, and Pinnacle Farms in Drummond. Hidden Harvest is the only cannabis nursery in Canada with a farmgate licence, allowing for the sale of plants directly to consumers. 

The cost of a cannabis farmgate licence in New Brunswick is about $1,750 a year. More info about farmgate in New Brunswick can be found here.

Eco Canadian Organic’s farmgate store in Rexton, NB

Cannabis Farmgate in British Columbia 

There are currently two licenced cannabis farmgate stores in BC: ShuCanna in Salmon Arm and the Victoria Cannabis Co. in Victoria, although the latter was only licensed recently and, as of publication, has yet to open. 

The cost of a cannabis farmgate licence in BC is $7,500 to apply, and then a $1,500 per year annual fee if approved. There can also be municipal licensing fees, depending on location. Applications are open to all federal licence holders except stand-alone processors. 

British Columbia also allows for special licensing agreements with First Nations communities in the province, two of which operate as farmgate stores. One, All Nations cannabis, is in Shxwhá:y Village, near Chilliwack, BC while the other, Sugar Cane Cannabis is operated by Williams Lake First Nation in Williams Lake.

ShuCanna in Salmon Arm, BC

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High Tide to launch Queen of Bud branded products through Canna Cabana

After purchasing the retail brand earlier this year, High Tide is launching Queen of Bud branded white label products in its Canna Cabana stores in British Columbia, Alberta, Saskatchewan, Manitoba, and Ontario.

High Tide will first launch smoke-eliminating candles in its retail locations, followed by products like a Zippo lighter, as well as pre-rolls and infused blunts in provincial markets where white label cannabis products are allowed.

The announcement comes after Alberta began allowing private label cannabis products in May.

“Our announcement today follows Alberta’s decision to allow white label sales and underscores how timely our strategic acquisition of the Queen of Bud brand was,” said Raj Grover, founder and CEO of High Tide in a press release. “The thoughtfulness and diligence of our team have brought these highly differentiated and unique products to market for our ELITE and Cabana Club members… New and innovative cannabis product, such as raspberry chocolate diamond infused rose petal blunts and a mango honey live rosin chamomile petal  blunt, will launch in the coming weeks, as these products are accepted by provincial wholesalers.” 

High Tide plans on the Queen of Bud brand playing a significant part in the company’s approach to white label products, Grover adds, with a goal of in-house brands accounting for around one-quarter of all in-store cannabis SKUs within the next five years. 

The Queen of Bud Crystal Smoke eliminating candles will be available to High Tide’s ELITE and Cabana Club. The company also recently re-launched its Canna Cabana website for its flagship retail brand, providing an improved experience for its ELITE and Cabana Club members. 

High Tide also opened its 183rd Canna Cabana location in Lucan, Ontario. Canna Cabana is the second largest cannabis retailer in the world by store count, and the largest in Alberta.

The cannabis company also recently announced it is partnering with Aberta-based Positive Intent Events (PIE) to bring the Canna Cabana store to event locations across Canada. 

“As Canada’s largest retail cannabis chain, we intend to bring the power of our innovative and disruptive discount club model that has helped us achieve almost 11 percent market share in the Canadian provinces where we operate, into the nascent world of cannabis sales at adults-only events, such as music festivals, comedy shows, and business conferences,” said Raj Grover in a press release earlier this week.

“Partnering with High Tide allows us to seamlessly grow across Canada as regulations make space for cannabis to be included as part of hospitality and tourism,” said Daffyd Roderick, Managing Partner, Positive Intent Events.

“The positive reception we received at the Edmonton International Fringe Theatre Festival confirmed that the public is very ready to embrace cannabis and make it a responsible part of their entertainment experiences,” added Roderick.


Peace Naturals recalls infused pre-rolls, CBD extract from Ontario

Peace Naturals Project Inc. has recalled two lots of cannabis products sold in Ontario due to  incorrect cannabinoid values on the products’ labels

The cannabis producer recently recalled one lot of its Spinach Fully Charged Tropical Pack infused pre-rolls cannabis extract and one lot of its Peace Naturals Peppermint 75 CBD cannabis extract.

The total labelled THC for the former is lower than the actual total THC (Lot #017186). The products were labelled as having 0 mg/g THC, while the product should have been labelled as having 400 mg/g THC.

The total THC labelled and total THC per activation for the Peace Naturals Peppermint 75 CBD (Lot #017171) is labelled lower than the actual total THC and the actual total THC per activation, respectively. Total THC is labelled as 1 mg/g, while the actual value is 2 mg/g. The total THC per activation is labelled as 0.3 mg/g. The correct amount is 1 mg THC per activation. 

There were 456 units of the recalled Spinach Fully Charged Tropical Pack infused pre-rolls sold in Ontario and  96 units of the recalled Peace Naturals Peppermint 75 CBD. The OCS first listed the recalls on September 6

Health Canada says that, as of September 10, the Peace Naturals Project Inc. has received two complaints, one for each product, in connection to the labelling. Health Canada has not received any complaints related to the recalled lots. Neither Peace Naturals Project Inc. nor Health Canada have received any adverse reaction reports for the recalled lots of cannabis products.

Health Canada reminds consumers who wish to return an affected product to contact the retail store where the product was purchased.

This is the tenth product recall notice issued by Health Canada so far this year. Labelling errors remain the most common issue for a cannabis product recall in Canada.


Community Savings and We Can Capital expand factoring program

A BC-based credit union that has partnered with a BC financing agency to provide invoice factoring to BC cannabis producers says they have already provided more than $5 million in payments to the industry since launching earlier this year. 

They’re ready to expand the program to more BC cannabis growers and processors.

Community Savings and We Can Capital Inc. first launched the pilot project in February aimed at giving BC cannabis producers more direct access to working capital, allowing participants to essentially sell their invoices from the BC or Ontario distribution centres. 

Factoring is a financial service where a business can sell its outstanding invoices to a factoring company in exchange for immediate cash. 

Under the program, a BC cannabis producer delivers its finished goods and issues an invoice to the provincial board with which they have a sales agreement. Rather than waiting 14, 30, or even 60 days for payment from the province, producers can sell that invoice, receiving a 75-82.5% advance from Community Savings and We Can Capital on the same day.

“Cannabis businesses should have access to the same banking products as every other business in Canada,” says Mike Schilling, President and CEO of Community Savings Credit Union. “We are proud to be a pro-cannabis industry credit union that is fighting against banking discrimination and stepping up to provide affordable access to invoice factoring for licensed producers.”

“The fact that we just launched this program in February and have already achieved $5.3 million in invoice factoring this year, demonstrates the need and demand for this service. We are here to support BC cannabis producers and help grow their businesses.”

As an example of how the program has matured, Community Savings says it has already been able to increase the purchasing limit from $500,000 to $750,000 for Nelson, BC-based cannabis producer Woody Nelson.

Toby Summers, Director of Woody Nelson Inc., said: “Community Savings’ and We Can Capital’s foresight to create offerings to support BC’s underserved cannabis industry has been transformative for Woody Nelson. The liquidity provided by Community Savings’ factoring line has ensured Woody Nelson has the necessary supply chain inventory to support rapid growth, which has been instrumental in achieving our first quarter of positive EBITDA.”

Joshua Reynolds, Partnership Director of We Can Capital Inc., says the success of a company like Woody Nelson, which he says has been able to increase its output because of the more ready access to capital, proves the factoring program works and proves they are ready to move out of the pilot phase and expand it to more BC producers. 

“Partnering with Community Savings to work with Toby and the Woody Nelson team reaffirms my dedication to bolstering the financial stability of this dynamic industry. Witnessing firsthand the transformative impact of instant working capital on a company is truly inspiring. It’s a privilege for We Can Capital to contribute to such a vital sector and support the growth and success of businesses like Woody Nelson.”

Earlier this year, Dayna Lange, the CFO of Tricanna Industries and Community Savings Credit Union cannabis member, told StratCann the program will help cannabis producers like Tricanna build better supply chain relationships. 

“Having instant access to our own money has been a game-changer for the way we approach the continued growth and reputation of our business,” says Lange. “With a one-day funding and settlement model, we are able to continue to increase sales and maintain strong relationships with our suppliers. This is long overdue, and we are very encouraged to see mainstream financial services supporting BC cannabis.”


Cannabis Training Canada, AGCO-approved alternative to CannSell

Until now, cannabis retail staff in Ontario had to complete the CannSell program to be permitted to work in a cannabis retail store. Now, there are two options. Earlier this month, the Alcohol and Gaming Commission of Ontario (AGCO) approved a new training program for cannabis retail staff in Ontario. 

The new training provider is Cannabis Training Canada (CTC), and their course, CTC 1: Retail Certification Program, has been approved to meet the mandatory training requirements set out by the AGCO. 

Cannabis Training Canada (CTC) was established at the start of cannabis legalization with a clear mission: to partner with both government bodies and private retailers to elevate the standard of cannabis education. 

Since then, CTC has successfully collaborated with provincial governments in Nova Scotia (NSLC), British Columbia (BCLDB), the Government of Nunavut, and various private retailers nationwide. 

Why choose CTC over CannSell?

Cannabis Training Canada offers a fresh and modern approach to cannabis retail training and delivers on affordability. At just $64.99 per participant, it is a more cost-effective option for retail staff compared to other programs, with many discounts available. 

In addition to being more affordable, CTC’s platform is designed with the user in mind. The interface is intuitive and easy to navigate, so employees can focus on learning rather than wrestling with complicated technology and boring lesson structures. This user-friendly approach reduces the time it takes for staff to become certified and allows them to start contributing to their workplace more quickly.

Superior content for a changing industry

The cannabis industry is evolving rapidly, and so is the knowledge required to succeed in it. CTC recognizes this and has developed a curriculum that is not only comprehensive but also reflective of the latest industry trends and regulations. The CTC 1 program provides in-depth training on key topics such as product knowledge, compliance, responsible sales, and customer service. This ensures that retail staff are not just meeting the minimum requirements, but are also fully prepared to excel in their roles.

Moreover, CTC places a strong emphasis on responsible cannabis retailing, equipping employees with the tools they need to educate customers compliantly and promote safe consumption practices. This commitment to responsible retailing benefits customers and helps businesses build a positive reputation in their communities.

What this means for Ontario’s cannabis industry

With CTC now approved by the AGCO, cannabis retailers in Ontario have a new choice for staff training. As CTC continues to expand its presence in Ontario, the goal is to significantly alter the landscape of cannabis retail training, offering a more modern, affordable, and effective alternative to the existing options.

  • StratCann readers: use promo code CTC10 for 10% off courses until November 30, 2024.

Content sponsored by: Cannabis Training Canada


Rifflandia’s “Splifflandia” to include official cannabis consumption space this year

BC Cannabis retailers Seed & Stone and Songhees Cannabis are providing the cannabis space at Victoria’s Rifflandia this year, at the Matullia Lands in Rock Bay from September 13-15, 2024.

The retailer will provide a space for attendees of legal age to order cannabis to be delivered on-site, as well as a dedicated consumption area.

This is the second year the multi-stage outdoor music festival in downtown Victoria has allowed such a space. In 2023, the festival organizers worked with a different retailer to offer a similar space dubbed Splifflandia. 

Morgan Sutherland, Head of Partnerships at Rifflandia Entertainment Co. says that building on last year’s inaugural cannabis area, this year’s Splifflandia will also include a dedicated consumption lounge in partnership with cannabis producers. 

“Splifflandia at Rifflandia Festival is presented by Seed & Stone and Songhees Cannabis,” explains Sutherland. “Together, they bring a streamlined cannabis delivery system to the festival by using their online order platform and delivery service. In addition to our Splifflandia delivery point, the festival will this year feature a 19+ consumption lounge with activations from licensed producers.” 

“Rifflandia is proud to be partnering with Seed & Stone and Songhees Cannabis as part of our commitment to supporting local, Indigenous-owned businesses,” she adds. “Not only does providing these services on-site create a more fulsome experience for festival attendees, but by making safe, regulated products available to folks, we are able to address concerns about safer supply and harm reduction at our event.”

Rifflandia’s location this year is on traditional lands belonging to the Songhees and Esquimalt First Nations. The Songhees First Nation represents the Songhees or Lekwungen people, located around Victoria, British Columbia. The Nation operates Songhees Cannabis in Victoria in partnership with Seed & Stone and a second Victoria location under the Seed & Stone banner. 

Vikram Sachdeva, founder and CEO of Seed & Stone, says he and his team are excited to have a chance to provide such a space for festival-goers, along with their longtime partners at the Songhees Nation. 

“Our partnership with Songhees Nation holds deep significance for us at Seed & Stone,” says Sachdeva. “This collaboration allows us to honour and showcase Songhees culture and heritage at Rifflandia, bringing a unique and powerful aspect to the festival. It’s not just about the music and the products—it’s about celebrating community, heritage, and the journey of cannabis from stigma to acceptance.”

Rifflandia Festival is one of Vancouver Island’s oldest music festivals. The Matullia Lands overlook Rock Bay and upper Victoria Harbour. 

“We are proud to host Rifflandia on the traditional lands of the Lekwungen peoples, including the Songhees and Esquimalt Nations, at Matullia in Rock Bay,” said Songhees Chief Ron Sam in a comment provided to StratCann through Seed & Stone. “This year marks a historic moment with the first-ever cannabis consumption lounge, in partnership with our long-time partners, Seed & Stone, celebrating our culture and the progressive acceptance of cannabis at this event.”

Featured image provided by Rifflandia, taken Laura Harvey.


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Safari Flower successfully exits creditor protection

Although entering into creditor protection can sometimes mean the end of the road for a business, one cannabis company used the process to successfully restructure and grow their business.

Ontario’s Safari Flower Co. entered into CCAA protection on January 12 of this year, saying at the time that the company intended to use the restructuring process to effect a reverse vesting orders (RVO) transaction with one of its secured lenders that can be used as a way to inject cash into a company.

Then, on August 26, Safari successfully exited from creditor protection. The company’s CEO says Safari is now well positioned to continue to cultivate cannabis as GACP accredited, process cannabis flower under EU-GMP law, and export finished medical products directly to emerging markets abroad like Germany. Safari has already exported nearly one metric ton of cannabis.

“We have worked very hard to accelerate our positive earnings strategy post-CCAA and created value for our stakeholders by targeted product manufacturing for the German medical market and by focusing volume on very few customers whose core business and growth trajectory are synergistic to Safari’s,” says CEO Dr. Brigitte Simons in a company press release. 

“This mindset has enabled us to use working capital carefully for the step-wise scale and velocity of high quality cannabis product entrants sold under successful brand partnerships, such as Enua Pharma GmbH. Safari Flower Co. also provides services to other Canadian cannabis producers who wish to sell their products to international distribution partners. The company has successfully exported approximately 940 kg of cannabis flower to Europe and Australia since January 2024.”

David Hyde with Hyde Advisory, assisted Safari Flower Co. through the restructuring process, says he and his team are “pleased to have played a part in the renewal of Safari Flower, having now emerged from CCAA with fresh funding and a clear path to business success. This is a far cry from where the business was only a year earlier.”

“Not all CCAA processes are the same, as we’ve learned from managing a number of them in the cannabis sector,” he adds. “If the underlying business is strong, a well-run Sale and Investment Solicitation (“SISP”) process can lead to the discovery of a buyer committed to leading the company out of CCAA and to new levels of success.”

The cannabis industry in Canada has experienced significant financial challenges. At least 72 cannabis companies filed for some form of creditor protection in 2023 according to listings by Insolvency Insider Canada, which focuses on the Canadian insolvency market. Several more have since filed for CCAA in 2024.

One of the most common filings is for the Companies’ Creditors Arrangement Act (CCAA), which allows insolvent companies to restructure their businesses and finances. 

With proper planning, a company can take this step to avoid declaring bankruptcy, Dina Kovacevic, Editor at Insolvency Insider, told StratCannn earlier this year

Typically, she explained, if a cannabis company is in trouble, it can either file for CCAA protection or a notice of intent to make a proposal, an “NOI” under the Banking and Insolvency Act. This is, ideally, a step taken to avoid being put into bankruptcy or receivership by a creditor or a company declaring bankruptcy themselves. 

One of the most significant points Kovacevic highlighted was that distressed companies should ensure they take steps in advance if they see themselves running into long-term financial issues. 

“If a company is facing financial issues and it wants to restructure, it doesn’t just want to go out of business, and perhaps it fears that its secured lender is going to put it into receivership. I’d say that it has several options. The first option is to try to work with its creditors and suppliers on an out-of-court restructuring plan. The second would be to file for CCAA protection and even in that type of situation, I would say that the company should be getting key creditors on board before the filing. You don’t want to surprise people.”


SQDC sold $162.9 million worth of cannabis in Q1 2024-2025

In the first quarter of its 2024-2025 reporting period, the Société québécoise du cannabis (SQDC) brought in $23.9 million in net sales from $162.9 million in sales.

Net sales were up for the three months ending June 22 compared to $20.6 million for the same reporting period in the previous fiscal year, but down from $25.6 in the last quarter (Q4 2024) to $33 million in Q3 2024.

In addition, Quebec brought in another $43 million in its share of federal excise tax, with $17 million going to the federal government for a total of $60 million in excise tax on cannabis sales in the province. This brings the total the SQDC generated for Quebec in the three months ending June 22 to $66.9 million.

The SQDC sold 32,098 kg of cannabis in the most recent quarter (Q1 2025), up from 25,675 kg for the same period in 2024 from 4.1 million transactions. SQDC says these increases are due to a settled labour dispute, which limited the operation of 24 of its retail locations, and the growth in demand for cannabis concentrates. 

Most sales were through SQDC’s brick-and-mortar locations ($155 million), up from $133.5 million in Q1 2024, while online sales were $7.9 million for the current quarter, down from $9.1 million in Q1 2024.

The average sale price for cannabis in Quebec in this reporting period was $5.84. The average price per gram in the previous fiscal year was $6.22 per gram.

The SQDC recently opened their 100th retail store.

Recent figures from Statistics Canada show retail sales in dollars declining in Canada in 2024, correlating with continued retail price compression and a slowing down of new cannabis stores being opened compared to the first few years of legalization. However, Quebec’s sales were an outlier, showing sales in dollars remaining relatively steady, with a slight increase in recent months.

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Surrey wants cannabis store applications by September 17

Those interested in opening a cannabis store in Surrey, BC, have until Tuesday, September 17, to send in their application.

Surrey City Council released a proposal for up to 12 cannabis stores in BC’s second-largest city in early 2024, approving the plan in April. The city has said it prefers to receive applications on or before September 17, 2024, with up to two locations for each of the city’s six distinct communities: Whalley/City Centre, Guildford, Fleetwood, Newton, South Surrey, and Cloverdale.

The city’s plan requires stores to be a minimum of 200m from schools, community centres, and other cannabis stores. 

A previous city council had banned cannabis stores from Surrey entirely. Since then, several stores have popped up on the city’s border in neighbouring communities. Residents can also receive deliveries from stores located in other cities. 

The city says the Request for Expression of Interest (RFEOI) selection process is expected to be completed in October. Selected applications will then advance to the council for consideration and a public hearing, which is expected in the fall of 2024. The city has also indicated it could allow more rounds of applications in the future. 

Although there is no fee associated with responding to the RFEOI, applications that advance to city council for rezoning will face a rezoning fee of around $5,209 to cover the city’s costs. If an application is approved by council, there is also a business licence fee of around $913.00.

There is also an associated $7,500 application fee to the BC Liquor and Cannabis Regulation Branch (LCRB) (the application for a liquor store is $2,200).

The city will not begin reviewing applications prior to September 17, 2024. Applications will be scored by the city based on different factors such as location and distance from sensitive areas like schools, recreation areas, and other cannabis stores within the city limits, as well as availability of parking, and related experience of the proposed store operator. The city will then decide on the highest-scored finalist and notify all finalists in writing of its decision.

With more than 600,000 residents, Surrey is the second largest city in BC, just behind Vancouver. The BC government currently lists more than 80 stores as approved in Vancouver. Neighbouring city Langley, with a population of about 150,000, has three cannabis stores, while Delta, another neighbouring city, has a population of about 100,000 and has seven cannabis stores.

Although many residents responded to a city survey saying that they supported more than 12 locations, some councillors said starting with 12 was a good way to avoid the flood of new stores some other cities have seen.

The survey found that 68% of respondents support the idea of 12 or more stores in Surrey. Some 62% said they strongly disagree/disagree with limiting the number of cannabis stores to just 12 locations. Another 38% said this was too many locations.

Several cannabis retailers are located along the city’s border in neighbouring municipalities like Langley and Vancouver.

Because of this timeline, cannabis stores in Surrey will not likely factor into the provincial election scheduled for October 19.

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Cannabis sales increased in BC in 2023-2024

The BCLDB sold 135,348 kg (*Equiv) of cannabis in the year ended March 31, 2024, a 27% increase from the previous year. 

In fiscal year 2023-2024, the provincial agency that oversees cannabis and alcohol warehousing, distribution, and sale brought in $3.9 billion in revenue, a 1.7% increase from the previous year, with lower liquor revenue somewhat offset by growth in cannabis sales. 

The LDB’s cannabis revenue was $574.5 million, an 18.3% increase from the previous year that it attributes to new retail stores and an expanded product selection. Alcohol revenue was $3.4 billion, a 0.7% drop compared to the prior year, for a total of $3.94 billion in revenue and $1.15 billion in net income.

The LDB’s net income and contribution to the Government of BC was $1.1 billion, a 4.2% decrease compared to the previous year. 

Dried flowers, pre-rolls, and extracts and concentrates accounted for 91.8% of LDB’s cannabis sales revenue. It sold 54.1 kg of flower, 24.8 kg worth of pre-rolls, 45.5 kg of extracts and concentrates (gram equivalent), and another 10.1 kg in all other categories. 

The extracts and concentrates category saw the highest increase of 36.3% compared to 2022-2023, reflecting the growth in vapes and infused pre-rolls. 

The BCLDB added 2,600 new products in 2023-2024, a 37% increase in registered cannabis products compared to the previous year.

The BC Cannabis Store also introduced an online cannabis knowledge training program for all employees in the most recent fiscal year. The stores reached $965 in sales per square foot of store. 

The cannabis wholesale division says they established a dedicated area for quality control processes, improving order accuracy, and took steps to improve on-time delivery and order accuracy.

In August 2023, the BCCS completed a market research survey of 1,200 BC adult cannabis users to gain customer insights and refine customer service strategies.

Since launching in August 2022, the LDB says its cannabis direct delivery program has grown to include around 100 participating cultivators worth more than $13 million in direct sales in fiscal 2023/24. 

The agency admits the program could be much bigger, and says it is “committed” to a review of its central distribution 15% mark-up, as well as of the direct delivery program and who is eligible.

In April 2023, the LDB made several changes for cannabis producers, like eliminating its requirement that producers maintain mandatory insurance coverage for product expenses, reducing the reporting requirement for producers using the direct delivery program from weekly to bi-weekly, and changing payment terms from 30 to 14 days.

[Editor’s note. This article initially reported total sales in grams, not kilograms. This has been corrected]


Cannabis industry gears up for Summer Sesh in Richmond, BC, Sept 12-14

Cannabis retailers and producers are gearing up for the highly anticipated Summer Sesh industry networking conference in Richmond, BC, from September 12-14.

The event is a collaboration between the Licensed Retail Cannabis Council of BC (LRCCBC), Craft Cannabis Association of BC (CCABC), and HOWBOUTTHIS Events, taking place at Lipont Place in Richmond, about 30 minutes outside downtown Vancouver. 

The packed three-day event features presentations, panel discussions, and a B2B Networking party on Thursday evening. There will be a consumption-friendly Direct Delivery Speed Networking session for producers and retailers, and an exclusive “block party” featuring over 30 brands, indoor vape consumption, movie theatre, art market, and food trucks on Friday evening. Topics will cover a variety of current issues facing the BC and national market, including financial issues, direct delivery, farmgate, sampling, Indigenous business, and more. 

The Lipont Building is located just below the Aberdeen Skytrain Station, a short ride from locations across the Lower Mainland, including Vancouver International Airport. 

Attendees can dive into the Sweet Justice Bevvy Bar and the HOWBOUTTHIS Dab Bars, sampling and consumption, food trucks, and more. 

The LRCCBC also notes that the BC government’s Liquor and Cannabis Regulation Branch (LCRB) will be present just in time for the upcoming BC election.

 “The Directors at the Licensed Retail Cannabis Council of BC are thrilled to co-host our upcoming cannabis industry conference, Summer Sesh,” says Jaclynn Pehota, executive director for the LRCCBC. 

“It’s a fantastic group of brands and individuals supporting this initiative and indoor vapor brings consumption and tourism discussions to the forefront.” says Brittney Guthrie, Founder of HOWBOUTTHIS Events. 

“Additionally, we are pleased to facilitate a regulatory conversation from the team at LCRB during the event. Summer Sesh represents a significant opportunity for our association to foster collaboration, share insights, and drive meaningful dialogue with government regulators. We are excited to bring together industry leaders and policymakers to shape the future of cannabis and continue advancing our sector with innovation.”  

Sarah Campbell, Director of the Craft Cannabis Association of BC, says the event is a chance for the industry to let their hair down following a very challenging few years. 

“It has been a difficult couple of years,” says Campbell. “CCABC is excited to bring stakeholders together from all corners of the industry for networking, support, learning, and fun. There is a little something for everyone at the Summer Sesh.”

  • Tickets are available here.

Content brought to you by: Craft Cannabis Association of BC (CCABC) and the Licensed Retail Cannabis Council of BC


SNDL announces successful bid to purchase Indiva 

SNDL Inc. has announced that its stalking horse bid has been chosen as the successful bid to acquire Indiva’s business and assets. 

Ontario-based cannabis edibles producer Indiva Limited announced on June 13 that it had been granted an order from the Ontario Superior Court of Justice under the Companies Creditors Arrangement Act (CCAA) in order to restructure its business and financial affairs.

The CCAA filing followed an update from Indiva in early June announcing that its liabilities under an amending agreement with Alberta-based SNDL had been extended to June 13, 2024. In April 2024, Indiva repaid $2 million of the principal amount outstanding from a strategic investment of $22 million provided by SNDL in 2021.

SNDL’s acquisition includes Indiva’s facility in London, Ontario and a portfolio of owned and licensed brands like Pearls by Grön, No Future gummies and vapes, Bhang chocolate, Indiva Blips tablets, Indiva Doppio sandwich cookies, and Indiva 1432 chocolate. Indiva boasts a portfolio of seven brands and 53 listed SKUs, all manufactured in the company’s 40,000-square-foot production facility.

“We are thrilled by the opportunity to partner with our colleagues at Indiva to deliver high quality products and brands to consumers,” said Zach George, SNDL’s Chief Executive Officer. “This transaction will materially improve our market share in the edibles category and is expected to unlock value through improved capacity utilization, a reduction in aggregate corporate expenses, and the potential sale of redundant real estate holdings.”

Indiva still needs approval for the transaction from the court on or about September 19, 2024, which is subject to the court granting an approval and vesting order and the transaction receiving the approval of other regulatory authorities.

Earlier this year, SNDL reported its first profitable quarter for cannabis production and increased losses for its retail cannabis holdings. SNDL has invested in several cannabis companies in the industry’s production and retail sectors.

In May, SNDL alleged that Mantioba-based Delta9 Cannabis was in default of its financing agreement with SNDL and demanded immediate payment of a $10 million convertible debenture financing. Delta 9 CEO John Arbuthnot denied the claim.

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New Brunswick’s Crystal Cure to close up shop in hopes of a future reset

A cannabis producer behind one of a handful of farmgate stores in New Brunswick is closing its doors as it looks to reset its cannabis business from the ground up. 

Crystal Cure Inc., a micro cannabis producer in Shediac Cape, New Brunswick, says it will cease its cannabis operations at the end of September, primarily due to delays in securing the financing needed for its planned expansion. 

The company’s CEO, Jonathan Wilson, says this is likely not the end of the road for the company but a chance for them to reset their business, building out a new facility that better matches their needs and the realities of market demands. 

“Eventually we knew that we were going to have to make a decision,” Wilson tells StratCann.

“We made this decision now before it gets to a point where we can’t meet commitments as we’ve seen happen to others. We are optimistic that this is not goodbye to the legal cannabis industry, but hopefully more of a see-you-soon.”

Jonathan Wilson, Crystal Cure

The company has been operating for several years inside a much larger facility that has remained underutilized. In late 2023, Crystal Cure made the decision to downgrade their licence from a standard to a micro, reflecting that it was already operating with a very small footprint.

The building the company has been operating is 63,000 sq. ft., built at a time when the company was looking at bold early market projections. However, due to this and problems with how the facility was constructed, Crystal Cure wasn’t able to fully utilize the space. Since 2019, the company has also been involved in legal proceedings concerning the construction of its original facility. 

“We are still operating out of a tiny, temporary space that was only supposed to be in place for a year,” notes Wilson in a company press release. “However, the construction of our original facility was halted prematurely when the structure was rendered unusable, which now has to be dealt with in a court of law. This has added a lot of costs to a small operation, and also takes away our focus, time, and energy from what matters.”

Wilson adds, “When you combine the added pressure with the current financial ecosystem of the legal cannabis industry, it doesn’t give us enough to be able to survive, let alone generate enough profit from our operations to expand to meet demand. This is one example of the impacts of the short-sighted decisions made by policymakers across the  country, impacts that they’ve flat out ignored at both the federal and provincial levels.”  

Although the owners had hoped to maintain their current licence while they bring in new investors to build out a new purpose-built facility, Wilson says they had to finally make the tough decision to revoke their licence and shut down operations while they work towards that ultimate goal. 

“We love the legal cannabis industry and we believe we will play a part in its future here in Canada,” he explains in a company press release. “However, as ironic as it is, we have to take a step back from it and focus elsewhere in order for us to survive long enough to secure the funding for our expansion. We have found a potential partner that believes in us and understands our vision. We will do whatever is necessary to hang on, even if it means ceasing our current operation and starting again. We are in this for the long-term.” 

One thing that had kept the company going over the past year, giving them hope they could hold off this new decision to shut down entirely, was the success of their cannabis farmgate store, Le Backdoor, one of just six in New Brunswick and only a few more in all of Canada. 

That’s the part I’m the saddest about,” Wilson tells StratCan. “The supporters of farmgate are the ones who have given us an extra couple of months. This summer has been incredible with new customers and tourists, and the feedback we get has helped let us know we are doing something right. It helped us go a little longer.”

“The part I’m going to miss the most is seeing customers every day.”

In the meantime, Crystal Cure will continue to have a foothold in the cannabis industry through its sister company, Gourmet Chef Packers, which sells living soil, worm castings and other agricultural inputs under the brand Adonis Growing Solutions. Clients include several other licensed cannabis producers. 

“We have been working behind the scenes on a project across the parking lot, so to speak, focused on regenerative agriculture and many of the things we hold near and dear.” Wilson adds. “This will allow us to still stay connected to the industry we are so passionate about, while at the same time, being able to work in an exciting environment without the exorbitant excise taxes, fees, and over-regulation that have plagued producers from day one.” 

“We managed to survive an additional year longer than we thought, but unfortunately it wasn’t long enough. We made this decision now before it gets to a point where we can’t meet commitments as we’ve seen happen to others. We are optimistic that this is not goodbye to the legal cannabis industry, but hopefully more of a see-you-soon.” 

According to Wilson, consumers of Crystal Cures products will have a few more weeks of availability before their limited releases are no longer available.