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Together, we have a unique opportunity to shape an environment that fosters Canadian ingenuity, supports our communities, and secures our place as a world leader in this rapidly evolving sector.

Since legalization, Canada has been a global leader in cannabis regulation, production, and research.

Indeed, the industry has contributed — including in 2024 — and supports more thanÌý jobs nationwide. It contributes than several long-established sectors, including breweries, wineries and dairy product manufacturing.

From the Atlantic to the Prairies, from urban centres to rural communities, licensed producers have delivered safe, high-quality products with integrity — setting new standards for regulation and public health. Public support is also clear: recent Abacus Data polling shows 64 per cent of Canadians are open to the federal government doing more to help the legal cannabis industry succeed.

As industry leaders committed to Canada’s long-term success, we are focused on creating good jobs, stronger communities, and a resilient, innovation-driven economy. Despite our progress, significant barriers still prevent the sector from reaching its full potential — barriers we urge your government to address as part of building One Canadian economy.

Develop a national strategy to eradicate the illicit market — We are almost seven years into legalization and illegal products still eclipse every individual licensed producer’s market share. Illegal product also represents the single biggest risk to achieving the public policy objectives of keeping it out of the hands of youth and providing a quality assured product for responsible consumers.

Elements of a comprehensive strategy should include tackling illegal production, shutting down illegal store fronts and illegal online sales, interdicting shipment of illegal product and a public awareness and education campaign on the dangers of supporting the illicit market.

Implement one national excise Stamp for legal cannabis — Unlike alcohol — which adopted a single national excise stamp in 1982 — cannabis producers must still apply province-specific stamps, despite an equally complex product mix.

This fragmented system adds an estimated $100 million in annual costs, drives packaging waste, complicates inventory management, and fuels illicit market activity by causing supply disruptions.

Adopting a single national stamp would reduce red tape, cut costs, shrink environmental impact, and strengthen our sector’s competitiveness.

Let provinces handle cannabis excise remittance — We strongly recommend shifting the obligation to remit excise duty from producers to provincial distributors, consistent with the alcohol taxation model.

This change would reduce administrative burden, improve cash flow for Canadian producers, and remove a key interprovincial trade barrier by harmonizing excise collection across jurisdictions.

Allowing provinces to align tax systems more closely with the point of sale will improve consumer pricing and help bring more Canadians into the legal, regulated market — strengthening the integrity of our national framework.

Fix the broken cannabis tax framework — The current cannabis excise model is out of step with today’s market.

According to Statistics Canada, on legal cannabis ends up in government coffers. That’s why it’s time to replace the $1 per gram minimum with the flat 10 per cent rate the federal government originally envisioned.

Designed in 2018 with $10 per gram pricing in mind, the framework no longer reflects today’s reality, where retail prices average closer to $3 per gram. Some producers now lose up to Ìýof gross sales to excise tax, while consumers face inflated prices, making it harder to compete with the illicit market.

A fairer, modern framework is essential for sustainable growth, consumer access, and Canada’s global competitiveness.

Develop a national cannabis export strategyÌý—ÌýCanada’s federal framework gives us a rare edge in a cannabis market projected to surpass .

With demand accelerating across Europe and other parts of the world, the opportunity is vast and gaining momentum.

A bold national export strategy would position Canada as the world’s trusted source for pharmaceutical-grade cannabis, driving sustainable investment, good jobs, and long-term leadership in health, science, and innovation.

Prime Minister, Canadians have always met new challenges with creativity, co-operation, and courage. The legal cannabis sector is no different.

By removing outdated barriers and embracing a forward-looking approach, we can solidify Canada’s global leadership, attract investment, create jobs, and set new standards for responsibility and excellence.

Let’s work together to ensure the sector continues to grow, innovate, and contribute to our national success — advancing the vision of One Canadian economy that works for all regions and generations.