Author: Johnny Green

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Calls For Cannabis Excise Tax Reform Intensify In Canada

Written by Johnny Green on May 21, 2025. Posted in Business, Policy.

Taxing cannabis commerce can be a delicate thing. On one hand, a major argument in favor of cannabis policy modernization is that it will generate public revenue for governments that allow legal cannabis sales. But on the other hand, taxing cannabis commerce too much can hinder the industry’s ability to reach its full potential and displace the unregulated market.

Canada legalized adult-use cannabis sales in 2018, and according to a new report, the current excise tax model in Canada “is unsustainable and must be restructured to reflect the economic realities of the industry.”

Deloitte, a multinational professional services entity, recently published a report titled ‘The Impact of the Cannabis Excise Tax,’ in which the authors call for overhauling Canada’s current approach to applying cannabis excise taxes. The recommendations from Deloitte in their report are being echoed by the Cannabis Council of Canada.

“Canada likes to position itself as a global leader in legal cannabis – but since legalization in 2018, the federal government has failed this industry and the tens of thousands of hardworking Canadians it supports,” said Paul McCarthy, President of the Cannabis Council of Canada. “With a new government in office, it’s time for a fresh approach. The cannabis industry deserves the same attention and support as any sector of our economy.”

“Canada’s cannabis industry is a major driver of economic growth – since legalization it has contributed over $43 billion to the national GDP, with approximately $7.4 billion contributed in 2024 alone. To keep that momentum going, key policy changes are needed to ensure the industry can grow, compete and innovate.” the Council stated in a press release.

“The current excise taxation framework is completely misaligned with today’s market realities. When it was introduced in 2018, cannabis sold for approximately $10 per gram. Today, producers are receiving as little as $3 per gram – yet the excise tax remains the greater of 10% of the product’s value or $1 per gram.” the Council also stated.

The Cannabis Council of Canada is urging the nation’s government to eliminate the $1 per gram floor and replace it with a 10% ad valorem rate, which the Council points out was proposed by the Standing Committee on Finance in 2024.

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Why U.S. MSOs Are Looking To Invest In Germany And Europe

Written by Johnny Green on May 21, 2025. Posted in Business.

For many years, the emerging legal cannabis industry in the United States has operated in siloed markets, with each jurisdiction having its own laws and regulations. While that is still largely the case from a public policy standpoint, in recent years, larger cannabis companies in the U.S. have expanded to multiple state-level markets.

Multistate operators (MSOs), as they are known, are gaining a larger market share of the cannabis industry in the U.S., with Cresco Labs being one of the most prominent and successful MSOs. Led by CEO Charlie Bachtell, Cresco Labs is a publicly traded, vertically integrated MSO that produces the U.S. industry’s #1 portfolio of cannabis brands. The company also operates licensed dispensaries under the Sunnyside brand.

Mr. Bachtell was named one of Chicago’s most visionary and accomplished business leaders in the Chicago Titan 100 Awards and received the Captains of the Industry Award from the American Trade Association for Cannabis Hemp. Through his leadership of Cresco Labs, the company has been recognized as a Best-Led American Company by Inc. Magazine. Currently, Mr. Bachtell is the Chairman of the National Cannabis Roundtable and is also an adjunct professor at Northwestern University’s Pritzker School of Law, teaching a course on legal and regulatory issues in the cannabis industry.

Charlie Bachtell provided the keynote address at the recent International Cannabis Business Conference in Berlin, focusing on the topic of why U.S. MSOs are looking to invest in Germany and Europe. The cannabis industry is going global, and multistate operators in the U.S. are increasingly identifying expansion opportunities in Europe. Click on this link to see a video of Mr. Batchtell’s insightful presentation via the International Cannabis Business Conference’s YouTube channel.

Ukraine Launches Nation’s Largest Industrial Hemp Processing Plant

Written by Johnny Green on May 20, 2025. Posted in Business.

Hemp harvests have to be processed before they are incorporated into finished products and shipped to the markets where they will eventually be sold, with some limited exceptions. A nation’s hemp industry will never reach its full potential without proper processing facilities.

With that in mind, Ukraine’s emerging industrial hemp industry passed a major milestone with the recent launch of the nation’s largest hemp processing plant. The Ma’Ryzhany Hemp Company’s new facility is located in the Ma’Ryzhany industrial park in the Zhytomyr region and is estimated to be capable of processing up to 14,000 tons of hemp annually.

“Developing our own processing is one of the key tasks of the government’s policy “Made in Ukraine” and part of the national economic idea. We must change the structure of the economy from raw materials to high-tech and increase the production of goods with high added value.” Ukraine’s Minister of Economy Yulia Svyrydenko stated, according to a government press release (translated from Ukrainian to English).

“Restoring the primary processing of hemp trust is one of the key elements for the further revival of industrial hemp, which once made Ukraine a powerful player in the global textile market. The presence of its own domestic raw materials is difficult to overestimate – it is the basis of price competitiveness. In addition, industrial hemp is not just a raw material for textiles, but an ecological and renewable resource for dozens of other industries. And the reconstruction of the textile chain is only the beginning of the great industrial potential that “Ma’Ryzhany Hemp Company” is laying today,” stated Ma’Ryzhany Hemp Company Director Andriy Mykytiv.

The goal of the industrial park where the new hemp processing facility is located is “to attract businesses working with industrial hemp processing products and create over 700 new jobs. The work of the park will also stimulate farmers to grow industrial hemp in the Zhytomyr region and contribute to the development of a sustainable industrial hemp ecosystem in Ukraine.”

Ukraine’s new industrial hemp processing plant is designed to produce long fiber for textiles and technical fabrics, short fiber for paper, nonwovens, and insulation, and raw material for bioplastics, building materials, and animal bedding.

The launch of the facility comes at a time when Europe’s industrial hemp industry potential is being researched at an increasing rate. For example, a team of researchers affiliated with the University of Göttingen recently examined industrial hemp from the perspective of its prospects as a sustainable crop for modern agriculture in Germany.

“Industrial hemp offers promising prospects for agriculture. Its ecological advantages, such as improved soil structure and CO2 sequestration, as well as the economic potential offered by dual-use land and low or no need for pesticides, make it a sustainable addition to crop rotation.” the researchers concluded. “With the right strategy, industrial hemp can make a valuable contribution to sustainable agriculture, especially when economies of scale, stable sales contracts, and effective integration into crop rotation systems are considered.”

The University of Göttingen’s findings built on other recent hemp-focused sustainability research, including a study led by researchers affiliated with the University of Banja Luka, the University of Belgrade, and the University of Niš, which found that raw hemp can be used as an effective and eco-friendly alternative for removing toxic dye chemicals from wastewater.

During a recent presentation at the International Cannabis Business Conference in Berlin, leading international cannabis industry economist Beau Whitney, founder of Whitney Economics, provided data demonstrating that the value of the global industrial hemp industry could be as much as $456.2 billion.

University Of Göttingen: Hemp Offers Sustainable Prospects For Agriculture

Written by Johnny Green on May 20, 2025. Posted in Science.

Farmers have cultivated hemp and used the agricultural crop for many centuries. A study from 2023 found that “ancestral archaeological relics date the use of this plant fiber as a fabric to approximately 8000 years before the common era (BCE) as a material in ancient Mesopotamia (present-day Iran and Iraq), and to 4000 years BCE and 3000 years BCE as a material for ropes in China and Kazakhstan, respectively.”

A team of researchers affiliated with the University of Göttingen recently examined industrial hemp from the perspective of its prospects as a sustainable crop for modern agriculture in Germany. Findings from the examination were published by Bauernblatt.

The University of Göttingen team conducted a series of in-depth interviews with 14 farmers based in Northern Germany, discussing and examining ‘their experiences, the economic, ecological, and social dimensions of hemp cultivation.’

“From the farmers’ perspective, hemp cultivation offers significant potential savings in production costs compared to cash crop cultivation due to the elimination of pesticides. The dual use of fiber and seeds opens up additional sources of income, but also presents challenges for harvesting technology and timing.” reported Bauernblatt (translated from German to English).

“Furthermore, some respondents point out that a certain amount of cultivated land is advantageous, for example, to more efficiently utilize harvesting and processing equipment. This can be a hurdle for smaller farms, so cooperation with neighboring farms or contractual agreements with processors can improve profitability.” the outlet also reported.

The farmers who were interviewed touted the benefits of hemp as a winter crop. Whereas many other crops cannot be cultivated during Germany’s winter months, hemp grows well enough during Germany’s winter to make it a viable option, which enables a more efficient use of available land that would otherwise be dormant during the season.

Hemp’s ‘rapid crop development allows for the complete elimination of herbicides in practice,’ according to the farmers who were interviewed, and hemp uses less water to grow compared to other crops, making the farmers’ fields more climate-resilient. The farmers also emphasized that hemp is a great ‘preceding crop’ and ‘has a positive impact on the yields of subsequent crops.’

Other sustainable benefits of cultivating hemp are the crop’s ability to capture CO2 and serve as a component in soil bioremediation strategies. The researchers reported that some of the farmers indicated their intent to explore the possibility of generating revenue through climate protection programs.

The University of Göttingen’s findings build on other recent hemp-focused sustainability research, including a study led by researchers affiliated with the University of Banja Luka, the University of Belgrade, and the University of Niš, which found that raw hemp can be used as an effective and eco-friendly alternative for removing toxic dye chemicals from wastewater.

Legalization In Lebanon ‘Could Generate $1-3 Billion Annually’

Written by Johnny Green on May 19, 2025. Posted in Business, Policy.

A 2019 report by the United Nations Office on Drugs and Crime (UNODC) estimated that Lebanon was the third largest source for ‘cannabis resin’ worldwide, only behind Morocco and Afghanistan. UNODC estimated that roughly 6% of all the cannabis resin on earth originates in Lebanon.

Two historical measures largely govern cannabis activity in Lebanon. The first came in 1998, when Lebanon passed law 673/1998, which criminalized the use of illicit drugs and scheduled cannabis as a “very dangerous substance with no medical use.”

The second occurred in 2020, when Lebanon became the first country in the region to somewhat liberalize its cannabis policies by permitting limited cannabis farming. As time has gone on, the measure approved in 2020 has proven to be largely symbolic, with the nation’s cabinet refraining from implementing decrees to establish a regulatory authority.

“In April 2020, after decades of discussions and controversy, the Lebanese parliament voted a law legalizing the cultivation, production, and sale of cannabis for medicinal purposes. Although the law leaves several unanswered questions and awaits implementation, the symbolic nature of this step in recognizing a positive role of cannabis in the local economy is significant on a regional level.” wrote a team of researchers affiliated with various health and academic institutions based in Lebanon.

“The social experiment taking place in Lebanon is fraught with risks, given the unstable political situation and chronic economic challenges. The reactions to the law have been mixed with several scientific bodies such as the Lebanese Psychiatric Society criticizing the absence of proper consultation of stakeholders.” the researchers also wrote.

With Lebanon’s economy struggling, discussions have turned toward exploring new ways to generate revenue and boost the nation’s economy. Talk of implementing the previously approved medical cannabis production measure has emerged as a result.

“If cannabis cultivation were legalized and properly regulated, Lebanon could generate between $1 billion and $3 billion annually in state revenue, according to Agriculture Minister Nizar Hani.” reported LBC International.

“That would amount to roughly one-quarter to one-half of the state’s projected revenue for 2024. In that case, cannabis could become a major source of income, more effective than other alternatives that often result in higher taxes and fees for citizens without tangible returns.” the outlet also reported.

A report presented by leading international cannabis economist Beau Whitney, founder of Whitney Economics, at the recent International Cannabis Business Conference in Berlin estimates that the potential global medical and adult-use cannabis market is roughly $237.8 billion. Separately, Whitney projects that the potential value of the global industrial hemp industry could be as much as $456.2 billion.

How Many Medical Cannabis Patients Does Brazil’s Industry Serve?

Written by Johnny Green on May 18, 2025. Posted in Business.

As it currently stands, dozens of countries around the world have adopted medical cannabis legalization measures, with legalization models ranging from cannabidiol-only laws for patients suffering from a very limited list of approved conditions to national models that permit robust medical cannabis commerce for a wide range of conditions.

Brazil has an operating medical cannabis program, and it’s fairly large. In its recent coverage of Brazil’s emerging legal medical cannabis industry, Sechat provided insight into the size of the nation’s industry and patient base.

“The medical cannabis market in Brazil is undergoing a transformation. In 2024, the sector generated R$853 million and served 672,000 patients in more than 80% of Brazilian municipalities.” Sechat reported (translated from Portuguese to English).

“Of these, 315,000 use products imported via Anvisa’s RDC 660, 208,000 use medicines registered under RDC 327, and 147,000 are served through associations.” the outlet also stated.

In 2023, Brazil’s Superior Court of Justice rendered a landmark ruling that recognized the legal right to cultivate low-THC (up to 0.3%) cannabis in the South American nation. The Court’s decision was the result of an industry-based lawsuit.

At the time of the decision, the Superior Court of Justice determined that ANVISA (Brazil’s Health Regulatory Agency) and the Ministry of Agriculture must establish and publish rules and provisions to regulate low-THC (hemp) commercial production. The Court set a May 19th deadline, however, that deadline will reportedly not be met.

“In a sudden and unexplained move, Brazil’s health agency this week suspended the process to regulate the cultivation of industrial hemp, ignoring a deadline set by the country’s highest court.” reported Hemp Today earlier this week.

In the meantime, Brazil’s medical cannabis patients and industry members will continue to wait for the nation’s government to provide clarity and a greater level of certainty via established regulations.

To put the size of Brazil’s legal medical cannabis patient base into perspective, Germany is currently estimated to have between 700,000 and 900,000 legal medical cannabis patients. Brazil’s estimated total population is roughly 221 million people, whereas Germany’s estimated total population is roughly 83 million people.

Changes Coming To Ontario Cannabis Stores

Written by Johnny Green on May 16, 2025. Posted in Business, Policy.

Changes are coming to Ontario’s emerging retail cannabis industry. The Ford government is reportedly loosening cannabis store restrictions that have historically forced brick-and-mortar retailers to cover their shop windows.

“As part of its 2025 budget, the province announced it is planning to amend those rules to allow cannabis stores to operate with transparent windows, like any other high street shop.” reported Global News in its local coverage. “The move is one the industry has lobbied for and welcomed after it was announced in the budget.”

“To increase the comfort, security and safety of both customers and employees of licensed cannabis retail stores, changes are being made to allow stores to improve their outside visibility,” stated the government, according to Global News‘ reporting. “These changes are intended to support legitimate local businesses by enhancing transparency and fostering a more welcoming environment for consumers, while still protecting youth from exposure to cannabis.”

Requiring non-transparent windows negatively impacts cannabis retailers in various ways. Foot traffic in the area doesn’t result in potential customers coming in to make purchases like it typically does for stores in other industries that have transparent windows. After all, ‘window appeal’ is predicated on customers being able to see through windows.

As touched on in Global News‘ coverage, not being able to see through windows creates safety issues for cannabis retail staff and the store’s customers. Obviously, people with nefarious intent can still cause public safety issues even if windows are transparent. However, it helps mitigate potential issues to some degree to have better visibility and see if trouble is heading in the direction of the store.

Ontario will not be the first Canadian jurisdiction to make the regulatory retail change. Both Alberta and British Columbia have already permitted cannabis retailers to remove coverings from store windows. In addition to changes to store window regulations, Ontario is expected to place a special logo on domestic cannabis products to make consumers aware that the products were ‘made in Ontario.’

European Study Explores Hemp Blocks And Compaction Direction

Written by Johnny Green on May 16, 2025. Posted in Science.

Does the direction that hemp hurd is compacted into blocks make a difference in how well the blocks insulate and hold up under stress? That was the focus of a recent study conducted by a team of European researchers affiliated with Riga Technical University in Latvia and Lublin University of Technology in Poland. The study’s findings were published in the Journal of Natural Fibers.

“The study aims to assess the impact of variable binder content and the direction of compaction on the properties of the hemp-magnesium composites.” the researchers stated about the goal of their study. “These two factors may influence the scope of application of the developed composites (e.g. as a lightweight insulating filling of a frame wall, or a heavier material for load-bearing applications or in prefabrication).”

“Capillary rise, thermal conductivity, compressive and flexural strength in two directions, as well as the absorbability were tested. An analysis of the environmental impact of the composites was also prepared.” the team stated about their methodology.

“When a magnesium binder is used, it is possible to produce lightweight composites with low thermal conductivity (0.07 W/(m∙K)), but also heavier ones with high compressive (1.73 MPa) and flexural (0.98 MPa) strength. It is possible to improve selected parameters after changing the direction of compaction. The thermal conductivity of composites compacted in a direction parallel to the heat flow was lower by 17–25% compared to a perpendicular direction.” the researchers stated.

“The positive effects of changing the direction of compaction can be used in prefabrication by adjusting the compaction process. The impact on climate change varies significantly due to the proportion of these materials from 55.07 kg CO2 eq. to 358.64 kg CO2 eq.” the team concluded.

The study’s findings build on other recent research conducted by the Cologne University of Applied Sciences, which reportedly developed new hemp-lime building blocks potentially capable of being used as a material for load-bearing structures.

“These zones, like conventional hemp limestone blocks, are to be composed exclusively of biomass and mineral binders. According to the project participants, the aim is to create a climate-positive alternative to aerated concrete blocks or lightweight vertically perforated bricks, enabling single-shell masonry construction from rapidly renewable raw materials.” reported Allgemeine Bauzeitung in its local coverage (translated from German to English).

The Institute for Construction and Agricultural Machinery Technology at the Cologne University of Applied Sciences is developing a device that will be designed to produce compacted bricks made of hemp on a large scale. The resulting bricks will undergo testing to further explore their efficiency and application feasibility.

“In the second half of our project, we will devote ourselves to practical tests with our masonry blocks. We will erect several wall modules and examine their structural properties. In addition to properties such as load-bearing capacity, thermal insulation, and moisture behavior, we want to determine which materials, such as plaster and mortar, are compatible with the blocks and demonstrate that the blocks can be easily processed using conventional tools,” said project leader Prof. Dr. Arne Künstler from the Faculty of Architecture at the Cologne University of Applied Sciences according to Allgemeine Bauzeitung.

During a recent presentation at the International Cannabis Business Conference in Berlin, leading international cannabis industry economist, Beau Whitney, founder of Whitney Economics, provided data demonstrating that the value of the global industrial hemp industry could be $456.2 billion. Hemp being increasingly used for construction would further bolster the international hemp market’s potential.

Latvian Police Express Openness To Legalizing Medical Cannabis

Written by Johnny Green on May 16, 2025. Posted in Policy.

Cannabis is currently illegal in Latvia, although the production of industrial hemp is permitted in some instances. Cannabis is listed as a narcotic under Schedule I of the Law on Procedures for Legal Trade in Narcotic and Psychotropic Substances and Medicines (Narcotics Act).

In Latvia, cannabis offenses are divided into two categories: ‘small quantities’ and ‘large quantities. ‘ Violations of each category result in different penalties, which can increase with subsequent offenses.

Earlier this year, members of the nation’s Progressives party sought to advance medical cannabis legalization in Latvia. The proposal would legalize ‘capsules, extracts, and tablets,’ with the lawmakers backing the proposal urging the nation to make medical cannabis part of Latvia’s healthcare system.

“Patients do not discuss the issue with their health care providers and can choose wrong dozes or an unsuitable product, thus harming themselves,” representatives of the Progressives party stated back in April, according to local reporting by The Baltic Times.

Leadership of Latvia’s State Police has indicated recently that while they oppose legalizing cannabis for recreational purposes, they would accept medical cannabis legalization ‘if experts see benefits from it.’

“The State Police is generally against decriminalizing the use of marijuana, as it can pose safety risks, but if professionals in the field see benefits of its use for medical purposes and the substance is prescribed by doctors, then this would be acceptable, police representatives said.” per The Baltic Times.

Last month, Frontiers in Oncology published the largest meta-analysis ever conducted on medical cannabis and its effects on cancer-related symptoms. The meta-analysis was conducted by a team of health researchers affiliated with the Whole Health Oncology Institute and the Chopra Foundation. The analysis determined the following:

Cannabis reduced cancer cell proliferation
It inhibited metastasis, limiting cancer spread
It increased apoptosis (natural cancer cell death)
It has a profound anti-inflammatory effect, a critical factor since inflammation is linked to over 80% of the world’s most debilitating chronic diseases

“The consistency of positive sentiments across a wide range of studies suggests that cannabis should be re-evaluated within the medical community as a treatment option. The findings have implications for public health research, clinical practice, and discussions surrounding the legal status of medical cannabis.” the researchers concluded.