Restricting flavours in inhaled cannabis extracts

Summary#

This is a proposal from Health Canada (published in the Canada Gazette on June 19, 2021) called the Regulations Amending the Cannabis Regulations (Flavours in Cannabis Extracts). It would stop the production, sale, promotion, packaging or labelling of inhaled cannabis extracts that have any flavour other than the flavour of cannabis, and is estimated to cost about $397.19 million in present value over 10 years (about $56.55 million per year).

What it does#

• Prohibits inhaled cannabis extracts (for example, vape liquids, hash, shatter, distillates) from having a smell, taste or “sensory” effect other than one that is typical of cannabis.
• Restricts promotion, packaging and labelling so products cannot be presented as having non-cannabis flavours (like candy, fruit, soft drinks or energy drinks).
• Limits which flavouring agents can be used: only substances identical to those found in cannabis plant material, or very pure, food-grade substances that would not make the product taste or smell non-cannabis.
• Applies the rules equally to products sold for medical and non-medical purposes.
• Allows licensed sellers and provincially/territorially authorized retailers to sell existing flavoured stock until it is depleted.
• Refers to standard food-ingredient references (the Food Chemicals Codex and Specifications for Flavouring) to set quality limits on allowed flavouring substances.
• Proposed timing: comments were invited for 75 days after the Gazette notice, and the rule would come into force 180 days after it is registered. This is a proposal, not law yet.

Who's affected#

• Federal licence holders who make inhaled cannabis extracts — the document highlights licensed processors and licensed sellers. Small licensed processors numbered about 9 in the analysis.
• Provincially and territorially authorized distributors and retailers (both private and public). The small-business analysis listed about 532 privately owned provincial/territorial retailers as affected.
• Consumers of inhaled cannabis extracts, especially younger users: the government cited use patterns concentrated among people aged roughly 13–25 and higher use among males.
• Health Canada itself would carry compliance and testing costs to enforce the change.
• It is unclear exactly how many specific products or brands would be affected; the government estimated national costs and noted some impacts (like reformulation and packaging changes) could not be precisely quantified.

Why it matters#

• The change is meant to reduce the appeal of vaping-style cannabis products to young people. Health Canada links flavours to increased interest and use among youth and young adults, and to possible harms from frequent use of high-THC inhaled products.
• Real-life effects: some flavoured vape-style cannabis products would leave the legal market; businesses that make or sell them may lose sales or need to reformulate and rebrand products. Consumers would see fewer flavour choices and some may turn to the illegal market.
• The government expects public-health benefits (fewer young people starting or continuing to vape cannabis), but those benefits were not monetized in the analysis and therefore are uncertain in size.
• The proposal aims to line up cannabis rules with proposed flavour limits for nicotine/non-nicotine vaping products so users are not pushed from one flavoured product type to another.