Canadian cannabis business operator and investment firm CannaRoyalty Corp. has acquired California’s River Distribution and its affiliates which hold both medical and recreational distribution licenses in the state. The stock deal is worth 5 million CannaRoyalty common shares, another 1,650,000 shares subject to operation milestones, and 2 million shares subject to other financial milestones.
In fiscal year 2017, River Distribution generated $25.4 million. Last year, CannaRoyalty acquired California distributor Alta Supply which generated about $6.5 million in the last fiscal year.
Marc Lustig, CannaRoyalty CEO, said adding River to its holdings positions the company “as a leader in the world’s largest regulated distribution system.”
“Our extensive distribution network in California makes us an ideal partner for brands that are looking to grow in California at scale. And a carefully selected portfolio of manufacturing partners also make us a superior partner for dispensaries seeking one-stop access to a full spectrum of top products and brands, in an efficient and cost-effective manner. Today’s news is a major milestone on CannaRoyalty’s journey to building a global cannabis consumer product platform through consolidation of its existing holdings with some of California’s leading operators.” – Lustig in a press release
Last year CannaRoyalty also took over California’s Kaya Management Inc., the exclusive manufacturer and license holder of rights for Bhang brand vaporizer products.
The River Distribution deal is expected to close by the end of Q2.
Dutch officials have announced a three-phase “experiment” to legally supply the Netherlands’ cannabis coffee shops with products. The plan, first discussed in Oct. 2017, is expected to reign in the illicit market, the European Monitoring Centre for Drugs and Drug Addiction reports.
The three phases:
Preparation: designating cultivators and establishing a research consortium.
Experiment: a four-year period of the cultivators producing cannabis for and delivering products to coffee shops.
Completion: restoring the situation back to how it currently operates over a six-month period.
Dutch officials expect to have named an independent advisory committee by the end of May to help determine how the cannabis will be cultivated, how the program will be monitored and enforced, and give the criteria to the municipalities where the experiment will occur – those municipalities will be determined by the end of the summer.
Last year, Dutch lawmakers introduced legislation to legalize cannabis cultivation in The Netherlands but the measure did not succeed. Contrary to popular belief, cannabis is not legal in The Netherlands, but tolerated; however, the nation’s drug policy prosecution guidelines allow individuals to possess up to 5 grams, grow up to five plants, and allow coffee shops to store up to 500 grams at a time.
American Green, the cannabis-focused technology company that purchased the California town of Nipton with plans of turning it into a destination for cannabis tourism, has transferred its holdings in the town to Delta International Oil & Gas Inc. in a $7.73 million deal. The company had originally purchased the town for $5 million.
The deal will see American Green manage Nipton and associated projects for five years with a five-year option. American Green Chairman Davis Gwyther said the transaction relieved the company “of the on-going expense of improving Nipton,” calling the deal “a win-win” for the company and its shareholders.
“That responsibility [of improving Nipton] will now fall upon Delta, giving Nipton the ability to access cheaper capital through a fully reporting company, including the ability to file registered offerings. American Green can now expend less of its energy on capital raising, and focus on implementing the revenue-generating components of Nipton, and its other investments, along with many new, and exciting projects on the horizon.” – Gwyther in a press release
The release notes that, despite reports, cannabis cultivation was “not and never has been” the company’s immediate intent for the area.
“Only when, and if, American Green (as manager) and Delta (as owner) receive full approval from the relevant controlling authorities, would Nipton move, responsibly, into the cannabis product development sector.” – American Green in a press release
At closing, Delta will assume about $3.73 million in American Green debt and issue $4 million in Delta Series A stock convertible to 160,000,000 shares of Delta common stock. The deal is expected to close in 7-10 days.
Arkansas Attorney General Leslie Rutledge has appealed the decision by Pulaski County Circuit Court Judge Wendell Griffen to declare the state’s medical cannabis cultivation licenses “null and void,” KASUreports. The case will be heard by the state Supreme Court, although it’s unclear when the body will hear the case.
In the ruling, Griffen said the state disregarded the licensing rules, finding that the state Medical Marijuana Commission failed to verify the cultivation sites’ distances from schools, churches, and daycares, and whether individuals listed on the applications were ever affiliated with “entities whose corporate status has been revoked for failure to pay franchise taxes.” The judge also found that two members of the commission had a financial relationship with two people with ownership stakes in the cultivation centers.
The suit against the state was brought by Naturalis Health, which was one of the applicants rejected by the Medical Marijuana Commission. In the appeal, Rutledge includes the Arkansas Department of Finance and Administration, the Alcoholic Beverage Control Division, and the commission as defendants.
In his decision, Griffen wrote that he “takes no joy” in blocking the issuance of the licenses.
“The prospect that Arkansans must now endure more delay before gaining much needed access to locally grown medical marijuana should be unpleasant to anyone concerned about providing relief to people who suffer from serious illnesses.” – Griffen, in his opinion, via the Associated Press
The board had approved five cultivators out of a total of 95 applicants. More than 4,100 Arkansas have already applied to qualify for the program.
Australia’s CannPal Animal Therapeutics has received medical cannabis oils from Canada’s Aphria Inc to begin clinical trials of what it calls its lead drug candidate, known as CPAT-01. The company has already completed the dog selection for the live phase of the study, which will be conducted in two phases.
The first phase will involve 11 dogs, while the second phase will include 48 dogs. In both phases, researchers will assess the pharmacokinetic and safety profiles for the propriety cannabinoid blend. The first phase is expected to begin the first week of April with blood sample analysis of the dogs set for May, the company said in a press release.
CannPal received its medical cannabis import license from Australia’s Office of Drug Control earlier this year and recently received export permits from Health Canada.
The trials are part of a growing trend exploring cannabinoid use for animals. A 2016 study published in the Journal of the American Holistic Veterinary Medical Association purported cannabis as a tool to manage chronic health conditions such as anxiety, cancer, seizures, sleeplessness, arthritis, and behavioral issues. Last year, Australia’s Creso Pharma received registration from the European Union to sell CBD products for pets. The company has deals with two European companies – Dutch veterinary product manufacturer A&H and Grieving Holdings Netherland – to develop medical cannabis products for pet owners and veterinarians.
The Kansas House has rejected legislation to legalize broad medical cannabis use, instead opting to advance a measure to legalize CBD products and remove kratom from the state list of illegal drugs, according to a KCURreport. The broad medical cannabis measure failed 54-69 in the House.
Kratom is a supplement made from a plant that grows in Southeast Asia and parts of Africa which some people use to try and wean themselves off opioids. The kratom amendment and the CBD amendment were not included in the version of the legislation advanced by the Senate. The chambers will need to hold a conference committee to come up with a compromise bill.
In January, the state Attorney General’s office issued an opinion declaring CBD illegal. Rep. John Barker tried to remove the CBD language from the bill, claiming that it would be easy to smuggle THC-containing products into the state along with CBD products and noted that CBD is still illegal under federal law; however, his bid was unsuccessful.
The House still needs to approve the final version of the bill before it would move to the conference committee and then to the Senate.
Senate Majority Leader Mitch McConnel (R-KY) announced a bill on Monday that would legalize industrial hemp as an agricultural product, according to a report by The Hill.
The bill — dubbed the Hemp Farming Act of 2018 — has bipartisan support, with Sens. Rand Paul (R-KY) and Ron Wyden (D-OR) both listed as co-sponsors for the legislation.
Industrial hemp pilot programs are already underway in the sponsoring senators’ home states of Kentucky and Oregon, but the proposed legislation would legalize hemp federally by removing it from the Controlled Substances Act and would give states the right to determine their own regulations for hemp as an agricultural commodity.
“Hemp has played a foundational role in Kentucky’s agriculture heritage, and I believe that it can be an important part of our future.” — Sen. McConnell in the report
Under the proposal, researchers would be able to apply directly to the Department of Agriculture for grants to study the crop.
While hemp products are technically legal in the United States, the cultivation of hemp is currently restricted to only individuals who have received a license to grow it under a state’s pilot research program. So far, more than 30 states have established some form of pilot hemp program since they were made legal under the 2014 Farm Bill.
Arkansas Judge Wendell Griffen has declared the state’s medical cannabis cultivation licenses “null and void” finding that the state Medical Marijuana Commission disregarded the licensing rules in the voter-approved amendment, according to a 40/29report.
In the ruling, the judge said that the commission failed to verify the sites’ distances from schools, churches, and daycares, and failed to evaluate whether individuals listed on the applications were ever affiliated with “entities whose corporate status has been revoked for failure to pay franchise taxes.” Griffen also found that two members of the commission had a financial relationship with two people with ownership stakes in the cultivation centers.
“To put it bluntly, the Medical Marijuana Commission and Alcoholic Beverage Control Division have proceeded in a manner that defies due process and the rule of law, rather than in a manner that respects it.” – Judge Griffen, in his opinion, via 40/29
Last week, Griffen had put the state’s licensing process on hold after one of the unsuccessful applicants sued the state.
In the ruling, Griffen said he “takes no joy” in the decision to block the state from issuing the licenses.
“The prospect that Arkansans must now endure more delay before gaining much needed access to locally grown medical marijuana should be unpleasant to anyone concerned about providing relief to people who suffer from serious illnesses.” – Griffen, in his opinion, via the Associated Press
What comes next is unclear. Scott Hardin, the spokesman for the Department of Finance and Administration, said in a statement that the agency respects the judge’s decision but referred questions to the state Attorney General’s Office. The Attorney General’s Office told the AP that they were reviewing the ruling but did not indicate whether they would appeal to the state Supreme Court. Jay Bequette, an attorney for Naturalis Health LLC – the applicant who sued the state – told the AP that the company was “grateful for the judge’s decision” and wanted an independent evaluator to re-score the applications.
The Massachusetts Alcoholic Beverage Control Commission will not allow a local brewer to move forward with plans to roll out a CBD-infused beer, arguing that the cannabinoid is a Schedule I drug and the infusion would violate the Food & Drug Administration’s Food, Drug and Cosmetic Act, the Boston Business Journalreports.
“Even though retail sales of cannabis are expected to become lawful starting July 1, 2018, it will remain unlawful to manufacture and/or sell alcoholic beverages containing any cannabinoid extracts, including tetrahydrocannabinol (“THC”) and cannabidiol (“CBD”), regardless of whether it is derived from the cannabis plant or industrial hemp.” – the ABCC ruling, via Boston Business Journal
Alex Weaver, marketing director for Down the Road Beer Co. – the company that planned on creating the beer – said the company was “disappointed the current laws haven’t caught up with [the company’s] drive to innovate and continue to push the bounds of what craft beer could be.”
“Down the Road Beer Co. has been focused on innovation since day one. Our founder and head brewer, Donovan Bailey, loves pushing the bounds of what craft can be beyond the ordinary or expected. In that vein of innovation, brewing the first CBD beer in Massachusetts made perfect sense for us.” – Weaver to Boston Business Journal
The company still released a version of the brew, called Goopmassta Session IPA, but without CBD.
Down the Road is not the first craft brewery interested in infusing beer with cannabinoids. Last year, California-based Lagunitas Brewing Company released Supercritical IPA, which infused cannabis terpenes but neither CBD nor THC. Vermont’s Long Trail Brewing Company announced its own CBD-infused brew – called Medicator – last August; however, VT Diggerreported last week that the U.S. Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau has not yet issued a certificate of label approval for the brew. Tom Hogue, a spokesman for the federal agency, said that while products containing hemp can pass inspection it cannot contain a controlled substance. Hogue said that approval could take 10 days or more.
Advocates in Oklahoma plan to file two petitions this week to begin gathering signatures in an effort to add constitutional amendments for both medical and recreational cannabis legalization in the state, according to a Tulsa Worldreport. Green the Vote President Isaac Caviness said the group is seeking to add the reforms to the state Constitution in order to prevent lawmakers from being able to change the laws.
“Oklahoma’s constitutional amendments can’t be changed or even made a constitutional amendment without going before a vote of the people. And that’s the biggest protection that we have … against our lawmakers changing it to what they want versus what the people want.” – Caviness to Tulsa World
In order to get a constitutional amendment on the ballots, advocates would need to gather more than 124,000 valid signatures. Caviness indicated that under the recreational use petition, the first $100 million derived via taxes would be earmarked for teachers.
Oklahomans will decide whether to legalize medical cannabis in June, but it (SQ788) wouldn’t add it to the state Constitution. That petition was spearheaded by Oklahomans for Health. A Sooner Poll in January found that 62 percent of respondents supported the ballot question, but just 37 percent supported recreational legalization.
According to new preclinical research by Scripps Research Institute, CBD could be used to reduce the risk of relapse among recovering cocaine and alcohol addicts, Science Dailyreports. The study on rats with a history of voluntary daily alcohol and cocaine self-administration found that CBD reduced relapse induced by stress and drug cues, and anxiety and impulsivity in the drug-addicted rats.
The researchers applied a CBD-infused gel to the rats’ skin once per day for a week and found that five months later the rats still showed reduced relapse by drug or stress cues. Moreover, the researchers found that the CBD was completely cleared from the brain and the rats’ plasma three days after the therapy was completed.
Friedbert Weiss, head of the investigative team, said the study “predicts therapeutic potential for addiction treatment across several classes of abused drugs,” including heroin.
“The results provide proof of principle supporting the potential of CBD in relapse prevention along two dimensions: beneficial actions across several vulnerability states, and long-lasting effects with only brief treatment. Drug addicts enter relapse vulnerability states for multiple reasons. Therefore, effects such as these observed with CBD that concurrently ameliorate several of these are likely to be more effective in preventing relapse than treatments targeting only a single state.” – Weiss in a statement
The study was published in Springer Nature’s Neuropsychopharmacology.
Canada’s Senate has passed the bill to legalize cannabis onto a second reading, moving it to five committees for further study, according to a report from the CBC. The measure passed 44-29, mostly across party lines; a defeat would have pushed the bill back to the lower chamber and jeopardized the chances of the program rolling out this summer.
All of the Senate’s 28 Conservative senators who were present voted against the measure, while all but one Independent voted for the bill.
Peter Harder, the federal government’s Senate representative, called the passage “an important statement by the majority that this bill must advance.”
“This is a bill that is of high interest to the Senate. There are many issues to be dealt with, and it’s important that second reading passed tonight so the Senate could get on with its study, meeting with experts, and deciding if the bill can be improved in any fashion.” – Harder to the CBC
Conservative Sen. Pierre Hugues Boisvenu called the bill “a piece of shit.”
“It doesn’t protect people, it will not exclude organized crime from the production. So, most senators say this bill was written badly. We have to rewrite the bill. It will be a good exercise for us. Every article must be amended.” – Boisvenu to the CBC
There were concerns that Conservatives could delay the measure until there were drugged-driving laws in place. However, the passage could maintain the summer timeline.
New Hampshire’s House approved a motion to refer its recreational cannabis legalization bill for interim study after a roll call vote to keep the bill alive was defeated 135-153. The vote effectively kills the bill for further consideration this year but leaves the door open for the House Ways and Means Committee to study the measure further.
The chamber had voted the measure “ought to pass as amended” in January. The bill would have legalized possession of three-quarters of an ounce of cannabis, 5 grams of “hashish” and home cultivation of six plants but would not have created a taxed-and-regulated market and it would have remained illegal to sell any amount of cannabis.
“House leaders should be ashamed of themselves for subverting the will of Granite Staters and failing to send this bill to the Senate. As election season approaches, voters will surely study today’s roll call vote with great interest.” – Matt Simon, New England political director for the Marijuana Policy Project, in a press release
The vote to punt the measure was influenced by Republican Rep. Patrick Abrami, who chairs the commission tasked with studying legalization and the Ways and Means Committee. The Marijuana Policy Project has called for Abrami to be replaced as head of the legalization study commission arguing that he has “misrepresented the testimony heard by the study commission to lawmakers” in the House. The advocacy organization launched a petition on Change.org calling on House Speaker Gene Chandler to remove Abrami as chair.
The first two applications for Michigan’s new medical cannabis business licenses – one dispensary and one transport service – were both rejected by the state cannabis licensing board, the Detroit Free Pressreports. The vote was 2-2 and the fifth member of the board was absent and couldn’t break the tie.
The applications were for pre-approval, meaning they have filed an application with the state but have not gotten local approval.
The owners of both prospective companies were found by the board to have previous misdemeanors they did not disclose to the board; and while the charges were not enough to immediately disqualify their application, it highlights the importance of candor on the applications. Both companies are expected to return to the board in April for reconsideration.
Tim McGraw, the dispensary applicant who was charged with misdemeanor cannabis possession in 2012, told the Free Press that the charge – his first offense – had been removed from his record after he had completed probation and he hadn’t considered it would show up on the state background check.
“Quite honestly, have you seen the application, it’s extremely confusing. I wasn’t trying to hide it. It’s a learning process for everyone. I guess they were trying to make us the poster children for the licenses and I understand that.” – McGraw to the Free Press
So far, Michigan has received a total of 411 applications for pre-approval. Another 141 have submitted complete applications, including approval from the communities in wish they wish to operate.
This time of year, many growers are in planning stages or already getting started on their outdoor gardens. These early decisions can play a big role in how your season goes and, ultimately, in your final yield. However, choosing your genetics is probably the most basic — yet extremely important — decision you will face.
Do you want to pop seeds or do you want to grow from clone? Many growers keep “Mother” plants of their favorite strains around to take cuts from. Then, there’s the question of whether to run all tried and true, high yielding strains (Blue Dream) or would you like to grow some of the more popular — maybe newer — trendy flavors that everybody is talking about (Sour D, Cookies, Gelato, etc.)?
One thing is for sure: the genetics that you start with can and will affect everything from your plants’ health to your final product. All seeds or clones of any particular strain are not the same. The further away a generation of clones or seeds gets from the original, the weaker the genetics will be. You will still have the strain you want, but it may not grow with the vigor and all of the original properties that the first generation cuts have.
Clones sit on a shelf inside of a Washington-based commercial cannabis grow. Photo credit: Sarah Climaco
The best way to make sure you are getting good genetics is to source them from reliable and reputable breeders. They can get more pricey than the $5 “Trainwreck” clones you will find on Craigslist, but it will be well worth it come harvest time. Clones, especially, are something that you want to be vigilant about. The cute little baby plant can bring with it all sorts of unwanted and unseen bugs, pests, and mold. Powdery mildew (PM) is systemic, which means it lives inside of the plant — and if the mother plant had PM, her offspring will as well. Bringing babies into your grow environment that have mites or mold can infect your whole room and bring down entire crops — so make sure you are being smart about where your clones come from and maybe consider spending the few extra dollars on some reliable babies.
Seeds most likely (hopefully) are not going to bring anything into your grow that will infect your plants. However, sourcing is just as important when it comes to acquiring your seeds. Yes, it is fun to throw your random bag seeds in the ground and see what kind of goodness emerges. But if you are serious about your garden and getting the most out of it, strong and reliable genetics are what you want to start with. Do your research, look for the companies who have the strains you want, see if they have them feminized (guaranteed female), and check what people say about their product. You do not have to buy feminized seeds, but make sure if your seeds are not feminized that you know what to look for in a male plant and how to safely remove it from your garden without pollinating your females. If you start with good seeds and take care of them properly, you will be happy with your end result.
Every grower is different. I know guys who have been growing from the same mothers for years. Some growers like to collect seeds. There are old timers out there that have been growing the same cut since the 1970’s. Everybody has their own technique, their own preferred equipment, and their own ways of deciding how to start their gardens. The one constant of every grow is that when the grower starts with strong genetics, they will have a happier, healthier, and heavier crop.
Canadian medical cannabis producer Tilray has signed a letter of intent with independent pharmacy Pharmasave as a distributor of Tilray-branded medical cannabis products. Pharmasave is a member-governed cooperative of more than 650 independently owned pharmacies throughout Canada.
Today’s announcement puts us in a strong position to expand the availability of our products to additional patients in need throughout Canada. It’s exciting that we have the potential to bring our medical cannabis products to patients via pharmacies in Canada with a partner like Pharmasave, a company that shares our commitment to patient safety and access.” – Brendan Kennedy, Tilray CEO, in a press release
Kennedy noted that the company’s products are available in pharmacies in 10 countries but not yet available in Canadian pharmacies.
In January, Tilray struck a deal with Shoppers Drug Mart, Canada’s largest provider of pharmaceutical products and services. Shoppers Drug Mart also has deals with Aphria and MedReLeaf; however, Shoppers Drug Mart’s parent company, Loblaw Companies Ltd., is still waiting for approval of its medical cannabis application from Health Canada.
Earlier this week, Tilray announced a partnership with Novartis International AG to develop and distribute non-smokable medical cannabis products. Novartis is the fourth largest pharmaceutical company in the world by revenue.
The amendment to protect state-approved medical cannabis programs, known as the Rohrabacher-Blumenauer amendment, has been included in the federal omnibus funding package, which would keep the programs safe from federal interference until at least September.
The amendment explicitly prevents the Justice Department – headed by anti-cannabis zealot Jeff Sessions – from blocking states’ efforts to “[implement] their own state laws that authorize the use, distribution, possession or cultivation of medical marijuana.”
Last year, Sessions sent a letter to congressional leaders urging them to oppose the language of the amendment, which has been approved annually since 2014.
“I believe it would be unwise for Congress to restrict the discretion of the Department to fund particular prosecutions, particularly in the midst of an historic drug epidemic and potentially long-term uptick in violent crime. The Department must be in a position to use all laws available to combat the transnational drug organizations and dangerous drug traffickers who threaten American lives.” – Sessions in a June letter
Earlier this month during remarks to the Federalist Society, Sessions admitted that the feds do not have the resources to prosecute “routine” cannabis cases and would focus instead on gangs and other high-level illicit dealers.
According to a press release from the National Organization for the Reform of Marijuana Laws, more than 10,000 NORML members contacted federal officials over the last two days urging them to maintain the protections included in the amendment.
The bill to legalize medical cannabis in Tennesseehas been rewritten and the new version would make the program virtually unworkable as it calls for physicians to write a prescription for program access, rather than a recommendation, according to a Tennesseanreport. Rep. Jeremy Faison, the bill sponsor who also introduced the amendment, said he was forced to rework the measure “to meet the needs” of the House Criminal Justice Committee, calling the situation “political mumbo jumbo.”
The new bill would allow medical cannabis access for 15 qualifying conditions, including:
cancer
HIV and AIDS
hepatitis C
amyotrophic lateral sclerosis or Lou Gehrig’s Disease
post-traumatic stress disorder
Alzheimer’s disease
severe arthritis
inflammatory bowel disease
Crohn’s disease
ulcerative colitis
multiple sclerosis
Parkinson’s disease
schizophrenia
or a number of chronic or debilitating diseases
The original measure would have required patients to obtain a registration card, with a chip reader, from the state; however, the new measure would only allow those with qualifying conditions to obtain a doctor’s note prescribing cannabis to prevent them from being arrested and prosecuted. Faison said the new language would likely require patients to get those notes from out-of-state physicians. Language to create a state board to regulate the program was also scrapped.
Denver, Colorado is using $1.2 million derived from cannabis tax revenues to pave city roads, according to a Denver7report. The funds will enable the Public Works Department to pave “at least 50” additional blocks, spokeswomen Nancy Kuhn said in the report.
Denver Mayor Michael Hancock said the city receives about $13 million to $14 million a year in excess cannabis revenues – some used for education and some goes to the general fund. The road repair money – $27 million total – is coming from the general fund.
Hancock said that he anticipates those excess revenues will likely decrease as more states legalize cannabis for recreational use, so the city doesn’t earmark those funds for long-term projects requiring steady funding, rather for one-time projects.
Kuhn indicated that this is the first time that the Public Works Department has received cannabis revenues.
“The marijuana revenue is on top of the $4.5 million that we’re receiving from Measure 2-A that voters passed a few years ago. Our funding levels are really optimum right now.” – Kuhn to Denver7
Denver isn’t the only city using cannabis money to improve the lives of citizens. Last August, the Aspen School District was given $250,000 from the state’s cannabis taxes to employ an on-campus social worker for three years. The state Department of Education announced in 2016 a program that would see cannabis-derived taxes fund an anti-bullying program.
According to Colorado Department of Revenue data, last year the state saw $247.37 million in revenues from cannabis taxes – its highest totals to date. Through February, the department has received $42.82 million.
Canadian medical cannabis producer Aphria has signed an exclusive supply agreement with an Argentinian-based pharmaceutical import and distribution firm to provide medical cannabis products in the Latin American nation.
“We are excited to enter the Argentinian market through this initial supply agreement. We see tremendous potential for medical cannabis in several emerging markets in South America, including Argentina. As the leading low-cost supplier of high-quality medical cannabis, Aphria will continue to expand its global leadership through strategic investments, partnerships and exclusive agreements such as this one.” – Vic Neufeld, Aphria CEO, in a press release
In January, Aphria announced it would acquire Nuuvera Inc. as part of its global expansion plans. Nuuvera already has relationships in Germany, Italy, the United Kingdom, Spain, Israel, Malta, Lesotho, and Uruguay; while Aphria currently has agreements in Australia. The Nuuvera deal has yet to be finalized.
Aphria is also one of three firms to strike a deal with Shoppers Drug Mart, Canada’s largest provider of pharmacy products and services, to sell its products through the retailer. The company is also one of six chosen by the Quebec government to supply recreational cannabis to the government, which will be distributed to licensed outlets.
Neither the name of the Argentinian import company nor the monetary terms of the deal have been disclosed.
Nevada’s legal cannabis sales continue to outpace projections as January tax revenues reached $5.54 million, according to Department of Taxation figures outlined by Las Vegas Weekly. The revenues represent a stable market that has topped $5 million in tax revenues in four straight months.
It’s the fourth-highest total since the state launched its recreational cannabis program: October’s $5.8 million in tax revenues still holds as the state record, followed by $5.7 million in December, and $5.5 million in November.
Wholesale taxes – 15 percent on both recreational and medical products paid by cultivation and production facilities – represented $2.26 million of the revenues, while the 10 percent excise tax on sales was about $3.28 million.
The state projected tax revenues of $5 million a month from July 2017 to July 2019, totaling $120 million. Taxation Department Director Bill Anderson told Las Vegas Weekly that the “collections to date are around 70 percent of what was projected for the year.”
“Taxable sales of adult-use marijuana accounted for about $200 million of the total statewide taxable sales for the period of July through December 2017 and about 15 percent of the growth in taxable sales for that period compared to the year prior.” – Anderson in a Mar. 1 press release
Wholesale tax funds are used by state and local agencies to regulate the industry and for school funding. Excise tax revenues are deposited in the rainy day fund.
Voters in Cook County, Illinois – which includes Chicago – have approved a non-binding referendum calling on the state to legalize cannabis for recreational use, according to a Chicago Readerreport. Voters in the Windy City approved the measure 73 percent to 27 percent and overall Cook County voters approved the referendum 68 percent, KWQCreports.
“Shall the State of Illinois legalize the cultivation, manufacture, distribution, testing, and sale of marijuana and marijuana products for recreational use by adults 21 and older subject to state regulation, taxation and local ordinance?” – non-binding ballot question approved by Cook County voters
The Marijuana Policy Project estimates that a legal cannabis industry in Illinois could generate between $350 million and $700 million annually in tax revenues. The Reader has previously reported that in the first seven months of 2016 – before statewide decriminalization took effect – more than 3,300 people were arrested for low-level possession and 70 percent of those arrests were for 1 gram or less; 78 percent of those arrested were black, 17 percent were Hispanic, and just 4 percent were white – roughly the same percentages identified by Reader investigations from 2014 and 2011. And while just 59 people were arrested and charged with misdemeanor cannabis possession after the law took effect to the end of 2016, 80 percent of those individuals were black.
Republican Gov. Bruce Rauner does not support legalization.
“I think it’s a big experiment on young people’s brains and development. We should study what’s going on in Colorado and California. Even [Colorado Governor John] Hickenlooper says, ‘Bruce, you guys in Illinois, you ought to wait awhile and study what’s going on here. ‘Cause it ain’t all good.'” – Rauner in a Mar. 16 interview with radio station WJPF via the Reader
The referendum is solely advisory, but it could help pro-cannabis lawmakers make their case in the capital.
According to a Brookings Institute report, Uruguay’s legal cannabis program has been hindered by supply problems and curtailed access to financial services but the market is maturing and officials are planning to widen the legal points of sale from pharmacies to retail dispensaries.
“In order for the regulated cannabis market to displace the black market more effectively, authorities may need to reconsider rules that require users to choose only one of the three legal forms of cannabis supply: homegrowing, clubs, or commercial purchase.” – “Uruguay’s cannabis law: Pioneering a new paradigm”
The report indicates that, initially, more than 13,000 Uruguayans signed up with the government to purchase cannabis legally – up to 40 grams per month – but the 16 pharmacies signed up to sell the two government-approved strains could only receive 2 kilograms of cannabis per month, every two weeks which “created not just a shortage from the lopsided purchaser to dispensary ratio, but also in terms of the purchaser maximum to pharmacy monthly supply ratio.”
As of today, the number of registered buyers has swelled to more than 22,000 but the number of pharmacies selling the products has fallen to 12 – and five of them are in the Montevideo, leaving 11 of the state’s departments without a pharmacy selling the products.
Despite the challenges, the report authors conclude that the model, while not perfect, “is a pioneering effort from which other governments will surely learn.”
“Like any administrative model, there is room for improvement. The effort to strengthen an already robust regulatory and administrative program is critical to meet public expectations and to advance the overall goals of a law.” – “Uruguay’s cannabis law: Pioneering a new paradigm”
The authors suggest that the nation explicitly allow cannabis industry operators access to financial institutions, expand medical cannabis access, reconsider the exclusive sales model, allow tourists to purchase products, and educate both the medical and law enforcement community.
Michigan criminal defense attorney Michael Komorn has helped citizens submit more than 100 petitions to add illnesses to the state’s medical cannabis qualifying conditions list, according to a report from MINORML board member Rick Thompson’s Social Revolution. More than 20 of those petitions have been accepted by the Bureau of Medical Marihuana Regulation.
The petitions accepted by the agency include:
Anxiety
Depression
Obsessive-compulsive Disorder
Panic Attacks
Schizophrenia
Social Anxiety Disorder
Arthritis
Rheumatoid Arthritis
Brain Injury
Treatment of Spinal Cord Injury
Asthma
Diabetes
Colitis
Gastric Ulcer
Inflammatory Bowel Disease
Ulcerative Colitis
Organ Transplant
Non-Severe and Non-Chronic Pain
Parkinson’s
Tourette’s Syndrome
Autism
According to a spokesperson for Komorn Law, the team plans on “fixing” some of the rejected petitions and resubmitting them to regulators for consideration. David Harns, the spokesman for the Michigan Department of Licensing and Regulatory Affairs, which oversees the medical cannabis bureau, indicated that the agency hopes to have a meeting date to consider some of the accepted petitions by the end of the month; although he did not indicate which petitions would be reviewed by the panel.
The report indicates, state officials have previously approved medical cannabis access for post-traumatic stress disorder via the petition process but has rejected many other conditions, including autism.