Cannabidiol, also known as CBD, is a natural extract of cannabis plants. When CBD is manufactured from the cannabis plant, it is made into different products such as CBD Oil, CBD skin products, CBD vape, CBD capsules, and CBD gummies Canada. CBD actually doesn’t give users a “High” feeling as it doesn’t include any psychoactive element such as tetrahydrocannabinol or THC.
This is one of the reasons why it has been legal for consumption in Canada. Some medical professionals even encourage people to use them as it has been consumed to heal various illnesses. Although these products and their side effects need further study and research, many Canadians have already been using them as a remedy to their physical discomforts.
So, is it Really Profitable in Canada?
To answer that question, let’s dive into Canada’s CBD sales statistics. As of May 2020, the CBD retail sales in Canada increased by over 4.2 percent growth compared to its performance during April 2020. However, due to the imbalance of retail businesses in Canada, one-fourth of CBD products sales happen in the province of Alberta. The overall CBD products retail sales in Canada reached 138.1 million dollars in July.
Lately, retail sales skyrocketed to 68 percent in May 2021. The total sales of CBD from March to April were decreasing but still stable enough to sustain the CBD market. The 4th largest province in Canada, Alberta, has over five hundred licensed retail stores for cannabis. Alberta also has one of the skyrocketing CBD sales compared to other Canadian provinces.
The Legalization of Hemp in Canada
All Canadian activities that are cannabis-related will be considered illegal until you’re authorized and have secured a license to manufacture and sell it. CBD products in Canada are previously categorized as controlled substances and drugs with stricter regulations. Now, Canada has already passed this act in 2018.
With that, they are now allowed to manufacture and sell CBD products as long as they are strictly regulated. Also, the only legal CBD products in Canada are only for scientific research and medicinal purposes. The production of every product must comply with the law or the Cannabis Act. Thus, until you are permitted and authorized to produce, process, distribute, and sell these items, your business will be considered illegal.
CBD Regulations: Why are They Necessary in Canada?
These implementations set by the Canadian authorities are intended to boost CBD sales, stabilize the cannabis market, and improve CBD business quality while keeping every buyer or consumer safe. Canada aims to generate more revenue through the fastest and largest cannabis market without compromising the health and safety of the public.
Final Words
As long as you have the business license and other requirements for the authorization of your CBD business, the authorities won’t come after you. You should always be aware and informed of all the territorial and provincial jurisdictions as an entrepreneur in the field of CBD. Each territory has its own framework for the licensing and authorization of producing and distributing CBD oil in Canada. Therefore, you need to research these frameworks thoroughly to select a practical and ideal business niche.
