No cannabis vaping products, bigger cut of sales for retailers: N.L. government

No cannabis vaping products, bigger cut of sales for retailers: N.L. government
No cannabis vaping products, bigger cut of sales for retailers: N.L. government

ملفات اخبار العرب24-كندا: The N.L. government says it will not allow cannabis vape products to be introduced right now, in order to protect people's health. (Photo illustration by Craig Chivers/CBC)

The provincial government is announcing changes for businesses that sell marijuana in this province, and banning a product not yet on the market. 

Starting Jan. 1, certain licensed cannabis retailers will see a bigger commission on the products they sell. 

The proposed changes apply only to Tier 1 licensed cannabis retailers awarded through the Newfoundland and Labrador Liquor Corporation's request for proposals.

The changes will see:

  • 12 per cent commission on the first $1 million of sales per calendar year.
  • 10 per cent commission on sales between $1 million and $1.5 million per calendar year.
  • Eight per cent commission on all sales above $1.5 million.

Right now, businesses get eight per cent commission on all sales. 

The higher commission rates come after government spoke with retailers about "the challenges facing the industry and future growth opportunities," said the release. 

The NLC also announced new deals with marijuana producers, based in Canada. 

Those are:

  • 7 Acres.
  • Auxly/Doescann.
  • Figr.
  • Hexo.
  • Truss Beverages.
  • TerrAscend.
  • The Green Organic Dutchman.

No cannabis vape products in N.L.

The provincial government says it will not allow cannabis vape products in Newfoundland and Labrador to be introduced for now. 

"There have been reports of severe lung diseases associated with vaping in both Canada and the United States," said the government in a media release.  

"An analysis by experts in both countries has not been able to pinpoint the specific cause of this lung disease; however, the majority of cases involve vaping cannabis."

Thomas H. Clarke is one of the licensed sellers of marijuana who said government was taking too big of a cut when it came to sales. (Eddy Kennedy/CBC)

The government said it wants more information and the results of any clinical evidence before it will consider allowing the products in the province. 

"The aim of these measures is to protect public health while also supporting local retailers," states the media release. 

Health Minister John Haggie and Finance Minister Tom Osborne are holding a new conference Wednesday afternoon to speak about the new developments for the industry.

Read more from CBC Newfoundland and Labrador

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