Pubdate: Mon, 14 Sep 2015
Source: Guelph Mercury (CN ON)
Copyright: 2015 Metroland Media Group Ltd.
Contact:  http://www.guelphmercury.com/
Details: http://www.mapinc.org/media/1418
Author: Alexandra Posadzki
Page: A6

CANNABIS INDUSTRY PINS HOPES ON CHANGE IN OTTAWA

TORONTO - Medical marijuana producers are bracing for the possibility 
that Canadians could elect a new government this fall - a change that 
could accelerate the already breakneck pace of growth in the 
burgeoning industry and usher in new players such as tobacco 
companies and pharmacy chains.

"This whole election's very interesting," said Bruce Linton, the 
chief executive and chair of Tweed Marijuana.

"When you have a business that has the potential to see quite a lot 
of acceleration because of outcomes, you watch it more carefully."

Marijuana became a hot-button issue in the election campaign on 
Thursday, when Joy Davies, a Liberal candidate in British Columbia, 
pulled out of the race because of posts she had made on Facebook .

Liberal Leader Justin Trudeau distanced himself from Davies when 
asked about her posts, which included claims that marijuana can cure 
skin cancer and a link to an academic study suggesting pot decreases 
domestic violence.

Trudeau has long promised to legalize and regulate marijuana if 
elected, while NDP leader Tom Mulcair has said his party would 
decriminalize the drug immediately upon forming government.

Khurram Malik, an analyst at Jacob Securities, says the election of 
either the Liberals or the NDP could lead to less red tape for 
licensed medical marijuana producers.

"We have the most anti-weed party in power right now," Malik said.

"Any other party that wins is a lot more friendly to marijuana than 
this one, so things will get done a little more efficiently and 
openly, so people can actually plan their businesses in a more 
reasonable and logical manner."

The introduction of a recreational marijuana program could bring new 
players such as tobacco and liquor companies into the market, Malik added.

Currently the industry is too small for the giants to bother with, he said.

"Big tobacco never comes in and starts from scratch," said Malik. 
"They always buy something, and then build it into something bigger."

Michael Haines, the chief executive of Mettrum Health, says the 
creation of a recreational program - similar to those that exist in 
Colorado and Washington state in the U.S. - could create a dual 
system. While the medical program would likely continue to be 
federally regulated, recreational programs may be regulated at the 
provincial level, similar to alcohol.

However, a recreational marijuana program - like to those in Colorado 
and Washington state in the U.S. - would take at least a year or two 
to implement, said Malik.

"It's a complicated program to set up, and then they've got to figure 
out how to capture taxes from it, which is not an easy thing to do."
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MAP posted-by: Jay Bergstrom