Medical Marijuana Producer Licensing
Are you interested in becoming a legal producer of medical marijuana? If so, you could take on a propitious position in a marketplace experts have heralded as “the birth of a billion-dollar medical marijuana industry in Canada”. Entrepreneurs looking to open up shop as new “producers” can apply to Health Canada and be allowed to set their own prices.
Recent sweeping changes in North American legislation regarding production and use of medicinal cannabis (marijuana) have opened a field of opportunity unprecedented in the history of Western civilization and commerce. Never before has a natural medicine so thoroughly prohibited yet with such vast and indomitable reach and a track record of thousands of years of therapeutic use by humans been, after decades forced underground, allowed back into the light of day and the market and research.
The ramifications of wise and decisive action in this field will still be growing generations from now.
As ever, science has preceded policy.
NuYuga’s core team bears decades of experience in this field and knows the entire marijuana industry, including legal medicinal, research & scientific, and industrial & agricultural interests, from top to bottom. With even a lineage of expertise and former experience in the underground “compassion” growing and trade market, we have complete and comprehensive coverage of every aspect of the cannabis universe.
Medicinal users of medical marijuana will no longer legally grow their own medicine, nor will the government sell it. With new Canadian federal regulations coming online on April 1, 2014, residential growing of medicinal cannabis will no longer be permitted, and only licensed industrial facilities (large indoor farms) may be approved under Health Canada and RCMP supervision to produce, package and distribute a range of carefully standardized medicinal cannabis products at market prices to Canadians who hold a doctor’s prescription.
Health Canada officials identified dysfunctions in the retiring system, including mold and electrical wiring problems for producers and backdoor deals to satisfy illegal demand on the streets. Since new cannabis facilities must be in commercial buildings instead of homes, inspectors will as of April 1, 2014 have the power to search to make sure everything is compliant.
Health Canada is placing no limits on the number of these new capital-intensive facilities, which will have mandatory vaults and security systems. Imports from places such as the Netherlands will also be allowed.
As of January 19th, 2014, Health Canada had received 404 applications to produce and distribute medical marijuana, 164 of them from Ontario. Four licences have so far been granted to: CanniMed Ltd., Mettrum Ltd., Bedrocan Canada Inc. and The Peace Naturals Project Inc.
Why apply? The profit potential is enormous. Currently there are about 37,500 licensed medical marijuana users in Canada. Based on the rate of growth in previous years, that number is anticipated to reach 45,000 by 2024, with projections of $1.3 billion per year in annual sales, according to Health Canada. A gram of dried marijuana “bud” (the flowering part of the cannabis plant containing the active phyto-medicinal compounds, or “cannabinoids”) carries a street value of about $10, and Health Canada projects the legal products will average about $7.60 per gram, as producers set prices without interference from government. Patients often use several grams a day to alleviate a wide range of symptoms, including cancer-related pain and nausea.
Prospective patients, including those under the current system, must get a medical professional to prescribe medical marijuana using a government-approved form.
As of January 2014, NuYuga is accepting candidates to apply to become a legal producer (i.e., grower, packager, seller) of medical marijuana in Canada.
Becoming a legal producer shares many similar procedures required for the licensing of natural health products – primarily, obtaining a site licence. Our skilled and experienced team members in the medical marijuana industry will provide you a road map to success in fulfilling the requirements for obtaining a producer licence. Of course, the decision does not come solely from a well-written and -executed application – there are other factors involved in assessment, as well as financial and personal elements (e.g., does the applicant have a criminal record?)
Commercial producers will have to meet strict criteria. The MMPR (Marijuana for Medical Purposes Regulations) program involves navigating through a set of operations and procedures governing the growing, packaging, selling, and security surrounding your business as a producer. Licensed producers will be subject to regulatory requirements such as quality control standards related to security; good production practices (GPP); packaging, labeling and shipping; record-keeping of all activities as well as inventories of marijuana and reporting; and distribution. Prior to the issuance of a Licensed Producer licence, the site will be subject to Health Canada inspection. Similar to natural health product licensing, you will need to have have a Quality Assurance Program in place (including a QA staffer), experienced staff physically present at the site at all times during its operation, and you will also be required to submit analytical testing to ensure quality and consistency of product. Our experts can assist in preparing the Quality Assurance Report (QAR) and the Standard Operating Procedures (SOPs) required under the GPP requirements.
Anyone who works in or around the crops must hold a valid security clearance issued by the Minister of Health. In addition, all shipments must be tracked and monitored, and all of the cannabis must be tested regularly to monitor levels and prevent safety breaches like mold growth.
To obtain a producer’s licence from Health Canada, interested individuals or corporations must demonstrate compliance with the requirements outlined in the Marihuana for Medical Purposes Regulations.
You can apply to become a licensed producer by completing the following application form:
- Application: Application to Become a Licensed Producer under the Marihuana for Medical Purposes Regulations
To assist potential licensed producers with completing the application, Health Canada has developed a guidance document. This document is a reference document based on requirements to become a licensed producer under the Marihuana for Medical Purposes Regulations.
- Guidance Document: Guidance Document for the Application to Become a Licensed Producer under the Marihuana for Medical Purposes Regulations
As part of the application process, you will be required to seek a security clearance for certain key positions, as specified in the regulations. Completing the following forms will facilitate the security clearance process:
- Security Clearance Application Form: Security Clearance Application Form under the Marihuana for Medical Purposes Regulations
- Third Party Security Clearance Consent Form: Security Clearance Fingerprint – Third Party Consent to Release Personal Information under the Marihuana for Medical Purposes Regulations
For additional information, please refer to the Additional Information for Licensed Producers under the Marihuana for Medical Purposes Regulations web page or the Frequently Asked Questions web page.
We are available to assist interested parties to apply to become authorized producers of medical marijuana, as well as to conduct research and development activities with marijuana, including testing plant materials, medical applications and growing conditions.
If you’re interested in joining this exciting and rewarding field of remarkable growth and opportunity, contact us now to secure a position in our first tier of registration applications.
Eligible candidates may qualify for our complete and customized MMPR Flying Start program, wherein our field experts will design and implement a turn-key medical marijuana production system for you from the ground up. We cover the entire cycle from seed to mouth, including industrial design and installation of the most advanced and productive indoor growing systems based on decades of experience, wholesale sourcing of all supplies and resources through our partner networks, and even staffing, guidance and introduction of the top qualified experts in the field to carry your venture high above water into the grand success it can be. Space subject to availability.