Pubdate: Wed, 12 Apr 2017
Source: Montreal Gazette (CN QU)
Copyright: 2017 Postmedia Network Inc.
Contact:  http://www.montrealgazette.com/
Details: http://www.mapinc.org/media/274
Author: Philip Authier
Page: A3

QUEBEC BRACES FOR LEGAL MARIJUANA

Federal, provincial governments could earn $675M in 2018: study

What we want is a rigorous legislative framework so we can protect the
population and especially our youth.

Unhappy that it could become more of a problem than it's worth, the
Quebec government is encouraging Ottawa to tread lightly and with
caution with its plans to legalize marijuana.

On the other hand, a new C.D. Howe study shows the federal and
provincial government could rake in huge revenues - $675 million in
2018 alone - as long as they don't get greedy on taxes and drive
buyers to the black market.

With the federal government set to detail its plans Thursday, key
Quebec ministers who will wind up administering Ottawa's weed plan
warned Tuesday that the road ahead is not as simple as some think.

"Whether I am for or against is of no interest," Quebec Health
Minister Gaetan Barrette told reporters. "The question is under
federal jurisdiction. The federal government is imposing the
legalization of marijuana.

"Will the legalization or increased consumption (of marijuana) bring
with it a load of public health problems and public security issues?
Yes. When we legalize something you can expect consumption to increase."

Barrette will be one of a handful of ministers to sit on a new cabinet
committee set up to prepare for July 1, 2018, the day the Trudeau
government hopes recreational marijuana will become the new normal in
Canada.

The committee is to meet for the first time Wednesday morning. Its
mandate is to prepare for the big day from all angles: health, crime,
public safety and distribution.

It will be watching closely when federal Justice Minister Jody
Wilson-Raybould outlines the plan Thursday. Wilson-Raybould has
promised strict regulations and a "robust" discussion at the committee
level in the House of Commons.

"What we want is a rigorous legislative framework so we can protect
the population and especially our youth," Public Health and Youth
Minister Lucie Charlebois, who is chairing the Quebec committee, told
reporters at the legislature.

"It is just the tabling of the bill and we know, when it comes down to
it, a bill can be improved, so we will be watching closely.

"I look after public health. Rest assured, in all aspects of this bill
what concerns me is protecting the population from the point of view
of health but also public security."

A federal Liberal election promise, it's the provinces that inherit
the responsibility to police and distribute the product and what price
to charge.

There are a lot of possibles floating when it comes to that part of
the process. Le Soleil reported Tuesday that Quebec is considering
handing over management of the distribution of the product to the
Societe des Alcools.

The SAQ would not actually sell marijuana given the negative optics of
retailing alcohol and marijuana side-by-side, but it might operate
some kind of a parallel network.

Radio-Canada reported Tuesday that Ottawa plans to limit individual
possession to 30 grams. Canada's police forces will get roadside
detectors capable of spotting the product in a motorist's saliva.

Quebec's reluctance over the arrival of legalized marijuana has been
well documented, but the government recognizes the alternative - to
leave it in the hands of organized crime - is far less attractive.

On Tuesday, Premier Philippe Couillard said while he is generally in
favour of the marijuana plan, he is worried about the burden being
transferred to the provinces.

But the burden would mean revenues, too. On Tuesday, the C.D. Howe
Institute released a study saying the legalized sale of marijuana
could yield additional combined federal and provincial revenues of
$675 million in 2018.

C.D. Howe arrives at the figure by estimating that 4.6 million
Canadians will consumer 655 metric tons of marijuana in 2018.

But the institute warned if the government gets too greedy and
increases excise taxes, consumers will turn to the black market just
as they do when taxes rise on tobacco products. The study says the
magic number to make government sales a success is $9 a gram.

The website www.priceofweed.com says the street price of medium
quality weed in downtown Montreal is $11 a gram. In Quebec City, it is
$8 a gram.

Meanwhile, Bloc Quebecois leader Martine Ouellet Tuesday tried to turn
the pot debate into a reason to separate. In a statement, Ouellet said
Quebec should have complete jurisdiction over the emerging lucrative
marijuana industry because Ottawa is already playing favourites with
Ontario.
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