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do i need a licence to sell cannabis seeds

Cannabis Regulations (SOR /2018-144)

12 (1) A holder of a licence for micro-cultivation or standard cultivation must retain the services of one individual as a master grower.

Marginal note: Responsibilities and knowledge

(2) The master grower is responsible for the cultivation, propagation and harvesting of cannabis and must have sufficient knowledge of the provisions of the Act and these Regulations in relation to those activities.

Marginal note: Alternate

(3) A holder of a licence for micro-cultivation or standard cultivation may designate one individual as the alternate master grower who is qualified to replace the master grower.

Marginal note: Micro-cultivation — threshold

13 (1) A holder of a licence for micro-cultivation

(a) must clearly delineate a surface area that does not exceed 200 m 2 in which all the cannabis plants, including all the parts of the plants, must be contained; and

(b) must cultivate, propagate or harvest cannabis plants only from that surface area.

Marginal note: Surface area — calculation

(2) If the surface area referred to in paragraph (1)(a) consists of multiple surfaces, such as surfaces arranged above one another, the area of each surface must be included in the calculation of the total surface area.

Licence for Nursery

Marginal note: Authorized activities

14 (1) Subject to the other provisions of these Regulations, a holder of a licence for a nursery is authorized to conduct those of the following activities that are authorized by the licence:

(a) to possess cannabis;

(b) to obtain cannabis plants or cannabis plant seeds by cultivating, propagating and harvesting cannabis;

(c) for the purpose of testing, to obtain cannabis by altering its chemical or physical properties by any means; and

(d) to sell cannabis.

Marginal note: Offer

(2) A holder of a licence for a nursery that is authorized to conduct the activity referred to in paragraph (1)(b) is also authorized to offer to conduct that activity.

Marginal note: Ancillary activity

(3) A holder of a licence for a nursery that is authorized to conduct the activity referred to in paragraph (1)(b) is also authorized, to the extent necessary to conduct that activity, to conduct ancillary activities such as drying cannabis.

Marginal note: Use of organic solvent

(4) A holder of a licence for a nursery that is authorized to conduct the activity referred to in paragraph (1)(c) is also authorized to alter the chemical or physical properties of cannabis by the use of an organic solvent when conducting that activity.

Marginal note: Sale

(5) A holder of a licence for a nursery whose licence authorizes the sale of cannabis is authorized to conduct the following activities:

(a) to sell and distribute cannabis plants and cannabis plant seeds to any of the following:

(i) a holder of a licence for cultivation,

(ii) a holder of a licence for processing,

(iii) a holder of a licence for analytical testing,

(iv) a holder of a licence for research,

(v) a holder of a cannabis drug licence,

(vi) the Minister,

(vii) a person to which an exemption has been granted under section 140 of the Act in relation to the cannabis or class of cannabis that is sold or distributed, or

(viii) the individuals referred to in section 4;

(b) to sell and distribute cannabis plants and cannabis plant seeds, that are cannabis products, to the following:

(i) a holder of a licence for sale, or

(ii) a person that is authorized under a provincial Act referred to in subsection 69(1) of the Act to sell cannabis; and

(c) to send and deliver cannabis plants and cannabis plant seeds, that are cannabis products, to the purchaser of the products at the request of

(i) a person that is authorized under a provincial Act referred to in subsection 69(1) of the Act to sell cannabis, or

(ii) a holder of a licence for sale.

Marginal note: Client’s shipping address

(6) If a holder of a licence for a nursery sends or delivers cannabis plants and cannabis plant seeds under subparagraph (5)(c)(ii) further to the sale of such products under section 289, the holder must send or deliver the products to the client’s shipping address as indicated by the holder of a licence for sale for medical purposes.

Marginal note: Master grower

15 (1) A holder of a licence for a nursery must retain the services of one individual as a master grower.

Marginal note: Responsibilities and knowledge

(2) The master grower is responsible for the cultivation, propagation and harvesting of cannabis and must have sufficient knowledge of the provisions of the Act and these Regulations in relation to those activities.

Marginal note: Alternate

(3) A holder of a licence for a nursery may designate one individual as the alternate master grower who is qualified to replace the master grower.

Marginal note: Obtaining cannabis plant seeds

16 (1) A holder of a licence for a nursery that cultivates cannabis for the purpose of obtaining cannabis plant seeds must

(a) clearly delineate a total surface area that does not exceed 50 m 2 in which all the budding or flowering cannabis plants, including all the parts of those plants, must be contained;

(b) not possess more than 5 kg of flowering heads harvested from the plants referred to in paragraph (a), with the exception of the cannabis plant seeds; and

(c) destroy the flowering heads — with the exception of the cannabis plant seeds — leaves and branches of the plants referred to in paragraph (a) within 30 days of harvesting them.

Marginal note: Surface area — calculation

(2) If the surface area referred to in paragraph (1)(a) consists of multiple surfaces, such as surfaces arranged above one another, the area of each surface must be included in the calculation of the total surface area.

Processing Licences

Marginal note: Authorized activities — licence for standard processing

17 (1) Subject to the other provisions of these Regulations, a holder of a licence for standard processing is authorized to conduct those of the following activities that are authorized by the licence:

(a) to possess cannabis;

(b) to produce cannabis, other than obtain it by cultivating, propagating or harvesting it; and

(c) to sell cannabis.

Marginal note: Authorized activities — licence for micro-processing

(2) Subject to the other provisions of these Regulations, a holder of a licence for micro-processing is authorized to conduct those of the following activities that are authorized by the licence:

(a) to possess cannabis;

(b) to produce cannabis, other than obtain it by

(ii) cultivating, propagating or harvesting it; and

(c) to sell cannabis.

Marginal note: Offer

(3) A holder of a licence for micro-processing or standard processing that is authorized to conduct the activity referred to in paragraph (1)(b) or (2)(b) is also authorized to offer to obtain cannabis by any method authorized by the licence.

Marginal note: Use of organic solvent

(4) A holder of a licence for micro-processing or standard processing that is authorized to conduct the activity referred to in paragraph 1(b) or (2)(b) is also authorized to alter or offer to alter the chemical or physical properties of cannabis by the use of an organic solvent when conducting that activity.

Marginal note: Sale

(5) A holder of a licence for micro-processing or standard processing whose licence authorizes the sale of cannabis is authorized to conduct the following activities:

(a) to sell and distribute cannabis to any of the following:

(i) a holder of a licence for processing,

(ii) a holder of a licence for analytical testing,

(iii) a holder of a licence for research,

(iv) a holder of a cannabis drug licence,

(vi) a person to which an exemption has been granted under section 140 of the Act in relation to the cannabis or a class of cannabis that is sold or distributed, or

(vii) the individuals referred to in section 4;

(b) to sell and distribute the following cannabis to a holder of a licence for micro-cultivation or standard cultivation:

(i) dried cannabis, fresh cannabis, cannabis plants and cannabis plant seeds, or

(ii) any cannabis that was obtained or produced for the purpose of conducting testing that is necessary to determine the chemical characterization of cannabis;

(c) to sell and distribute the following cannabis to a holder of a licence for a nursery:

(i) cannabis plants and cannabis plant seeds, or

(ii) cannabis that was obtained or produced for the purpose of conducting testing that is necessary to determine the chemical characterization of cannabis;

(d) to sell and distribute cannabis products to the following:

(i) a holder of a licence for sale, or

(ii) a person that is authorized under a provincial Act referred to in subsection 69(1) of the Act to sell cannabis; and

(e) to send and deliver cannabis products to the purchaser of the products at the request of

(i) a person that is authorized under a provincial Act referred to in subsection 69(1) of the Act to sell cannabis, or

(ii) a holder of a licence for sale.

Marginal note: Client’s shipping address

(6) If a holder of a licence for micro-processing or standard processing sends or delivers cannabis products under subparagraph (5)(e)(ii) further to the sale of such products under section 289, the holder must send or deliver the products to the client’s shipping address as indicated by the holder of a licence for sale for medical purposes.

Marginal note: Consumer information document

18 (1) A holder of a licence for processing must ensure that each shipment of a cannabis product, other than cannabis plants and cannabis plant seeds, is accompanied by copies of the current version of the document entitled Consumer Information — Cannabis , published by the Government of Canada on its website, in a number that is equal to or greater than the number of cannabis products in the shipment in the following cases:

(a) the sale or distribution of cannabis products to a person that is authorized under a provincial Act referred to in subsection 69(1) of the Act to sell cannabis; and

(b) the sending or delivering of cannabis products under paragraph 17(5)(e).

Marginal note: Exception

(2) Subsection (1) does not apply if the holder sells or distributes the product to a person referred to in paragraph (1)(a) and that person has notified the holder in writing, that they will obtain the copies through other means and provide it to consumers with their purchase of the product.

Marginal note: No modification

(3) The copies must be identical to the document referred to in subsection (1).

Marginal note: Quality assurance person

19 (1) A holder of a licence for processing must retain the services of one individual as a quality assurance person who has the training, experience and technical knowledge related to the requirements of Parts 5 and 6 that are applicable to the class of cannabis in respect of which activities are conducted under the licence.

Marginal note: Exception — edible cannabis

(1.1) Despite subsection (1), if the quality assurance person does not have the training, experience and technical knowledge related to the requirements of Parts 5 and 6 that are applicable to edible cannabis, the holder of a licence for processing that conducts activities in respect of that class of cannabis must retain the services of another individual who has that training, experience and technical knowledge.

Marginal note: Responsibilities

(2) The quality assurance person is responsible for

(a) assuring the quality of the cannabis before it is made available for sale;

(b) investigating every complaint received in respect of the quality of the cannabis and, if necessary, immediately taking measures to mitigate any risk; and

(c) if they suspect, on reasonable grounds, that the cannabis or anything that will be used as an ingredient presents a risk of injury to human health or that the applicable requirements of Part 5 or 6 are otherwise not being met, immediately investigating the matter and, if necessary, immediately taking measures to mitigate any risk.

Marginal note: Alternate

(3) A holder of a licence for processing may designate up to two individuals as alternate quality assurance persons who are qualified to replace the quality assurance person.

Marginal note: Non-application

(4) Subsections (1) to (3) do not apply to a holder of a licence for processing that only manufactures or assembles test kits.

Marginal note: Minister’s approval

20 (1) A holder of a licence for processing must obtain the Minister’s approval before

(a) designating or replacing an alternate quality assurance person; and

(b) replacing the quality assurance person by an individual, other than by the alternate quality assurance person.

Marginal note: Application — content

(2) The holder of a licence for processing must, for the purpose of obtaining the Minister’s approval, submit an application that includes the following:

(a) the name and date of birth of the proposed alternate quality assurance person or the proposed quality assurance person;

(b) a description of the proposed quality assurance person’s or the proposed alternate quality assurance person’s qualifications in respect of the matters referred to in subsection 19(1); and

(c) a declaration, signed and dated by the responsible person referred to in section 37, indicating that all information provided in support of the application is correct and complete to the best of their knowledge.

Marginal note: Additional information

(3) The Minister may, on receiving an application for approval, require the submission of any additional information that pertains to the information contained in the application and that is necessary for the Minister to consider the application.

Here are six licenses to consider for entering Michigan’s recreational pot market

Marlisa Meah, owner of the Evergreen Wellness medical marijuana dispensary in Detroit, has a lot on her plate these days.

She’s one of the first marijuana business owners in Detroit and has nearly a year of business in the new industry under her belt. So she has to ensure that renewing her medical license goes smoothly and prepare for the emerging recreational market that is right around the corner.

She was one of about 100 people attending a Marijuana Regulatory Agency meeting in Detroit on Thursday to learn how to apply for one of the recreational marijuana licenses that will open the market later this year to anyone 21 and older, beyond the nearly 300,000 people who have medical marijuana cards.

“I want to do recreational and probably also in the grow part because those two go hand in hand,” the Detroit resident said.

Meah will have a leg up because medical marijuana business license holders will have the first crack at licenses for most of the license categories in the recreational market for at least one year. Through mid-August, 296 medical marijuana licenses have been awarded by the state: 121 growers; 15 processors; 144 dispensaries; 10 secure transporters and 6 testing facilities.

“For people like myself, who already have a state license, it will be an easier process for recreational,” she said. “But it took us almost a year to get that medical marijuana license.”

The state will begin taking applications for the recreational marijuana licenses on Nov. 1 and those who already have a medical license will get fast-tracked because they’ve already gone through background checks and have an up-and-running business.

If the cities where they’re operating have given the green light for recreational licenses, they could be up and running by the end of November.

The cost of a license will go down for both medical and recreational marijuana businesses. When the state set the cost of recreational licenses, which range from $1,000 to $40,000, they lowered the medical marijuana license fees to match. The $6,000 application fee will still apply to all license categories in both the medical and recreational sides

There are six new categories of licenses for the recreational market that won’t require a potential business owner to already have a medical marijuana license:

  • Class A grower: While there is already a Class A grower category in the medical market, this recreational license is slightly different. It will allow the small grower — one growing up to 100 plants — to get into the market for a $4,000 license fee, allowing the caregivers who have been supplying medical marijuana to patients to enter the market more easily. This marijuana — seeds, small and large mature plants — can be sold to retail pot shops and processors processers, but owners can apply for only one grow license.
  • Marijuana microbusiness: This license will allow the owner to grow up to 150 plants, process the marijuana and sell it to individuals 21 and older. The owner must be a Michigan resident and can’t hold an interest in any other marijuana business. The licensing fee is $8,000.
  • Designated consumption establishment: This license will allow people to open social clubs where people can use marijuana in any form. Generally, these clubs can’t serve food or alcohol or allow anyone under 21 into the business. The licensing fee is $1,000.
  • Marijuana event organizer: This license will allow a person to put on temporary marijuana events, such as the periodic Cannabis Cup competitions, where different forms of marijuana compete for prizes, or cannabis conferences. The license fee is $1,000.
  • Temporary marijuana event: These license holders also must have an event organizer license and they can put on events where the sale and consumption of marijuana products is allowed for one day or up to one week. The cost of a license is $500 for each day of the event. And if marijuana is sold at the event, an additional $500 per-day fee for the event organizer as well as a $500 fee for each person authorized to sell marijuana products at the event will apply.
  • Marijuana testing facility: While there is already a category for testing for medical marijuana, new applicants won’t need a medical license to be approved to test recreational marijuana. The license fee is $25,000.

The existing categories for medical marijuana licenses remain mostly the same for the recreational market: two classes of growers, processors, testing facilities, retail stores and secure transporters. A new category — excess marijuana grower — has been added to accommodate people who want to stack the large grow licenses in order to become a mega-grower of both medical and recreational marijuana.

The fees for those categories are: $8,000 for a Class B grower of up to 500 plants; $40,000 each for a Class C grower of up to 2,000 plants and an excess marijuana grower of up to 2,000 plants per license for an owner who wants to become a mega grower of both medical and recreational pot; $40,000 for a processor, and $25,000 each for a secure transport and retail shop license.

The recreational market became possible when voters approved a ballot proposal in November to legalize marijuana for adult recreational use for anyone 21 or older. The ballot proposal also allows people to grow up to 12 plants in their home for personal use.