Canada becomes the first country in the world to freely operate the “illicit” cannabis market.
Canada is one of the most interesting places in the modern cannabis industry. The coming regulatory changes in the country, as well as in the development of the environment are favorable to the business world and already favor investors, companies which are looking for affiliation in this emerging industry. A real revolution if Canada goes beyond its own contradictions; Justin Trudeau the Prime Minister has promised that Canada will become the most interesting place in the global cannabis industry.
Federal legalization for 2017
One of the reasons the Liberal Party won elections in Canada, with Justin Trudeau the current Prime Minister, who is also the second youngest leader in the history of the country (44 years old today), is promising to thoroughly reform the legislation around cannabis, for recreational purposes and not limited to only the “Medical Cannabis” configuration.
In April 2016 Canada's Minister of Health Jane Philpott, officially declares that the Trudeau government will make every effort to legalize cannabis in the spring 2017; Canada presents itself to the G7 (Organization of the Industrialized Countries) as the first country in the world to legalize marijuana at the federal level.
Difficulties & Contradictions
Despite the promises, legalization remains difficult to do for now; because Canada is a signatory to international conventions banning the possession and production of cannabis for non-medical purposes, which undermines full legalization. Violating the conventions could expose Canada to serious penalties, which is in fact one of the main obstacles to true legalization.
Another obstacle for the Canadian government are dispensaries, specialty stores through which Canada sells cannabis. Hundreds of resellers currently operating illegally and openly (companies), are scattered in major cities in Canada (including Vancouver and Toronto) and therefore suffer from checks, and police raids. The offenses have been constantly evolving in recent months.
The main lobby is currently the state itself !! Specifically, only 34 farms are authorized to develop and sell medical marijuana. Agricultural machinery, licensed producers are currently recognized to produce cannabis to patients ... Trudeau promises a future for all, the possibility of growing his own marijuana, which is a direct threat to these licensed operators.
Part of the official document (on legalization) proposed by the Liberal Party indicates a fall in prices in favor of the black market and therefore a reduction in taxation, and in state production... Although we would like to use the term “Revolution”, this one will be difficult until Canada has found a legal solution to this obstacle.
One of the possible solutions lies in the belly of cannabis directly from pharmacies, which was reported in February 2016 by 1 pharmacies wishing to sell cannabis legally via a viable economic model ...
Selon une enquête exhaustive auprès de 1000 personnes, menée par le cabinet de la firme Nanos Research; les canadiens préfèrent se procurer du cannabis dans des magasins spécialisés, et des pharmacies. Une autre alternative et la moins sollicitée, sera que les 650 revendeurs d’alcool sous licence contrôlée (par le gouvernement de l’Ontario) puissent devenir des revendeurs agrées, c’est ce que propose LCBO (commission de l’Ontario sur l’alcool).
Frequency of marijuana use in Canada
In 2012, an informal interviewee commissioned by the government estimated that 25 113 Canadians aged 15ans and older were using cannabis.
The survey conducted by Statistics Canada in collaboration with Health Canada, reveals that 42.5% have consumed cannabis in their lifetime, of which 49,4% mostly men and 12,2% declare having used marijuana in the past year. The highest frequency is found in men aged 18 to 24, and in this age group, 33% in 2012.
Cannabis sales figures in Canada
According to official data Health Canada (Health Canada) approved companies sold 3,082 kilos of cannabis in the first quarter 2016 on an annual rate of 12 tons. This reflects the annual consumption of 230 grams per patient, and a daily rate of 0,63 grams. To compare, the average amount consumed by patients in the Netherlands is between 0,65 and 0,82 grams per day, while in Israel the highest: 1,5 grams per day. However, Canadian consumption figures do not include 584 kg of cannabis oil sold to those same patients, which would make 0,12 extra grams per day and per patient.
Cannabis oil was first authorized for sale at the start of the first quarter of 2016, following the decision of the Supreme Court of Canada in June 2015. As indicated, these 584 kg of cannabis oil are not not taken into consideration, because its composition is limited in THC (only 3%); however, there is no limit in the rate of CBD (non-psychoactive). For comparison in Israel the concentration of THC in cannabis oil will be limited to 20% ...
In February 2016, a federal court in British Columbia (Allard & al v. Canada) issued a decision become final since and currently adopted by the Canadian government including in the clause, that patients being able to obtain medical cannabis under state control is an unconstitutional act. Since the entry into force of these new regulations formulated (ACMPR) by Health Canada, patients now have the right to cultivate their own culture or solicit, authorize another person to do so.
Cannabis among military veterans
Like their counterparts in the United States, “veteran” combatants are also called “veterans”; they use “heavy” cannabis to mainly cure the discomforts of post-traumatic syndrome. According to estimates, the average dose consumed by Veterans is between 5 to 10 grams per day.
According to the data received Communication Network (CBC), veterans have been 91 557 485 dollars, and in a form of medical prescription; whose 20 538 153 dollars in the form of credits taken out to use marijuana, an estimated value of 1 veterans which reflects an annual expenditure of 11 656 Canadian Dollars Each… It should be noted that as of 2014, the organization of Veterans Affairs Canada, which is the body responsible among other things for reimbursements, has limited the amount for which a reimbursement will be granted to 10 grams per day.
Cannabis use among young people
A UNICEF report, published in 2013 a note showing that teenagers in Canada have used cannabis far more than their counterparts in other developed countries.
Another report from Mars 2016, conducted by the World Health Organization (WHO), examined the frequency of cannabis use among school-aged children in 42 states including Canada. 23% of 15-year-olds, i.e. 24% boys and 22% girls have used cannabis in their lifetime. 13% of them declared having used cannabis in the last 30 days; this report concludes that Canada and France are the countries where young people consume the most cannabis.
The cannabis market is gradually emerging in Canada, it is divided into two sub-markets that evolve in parallel:
The first is that of medical market, one of the most interesting if we refer to the conclusions of the Canadian Ministry of Health; the quarterly increase in the number of patients who receive user licenses continues to grow. At the end of the first quarter (March 31, 2016), a few 53 649 patients found themselves on the medical market, in 2015 they were only 39 668. In a few months, 14 00 patients have been added, being authorized to enrich the authorized 34 suppliers; which reflects a quarterly growth of 35%...
This growth rate may prevail upon legalization in the spring of 2017, and in a few years depending on the growth rate, Canada should cross the threshold of 400 patients according to an estimate by the government itself. This figure is not definitive, since currently another public health organization estimates the number of patients at 000… Given the size of the country, ie 70 million inhabitants, this only represents 000 or 36 , 0,2% of the total population.
By way of comparison, Body Research Research Mackie estimates the effects of legalization in Colorado and Oregon at a sustained rate of 2% of the population using cannabis in just 5 years… A percentage that includes 700 patients, ie 000x the market current of canada ...
The second market is the recreational market; legalization will be presented by the Canadian government to millions of Canadian consumers ... Will they answer the call? This is the question the government is asking itself, estimating an upcoming multi-billion dollar market… Most statistics and referrals are based on patients, but the real numbers for marijuana use are not known at the moment. Canada. A survey published in November 2015 by CBC News estimate that 30% of the adult population will be ready to consume cannabis, a figure that can be translated as 8 millions of Canadian likely to be consumer and customer. The company Forum Poll, responsible for the survey, specifies that 20% of those questioned declared that they had consumed marijuana in 2015, while only 13% said that they had never started.
Selon l’analyse de la banque d’investissement CIBC, un groupe qui se spécialise dans le marché canadien, la légalisation totale reflète un marché estimé à 5 à 10 milliard de dollars canadiens, une estimation jugée très prudente qui plus est… Faut garder à l’esprit que ces évaluations sur le marché récréatif et médical ne comprennent pas l’exportation de cannabis en provenance du Canada… L’avenir semble avoir une fière allure pour le canada, ce pays sera probablement le meilleur modèle économique dans le cannabis médicale et surement récréatif si seulement il devient conforme aux exigences juridiques, médicales et commerciales des autres pays considérés comme alliés potentiels.
Just as Justin Trudeau himself states, his country will have to learn the lessons of Washington to Colorado, so that the rest of the world can learn from the Canadian legislative model that will be implemented in spring 2017 ...