Pubdate: Thu, 09 Jul 2015 Source: National Post (Canada) Copyright: 2015 Canwest Publishing Inc. Contact: http://drugsense.org/url/wEtbT4yU Website: http://www.nationalpost.com/ Details: http://www.mapinc.org/media/286 Author: Peter Koven Page: FP5 Agriculture COUP FOR MEDICAL POT PRODUCERS Canada's fledgling medical marijuana industry received a boost on Wednesday as Health Canada gave licensed producers the go-ahead to sell cannabis oils and fresh marijuana buds. The move allows them to start churning out higher margin products that could completely change the complexion of the market. Up until now, licensed pot producers have only been allowed to sell dry products for smoking. But last month, the Supreme Court of Canada ruled that medical users should be allowed to consume cannabis in other forms, such as oils and edibles. The illegal marijuana dispensaries in Vancouver have been providing these products, and the last thing the federal government wanted was for the black market to have an advantage over regulated producers. On Wednesday morning, Health Canada convened a conference call with the chief executives of all the licensed producers to inform them that they could sell cannabis oils and fresh buds through a legal exemption. "They moved fast. We were anticipating this, but not this quick," Marc Wayne, CEO of Bedrocan Cannabis Corp., said in an interview. Wayne said it would not be difficult to adapt his business in order to produce these "derivative" products. In fact, Bedrocan and other licensed producers are currently throwing vast quantities of marijuana material into the garbage, because they can't use it in dried, smokeable products. That material can be used in oils that fetch much higher prices, meaning the producers could get both greater efficiency and higher margins. Derivative products such as oils have become extremely popular in places like Colorado, where pot has been legalized. Some industry observers believe these products will ultimately become far more prevalent among medical patients than smokable marijuana. "I think they will overtake the market," Wayne said. But the Health Canada decision on Wednesday still led to some head scratching in medical marijuana circles. The ruling provides limits on THC concentration in the oils that appear to be totally arbitrary, according to Adam Greenblatt, who runs a medical marijuana clinic in Montreal. He is also disappointed that Health Canada seems to only be allowing food oils, even though some patients use oils extracted by alcohol. Another question mark is the sale of fresh marijuana buds. Greenblatt said they could get mouldy en route to the customer. The fresh marijuana could be used in juices, but he said that is an ineffective way to take cannabis. "(The decision) is a good step in the right direction, but it doesn't go far enough," Greenblatt said. - --- MAP posted-by: Jay Bergstrom