A licensed producer is generic term for a company licensed by Health Canada to grow, process, sell for medical purposes, test, and/or research cannabis.

The Health Canada Licensed Producer system was designed to be a safe, secure production system for growing, processing, and selling cannabis for medical purposes. That system expanded and changed once Canada legalized cannabis for adult recreational use on October 17, 2018. However, many industry organizations including Licensed Producers Canada use the term “Health Canada Licensed Producer” to refer to any licensed company in the Canadian cannabis industry.

Dig a Little Deeper

Health Canada is the federal department responsible for national health. Although each province is responsible for operating its own healthcare programs, Health Canada oversees areas such as Indigenous healthcare and pharmaceutical licences as well as cannabis. Health Canada launched its Licensed Producer system to provide Canadians with a source of safe medical cannabis produced in Canada, and the same basic system continued after legalization for adult use. Companies who apply to become Licensed Producers must undergo a strict screening process to ensure public safety and to ensure companies are not supplying the black market. This screening process includes full background checks of owners and corporate board members, financial audits, a filed business plan, and multiple inspections of their growing operations.

In 2019, Health Canada re-categorized its system into different licences:

  • Cultivation (growing cannabis)
  • Processing (making cannabis products)
  • Selling cannabis for medical purposes
  • Testing cannabis
  • Research using cannabis

Click here for more information about cannabis licence classes and sub-classes including a Health Canada chart.

For More information

LPC FAQ on Cannabis Licence Classes | Current list of Canadian Licensed Producers | Health Canada Cannabis Licensing Application Guide.