ISSN 2562-2951
INDIGENOUS CANNABIS & HEMP MAGAZINE
GROWTH & PROSPERITY
First Nation cannabis inventor and entrepreneur See story page 12
L Wiisag makes history with Green LIght for Outdoor Grow ISSUE 2 VOLUME 1 – Spring-Summer 2019
The First Ever Indigenous Hemp and Cannabis Magazine that takes a deeper look at the rapidly changing landscape of the Hemp and Cannabis Industry and how Indigenous Peoples best and brightest have emerged to become North American’s industry leaders.
Kelowna, BC NOVEMBER, 26 - 28, 2019 Check the website for more information!
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Growth and Prosperity u Indigenous Cannabis and Hemp Magazine
A Message From the Publisher Welcome to the second online and hard copy edition of Growth and Prosperity: Indigenous Cannabis and Hemp. I hope you enjoy reading about the work that is being done – and the progress that is being made – to ensure that our Peoples are included in Canada’s emerging cannabis and hemp industry. With the legalization of cannabis last October, Canadians were finally able to legally celebrate 4-20 on April 20th this year. Over 100,000 people showed up in Vancouver at the largest ever 4-20 celebration, which has become a well-known check-point for cannabis activists, and now industry players. It’s a festival for those who want to know what the buzz is with 4-20. While the origins of this annual cannabis celebration are disputed, one thing is clear, many people across the country are celebrating this green leafy plant, making April 20th a day of significance. Let’s consider for a moment, a connecting historical conversation from the Indigenous perspective here in what is now referred to as Canada; right back to the early colonial expeditions that landed explorers on to the eastern shores that were seen as unfit and undesirable. On the very same day — April 20 — in 1534, French explorer Jacques Cartier set off from Saint-Malo with 2 ships and 61 men. Favoured by “good weather,” he crossed the Atlantic in 20 days. “I did not see one cart-load of earth,” it was “the land God gave to Cain.” On June 15, he steered “towards the south” and entered unexplored regions. He went along the west coast of Newfoundland, distributing French names, and reached what is now called Cabot Strait, but he did not perceive that it was a navigable channel and turned westward. This being the “new world” for early settlers, it was seen as “terra nullius”, empty land that had no human lives, where the Indigenous were seen as savage and without a soul – it was a sign of how visiting colonizers would conduct themselves in subsequent centuries; all leading us to April 20th. Today Canada’s legislative agenda and policies are fraught with an insidious racist narrative and modern foundation of colonial arrogance that still does not respect Indigenous Nationhood.
All this is to say that cannabis laws in Canada are not anywhere near built on mutual interest, considering the rights, jurisdiction and economic interests of First Nations who wish to exercise their inherent and treaty rights separate and autonomous from that of federalist influence. Now that we have the historical context set out, I note that Indigenous Peoples have a 4-20 perspective on cannabis that deserves attention. Our laws, economic rights, trade practices, social perspectives, and responsibilities are virtually unrecognized by the federal government in this country; at least without struggle and assertion. You see, all of these rights of Nationhood are founded in Sovereignty that has never been relinquished, given away, nor were we conquered by war. As a matter of fact, our warriors were, and continue to be, allies in wartime and peacekeeping duties. The point here is this – Canadians still benefit from the strength and defense obligations of First Nations as Nationhood partners. When we look across the country, we see many hard-fought assertions to participate in Canada’s cannabis industry – but it’s not an easy, cut and dried task to unpack where First Nations stand in today’s industry. The mish-mash of views and approaches to First Nation jurisdictional issues are perceived by Canada is a result of the neglect of not only Canada and the province, but due to the political paralysis of some of our own First Nation leaders on the issue – but that another story for another day. Without getting too far into the weeds – we know that there are three central concerns from Indigenous Peoples regarding
Growth and Prosperity: Indigenous Cannabis and Hemp Magazine is published quarterly. Spring/Summer 2019 Edition No. 2 Publisher: Isadore Day, iday@bimaadzwin.ca Content: Bryan Hendry, Isadore Day & Shari Narine Photos by Fred Cattroll and Bryan Hendry
Editor: Bryan Hendry, bhendry@bimaadzwin.ca 613-863-1764 Advertising: Please contact Bryan Hendry
ISSN 2562-2951 No part of this publication may be used without the written permission of the publisher. Every effort is made to avoid errors, misspellings, and omissions. If, however, an error comes to your attention, please accept our sincere apologies, and contact the editor.
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Canada’s laws on cannabis: First, respecting the Nationhood rights of Indigenous communities on cannabis means a formal recognition of First Nation industry interests. Secondly, consultation laws that Canada is bound to, simply were not respected in the accelerated manner that the federal government advanced the legislative agenda. Finally, Canada’s claims to reconciliation – at least from the economic perspective, are clearly of no significant consequence. First Nations today that wish to assert their interests in this industry are faced with persecution and labelling of being a grey market, or as having ties with a black market. It is being suggested that what First Nations are developing, despite colonial incursion on their cannabis rights, is the Red Market. Intrigue has been sparked by the determination in approach by Indigenous entrepreneurs, and the impact that First Nations who are not prepared to allow a colonial narrative to be perpetuated are having on the industry. You will
also notice, if you look closely, that First Nation cannabis entrepreneurs who are succeeding, are well empowered with expertise, innovative ideas, investment capacity and are sought by non-Indigenous investors because of the edge that Indigenous Nationhood rightfully maintains. Taxation, law-making authority, land, and an Indigenous worldview goes a long way in an industry that is based on a product that is living, comes from the land, and requires organic intelligence. First Nation cannabis is going to flourish – not because colonial laws dictate, but because First Nations are not going to be dictated to by laws that did not initially consider Indigenous interest. So on the 4-20 commemoration of cannabis culture, remember that it was Jacques Cartier’s failing as he set out on April 20, 1534 to find new lands to exploit, to not anticipate a People with pride, dignity, drive, determination, and ability. A People with all those necessary attributes in the business acumen that we are seeing in First Nation cannabis business leaders who are rightfully challenging Canada’s laws today.
Wiisag Makes History as the First Indigenous Cannabis Company to be Given the Green Light to Proceed with an Outdoor Grow (Toronto, May 8, 2019) Wiisag Corporation, a First Nation cannabis company headquartered at Neyaashiinigmiing, ON, is pleased to announce it has officially been granted an outdoor grow licence by Health Canada, effective immediately. The next step begins now – finalizing security and preparing the 15 acres of land for the June to September growing season. “We are absolutely thrilled, not only for the opportunity to be first out of the gate with an outdoor grow operation, but also that Health Canada has made it a priority to award this licence to a First Nation company, rather than to an established Licenced Producer,” said Jake Linklater,
Executive Chairman of Wiisag. “We began this process nearly two years ago. We are extremely pleased that the first official outdoor crop of medicinal cannabis will be grown on First Nation land. “More importantly, Wiisag will be creating jobs and building economic opportunities at Neyaashiinigmiing (also known as Cape Croker First Nation). We will employ approximately 70 people, which includes one farmer and one technician per acre,” said Mr. Linklater. “The approximately 20,000 plants will be monitored 24 hours a day. We will be able to help address the current cannabis shortage that is expected to last for several years until the other LPs are able to increase production.”
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“The hard work begins in May when we prepare the fields for the first crop,” said Joel Strickland, CEO of Wiisag. “The initial investment is approximately $7.5 million. The work will continue after the harvest into October and November as we will also process the cannabis on site. At all times, Health Canada will be able to monitor our activity in real time through our security and software applications. “This is the first step towards creating a competitive, authentic, indigenous global brand to compete in both the medicinal and recreational cannabis industry by making it attractive for First Nation communities and indigenous entrepreneurs to join Wiisag’s national network,” added Mr. Strickland.
“This confirmation from Health Canada demonstrates that there are formal inroads for First Nations to get involved in Canada’s cannabis industry. We need to keep collaborating toward these types of successes”, says Isadore Day, Director of Community and Government Relations. “This is a solid step toward economic reconciliation.”
“Over the years, we have listened carefully to Chiefs, Councillors, Elders, youth, and communities’ concerns and hopes for cannabis. We also listened to the indigenous health care community on how they can facilitate a safe, and effective experience with cannabis for suitable patients.”
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Sovereignty, Indigenous partnerships, licencing were main themes of 2nd National Indigenous Cannabis and Hemp Conference (NICHC) held February 19-21 in Ottawa (Ottawa, February 22, 2019) For the first time ever, two federal ministers spoke at a cannabis conference – Health Minister Ginette Petitpas Taylor and Border Securities Minister Bill Blair, who is the minister in charge of Canada’s Cannabis Act. Both Ministers made encouraging statements on the need to further include Indigenous peoples in the hemp and cannabis industry.
“We are supporting Indigenous communities who want to have a role in the cannabis landscape,” said Minister Petipas Taylor, who pointed out that Canada’s legalization and regulation of cannabis presents an historic opportunity to do things better. “Our government respects Indigenous peoples needs, desires and perspectives.”
cannabis train is going to keep on going. Let’s jump on our own track, under our own steam. At the same time, we need to build trust with governments and the Canadian public. This is a once in a lifetime opportunity for all our Nations to partner and participate in this growing industry.” Kahnawake Grand Chief Joseph Tokwiro Norton stressed that his community is developing its own cannabis law in order to ensure public health and safety and access to a population of three million in the Montreal area. “We are already a major contributor to the economy. We employ a lot of people. We need to educate the provincial and federal governments on what we do. We’re going to take advantage of our location. If cannabis is one product that’s going to be in demand, then let’s do it.”
Minister Blair pointed out that Indigenous Services Canada has recently modernized its economic development policies in order to address participation in the cannabis industry. “Our government recognizes the important link between economic development and improved outcomes in health and social development. The Cannabis Act provides an open and fair licencing process.” When asked by a delegate if the government would respect the Algonquin sovereign right to produce and sell cannabis in the territory that includes Ottawa, Minister Blair replied: “We acknowledge and respect the jurisdiction of First Nations. There is an important nation to nation discussion on how both of our jurisdictions are recognized, especially in the health and safety of our peoples.” Isadore Day, Wiindawtegowinini, CEO of Bimaadzwin, who chaired the conference, said there is a multibillion-dollar potential for partnerships among the 300 delegates, exhibitors and fledgling Indigenous companies/retailers who were present. “That mainstream
Opaskwayak Cree Nation Onekanew Christian Sinclair brought his remote Manitoba community out of debt by investing and partnering in cannabis production and retail companies in Canada and California. “Because of the current cannabis shortage for years to come, this is a golden opportunity for all First Nations to get into the game.” Bimaadzwin continues to work towards clarifying and setting out challenging policy discussions. These challenges are being identified by working with Indigenous cannabis entrepreneurs, communities, and leaders within First Nation, federal, and provincial jurisdictions in regard to participation in the hemp and cannabis economy.
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Minister of Health Ginette Petitpas Taylor told NICHC delegates that the legalization and regulation of cannabis offers an historic opportunity to do things better with Indigenous peoples.
Isadore Day, Wiindawtegowinini, was the chair of the 2nd National Indigenous Cannabis and Hemp Conference (NICHC) held in Ottawa, February 19-21.
Bill Blair, Minister of Border Security and Organized Crime Reduction, told NICHC delegates that Canada encourages Indigenous peoples to apply for cannabis licences through an open and fair process.
Ian Campeau -- Indigenous rights activist, cannabis advocate, and former member of A Tribe Called Red – delivered an inspiring speech at the NICHC reception on February 19th. Campeau began his presentation by speaking in Ojibway. Over the past decade, cannabis has helped his wife recover from cancer and allowed Campeau to stop drinking alcohol.
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A panel of provincial cannabis regulators provided information on how Indigenous entrepreneurs can legally enter the cannabis industry. From left to right are: Dale Tesarowski of the Saskatchewan Ministry of Justice and Attorney General; Renu Kulendran, Exec. Director of the Ontario Legalization of Cannabis Secretariat; and Mary Shaw, Exec. Director of the BC Cannabis Legalization and Regulation Secretariat.
The federal government provided three panelists who are involved in working with Indigenous peoples in the cannabis industry. From left to right are: Todd Cain, Director General of Licencing and Access, Cannabis Legalization and Regulation at Health Canada; Mohan Denetto, Director General of Economic Development at Indigenous Services Canada; and Gerald Gosselin, Special Advisor, Indigenous Affairs Directorate at Employment and Social Development Canada.
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Health Minister Ginette Petitpas Taylor accepts a medicinal cannabis treatment proposal from Shane Diakunchak and William Kaminawash, who is the Executive Director of the Wee Che He Wayo Gamik Family Treatment Centre at Muskrat Dam First Nation in northern Ontario.
Bill Blair, the Minister in charge of enforcing the federal Cannabis Law, visits the Health Canada booth that features the Navigator Program which assists Indigenous entrepreneurs and communities who are interested in entering the cannabis industry.
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Francine Whiteduck and Rolland Bellerose are the founders of the Canadian Indigenous Hemp Cannabis Consortium. They are forming a national coalition of Indigenous cannabis and hemp producers who will have the capacity to compete locally and globally. For more information, and to fill out a survey, please visit www. cihcc.ca
Mohawk lawyer Cheri Brant, far left, chaired the community policy and safety panel that featured Mohawk Council of Kahnawake Chief Gina Deer, Grand Chief Joe Tokwiro Norton, and Lorraine White of Seven Leaf Cannabis in Akwesasne. Chief Deer said Kahnawake has millions of visitors from Montreal annually who buy gas, tobacco, and visit licenced gaming operations. Cannabis production and sales will also be licenced and governed by a commission.
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David Sharpe said that his company, Bridging Finance, has provided hundreds of millions of dollars for infrastructure and cannabis ventures at Peguis First Nation in Manitoba; Rama First Nation in Ontario; and all 13 First Nations in Nova Scotia. Mr. Sharpe, a Mohawk from Tyendinaga, said First Nations are now able to access infrastructure funding from his company. “Building trust is very important in partnerships. Our focus is about relationships. Our partners are 51 per cent owners.”
Richard Behn, a residential school survivor from British Columbia, has used cannabis for over 50 years to cope with trauma. “Indigenous communities are coming out of dark times. The cannabis and hemp industries will help strengthen our ties to the land… The British term ‘commonwealth’ is about how much wealth can be taken away from the common countries. For an Indigenous person, commonwealth is the ability to accumulate gifts for his community.”
Dr. Neil McKinney, a Naturopathic Physician from Victoria, BC, has been a medicinal cannabis advocate for 30 years, and is known as a pioneer in using both THC and CBD to treat cancer. He has found that cannabis treatment kills cancer cells. Dr. McKinney said cannabis is a miracle plant that can treat pain, PTSD, and end drug addiction. “Cannabis is not a gateway drug. It is an exit drug from opioids, alcohol, and nicotine.”
“Is cannabis magic?” was the question by Dr. Shelley Turner, who gave an inspiring presentation about her work in prescribing medicinal cannabis for opioid addictions, sleep and mood disorder, and chronic pain. She has prescribed cannabis over 14,000 times to patients as old as 90 years. A member of the Pimickamak First Nation in Manitoba, Dr. Turner operates the Ekosi health clinics in Thunder Bay and Gimli. Ekosi is a Cree word that Toddforward.” Cain means “this is good, this is the way
Manny Jules
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Dr. Shelley Turner
ELEVATE BOTANICALS & THINK TANK AUTOMATION The vision of Justin Valmont for quality control of organic cannabis genetics Justin Valmont was only 24 years old when he suffered a serious car accident. Today, at 35 and looking back, he is pleased that this life changing event happened. His quest for healing from the injuries & pain led him to transform a tragic lifeevent into successful business enterprises. Before the accident, Justin Valmont was an international Jiu-Jitsu medalist, and devoted his life to martial arts. He was fit and enjoyed daily “kicks” of adrenalines from all kinds of very intense physical activities. And then, “Boom”! Big car crash. Big injuries. Pain all over his body… From one day to the next, Justin’s life went from very physical to barely able to move. Like many people, Justin’s return visit to the doctor resulted in prescriptions. Lots of prescriptions: for pain killers; anti-inflammatories; tranquilizers for PTSD; anti-depressants; sleeping pills ... and pills to address the stomach issues caused by all these pills! Justin decided on another path. After seeing the side effects and damage done to loved ones by pill over-use, he committed himself to finding an alternative, to finding a natural wholistic approach to cure his pain. He turned toward medicinal cannabis. Then he did more. He developed a passion for creating new genetics that address various types of health issues more precisely. He developed new genetics for sleeping disorders; anxiety; PTSD and many other conditions. After 10 years of trials, Justin has developed hundreds of different strains of cannabis genetics. Many health issues -- one medicine. Afterward, hearing about the coming legalization of cannabis in Canada, Justin decided to transform his passion for cannabis genetics into a business venture. With two business partners, he founded Elevate Botanicals, a craft cannabis production enterprise growing medical grade cannabis completely pesticide free. Elevate Botanicals also specializes in cloning and selling their genetics. Six years after the car accident which had first devastated his life, Justin was now healthy & balanced again-- yet not completely satisfied. He understood that quality control
during the production process would be a key success factor for Elevate Botanicals, and for other cannabis producers. With this in mind, Justin invented an automated irrigation machine with patent pending smart blend technology which eliminates the risk of human error and ensures product consistency via the use of automation. Think Thank Automation Ltd. was born. No shareholder wishes to deal with the loss in reputation and financial costs engendered by product recalls. As Think Tank is the only automated quality control company for cannabis producers, needless to say, it is growing very quickly. It currently has a hard time keeping up with all the pre-orders coming in. Justin Valmont is looking to expand current operations and build new facilities for Elevate Botanicals & Think Tank Automation. For more information, visit www.thinktankautomation.ca or email justin@ thinktankautomation.ca Justin is Anishinabe from the Gambler First Nation, Treaty One territory in Manitoba.
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LEGALIZING AND STRICTLY REGULATING CANNABIS
The Cannabis Act sets out a system for legalizing, strictly regulating and restricting access to cannabis
FEDERAL RESTRICTIONS TO PROTECT YOUTH MINIMUM AGE OF 18 TO PURCHASE
PUBLIC EDUCATION AND AWARENESS CAMPAIGN
REQUIRING CHILD RESISTANT PACKAGING AND WARNING LABELS
PROHIBITIONS
TWO NEW OFFENCES
• Products appealing to youth • Packaging or labelling cannabis in a manner that makes it appealing to youth • Selling cannabis through a self-service display or vending machine • Promoting cannabis, except in narrow circumstances where the promotion could not be seen by a young person • Penalties: Up to $5 million fine or 3 years in jail
• Giving or selling to youth • Using a youth to commit a cannabis-related offence • Penalties: Up to 14 years in jail
I’M AN ADULT. WHAT AM I ALLOWED TO DO UNDER THE NEW SYSTEM?
$
[ ALLOWED ]
[ PROHIBITED ]
POSSESSION UP TO THE LIMIT • Up to 30 grams in public of licit dried cannabis and equivalent in non-dried • Sharing up to 30 grams among adults
DRIVING WHILE IMPAIRED BY A DRUG (INCLUDING CANNABIS) DRIVING WITHIN TWO HOURS OF HAVING AN ILLEGAL LEVEL OF DRUGS IN BLOOD (NEW) * • Penalties can range from $1,000 to life imprisonment depending on the level of drugs in blood and whether someone was hurt or killed
PURCHASE AND CONSUMPTION • From a licensed retailer • Minimum age of 18 (or higher if set by province/territory) • Up to possession limit (30 grams) • Initially available: dried and fresh cannabis, cannabis oil • Other products (e.g. edibles) available later
ILLEGAL DISTRIBUTION OR SALE • Tickets for small amounts • Up to 14 years in jail POSSESSION OVER THE LIMIT • Tickets for small amounts • Up to 5 years less a day in jail
HOME CULTIVATION • Up to 4 plants per residence • From legal seeds/seedlings • Local oversight (e.g. registration or permit) • Make cannabis-containing products at home, such as food and drink • No use of dangerous organic solvents
GIVING OR SELLING TO YOUTH (NEW) • Up to 14 years in jail USING A YOUTH TO COMMIT A CANNABIS-RELATED OFFENCE (NEW) • Up to 14 years in jail TAKING CANNABIS ACROSS INTERNATIONAL BORDERS • Up to 14 years in jail
MEDICAL • Access to cannabis for medical purposes will be maintained • Authorization of health care professional • Home or designated production • Direct order from licensed producer with secure delivery through mail or by courier
PRODUCTION OF CANNABIS BEYOND HOME CULTIVATION LIMITS OR WITH DANGEROUS ORGANIC SOLVENTS • Tickets for small amounts • Up to 14 years in jail * In impaired driving legislation
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SUPPLY CHAIN FOR THE COMMERCIAL
PRODUCTION AND SALE OF CANNABIS
Federal Licences
MICROCULTIVATION LICENCE
NURSERY LICENCE
WH A T
SELL TO:
> Other licensed cultivators or processors; > authorized researchers NOTE: Certain plant parts such as non-viable seeds and fibre can be sold to anyone.
Growers of industrial hemp • Cultivate approved varieties of industrial hemp (containing 0.3% THC or less) • Sell plants and plant parts
• Same activities as a standard processing licence but on a smaller scale
SELL TO: > Other licensed cultivators or processors; > federal sale (medical) licence holders; > provinces/territories (P/T) authorized sellers; > authorized researchers
• Sell tested, labelled and packaged cannabis products • Details set by individual P/Ts
SELL TO:
• Sell tested, labelled and packaged cannabis products by phone, or online with secure home delivery
SELL TO:
> Adults
> Registered persons
D? EE
OTHER FEDERAL LICENCES AND PERMITS: • ANALYTICAL TESTING LICENCE • RESEARCH LICENCE
• CANNABIS DRUG LICENCE • IMPORT AND EXPORT PERMITS
ADDITIONAL NOTES: ALL FEDERAL LICENCE HOLDERS CAN CONDUCT RELATED ACTIVITIES SUCH AS: • possession, transportation, storage, destruction, and research and development
INDIVIDUALS OR ORGANIZATIONS MAY HOLD ONE OR MULTIPLE CLASSES OF LICENCES: • A federal licence is required to obtain an import/export permit (for scientific or medical purposes, or in respect of industrial hemp)
PUBLICATION DATE: October 12, 2018 © Her Majesty the Queen in Right of Canada, as represented by the Minister of Health, 2018 | Cat.: H14-239/2018E-PDF | ISBN: 978-0-660-28125-4 | Pub.: 180396
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3 SALE TO PUBLIC
FEDERAL SALE LICENCE (MEDICAL)
Growers of starting materials • Cultivate any variety of cannabis • Produce seeds and seedlings (including clones)
• Large scale production of cannabis products (e.g., cannabis oil) • Packaging and labelling products for sale to the public
MICROPROCESSING LICENCE
PROVINCIAL AND AUTHORIZED TERRITORIAL PROVINCIAL AND RETAIL AND TERRITORIAL SALE DISTRIBUTION SCHEME
Small-scale growers of cannabis • Same activities as standard cultivation licence but on a smaller scale
PROCESSING
ENCES DO I N LIC
INDUSTRIAL HEMP LICENCE
STANDARD PROCESSING LICENCE
1
Large-scale growers of cannabis • Cultivate any variety of cannabis • Produce cannabis seeds, cannabis plants, fresh and dried cannabis
CULTIVATION
STANDARD CULTIVATION LICENCE
Growth and Prosperity u Indigenous Cannabis and Hemp Magazine
FEES FOR CANNABIS REGULATION 1 LICENCE APPLICATION DEVELOPMENT Determine which licence or licences you want to apply for and develop your application.1
STANDARD
MICRO
You can apply for both Standard licences (Cultivator and/or Processor) in one application.
You can apply for both Micro licences (Cultivator and/or Processor) in one application.
NURSERY
SALE FOR MEDICAL PURPOSES
2 APPLICATION SCREENING
Submit your application and your non-refundable Application Screening Fee.
$3,277
$1,638
Standard Cultivator, Standard Processor and Sale for Medical Purposes.
Micro Cultivator, Micro Processor and Nursery.
2
ACCEPTED
3 SECURITY SCREENING
Submit your non-refundable Security Screening Fee(s).
$1,654 The Security Screening Fee is for each individual who requires a security screening.
REJECTED
2
ACCEPTED
4 LICENCE GRANTED The Annual Regulatory Fee3 is to be paid annually.
ANNUAL REGULATORY FEE
MICRO | NURSERY
STANDARD
The Annual Regulatory Fee is the higher of $2,500 or 1% of the first $1 million in gross revenue, and 2.3% on revenue above $1 million.
The Annual Regulatory Fee is the higher of $23,000 or 2.3% of gross revenue.
ONGOING FEES Annual Regulatory Fee (at the rate established for the given licence class)
1
Industrial hemp, analytical testing and research licences, as well as manufacturers of health products containing cannabis, would be exempt from all fees associated with the Cannabis Act.
2
Should the application screening or security screening be rejected, the entire application process will need to be restarted, and the associated fees will need to be submitted for the new application.
3
Licence holders providing cannabis exclusively for medical purposes may be exempt from the Annual Regulatory Fee.
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© Her Majesty the Queen in Right of Canada, as represented by the Minister of Health, 2018 | Cat: H14-259/2018E-PDF | ISBN: 978-0-660-26201-7 | Pub: 180004
REJECTED
Thunderchild and Westleaf Partnership By Shari Narine
By the end of this year, Thunderchild by Westleaf Cannabis cultivation facility will be operational on land in Battleford, Sask., owned by the Thunderchild First Nation. The $8 million investment in Westleaf Cannabis Inc., in a partnership formed about 20 months ago, made economic and strategic sense to the Thunderchild First Nation in the new and burgeoning cannabis industry. “Our economic situation in our community has progressively grown, but we needed people to help guide us into economic prosperity and this was a plan that came forward that was very sound, very viable and we knew that the investment early on would prove dividends in the end,” said Thunderchild First Nation former chief Delbert Wapass. Westleaf Cannabis has an experienced operations team, with prior senior management experience collectively designing over 48 cultivation facilities and operating 24. As Thunderchild is the largest investor in the Calgarybased company, Wapass sits as one of five directors on Westleaf’s board. “We complement the overall board by the First Nation’s perspective to understand that. It’s also the opportunity to understand that level of discussion and the strategic discussions on acquiring other business, others wanting to get involved in our business. It’s a real good learning
opportunity. Although I am versed somewhat in that area, it’s really given me the opportunity to learn from the best and as well to teach them,” said Wapass. “The whole intent with this project and partnership with Thunderchild is to create as many high quality and meaningful employment opportunities as possible. It’s our intention to offer as many opportunities to Thunderchild and other First Nations communities,” said Scott Hurd, president and CEO of Westleaf Cannabis. Those opportunities will begin with the cultivation facility. The first phase includes an 85,000 square feet purpose built indoor growing facility. Once fully licensed by Health Canada, it is expected to produce about 7,300-kg high quality consistent dried cannabis flower annually. The second phase is expected to double the capacity of the facility to an estimated 14,600-kg of flower per annum. The total facility size will be brought to approximately 130,000 square feet. While no date has been set for the second phase of the facility, Hurd says it is his company’s intention to expand, which will most likely come in 2020. When the entire facility is operational, it will employ 150 people.
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“The cultivation facility in Battleford will probably become the largest single employer in the town of Battleford. First Nation communities surround that area, anywhere from 20 minutes to one hour out, which we are. We’re not only looking at Thunderchild for employment, but we’ve always been open to hire people from other First Nation communities to come and share the wealth, because we have a lot of our membership that works in other First Nation communities as well,” said Wapass. Involvement for Thunderchild will go beyond what’s happening on the First Nation-owned land. Westleaf Cannabis is a vertically-integrated company, owning and controlling assets across the entire cannabis value-added chain. A 60,000 square feet large scale research and development, processing and extraction manufacturing centre is being retrofitted in Calgary. There cannabis will be processed into value-added derivative products. Distribution will be made into both the recreational and medical markets in Canada. As well, Westleaf Cannabis has wholly owned retail across western Canada operating under the brand Prairie Records. Presently with one retail location operating in Warman, Sask., two more stores will be opened in Saskatoon shortly. The plan is to have upward of 20 locations operational by the end of fall. Retail stores will sell both Westleaf Cannabis’ product as well as carry a variety of other products form other producers.
“Thunderchild is a common shareholder of Westleaf. By virtue of that, they get exposure to all of our projects. So everything we’re doing from cultivation to processing, extraction, manufacturing, right down to retailing, all of that goes to benefit the common share holder, including Thunderchild,” said Hurd. The opportunity for training and employment throughout the cannabis sector is significant, says Wapass, and Thunderchild members have to be properly trained to position themselves for those jobs. The on-reserve training department will play a role in that. “This will be a real game changer because people now are going to have career jobs. They’re going to be able to buy vehicles, buy a house … it’s not a temporary position. These are career positons,” he said. Thunderchild First Nation will also benefit as a community, being able to supplement sparse government dollars in order to improve housing and other infrastructure needs, provide better education opportunities and health services. “We become a very progressive community when we make those types of investments in economic development which then provide the means to an end of better quality of life,” said Wapass.
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First Nation of Peguis and Wahupta Ventures Inc. “Farmers are looking for best practises. Many of our farming partners have tremendous farming experience with fibre-based crops but need some direction on the nuances of an oil -based crop. They’re looking for us to provide that expertise, knowledge and direction,” said Green.
By Shari Narine
A “synergistic fit” is what Whelan Sutherland calls the relationship that is forming between farmers on his First Nation of Peguis and Wahupta Ventures Inc.
The response from the community was positive, says Sutherland.
Peguis First Nation is the largest First Nation in Manitoba, with approximately 10,000 members of Ojibway and Cree descent. Located about 190 km north of Winnipeg, few younger members are taking up agriculture and much of the land is being leased to non-Peguis members. Sutherland knew the agricultural industry needed a boost.
“We worked directly with community members ranging in all ages. They were pleased to be out on the land,” he said, noting between 50 to 75 members were employed. Money from the agreements went directly into the pockets of individual band members, but it benefited the local economy.
“When I ran into Wahupta and learned a little bit more about them and learned what their strategy was, it was a synergistic fit with what my thought process was,” he said. The Vancouver-based Wahupta was looking to lease land to grow hemp. “The whole indigenous model is an important component to the social aspect of what we do. We are certainly trying to be profitable as a company and have that obligation to our shareholders, but we really like partnering with indigenous groups like Peguis, because for so long they’ve been forgotten or taken advantage of,” said Keith Green, chief operating officer with Wahupta. Wahupta’s mandate is to reinvest in community, which it does through a model designed to provide farmers with higher economic yields than conventional crops This in turn contributes to sustainable development through economic, social and environmental benefits for Indigenous communities and leads to investment in education. In 2018, Wahupta leased 100 acres from two Peguis First Nation’s members. Peguis First Nation has a certificate of possession (CP), which is as close as members can come to owning property on reserve lands. This season, Wahupta plans to increase those acres to 3,000, representing 10 per cent of the land that will be seeded in hemp for the company. It’s a marked increase over the 975 acres it grew last year across five provinces. “We will be one of the largest hemp farmers in North America,” said Green, who adds that some of that seeded land will probably belong to neighbours of the Peguis First Nation as Sutherland has received interest from them as well. Land farmed by Sutherland’s wife and her family were part of the 100-acre test site on Peguis First Nation. Along with Wahupta’s supply agreements with the contracted farmers, the company’s seed-to-sale vertically-integrated operations provided farmers with the right kind of seed for the soil and conditions and worked with them on seeding, cultivating and harvesting.
“It’s in everyone’s best interest if we grow as much product as we can because it empowers the farmers. The farmers generate more income and in the grander scheme of things it stimulates the overall economy in Peguis,” said Sutherland. While the relationship between Wahupta has been with individual Peguis farmers and it involves strictly growing hemp, Sutherland anticipates it could be more than that. CBD extraction from the hemp plant could be something done locally if economy of scales makes it feasible. More than that, though, Sutherland says he’s hoping to formalize a partnership between Wahupta Ventures and the Peguis First Nation. He says Chief Glenn Hudson and council have been pleased with what has transpired. “They welcomed this with open arms because they wanted to stimulate our industry that was on a downturn,” said Sutherland. For Green, he noted that working directly with the Peguis First Nation has been a perfect fit. “We’re really trying to make a difference within the First Nations with sustainable economic growth, job growth, and diversity of industry within the communities. We really like these communities to be able to take some of the profits they’re going to make off of this crop and put that money towards some of their social challenges that they have within their communities. And, in many cases, these challenges are pretty significant,” said Green. This season, Wahupta hopes to be contracting First Nations across Canada to grow hemp. The company already works with Indigenous peoples in the United States, Mexico and Colombia. Wahupta Ventures Inc., which has two Indigenous directors on its board, has plans to go public soon.
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