How to get a license to plant cannabis?
Many companies around the world are involved in cannabis production. There are also many who have started to produce in recent years. Are you looking to create a company and dedicate yourself to the commercial level of the sale of cannabis? Then you need to know how to get a license to plant cannabis.
Becoming a cannabis dealer has its demands: numerous requirements and high fees. However, it also has attractive benefits: high production in just eight (8) weeks, versatility, among others. Investing in this type of crop is profitable: the resources used are accessible and in high demand.
Countries where you can get a licence to plant cannabis
Cannabis production is booming in many countries. This has been motivated by therapeutic benefits: it relieves anxiety, relaxes muscles (in case of severe pain), is also treatment of glaucoma (vision problem) and also fights epileptic seizures.
According to the UNODC (2018) there are more than fifteen (15) countries that have a high consumption of this drug. In cases such as those of Spain in the European Union, Canada and the United States, and in Latin America, such as Colombia and Jamaica, production has been totally or partially legalized.
Initial capital to enter the cannabis business
Any business requires a capital base to invest. One of the hardest tasks in this business is to get the initial capital and the way you will use it. As a minimum, it is recommended to have a base of at least €200,000. In most cases, alternative means of financing are sought: investors and/or private capital.
When drawing up a business plan for producing cannabis it is advisable to make a list of possible expenses. The cost of obtaining a licence to plant cannabis, rent of space, employees and salaries and transport are the highest.
Know the laws of your country
Whether you want to start within the cannabis business, such as opening a store, you should check the legal parameters of the country. Nowadays there are many documents that delay the development of the business; so, depending on the region you are in, it may or may not take you long to move forward.
The background of the entrepreneur and his employees is thoroughly evaluated. This happens regardless of the reason why the merchant is in charge of growing this plant. Those who have a criminal record usually do not succeed in this process.
Here you can consult the map of legalization of marijuana worldwide.
Develop a business plan
It is recommended to continue with a business plan that will allow you to be successful in the market. In order to do this, different aspects must be considered.
First, you must get a licence to plant cannabis in order to start planting the first plantations. Depending on the country you are in you will have to present some documents that support the cultivation, the production and the sales of the product.
You must also define the type of crop you want to do. You can grow a crop indoors or outdoors. The characteristics of the plant will change according to this criterion. Also the expenses, care, production and harvest.
Finally, it is recommended that you have basic knowledge about the entire production process. If you do not have it, it is better to hire the advice of a professional. In this way your plantations will grow as optimally as possible. In addition, manufacturing practices are also required to ensure the quality of the product offered.
Evaluate license types
The license to sell and plant cannabis for medicinal use has strict operations since its issuance. In any of the derivatives, a vacancy must be applied for at the Ministry of Health of the country where the application is made.
The licences granted for the planting of cannabis in most countries are for the purposes of:
- Manufacture of derivatives.
- Psychoactive cultivation.
- Non-psychoactive cannabis.
- Seed production.
How to get a license to plant cannabis? (Depending on the country)
Now that you know all the basics, or most of them, it just remains to know how to get a licence to plant cannabis. The requirements change between the countries where it is legal to plant marijuana. But this is a fundamental requirement to be in the cannabis business legally.
Europe
Today, the European market is on the rise: it offers attractive prices with the best purity ever seen. Spain is the country with the highest consumption on the continent, followed by the United Kingdom, Denmark and Holland. Still, growing or consuming cannabis is forbidden in all European Union States.
The license for the free cultivation of cannabis will depend on the species with the highest percentage of THC or CDB. As a result, safety protocols specifying what it is intended for are guaranteed. It should be used for medicinal, scientific or nursery use.
It is a way of assuring the government that its cultivation and use will not lend itself to illegalities. In this way, you have to describe a project whose object explains broadly the medicinal purpose with which it is directed.
Then you should go to the Ministry of Health. This is the entity that will approve the possibility of maintaining a cultivation and manufacture of the derivatives.
All must have the purpose of extracting substances from the dried flower, which determines medicinal benefits. In all cases, they must be fit for human consumption.
Another basic requirement is the study of the land where it will be cultivated. Not only should you be aware of the processing of the license. The place should be within or near a major city and should have no legal restrictions. Depending on the jurisdiction some steps are added or removed.
In addition, you must hire certified professionals in crop advice and plan. The same applies to exports, security and sustainability.
This process could take about 6 to 8 months as long as all the requirements are met.
United States
In the United States there are 9 states that admit the medicinal use of marijuana. Thanks to its tolerance and legality is possible to get a license to plant cannabis. However, the price of having a license in each of these states varies considerably. For example, in Washington an application for a license to plant and sell cannabis costs around $250 (USD), with an annual fee of $1480 (USD); while in other states it can cost up to $25,000 (USD) with an annual fee of $100,000 (USD).
Canada
In Canada, thanks to the “Cannabis Act” project launched in 2018, cannabis is sold for recreational purposes. But these sales are regulated under the laws of the province. For each of these, the laws change, as do the requirements and types of licenses.
If you are in British Columbia and want to obtain a license you should go to the British Columbia Liquor and Cannabis Regulation Branch. Here you will have to go through an arduous and detailed application process.
On the other hand, if you are in Ontario, you should contact the Ontario Cannabis Reatilo Corporation (OCRC). As in British Columbia, the application process is long and variable.
Uruguay
To combat drug trafficking, the government has decided to allow the production of cannabis with the use of a license. In the region, more than nineteen (19) licenses have been granted to private and state-owned companies. These include various universities in the country for educational purposes.
Marijuana cultivation in Uruguay has been established through memberships in clubs of between 15 and 45 members. The number of plants that can be kept in their cultivation is a maximum of 99 specimens.
The cultivation is limited only to scientific and medicinal uses and the non-psychoactive species.
The requirements are established under the law of protection of sensitive data and are administered by the Institute of Regulation and Control of Cannabis.
You should contact this entity to request the data according to the region of the country and the sanitary permits that you must comply with.
Jamaica
Cannabis has acquired a great fame on a cultural and religious level. In 2015 an amendment legalized both the cultivation and use of marijuana in small quantities. Clearly pursuing aims of research, medicine and religion. The use of a little less than two ounces was no longer punished; and now a maximum of five (5) plants can be cultivated.
Licences for the cultivation of marijuana in Jamaica are for scientific purposes only at this time. However, the new legislation will be approving applications for the medical industry.
They must be supported by a project or use plan. This will determine the purpose for which it is cultivated before the authorities. The regulatory body must then be consulted to make the request.
If approved, research activities or medicinal cultivation are being supervised to verify compliance with the law.
Netherlands
It was the first country to allow the use of marijuana for recreational purposes. Today it is sold per person for a maximum of 5 grams, while in coffee shops, it is not allowed to sell more than 500 grams.
The cultivation of cannabis in Holland will be made under a license or special card with which they will be monitored. Among the requirements of Dutch law is the specification of what the plantation is aimed at.
The only purpose of the plantation must be medicinal and scientific. For it, with the card that is granted it will be supervised its use and expended of plantation.
The law is currently still being amended as international agreements conflict with this measure.
Israel
A country where almost 9% of the population regularly uses cannabis. By allowing it to be used for therapeutic purposes, doctors induced depression in more than 27,000 patients with Parkinson’s disease. Recreational use has since been banned.
In Israel the use of cannabis is so widespread that it has been legalized in different ways under strict regulations.
A project plan specifying the use to be granted is required and only certified companies are being approved.
These crops can only be sold or distributed to authorized companies. They must comply with strict health parameters and will be monitored throughout the process. If there is any irregularity, the license is removed and a penalty is imposed.
Licenses to plant and sell cannabis: Is it worth the risk?
Undoubtedly the cannabis business is booming and every day gains more followers and worldwide acceptance. Therefore, an investment in this area, such as obtaining a license to sell and plant cannabis, is a very profitable business idea. However, high demand does not guarantee success. In addition, high licensing prices and extensive application processes make it difficult to enter the industry. Whether it is worth the risk or not depends on you and the project you are looking to develop.
Remember, if you want to be part of the legal producers of marijuana, you must arm yourself with patience, courage and a lot of capital to invest.
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