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What the New ACMPR Means for Canadian Marijuana Producers


As new changes are implemented by Health Canada through the creation of the Access to Cannabis for Medical Purposes Regulations (ACMPR), licensed producers (LPs) stand to benefit considerably. The ACMPR aims to mitigate the ongoing diversion of product from the archaic Medical Marihuana Access Regulations (MMAR) program, and the associated impact that this had on demand for cannabis legally produced by LPs under the Marihuana for Medical Purposes Regulations (MMPR).While the main aspect of the ACMPR which has garnered the most attention is to maintain a provision that enables Canadians to grow cannabis for medical purposes or designate a grower for those same purposes, investors should turn their attention to the demand shift that this new program will cause.

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Dispensaries or “compassion clubs” are storefronts that sell marijuana over the counter without authorization to do so. Health Canada has previously deemed them illegally supplied, unregulated and unsafe, although policing of dispensaries seems to be vary depending on the area or zone. One of the main problems came down to public safety concerns associated with cannabis products that had not been tested for potency or safety, as well as the potential for unknowing and illegal sale to minors. Now there will be a limited amount of plants that home growers may be authorized to grow, much less than what the MMAR was allowing,and which in turn was supplying the dispensaries. Another important aspect of the ACMPR regulation that will increase revenue for LPs is that even home growers will have to buy their starting materials (marihuana seeds or clones) from the LPs.

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