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  • Post Time Posted October 15, 2018
A seemingly small Canada Revenue Agency requirement is posing big problems for the country’s licensed cannabis producers. 

The “Excise Tax” stamp is a small stamp placed on every cannabis product that showcases to consumers and retailers that an excise duty has been paid by the producer to the government. According to the CRA, the stamp needs to be glued on in a way that seals the package, but also does not interfere with the stamp security features. It can also not obstruct any information on the package, resulting in a need for a wide array of sizes. 

The CRA-regulated process required to obtain the stamps is among the biggest issues. Licensed producers must purchase the stamps through the CRA. Once they verify the eligibility of the licensed producer to receive the stamps, the CRA releases the order to an authorized stamp provider. Currently however, there is only one licensed producer of the stamp, causing  major delays and posing a constant threat to the timeline of product shipments. 

Furthermore, the producer of the stamp does not add glue so companies must hire workers or develop a process that will add an adhesive to the back of the stamp to ensure it sticks.
According to the CEO of the company that operates UP cannabis, Jay Wilger, “It’s the single biggest factor that slowed us down.”

Source: https://business.financialpost.com/cannabis/meet-the-little-stamp-that-became-a-big-headache-for-licensed-cannabis-producers

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