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Weed supply low following post-legalization in Canada

Canada is quickly becoming one of the top underrated places to travel. After the recent legalization of marijuana, there is a whole new industry that has cropped up related to weed. Everything from herbal remedies to baked goods have emerged as secondary markets in the region. There is even a prolific market for weed based dog treats to cure pet-anxiety. The traditional dispensary is quickly evolving to keep up with market demand.

Vancouver is an interesting example of this scenario. There are currently more illegal dispensaries than there are Starbucks outlets in the city. You can buy a coconut-chocolate-weed infusion just as easily as you would a ChocoMocca latte here.

The government is trying its best to curb the black market in the space, which is estimated to be close to 5 Billion CAD. That market is a large one to disrupt, leading many to believe that supply needs to outgrow demand for the product.

Canada’s doing all it can to curb the market, empowering hundreds of unarmed inspectors to shut down dispensaries on the spot. This can rapidly change the black market and make it redundant in the future.

The real problem is the lack of quality supply to keep up with rising demand. That’s why customers opt for tax-free (and often cheaper) black market alternatives. With increased regulation, the black market may possibly shrink over time.

Toronto saw 5 illegal dispensaries being shut down a few days after the law went into effect. Many other cities are following suit. The flip-side of the picture is the irregularity with which licenses are being provided. For growers who were generating income illegally, there are few ways of applying for a legal license.

This opens up the market for outside growers to enter Canada and create a legal brand in the growing economy. The problem for the residents lies in the habit of calling up your local dealer. It’s simpler than having to visit a dispensary and not knowing whether it is legal or not. Since you already have a relationship established with the dealer, you won’t want to experiment outside of that network.

What are the dispensaries doing about it? Not much as it turns out.  Only $180,000 of the $3 Million worth of fines issued was paid so far. Dispensaries are waiting for consumer trends to evolve and for government to relax these rules. Legislation was only the first step. Now comes a host of new challenges which involve increased investment in inspections.

Finally, the licensing fees can range anywhere between $500 to $30,000 depending on the state and the type of operation you’re running. This is also indicative of how each state wants to manage the industry from within. That’s another impediment for black market dealers to turn towards the legal route.

With decreased red tape, increased accessibility and assistance, the industry can grow many times over. With Canada running out of legal marijuana this year, next year seems brighter than before. In conclusion, there is a market out there ready to expand but it needs legal clarification and assistance across the board.

Legal cannabis in Canada has wild reactions

On Wednesday, Canada did what it said it would and became the largest country with a legal national marijuana marketplace, joining Uruguay to become the second country in the world to nationally legalise cannabis.

To the surprise of no one, sales began early Wednesday in Newfoundland with hundreds of customers lined up around the block at St. John’s by the time the clock struck midnight.

The atmosphere could only be described as ‘festive’  with some of the customers too excited to wait until they returned home, lighting up on the sidewalk and motorists honking their horns in support and they drove by the happy crowd.

Ian Power will go down in history as one of the first in line in the private store on Water Street to buy the newly legal national marijuana in Canada however, he told reporters that he has no plans on smoking it, instead he will frame it and hang it on his wall to be saved forever.

“Prohibition has ended right now. We just made history,” said the 46-year-old Power, who bought a gram. “I can’t believe we did it. All the years of activism paid off. Cannabis is legal in Canada and everyone should come to Canada and enjoy our cannabis.”

There was even more good news for cannabis aficionados, as hours before any retail outlets were opened, it was revealed that Canada would be pardoning all those with convictions for possessing small amounts of the drug up to 30 grams.

News of Canada’s firm decision to begin a national experiment that will alter their cultural, economic and social fabric in was met with calls for other countries to follow suit, expression of envy over Twitter and some backlash from other countries who are not willing to decriminalize the drug.

“Canada shows the way. When will the UK end the catastrophic prohibition of cannabis?” tweeted British MP Norman Lamb.

“Now that our neighbor to the north is opening its legal cannabis market, the longer we delay, the longer we miss out on potentially significant economic opportunities for Oregon and other states across the country,” said  Democratic Sen. Ron Wyden of Oregon in a statement, urging the U.S Government to follow Canada’s lead.

However just as there were thousands of excited tweets coming in, there were those who expressed their distaste with the legislation.

One such instance came from the citizen group the Arizonans for Responsible Drug Policy, which said Canada had declared a winner in the war on drugs, tweeting,  “Congratulations Drugs. Better luck next time public health and saftey [sic]”.

The U.S has set up its own wall against the legalisaiton of the plant based drug by revealing that those who use marijuana legally in Canada could be banned from entering the country for smoking a single joint.

On the eve of Canada’s big day, U.S. Customs and Border Protection executive assistant commissioner Todd Owen told journalists, “Admission of illegal drug use are grounds to be found inadmissible into the United States.”

“It’s now legal in Canada, so a lot of it comes down to … whether the officer believes they may engage in the same activity while in the United States,” he said. “If somebody admits to smoking marijuana frequently in Canada, then that will play into the officer’s admissibility decision on whether they think on this specific trip they are also likely to engage in smoking marijuana in the United States as well.”

There are still many things that have to be resolved around the national legalization of the drug, including health and public safety as well as the threat of addiction and the effects it will all have on young people, including social pressure similar to what many already experienced with alcohol use.