Mail-order weed? You betcha!
With civic marijuana amends in Canada on the horizon, the industry is abstraction up abnormally there than the way it was accustomed in nine U.S. states that accept analogously ample legalization. Age limits, government captivation in administration and sales, and admission to cyberbanking are some big discrepancies.
And, yes, Canadians will be able to adjustment cannabis online and accept it delivered through the mail — article that’s actionable in the United States.
Prime Abbot Justin Trudeau appear Wednesday that marijuana will be acknowledged in Canada on Oct. 17. In the meantime, its ambit and cities are alive out issues apropos regulations.
Here’s what to expect:
It’s up to the ambit and territories to actuate how to handle distribution, and they’re demography a array of approaches.
Ontario affairs to accessible up to 150 food run by its Liquor Control Board — a archetypal of accessible buying that is abnormal in the U.S. No accompaniment owns marijuana retail outlets, admitting the tiny Washington accompaniment boondocks of North Bonneville has one city-owned pot shop.
British Columbia is planning for a mix of accessible and a endemic stores, while Newfoundland and Saskatchewan will accept alone clandestine pot shops. In some alien areas area stand-alone marijuana food ability not be economically feasible, including in the Northwest Territories, cannabis could be awash at absolute liquor stores.
Just like U.S. states, the ambit additionally alter on home-growing, with abounding acceptance up to four plants and others, including Quebec, barring it.
And rather than a minimum age of 21, as U.S. states accept set to bout the age for booze consumption, Canada’s federal minimum age to use marijuana will be 18. However, best ambit are opting for 19, which additionally is the bubbler age in best places.
The capricious approaches accomplish the ambit article of a class for added countries to actuate the best means to legalize, said Matt Gray, architect and arch controlling of Herb, a Toronto-based account and amusing media belvedere for the pot industry.
PRICING AND TAXES
Whether run by the government or clandestine entities, the food in Canada will admission their marijuana from federally accountant growers. The government additionally will set a minimum price.
Canada’s accounts ministers accept called it at about $10 per gram, but the Yukon abbot in allegation of marijuana says the government there hopes to displace added of the actionable bazaar by ambience the abject amount at $8.
The federal government wants to tax legal marijuana at either $1 per gram or one-tenth of a product’s price, whichever is greater, additional federal and bigoted sales taxes. It’s acceptable to be beneath than the taxes imposed in states.
Washington state’s marijuana tax amount is 37 percent, additional accompaniment and bounded sales taxes. In California, accountant pot businesses are blaming absolute tax ante that can admission 50 percent for active bodies aback into the atramentous market.
The Canadian government agreed to accord ambit and territories 75 percent of the tax revenue.
Canada’s cannabis businesses accept a massive advantage over their American counterparts: admission to banks.
Because the biologic is still actionable beneath U.S. law, above banks accept been afraid to do business with the industry, alike in acknowledged marijuana states.
U.S. Treasury Department abstracts appearance a apathetic access in the cardinal of banks and acclaim unions advancement accounts for marijuana businesses, with 411 advertisement such accounts aftermost spring.
But abounding of those institutions don’t accommodate full-service banking, authoritative it boxy for businesses to get loans.
“The above Canadian banks were apathetic to balmy to this,” said Chris Barry, a Seattle-based marijuana business advocate who handles industry affairs in both countries for the law close Dorsey and Whitney.
He said abate absolute banks, advance banks and allowance firms got the assignment started.
“That has ambrosial abundant attenuated as a problem,” Barry said. “The majors are advancing about to participate in the market.”
Some Canadian consumers are aghast that abundance shelves will alone banal broiled flower, oils and seeds back sales activate — no edibles. The government has said it needs about addition year to advance regulations for edibles.
There’s additionally a labeling issue: Health Canada has dictated ample admonishing labels on contrarily apparent packages, with austere restrictions on chantry sizes, styles and colors. The abstraction is to abash abusage and to abstain ambrosial to minors, but it additionally leaves little allowance for aggregation logos or branding.
“It looks like anniversary bag is apartment radioactive waste,” said Chris Clay, buyer of Warmland Cannabis Centre, a medical marijuana berth on Vancouver Island. “It’s a tiny logo with this huge admonishing label. It doesn’t leave abundant allowance for ability growers that appetite to differentiate themselves.”
And that, Clay said, is one of abounding things that will accomplish it difficult for mom-and-pop growers to thrive. Giant cannabis companies accept been entering deals to accumulation marijuana to the provinces.
While micro-producers are allowed, Clay is afraid that by the time rules are released, “all the affairs are activity to be biconcave up.”
POT BY POST
While accepting marijuana by mail may be a atypical abstraction in the U.S., it’s annihilation new in Canada. Its postal service, Canada Post, has been aircraft medical marijuana to accustomed patients back 2013.
“Many of our processes are in abode today for alleviative cannabis and will abide for any adapted artefact beatific through Canada Post from accountant distributors,” the bureau said in a accounting statement.
Canada Post requires affidavit of age aloft commitment and won’t leave the amalgamation unless addition is there to accept it.
Associated Press biographer Rob Gillies in Toronto contributed to this report.
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