This episode we celebrate 6 years of producing The Cannabis Potcast and it’s been a blast, we look at the discussion about re-scheduling cannabis, a Canadian university enters the cannabis research area, the CRA writes off some excise tax debt, Israel looks at tariffs on Canadian weed, and another province launches a cannabis education campaign. On Cultivar Corner, brought to you by Up in Smoke, we’re sampling some Okanagan product from Purefire and their Coco Mints.
This episode we celebrate 6 years of producing The Cannabis Potcast and it’s been a blast, we look at the discussion about re-scheduling cannabis, a Canadian university enters the cannabis research area, the CRA writes off some excise tax debt, Israel looks at tariffs on Canadian weed, and another province launches a cannabis education campaign. On Cultivar Corner, brought to you by Up in Smoke, we’re sampling some Okanagan product from Purefire and their Coco Mints.
Purefire Coco Bomba at Up in Smoke
New Brunswick education campaign
00;00;01;22 - 00;00;08;29
Ian
From a studio high above the clouds of the Okanagan Valley. This is the cannabis potcast.
00;00;09;01 - 00;00;19;11
Ian
Exploring the world of Canadian cannabis culture. One toke at a time. Here is your host and Bud tender Gary Johnston.
00;00;19;13 - 00;00;39;00
Gary Johnston
And once more, thank you, Ian for the introduction. I truly appreciate that. And by the way, I miss you, Ian. You may remember, is in Latvia for a year with his wife Christine and my grandson Emil. But we talk to them all the time. But we sure do miss him. And of course I get to hear him every time I start the podcast.
00;00;39;03 - 00;01;01;20
Gary Johnston
Welcome. If this is your very first time and especially warm welcome if you're coming back for another episode. Well, thank you for coming back. I truly appreciate it. I'm thankful for the fact that you are here. Now, before we get too much further, let me remind you this podcast is intended for those of legal consumption age in your jurisdiction and is intended purely for entertainment and perhaps educational purposes.
00;01;01;21 - 00;01;26;18
Gary Johnston
You should always consume your cannabis responsibly. And in episode 184, we're going to celebrate the fact that we have now been doing this for six years. Amazing. When I think about it, I just can't believe it's been that long. We're also going to talk about a Canadian university is going to be doing some new cannabis testing. Australia has decided, or at least their Senate has decided, that they're not going to legalize cannabis right now.
00;01;26;23 - 00;01;46;27
Gary Johnston
Israel has some concerns about Canadian cannabis coming into the country. They're thinking about rescheduling cannabis down the states. We'll give you a summary and an update on that. And of course, the CRA has still been after some excise, but they've given up on some of that. We'll have that as a story and a couple of other oddball stories.
00;01;46;28 - 00;02;07;29
Gary Johnston
And we're going to stop on Cultivar Corner, brought to you by Up in Smoke. And for that we're heading just to Little South. We're going to Pure fire and we're doing cuckoo mints. That sounds delicious doesn't it. All that and more on episode 184 of the Cannabis potcast.
00;02;08;02 - 00;02;29;01
Gary Johnston
And of course I don't want to go too far before I say thank you. Thank you for being here. I'm truly grateful and appreciative of the fact that you come back to listen. And I also don't want to forget my sponsors. I want to thank those who helped me out and buy me a coffee.com/cannabis podcast like Jordan. If you like what you hear and you feel so inclined, you can go there too and buy me a doobie.
00;02;29;04 - 00;02;51;04
Gary Johnston
Or I also want to thank my patrons on Patreon, Tony, Rob, Gage, Lloyd and Roger. I appreciate you each and every time. And now that we said thanks, let's talk about celebrating. Well, believe it or not, we started this podcast over six years ago today. It was December 1st, 2018, just a little over a month after legalization occurred.
00;02;51;04 - 00;03;09;24
Gary Johnston
On October 17th of that year, that I was in Toastmasters, and the project that I was requested to do was to start a podcast, and it was my choice when I wanted that podcast to be about. And it was pretty obvious to me what that podcast was going to be about since I took my 25 years as a broadcaster.
00;03;10;01 - 00;03;30;25
Gary Johnston
The fact that I had a studio in my basement all ready to go, and that I was pretty passionate about a subject that I had been passionate about for many, many years. There was no question what the podcast was going to be about. And then we had to play with the name a little bit. I think I told you before that my original name was going to be cannabis on cannabis.
00;03;30;27 - 00;03;51;21
Gary Johnston
I reserve that web domain. And then I realized that I might have a bit of objection from the hockey club that goes by that name and decided to go somewhere else. And through a series of little conversations, we ended up with what I think is the absolute best name for a podcast in the Canadian podcast world. And that is the Cannabis potcast.
00;03;51;24 - 00;04;19;04
Gary Johnston
People have come to know it and people have come to like that, and we've seen the listenership grow over the course of these last six years, and people have been subscribing on Apple Podcasts. We have about well, there's about 25 countries where the podcast is picked up Canada, the U.S., Australia, England or some of the higher ones. And then as we get into some of those areas in Europe, it gets down into the one or twos.
00;04;19;07 - 00;04;43;27
Gary Johnston
But I am still having a blast. It has just been fun so far to cover everything that's happening in the cannabis world, which has changed so much. I mean, if you think back to when we first in our strain reviews, before we called them Cultivar Corners, and I think the first one I picked up was from the B.C. Cannabis Store, and there was seven grams in little one gram containers, and it was all dried brown.
00;04;44;00 - 00;05;07;06
Gary Johnston
It wasn't tasting very good. And now here we are six years later, where we're doing Cultivar Corner with a lot of content from the direct delivery channel. And our weed is just stepped up in quality. Insane. I've been having a blast. I still enjoy it when you comment on things that are happening on the podcast and with your suggestions.
00;05;07;08 - 00;05;26;09
Gary Johnston
Always like that. I also like to hear your cannabis stories, and I know they've kind of fallen off and not many of you are submitting them. But I'm also curious about that. To know what brought you to cannabis and what's keeping you here. In fact, Stephen, their listener who has contacted me a couple of times, we got to the stage where he was almost ready to talk about it.
00;05;26;12 - 00;05;47;16
Gary Johnston
And and then we had some miscommunication and we didn't connect. But I'm always interested in that. It has been a blast for the last six years and I continue to carry on. I have no intention of stopping anytime soon. We'll carry on into year number 12 hopefully, and we'll see where that goes. So can we say a happy anniversary to ourselves?
00;05;47;17 - 00;05;54;20
Gary Johnston
Yes, we can. And in fact we just yet. I'm so glad you're along for the ride.
00;05;54;22 - 00;05;58;25
Ian
For the cannabis infused studio in the clouds. This is the cannabis potcast.
00;05;59;01 - 00;06;25;04
Gary Johnston
And we're going to for 20 entail.com for our next story. This is talking about rescheduling cannabis. Are we entering a new era? Rescheduling cannabis means changing its classification within the CSA, which organizes drugs into five schedules based on their medical value, abuse potential, and safety profile. Schedule one is the most restrictive, denoting substances with no accepted medical use and a high risk of abuse.
00;06;25;06 - 00;06;53;10
Gary Johnston
Moving cannabis from schedule one to schedule 2 or 3, for example, would reflect a recognition of its medical utility while still maintaining regulatory controls to prevent misuse. In contrast to rescheduling, D scheduling would involve removing cannabis from a CSA entirely, effectively treating it similarly to substances like alcohol or tobacco, which are regulated under different frameworks. While full D scheduling has been advocated by some, rescheduling appears to be a more politically feasible approach.
00;06;53;10 - 00;07;26;09
Gary Johnston
Maintaining federal oversight. While allowing for greater flexibility in research and medical application. Several significant developments predicted that momentum was building towards rescheduling cannabis in recent years. The food and Drug Administration the FDA has approved Epidiolex, a cannabis derived drug used to treat certain forms of epilepsy, signaling a shift in how the federal government views cannabis based therapies. In 2023, the US Department of Health and Human Services recommended rescheduling cannabis to schedule three, propelling the discussion forward by May of 2024.
00;07;26;09 - 00;07;51;24
Gary Johnston
The Drug Enforcement Administration issued a Notice of Proposed Rulemaking in the Federal Register to initiate rulemaking for the rescheduling of cannabis. Rescheduling cannabis could unlock numerous benefits for various stakeholders, particularly in the realms of medical research, health care, and public policy. One expanded medical research. One of the most significant advantages of rescheduling cannabis is the potential for expanded scientific research as a schedule one drug.
00;07;51;25 - 00;08;17;05
Gary Johnston
Cannabis is subject to strict regulatory controls that have made it difficult for researchers to study its potential therapeutic effects. The current classification requires researchers to obtain special licenses, navigate bureaucratic red tape, and source cannabis from limited government approved suppliers, all of which have stifled progress to increased patient access for patients, particularly those in states where medical cannabis is not yet legal.
00;08;17;06 - 00;08;40;10
Gary Johnston
Rescheduling could improve access to cannabis based treatments. A reclassification to schedule 2 or 3 would make cannabis eligible for prescription under federal law, allowing doctors to prescribe it in a controlled and regulated manner, and this could benefit patients suffering from conditions for which conventional treatments have proven inadequate or have significant side effects. And three standardization, regulation, and quality control.
00;08;40;16 - 00;09;07;19
Gary Johnston
Rescheduling cannabis would likely lead to greater standardization and quality control in the production and distribution of cannabis based products. Currently, the patchwork of state regulations results in inconsistent product quality and safety standards, with some states imposing rigorous testing requirements and others lacking comprehensive oversight. A shift to a lower schedule would bring cannabis more in line with other pharmaceuticals, ensuring the products meet federal safety, potency and labeling requirements.
00;09;07;21 - 00;09;35;22
Gary Johnston
While the retail underlying cannabis offers many potential benefits, it's not without challenges. Some concerns include regulatory complexities, commercialization risks, and public health implications. Despite the growing support for rescheduling, there remain political and legal hurdles that could block or delay the process. Some members of Congress, law enforcement agencies and anti-drug advocacy groups oppose any move to reclassify cannabis, arguing that it could lead to increased substance abuse and complicate efforts to regulate other illicit drugs.
00;09;35;25 - 00;09;56;08
Gary Johnston
And additionally, some industries such as pharmaceuticals and alcohol, may resist cannabis rescheduling due to concerns about competition. The rescheduling of cannabis marks a turning point in the way society, science and the law approach this complex substance. While the shift is likely to unlock vast opportunities for medical research and patient care, it also comes with its own set of challenges.
00;09;56;11 - 00;10;16;12
Gary Johnston
As the federal government inched closer to reclassification, stakeholders in health care law and public policy will need to navigate the benefits and risks of a new era in cannabis regulation. Whether rescheduling happens smoothly or is met with opposition. It will undoubtedly reshape the landscape of cannabis research and its role in modern medicine, and how true that is. And a real is.
00;10;16;12 - 00;10;32;14
Gary Johnston
Of course, this is talking entirely about the United States and their reclassification of cannabis. But we all know what happens south of the border eventually has an impact north of the border. So interesting to see how this story develops.
00;10;32;17 - 00;10;56;20
Gary Johnston
Latest Stratcon, this one written by David Brown for our next story. Brock University in Saint Catharines, Ontario has received an analytical testing license from Health Canada. The license will allow researchers at Brock to analyze cannabis samples, chemical and biological components for effectiveness and safety. Testing will take place using equipment within the Brock Niagara Validation, Prototyping and Manufacturing Institute.
00;10;56;27 - 00;11;27;20
Gary Johnston
The VMI. The Cannabis Analysis License truly opens the doors for the type of support that the PMI can provide for the industry across the Niagara Region, Ontario, and Canada, says VMI scientific director and associate Professor of Chemistry Paul Zelikow. The license will also permit the PMI to support stakeholders in typing cannabis strains for more targeted and personalized applications, and to help those within the industry to find value added components in waste materials to promote a more circular economy.
00;11;27;21 - 00;11;53;28
Gary Johnston
And these waste materials can include cannabis leaves, stems and roots, Zelikow said. Discovering valuable compounds in this waste material can help a company mitigate costly disposal fees and or develop new revenue streams, he says. The testing will also help companies look into the addition of particular flavors and scent to their cannabis, edible beverage and vaping products to ensure products remain within Health Canada's allowable THC limits.
00;11;54;00 - 00;12;21;13
Gary Johnston
Brock's acting vice president of research, Michelle McGinn, says the new license is a milestone for the university and the Niagara region. It opens a new frontier for cannabis research that has immense implications for public health and economic growth, says McGinn. Consistent with Pmi's mission, we are applying our specialized knowledge and state of the art equipment to solve real world challenges and thereby demonstrating how science and business flourish together.
00;12;21;15 - 00;12;47;06
Gary Johnston
Health Canada has also renewed a research related cannabis license granted to Brock University in 2019, one of the country's first universities to receive a cannabis related research and development license. That license allowed Cool Climate Ontology and Viticulture Institute, the CC Ovid researchers and local industry partners to identify plant virus infections in cannabis and to develop cannabis infused drink technology.
00;12;47;09 - 00;13;25;01
Gary Johnston
An analytical testing license from Health Canada allows for activities such as testing for chemical contaminants, microbial contaminants, cannabinoid content dissolution or disintegration, sterility, stability testing, and or pesticide. Health Canada currently lists 136 laboratories as being authorized to conduct analytics testing under the federal Cannabis Act. Brock's new license was issued on October 24th, 2024, and I think that's something we would like to see more of is more universities be coming into research, so we can all find out more about this wonderful plant.
00;13;25;04 - 00;13;50;13
Gary Johnston
And for this story, we go into the outcry. And this was written by staff. Luggage containing 40kg of cannabis didn't make it onto a flight from Toronto to London, England. The contents were detected by Canada Border Services Agency guards at Pearson Airport on October 15th and turned over to RCMP. A 21 year old man was arrested and charged with the export, contrary to section 11 two of the Cannabis Act.
00;13;50;15 - 00;14;10;23
Gary Johnston
He appeared for a hearing and was released on an undertaking to appear in Brampton Court on November 28th, police said in a news release. On November 15th. It is illegal to carry any amount of cannabis on international flights and amounts exceeding personal use on domestic flights, said Inspector John McMath, officer in charge of the Pearson Airport detachment, in the release.
00;14;10;26 - 00;14;31;13
Gary Johnston
Although cannabis has been legalized and regulated in Canada, it remains illegal to bring it into or take it out of the country, said Lisa Jones, regional director, central of the CBSA. And you think that would be obvious, wouldn't it? A tried sticking it to the suitcase for you to get get it over to England. But unfortunately the plan failed to.
00;14;31;15 - 00;14;42;02
Ian
See CBD Turpin profiles what's in me. Oh, please explain to me. Go to the cargo.
00;14;42;04 - 00;14;46;25
Unknown
Go to the commercial. Yeah, go to the border.
00;14;46;25 - 00;14;51;04
Ian
Please explain this stuff to me.
00;14;51;06 - 00;15;15;17
Gary Johnston
Welcome to Cultivar Corner. Brought to you by Up in Smoke at 258 West Broadway in Vancouver. And online at It's Up. Smoke.com. Make sure you check them out today for some direct delivery exclusives. Now, I'm not sure of what we're sampling today is a direct or delivery exclusive, but it is exclusive. It is from pure fire down in Penticton in and a little bit confusing.
00;15;15;20 - 00;15;35;11
Gary Johnston
And I'll explain what the confusing part of it comes later. But this is cocoa mince from pure fire down in Penticton. So that's what we are sampling today. And you can check it out at it's up and smoke.com. And of course at 258 West Broadway in Vancouver. Also great to drop in and see mountainous area in person. Let's open up the bag.
00;15;35;11 - 00;16;06;04
Gary Johnston
This is now here's where it starts to get confusing. So there are some collective organizations out there that are collecting weed from a number of different organizations and packaging them up. BC Weed Co is one of those. And this was packaged by B.C. Weed Go, and it is grown by pure fire and it is called Coco Mints. And that's where my confusion starts because as they started to look at BC weed Co, I could not find a coco mint.
00;16;06;07 - 00;16;31;02
Gary Johnston
When I looked at purifier I could not find a Coco mints. The closest I came to on pure fire was their Coco Bomba on number five I believe, and I'm not sure that this is it, or whether that's just a different naming structure. It's kind of similar to similar terrapins, and suffice to say, I can't find anything on the web that actually addresses the contents of the bag that I have in front of me.
00;16;31;04 - 00;16;50;23
Gary Johnston
I did pick it up from a different story to do a canister of cannabis, to pick it up, because I needed something for the Cultivar Corner for this weekend. As to I appreciate Ron and his help with that. So now let's get into it. This is Coco Mints from Pure Fire down in Penticton growing some fantastic weed. Let's open the package.
00;16;50;26 - 00;17;12;05
Gary Johnston
Oh my my. Now again, I don't have anything to guide me along my descriptive path here. Going to be my interpretation of what we're getting here. So now as I open up that bag and I take a peek at what we've got inside, let's do that. Pull up the Junior's loop. A fairly big bud that I pulled out.
00;17;12;05 - 00;17;30;26
Gary Johnston
So it's a 3.5g. That's when I picked up. And in terms of my weight, the first bug that I pulled out of there is sitting at a nice point, 169. So a fairly decent sized bud and let's take a peek at them. So it looks like I'm into my mid greens. I'm not really light. I'm not really dark.
00;17;30;29 - 00;17;55;12
Gary Johnston
So it's kind of going to be mid green in there. There's lots of red hairs, lots of red pistols. And as I pull that up I'm going to break that bud up so I can take a peek inside and see if I can see more of those trichomes. Oh, and there they are. And the aroma that's coming out of that is definitely some citrus.
00;17;55;14 - 00;18;19;02
Gary Johnston
Yeah, there's definitely some citrus in there. A little spice, probably the carry awfully. And what have I got for terps. So the chips are identified on my package. So first of all, your lineage. This is cocoa mints and it is a krause of animal mints. Be crossed with no animal mints be x1 crossed with jealousy. The region is a Thompson Okanagan.
00;18;19;02 - 00;18;43;12
Gary Johnston
We're pretty sure about that one. And my terpene limonene. Little, little German green and beta carry off line. So the limonene explains why there's so much citrus happening in. Here's a little bit of a flowery note as well. Bill and the family down in Penticton doing a fabulous job with purifier. I know they have been growing weed for a lot of years.
00;18;43;15 - 00;19;05;15
Gary Johnston
It is deep in their family and the entire family is participating I believe, and just doing some really fine. We to as I break this board up there's a bit more aroma coming into my studio, which is always nice. We throw it in the grinder. Oh I love the aromas again, citrusy and spicy with that bitter carry off clean.
00;19;05;18 - 00;19;32;28
Gary Johnston
Those are really the two components that I'm picking up out of that nice looking flower and nicely cured as I look at those buds as I pull them out. They have been well manicured. My favorite time of the day. I just love doing cultivar corners first thing in the morning. Get my first taste of wake my endocannabinoid system up while I wake up, and we get a true effect of how that's going to affect me at other times in the day.
00;19;33;00 - 00;19;56;09
Gary Johnston
Not that I smoke weed all day. Did I say that? I think I did say that, didn't it? I would never smoke weed all day. I think I have my joint ready. I think the mighty is almost up to temp. So once again, what are we sampling today on Cultivar Corner? Brought to you by Up in Smoke. This is cocoa mints grown by pure fire down in Penticton.
00;19;56;12 - 00;20;23;22
Gary Johnston
My total THC is sitting at 24.4 and my total Terps at 4.4. And the Terps that I have are limonene. Little German, green and bitter carry awfully. The mighty is ready. It's time we have a taste of cocoa mint from pure fire.
00;20;23;24 - 00;20;31;23
Gary Johnston
Okay, that was pretty stupid. I actually hadn't put it dosing carefully into the mighty yet.
00;20;31;25 - 00;20;44;08
Gary Johnston
Here's our first taste of cocoa mints from pure fire down in Penticton.
00;20;44;10 - 00;21;03;16
Gary Johnston
Oh, definitely the limonene coming to the fore. Lots of citrus elements in that. Some spiciness from the beta carry off lend a little bit of a flower tone on the exhale with a little.
00;21;03;19 - 00;21;29;03
Gary Johnston
Now, of course, I always like to find information on the web that gives me more details of the weed that I'm smoking. And unfortunately, my task this morning was very unfruitful. Unfruitful. I could not find any information on this strain out there anywhere at the fact where it came from. B.C. weed Co they did not listed on their site.
00;21;29;03 - 00;21;45;07
Gary Johnston
In fact, if I look for pure fire on there, I don't see any pure fire when I go to pure fire itself. As I say, the closest I can come to is the cocoa bomba. And some of the triptans are similar on there, but there's no German queen listed, so I don't think it's the right one.
00;21;45;09 - 00;22;03;16
Gary Johnston
So forget about what's the description to hardiness? The stuff about what? The weed dusty. And again little. That's the citrusy the citrus elements from that limonene. Definitely heavy on the intake. Lots of lots of citrus notes.
00;22;03;19 - 00;22;18;25
Gary Johnston
That's out of the vaporizer. Nice and smooth. I love the taste of that. And now let's try the joint. Here's a joint from Coco Mints.
00;22;18;27 - 00;22;35;26
Gary Johnston
And as he strikes up that joint, the first hint of some intoxication is coming forth in my endocannabinoid system, starting to work through my CB1 receptors.
00;22;35;28 - 00;22;59;03
Gary Johnston
Well, that's a nice smell. That's a nice smell. That's a nice taste. A little bit of the citrus coming through as well. And when I smoke the joint and perhaps the floral notes on the exhale, 24.4% is the THC for a nice looking flower, as I say, really well manufactured, really well cured. Obviously some time and attention I spent on that.
00;22;59;03 - 00;23;18;25
Gary Johnston
The detail, the quality detail that we were expecting out of our growers. Of course, bill and his family down at Pure Fire growing some fine weed over the years. I still, it is my goal to get down there and take a tour of their facility and one time, maybe next year I'll see if I can slide down there.
00;23;18;27 - 00;23;46;26
Gary Johnston
But I don't need to be there to smoke weed. And here comes and suddenly you start to feel the euphoria that you've been expecting. And there it is. Now this is listed as an indica on the back of the pack, cocoa mints and indica to THC of 24.4 ha. Moving into a little body stone. Now, which is always kind of nice.
00;23;46;28 - 00;24;09;29
Gary Johnston
That's always nice in a really nice indica to see and feel. It's kind of move into, to where you think it should be going. A lot of euphoria again, I'm pretty gleeful about what we're sampling today and gleeful about the effect of it as well. Would I like to have a bit more information? Sure I would, but that's just me.
00;24;10;02 - 00;24;32;19
Gary Johnston
Not everybody who smoke in their weed is looking around for information to have all the details. So remember that and remember as well that if you want you can check out the menu. It it's up in smoke.com and see what's available for you to get direct delivery. And of course in BC you must be 19 years of age and you have to live in BC before you can even order it.
00;24;32;21 - 00;24;49;21
Gary Johnston
And I will tell you that Matt has made some other arrangements. They've found some other way to to ship cannabis. So because the Canada Post strike is in full swing, don't let that stop you. Have a chat and see if there's something else that they can figure out for you. Of course, in BC, only if you're in another part of the country.
00;24;49;24 - 00;25;11;10
Gary Johnston
We still just have to tease you with it. But I don't have to tease you with a high. You can experience it yourself. This is another beauty from pure fire. I love the taste. They're really heavy on the citrus. Lots of citrus notes. Is that's coming true?
00;25;11;12 - 00;25;35;21
Gary Johnston
But smooth. Not finding any harshness in the joint. As I ruled through my two dosing capsules in my mighty, gain. The little the little lull, the citrus. It was floral. And those citrus notes just came shining through. As I pull that in through the vaporizer, which is always nice, I love to taste those. This is nice.
00;25;35;21 - 00;26;02;16
Gary Johnston
And now I'm. I'm feeling really mellow right now, and that's always an advantage. Once more, it's been in ha enjoyable. And I'm planning to continue this enjoyment. Remember, if you want to check it out for yourself, it's up in smoke.com. Check out their menu. If you live in BC and you're 19 years of age, you can have some sent to you.
00;26;02;18 - 00;26;25;21
Gary Johnston
And we'll figure out whether that's your Canada Post or some other methodology, but we'll figure all of that out. Oh, this is nice. I'm liking what they're doing down in pure fire, and I can't wait for the next flavors. And now I'm just going to chill. And I would be remiss if I didn't follow this up after it rolled through my endocannabinoid system for a while.
00;26;25;23 - 00;26;52;01
Gary Johnston
It has, and I have. When I said I was just feeling chill, I'm even chillier and sometimes that's just all you want. You just want a really nice feeling of the body. Really nice, comfortable feeling in the brain where you got the euphoria, but it's not overwhelming and the rest of the body is just coming along for the ride.
00;26;52;03 - 00;26;54;26
Gary Johnston
I am loving cocoa mint.
00;26;54;28 - 00;27;02;00
Ian
Sharing stories about good weed while trying good weed. This is the cannabis potcast.
00;27;02;02 - 00;27;30;20
Gary Johnston
And for this story we go to Stratcon. And this was written by David Brown. The Canada Revenue Agency has written off nearly $5 million worth of excise tax on cannabis as Uncollectible as of September of 2024, according to newly tabled document in the House of Commons. A total of $4,718,514 has been written off as Uncollectible. The table documents are in response to a question from Taco Van Pop to Conservative MP for Langley.
00;27;30;20 - 00;27;56;20
Gary Johnston
Aldergrove, B.C.. All of the companies with excise tax written off as uncollectible by the CRA are located in Ontario. The table documents list 12 such companies, 11 of the issue of balance of debt that remains after compromise settlement pursuant to an applicable authority. One of the listed companies shows a debtor in an undistinguished bankrupt corporation, with the trustee confirming in writing that he does not foresee any further payment.
00;27;56;22 - 00;28;30;08
Gary Johnston
The largest amount for a single company's uncollected excise tax debt is $1,922,621 from April of 2024, while the smallest is $136,095 from September of 24. Of the 11 companies listed, seven show a debt incurred in 2024, three from 2023 and one from 2022. All were located in Ontario. Mr. Penn popped his question in full, asked with regards to entities that all taxed to the CRA for unpaid excise tax on cannabis.
00;28;30;10 - 00;28;53;09
Gary Johnston
How many have filed for creditor protection or bankruptcy? How much excise tax has been written off in total, and for which entity which owed unpaid excise tax on cannabis and had the amount owing written off by the CRA? What are the details? According to Insolvency Insider, 47 cannabis related businesses in Canada had filed for creditor protection since 2019.
00;28;53;12 - 00;29;13;20
Gary Johnston
Another ten have filed for bankruptcy, 13 have filed for receivership and 21 have filed for a notice of intention to make a proposal under the Bankruptcy and Insolvency Act, which allows financially troubled corporations the opportunity to restructure their affairs. Not all of these businesses are operating in Canada. A few operated in the US, but were listed as Canadian businesses.
00;29;13;20 - 00;29;45;19
Gary Johnston
And if you are ancillary services for cannabis producers or retailers, the amounts reflect the Cra's administration of cannabis duty and information returns provided by the licensed cultivators, producers and packagers of cannabis and or cannabis products on behalf of the federal, provincial and territorial government. Canada's federal excise tax for dried cannabis flower is effectively a dollar per gram, with 75% of this going back to the provinces, as well as an ad valorem rate of 2.5% of the dutiable amounts for the cannabis products.
00;29;45;22 - 00;30;14;04
Gary Johnston
Other cannabis products are taxed at a flat rate of 0.0025 per milligram of total THC cap. Filings for cannabis companies have shown significant amounts of unpaid cannabis taxes owed to the Canada Revenue Agency. One recent CA listing showed $345,000 plus owed to the CRA, and in a recent creditor protection filing, another company showed nearly $5.4 million owed to the CRA for source deductions and excise tax.
00;30;14;07 - 00;30;22;11
Gary Johnston
And the up and down roller coaster of the CRA and cannabis continues.
00;30;22;13 - 00;30;27;15
Ian
From studio high above the clouds of the Okanagan Valley. This is the cannabis potcast.
00;30;27;18 - 00;30;51;25
Gary Johnston
And for our next story, we're going to conclude this one written by David Brown. Israel's Ministry of Health takes issue with tariffs proposed by Israel's Ministry of Economy on cannabis imported from Canada in a report published on November 10th. Israel's Ministry of Economy has proposed levies up to 175% on Canadian cannabis products being sold in the country's medical cannabis program.
00;30;51;28 - 00;31;13;29
Gary Johnston
The investigation, which was first announced this past January, was based on allegations of product dumping of Canadian cannabis into the Israeli market. In July, the government agency released its preliminary report on the topic, proposing tariffs from 63 to 369%, depending on the cooperation of the companies involved. Before settling on lower rates in the most recent report in November.
00;31;14;01 - 00;31;34;28
Gary Johnston
These rates were based on the Ministry of Economy's investigation into domestic pricing for cannabis in Canada. But the head of the economy, Regulation and innovation at the country's Ministry of Health, Ran Rudnick, has sent a letter to the Ministry of Economy's Danny Tel expressing his dismay at the proposed tax rate and the process that was followed to come to such a determination.
00;31;35;00 - 00;32;08;00
Gary Johnston
Tal has led the investigation process and reports read next letter as first reported by Cannabis Magazine, said he's disappointed that the Ministry of Economy did not consult with the Ministry of Health, which manages the cannabis file in Israel, in their investigation. Resnik also takes issue with the methods the Ministry of Economy used to determine the proposed tariffs, which looked at wholesale prices in Canada and said that such a move would only increase the overall price of cannabis in Israel and encourage consumers to purchase from the illegal market, rather than Israel's regulated medical cannabis market.
00;32;08;03 - 00;32;29;28
Gary Johnston
The economic impact of the one time levy will not be great, but it will encourage a black market and the transit of medical cannabis to unwanted intermediate stations. Read next letter says even if it was correct to impose a floating levy, it had to be across the board on every import whatsoever. Given that this is not the recommendation, imposing a levy only on a specific country is the worst possible way.
00;32;30;01 - 00;32;37;20
Gary Johnston
And apparently disagreements over how cannabis should be handled happen in other countries as well.
00;32;37;23 - 00;33;08;19
Gary Johnston
And another story from Strack Montcalm, this one written by David Brown. Cannabis N.B. the provincial cannabis regulator and retailer in New Brunswick, has launched an education campaign aimed at informing consumers about the risks of illegal cannabis products. The campaign, called Good to Know, uses recent findings by the Research Productivity Council. The RPC of New Brunswick, which showed chemical contaminants including pesticides found in illicit cannabis samples, particularly vaping cartridges in the province.
00;33;08;22 - 00;33;37;19
Gary Johnston
The provincial agency first launched the Good to Know campaign in 2022, which at the time focused on similar testing by RPC that looked at samples of several cannabis products obtained from markets in New Brunswick, including dried flower and edibles, and tested them for things like THC levels, moles, heavy metals and pesticides. This year's iteration of the education campaign focuses on sharing information through digital displays in billboards, video ads and Snapchat targeting New Brunswickers 19 years and older.
00;33;37;27 - 00;34;02;27
Gary Johnston
The campaign messaging will also be leveraged in cannabis NB stores and on social media. Our commitment to safety and education is the foundation of cannabis culture. It's built into the sales experience and training of our teams, says Laurie Stickles, president and CEO of cannabis NB. While legal cannabis must be tested for contaminants, illicit cannabis does not comply with Health Canada's Good production practices.
00;34;02;29 - 00;34;28;13
Gary Johnston
It is important to consumers, have access to information, understand the risks associated with illegal cannabis and make educated choices on quality and safety by turning to cannabis. NB and its certified private retail stores in 2024, cannabis NB also participated in awareness and education activations at two major festivals, the Moonlight Bazaar and Saint John in August and the Harvest Music Festival in Fredericton in September.
00;34;28;15 - 00;34;56;27
Gary Johnston
Nova Scotia also recently launched a similar public education campaign. The Ontario government launched their Buzz Kill campaign in October, which included a pop up store made to look like an illegal pot shop. You know, purdah, the Alberta Gaming Liquor and Cannabis. The Anglesea recently launched its Forget Bud campaign as well. Drawing attention to the differences between legal and illegal cannabis markets in Canada and there is clearly a difference between the illegal and legal cannabis markets in Canada.
00;34;57;00 - 00;34;59;27
Gary Johnston
And this roller coaster just continues the ride.
00;34;59;29 - 00;35;08;20
Ian
Exploring the world of Canadian cannabis culture, one toke at a time. This is the cannabis potcast.
00;35;08;22 - 00;35;35;07
Gary Johnston
We are always interested in what's happening around the world in terms of cannabis, and this is an interesting story I find from Stratcon on the latest in Australia. The Australian Senate voted to discontinue debating a cannabis legalization bill on Wednesday, November 27th. The legislation legalizing cannabis Bill 2023 was initially introduced at first reading in August of 2023 by Australian Greens senator David Shoebridge.
00;35;35;10 - 00;36;04;29
Gary Johnston
The bill intended to establish a national framework for legalizing and regulating cannabis across Australia. Following an hour of debate at the second reading on November 27th. The Australian Senate voted 13 to 24 against continuing the bill. All 11 Greens senators, plus independent senators Lidia Thorpe and Tammy Tyrrell, voted for the bill. The bill proposed to create an age of excess of 18, allow growing up to six cannabis plants per home, and allow for retail sales in cannabis cafes.
00;36;05;01 - 00;36;31;09
Gary Johnston
The can also serve as outdoor consumption spaces. It included provisions for production and retail licenses, and proposed that any applicable fees for such licenses would not apply to Indigenous Australians. It also would have sought to establish a national agency, the Cannabis Australia National Agency, to regulate production and retail licenses, import export and more. The agency also would have maintained a register of cannabis strains in response to the bill's failure to advance.
00;36;31;10 - 00;36;59;10
Gary Johnston
Senator Shoebridge said labor and the coalition once again teaming up to vote down law reform the community wants. We see so many positives with legalizing cannabis. We don't pretend the drug is without harm. We just know that legalizing it will radically reduce the harm, said Shoebridge in his closing comments during second reading of the bill. We can see from North America, from Europe and from countries in our region that there are different ways of legalizing cannabis and our model understands the best evidence.
00;36;59;13 - 00;37;19;01
Gary Johnston
We don't want rampant advertising. We want to get rid of Big Pharma, Big tobacco and big alcohol and have them play no part in this industry. Canada receives specific mention in the debate as well. When an opposing senator, Paul Scarr, argued, referencing a Deloitte study. But since the illegal cannabis market has not entirely disappeared from Canada, legalization doesn't work.
00;37;19;04 - 00;37;39;01
Gary Johnston
I want to address a few points which have been touched upon in the debate, said scar. The first is in relation to organized crime. We should be very clear that the evidence from overseas is to the effect that regulating the recreational use of cannabis does not deal with the organized crime issue. We have the benefit in this place of looking at the lived experience in other jurisdictions, and I'll refer to two of them.
00;37;39;03 - 00;38;03;18
Gary Johnston
The first is Canada. I want to quote from a study which I refer to in my additional comments in paragraph 1.25, Clearing the Smoke Insights into Canada's Illicit Cannabis market. It's the study of the Canadian market, which involved data sourced from 624 legal private recreational cannabis stores and 57 illicit online stores between May and June of 2023. So it's quite contemporary data.
00;38;03;20 - 00;38;33;23
Gary Johnston
The estimate for illicit players share of the market range from 25 to 52%. The illicit market, which is predominantly organized crime, accounts for somewhere between and we don't know, 25% and 52% of the Canadian market. These figures are somewhat out of date and misleading. However, since such figures are difficult to estimate in Statistics Canada's most recent Canadian Cannabis Survey from 2023, about 73% of Canadian consumers reported purchasing their cannabis from a legal source, a number that has continued to increase since legalization.
00;38;33;25 - 00;38;57;14
Gary Johnston
Only 3 to 5% of people in the survey who said they had used cannabis in the past year, reported using an illegal or unlicensed purchase source. About three quarters of those who had used cannabis in the past 12 months reported in the survey that they always obtain cannabis from a legal or licensed source. While 10% responded, mostly 6% responded sometimes 6% responded rarely, and only 9% responded never.
00;38;57;17 - 00;39;25;29
Gary Johnston
Senator Shoebridge says his party will continue to work on legalizing cannabis in Australia, despite the Senate's rejection of his bill. And there were a couple of pieces in there that I thought sounded kind of interesting using the cafes, the cannabis cafes as a way of purchasing and outdoor consumption spaces. I thought that was interesting, and I liked the fact that they want to get rid of Big Pharma, Big Tobacco and big alcohol and have them play no part in the industry, because we've seen there's been a bit of that in the Canadian world.
00;39;26;02 - 00;39;34;08
Gary Johnston
So an interesting story on no. Two cannabis in Australia for the moment.
00;39;34;10 - 00;39;49;17
Gary Johnston
After six years of doing this. I shouldn't be surprised when we come to the end of another episode. But here we are again. Once again, thank you so much for being here. I truly appreciate the fact that you were all along for the ride. And today, instead of some quotes or instead of some thought motions, we're going back to some jokes.
00;39;49;19 - 00;40;11;01
Gary Johnston
I just want some groans. I feel like some puns today. So here we go. These are from naturally funny.com. Why did the marijuana plant refuse to fight? It believed in joint resolutions. Why don't stoners ever get a second job? Because they can't pass a drug test. What did the marijuana plants say to the chef? I'm a real pothead.
00;40;11;03 - 00;40;38;11
Gary Johnston
What did the marijuana say to the potato chip? Let's get big together. Why don't scientists trust marijuana? Because it takes them too long to make a joint decision. I agree. I'm sorry. They are a bit of a groaner, but sometimes you just need a good pot in your life. Remember, if you ever have a comment on anything you hear on the Cannabis podcast or you would like to suggest something, send a note to info at Cannabis potcast.com.
00;40;38;13 - 00;40;44;24
Gary Johnston
And from the Guy in the clouds. That's it for episode 184 of the Cannabis potcast.
00;40;44;26 - 00;40;53;05
Ian
From the cannabis infused studio. High above the Okanagan Valley. This was the cannabis potcast.