Canada’s cannabis industry leaders anticipate that U.S. Attorney General Jeff Sessions’ rollback of the Cole memo will have positive effects on the country’s newly regulated cannabis market.
Vancouver-based Medipure Pharmaceuticals CEO Boris Weiss said “It’s been widely reported that industry and investor interest is looking ‘up north’ because of the progressive stance of the Canadian Prime Minister.”
On Thursday, Sessions rescinded the Cole Memo, a policy that allowed for the legal cannabis industry to flourish across the United States, according to AP reports.
“If anything, this only further illustrates that Canada is the best place to conduct research in the cannabinoid field,” Weiss said. “The US has been unable to balance their federal and state laws, whereas Canada has taken a lawfully unified approach to cannabis and cannabinoid molecules that makes working in the regulatory environment safer and more stable.”
Canada will fully legalize marijuana by July 2018, which has been good news for Canada’s cannabis stocks, with the top four producers worth over $7.8 billion.
Canopy Growth Corp. stocks more than doubled in 2017. Aurora Cannabis Inc. more than tripled, Aphria Inc. gained more than 180 percent and MedReleaf Corp. has climbed more than 60 percent since its June debut, according to Bloomberg.
Recreational cannabis sales are estimated to grow to C$6 billion by 2021.
“Canada’s structure for a regulated cannabis market makes it more attractive to investors,” Weiss said. “Most would agree that investments in unregulated or legal gray areas are inherently risker than lawfully regulated markets.”
Medipure Pharmaceuticals operates under strict guidelines of Canadian federal regulatory agencies including Health Canada. The company is creating cannabis-based medicines for pain, Post-Traumatic Stress Disorder and anxiety disorders, and dermatological conditions such as psoriasis.
Sign up for the green rush. Subscribe to our newsletter.
“What Medipure Pharmaceuticals is doing with cannabinoid-based prescription drugs for targeted diseases will only prove the true benefits of these molecules and plan to do so in a well-regulated, federally legal environment,” Weiss said.
Fellow Canadian company InMed Pharmaceuticals Inc. shares this viewpoint. InMed CEO Eric Adams said “Certainly, stability on all levels is important and we look forward to things normalizing in the US. Canada has been and will continue to be a leader in all aspects of the marijuana industry, including on the pharmaceutical side, where there is a long track record and depth of knowledge at the regulatory level for cannabinoid compounds.”
By producing cannabinoids in a bacterial biosynthesis system, this pre-clinical stage biopharmaceutical company is developing therapies for multiple diseases, including Epidermolysis Bullosa, Glaucoma, and pain.
InMed‘s pharmaceutical research is coupled with innovative drug delivery systems that have a futuristic feel – recently, the company announced success in creating topical eye drop that forms a “gel-like” lens over the eye, promoting extended absorption through the eye.
“InMed, as a pharmaceutical company, has a very well defined pathway to commercialization which includes stringent regulatory oversight by the FDA,” Adams said. “While overall acceptance of the medical benefits of marijuana by the public-at-large is nice to have, our target audience are physicians and caregivers who treat patients with serious illnesses.”