In a technical briefing Friday, Health Canada confirmed a two-month rollout of new cannabis edibles to mid-Dec. 2019 before products from the rollout of Cannabis 2.0 can be sold.
There is a 3 step process before the first sales can occur:
Edibles dosage is limited to just 10mg per package
This is very different from US edible products that have a 100mg limit yet are sub-divided into 5mg or 10mg dosage pieces within the product. (see below). "Legal in Canada" packages will essentially be 1 square of the chocolate bar, or two chocolate covered mints within the can, resulting in increased expense in packaging.
There has been no further rules or decisions separating hemp derived CBD products out of the cannabis dispensary network.
This is similar to what we have been suggesting over the last few months, that Health Canada will slow down the rollout of edibles and thus cause both a slower ramp-up in sales for Cdn LPs as well as reduced margin expectations as value added products will be delayed in getting into the market.
Charles Taerk & Douglas Waterson
Ninepoint Alternative Health Fund
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