Canada Considers Adjusting THC Limits to Boost Competition

The Competition Bureau is also suggesting a review of the cannabis licensing process.

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The Competition Bureau presents its submission to Health Canada and the Expert Panel in response to their legislative review of the Cannabis Act.

The Bureau believes that stronger competition in the cannabis industry would help foster innovation and benefit consumers by providing them with increased choice and quality. Importantly, these benefits would serve to further displace illicit market activity and bolster the legal cannabis industry.

After a review of competition in the Canadian cannabis industry, the Bureau makes the following three evidence-based recommendations to promote a more competitive legal industry:

  1. Review the cannabis licensing process and related regulatory compliance costs to ensure policies are minimally intrusive to competition, where possible.
  2. Review and consider adjusting THC limits on edible cannabis products, as appropriate, to allow legal cannabis producers to meet consumer demand and better compete with the illicit market.
  3. Review and consider easing restrictions on cannabis promotion, packaging and labelling, as appropriate, to help consumers make informed purchasing decisions and to provide cannabis producers with more flexibility to compete and innovate.

The Bureau recognizes that these recommendations must be carefully balanced with other important public policy goals, including public health and safety. The Bureau relies on Health Canada and other subject-matter experts to determine how best to implement these competition policy considerations while protecting the health and safety of Canadians.

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