TORONTO, ONTARIO--(Marketwired - Sept. 2, 2014) - Medical marijuana has become big business in Canada. dicentra's online webinar deciphers the medical marijuana production licensing under the new Canadian regulations. The goal: to help entrepreneurs and investors surmount confusing legislation so they can reap the benefits of the multi-billion dollar medical marijuana industry.
The new rules
Some 40,000 Canadians use medical marijuana to alleviate chronic pain, epilepsy, nausea, loss of appetite due to chemotherapy and tremors associated with Parkinson's.
On March 31, 2014, Health Canada announced a change in its policy for medical marijuana with the introduction of Marihuana for Medical Purposes Regulations (MMPR). Under these new regulations, patients are prohibited from producing their marijuana themselves or obtaining it from the government. The Conservatives decided to privatize the market for medical marijuana, regulate licensed producers and, of course, tax the industry.
The Green Rush
What followed was a rush by hundreds of investors and entrepreneurs to obtain a production license in what is now commonly referred to as the Green Rush. The industry is forecasted to be worth between $120 million and $220 million in the first full year. Within a decade, the marketplace will have at least 400,000 registered patients, generating annual sales of approximately $3.1 billion.
Thirteen companies have been licensed to sell marijuana so far, and some are already having trouble meeting demand. One in particular has a 70,000 square foot facility in place and is looking to open or acquire a second, larger facility in Canada as it ramps up production. Another producer has closed patient registration as current production capacity has reached its limit. They are expanding their facilities and expect to accept new patients in the fall.
For now, firms are setting up production to meet the high demand expected in the coming years. With an eye to the long term, they are also anticipating the possibility that marijuana could one day be legalized for recreational use, similar to alcohol and tobacco. The Liberals, particularly Justin Trudeau, have hinted at an agenda that aims to legalize pot.
dicentra provides clarity
It's not all good news, however. So far only thirteen companies have received licenses. At least 500 others have applied, many of them committing hundreds of thousands of dollars, if not millions, just to get started. Clearly many applicants are having trouble meeting the rigorous requirements and many investors are holding back because there is simply too much regulatory uncertainty.
Nevertheless, many investors across the country are continuing full speed ahead. To them, this is an opportunity that cannot be missed. To help in the process, dicentra has announced an online webinar, scheduled for September 24, to provide clarity on all the steps required to become a licensed producer under the new regulations, how to remain a licensed producer, and a close look at the expected costs and total market size. For further information please visit www.dicentra.com/webinars or call 1-866-647-3279.
"Medical marijuana is a controlled substance in Canada and, like any controlled substance, production needs to take place under a very strict and well controlled quality environment," says Peter Wojewnik, Vice President of dicentra, a leading regulatory firm that helps companies obtain licenses for medical marijuana production under MMPR. "We're talking about a pharmaceutical-grade facility with standard operating procedures, rigorous testing and quality assurance personnel in place. Something like this is not going to be built and implemented with a low-cost budget in mind."
dicentra provides sought-after regulatory and scientific guidance for health-related products sold in North American marketplaces. They have a long-term working relationship with the Health Canada Office of Controlled Substances as well as expertise in the areas of MMPR, Good Production Practices, Quality Assurance, Standard Operating Procedures, and in establishing a compliant production facility.
For more information, visit www.dicentra.com/webinars