What are the Steps to Becoming a Licensed Producer?
Since the Cannabis Act came into effect on October 17, 2018, there have been changes to the application process to become a licensed producer*, approved by Health Canada for cannabis cultivation, processing, testing, research cannabis, or sale for medical use. The following is a brief list of the steps involved in becoming a licensed producer:
- Step 1: Become familiar with all relevant Federal and provincial, territorial and municipal legislation (section 5.1 of this guide)
- Step 2: Identify licence class and subclass of interest
- Step 3: Create a CTLS Account
- Step 4: Inform all required individuals associated with the proposed licence holder to create a CTLS account, and apply for a security clearance, if applicable (section 5.4 of this guide)
- Step 5: Create corporate account, if applicable
- Step 6: Create an application and gather all information
- Step 7: Submit application
Dig a Little Deeper
According to Health Canada, “the Cannabis Act and its Regulations provide, among other things, the framework for legal access to cannabis and control and regulate its production, distribution and sale.” The federal government oversees almost every aspect of cannabis production and distribution except for cannabis sales for adult recreational use. Retail cannabis licences in this case are provided by the province or territory the company operates within. (If applicable – some provinces chose not to privatize cannabis sales.) Applicants and licence holders must comply with all Cannabis Act regulations. They must comply with other relevant regulations including that of the Canadian Revenue Agency, etc.
For more information, please see Section 5 of the Cannabis Licensing Application Guide.
*Health Canada now uses the term “licence holder” in place of “licensed producer”. However, many within the industry including LPC continue to use the term “licensed producer”. It refers to any company that is licensed by Health Canada under the Cannabis Act.