Factbox: Pot Nation: Canada's plans for legal marijuana

East Side Games

17/11/2017 19:31

Nov 17 (Reuters) - Recreational marijuana is on track to be 
legalized in Canada by July 2018, making Canada the first Group 
of Seven country to allow the drug nationwide and the second in 
the world after Uruguay. 
    While the federal legislation proposed by Prime Minister 
Justin Trudeau's Liberal government will regulate cannabis 
production, the details of who can sell it and who can buy it 
will be largely left up to the country's provinces. 
    The following are details of some key factors of how legal 
marijuana is shaping up in Canada.  
     
    SALES 
    So far, five of Canada's 10 provinces have come forward with 
frameworks for retail marijuana sale. In Ontario, Quebec and New 
Brunswick, cannabis sales will be run by provincial 
government-owned entities. The western provinces of Manitoba and 
Alberta have said they will license private retailers.  
    The federal government set the minimum legal age for buying 
marijuana at 18, but the provinces can raise that if they wish. 
In Ontario, Canada's most populous province, the legal age will 
be 19.  urn:newsml:reuters.com:*:nL2N1LP14Q 
    The federal government's proposed law also permits adults to 
grow up to four marijuana plants at home, although Quebec 
announced Thursday it will not allow residents of the province 
to grow their own marijuana.  
  
    ENFORCEMENT 
    Federal and provincial governments are tightening the rules 
around impaired driving and bringing in a roadside saliva test 
to check for drug impairment. 
    The federal government is setting up systems to track all 
cannabis from seed to sale, to license non-medical producers and 
to test marijuana for potency and quality control. The federal 
government has already issued more than 70 licenses for 
producing medical marijuana, which has been legal in Canada 
since 2001. 
     
    INVESTORS 
    MJIC Inc's equal-weighted Canadian Marijuana Index, which 
tracks stocks of major legal cannabis companies, is up 28 
percent this year. The Horizons Marijuana Life Sciences ETF 
 HMMJ.TO , the first exchange traded fund in North America to 
focus on the legal market, is up more than 20 percent since it 
launched in April.  urn:newsml:reuters.com:*:nL1N1KM136 
    Canopy Growth Corp  WEED.TO , Aurora Cannabis  ACB.TO  and 
Aphria  APH.TO , three of Canada's four biggest marijuana 
producers by market cap, have gained 89 percent, 137 percent and 
71 percent respectively this year. MedReleaf Corp  LEAF.TO , the 
fourth, which listed in June, is up 107 percent since its debut. 
    Marijuana stocks listed have surged since Oct. 30, when U.S. 
alcohol company Constellation Brands  STZ.N  bought a nearly 10 
percent stake in Canopy for about C$245 million ($192.05 
million).  urn:newsml:reuters.com:*:nL4N1N5484 
     
    TAXES 
    A battle is brewing between the federal government and some 
provinces over how tax revenue is divided between the two levels 
of government. 
    The federal government said last week it wants an excise tax 
on all cannabis products of C$1 (78 cents) per gram (0.04 
ounce), or 10 percent of the retail price, whichever is higher.  
    The government proposed splitting the tax 50-50 with the 
provinces, drawing criticism from Ontario which says it will 
face higher costs related to enforcement and establishing a 
system for sales.  urn:newsml:reuters.com:*:nL1N1NG13I  
 
($1 = 1.2757 Canadian dollars) 
 
 (Reporting by Anna Mehler Paperny and Nichola Saminather; 
Editing by Chris Reese) 
 ((Anna.MehlerPaperny@thomsonreuters.com; 647-225-9609;)) 
 
Keywords: CANADA MARIJUANA/FACTBOX