OTTAWA — A review of the federal legislation that paved the way for the legal recreational use and sale of cannabis says companies in the legal market report struggling to realize profits and maintain financial viability.
Retailers cite the burden of taxes, markups, fees, and regulatory compliance costs as barriers to the industry’s viability, which they say is a necessary precondition to maintaining a safe and legal source of supply and to combat the illicit market.
The report says public health experts remain supportive of the legislation’s precautionary approach, including THC limits for edible cannabis products and restrictions on promotion, while some suggest considering stricter age limits on who can possess, distribute and buy cannabis. While the panel that conducted the review says it heard progress has been made on deterring criminal activity and displacing the illicit market, many public safety stakeholders remain concerned about unauthorized retail stores and illegal online channels.
Panellists heard varying viewpoints on whether consumer demand was being met, with consumers still seeking products unavailable in the legal market such as higher-potency edibles, along with limited access in some rural and remote regions.Postmedia is committed to maintaining a lively but civil forum for discussion and encourage all readers to share their views on our articles. Comments may take up to an hour for moderation before appearing on the site.
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