Health Canada created the Proposed Cannabis Act to help meet the Government of Canada’s July 2018 deadline to legalize cannabis in Canada and establish a new industry. The Act proposes different regulatory guidelines that range from production to the sale of cannabis.
The objective the Act is to help create a highly diverse and competitive legal industry which consists of all different sizes of operations to outcompete with the illegal cannabis industry. These operations can be individuals, groups, or their own organization. Yet they will all need to work together to promote the new legalized cannabis industry in Canada.
One section of this Act covers the procedures and processes for obtaining a Micro-Cultivation License. This license would allow for small-scale producers to be part of the industry, alongside large-scale producers. Interested parties would need to submit an application and meet the regulatory standards contained within the Act in order to secure a license.
A Micro-Cultivation License would authorize an individual or organization to produce marijuana on a small-scale, as well as enable harvesting and other related activities. A Micro-Cultivation License would allow an individual or organization to engage in the following activities:
- Grow Cannabis Plants
- Produce Fresh and Dried Cannabis
- Produce Cannabis Seeds
- Harvest Cannabis Plants
The license would also allow for supplemental or associated activities, such as:
- Research and Development
- Intra-Industry Sale of Cannabis
- Cultivation of Industrial Hemp Plants
The Micro-Cultivation License does not allow an individual or organization to package, label, ore resell cannabis directly to authorized sellers or the general public. However, the intra-industry sale of seed, plants, and harvested materials to other processors, research and developers, and cultivators would be allowed.
The Ministry of Health would have the power to deny, restrict, revoke, issue, suspend, and renew licenses under the Act. Additionally, the Minister of Health would determine and establish the threshold to be considered a micro cultivator under the Act.
Micro-Cultivation License holders would also be allowed to apply for other activities under the Act, such as Micro-Processing, which would allow the producer to package, label, and resale their products directly to the general public.
Applicants will only have to submit a single application for those activities they want to obtain permits and/or licenses for, and do not have to submit multiple applications for each activity.