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What Canada needs to boost its cannabis tourism industry

Published Mar 25, 2022 09:00 a.m. ET
iStock / Robert vt Hoenderdaal

More people than ever before are itching to book a glorious cannabis vacation, but Canada is rarely the first choice that comes to mind. It’s one of the largest countries with the most beautiful views and federally legalized products, and still, our cannabis tourism sector is lacking, and it’s not a lack of interest or trying. There are many things standing between Canada and a truly lucrative industry paid for by tourists. With that in mind, we’d like to introduce you to ten things that could make the biggest difference in the future.

1. Lower taxes

Taxes on cannabis businesses are far higher than any other in the tourism industry, making it incredibly hard to reel in enough profit to stay afloat or grow. From farming to manufacturing and then finally retail, the additional cost based purely on cannabis taxes is a substantial deterrent, and it’s an issue that’s easy to fix if governments are willing to stop trying to get rich off this new industry.

2. More cannabis business licenses

If you’re going to entice consumers to travel, be it a province or entire countries from around the world, then you need to have businesses and services that are worth it. Though Canada has federally legalized cannabis, it’s incredibly difficult if not sometimes impossible to open an appealing and unique business such as lounges, 420-friendly hotels, or even golf courses. Until these licenses are available, the cannabis tourism industry in Canada will continue to struggle with this drawback.

3. Fewer arbitrary restrictions

Whether it’s the strange limit on how many cannabis drinks any person may purchase or the maximum in place to keep people with less than 30 grams on hand, these rules do nothing but deter cannabis tourism. If you spend big money on a cannabis vacation, the last thing you want is to have to work to play by the laws. It’s an inconvenience at best and a buzz killer at worst.

4. Consistent standards across the board

Provinces are responsible for regulating local cannabis markets, which means they have the power to come up with their own rules, limits, and restrictions. In some provinces minimum age sits at 19 years old, whereas others take a different view, requiring paying customers to be at least 21 years old. If you can buy a joint in one province, then there’s no reasonable excuse to argue against enforcing the same rules across the board because the only purpose this serves is confusion for cannabis tourists.

5. Freedom to advertise

Vacation destination infomercials and billboards inspire millions of trips every single year, and most of the tourism industry can utilize this tool to benefit, while canna-businesses are forced to jump through hoops and eliminate most of what would be considered appealing if they want to play this game. If advertising can’t be effective, then it sets up an unfair advantage for companies that steer clear of cannabis experiences, which will naturally deter investors and entrepreneurs. It’s time we accept cannabis advertising by treating it just like we would alcohol.

6. Safe public spaces for consumers

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If you can’t get licensed for an indoor consumption site and guests are forced to find public places to indulge, then they’re pushed out into the open, where residents aren’t always happy to see them. Smoking and vaping are banned in many public settings in Canada, leaving few options that might include knowing someone with private property or standing on the sidewalk. Enthusiasts don’t need to consume freely everywhere, but we do need to provide safe, accommodating, comfortable spaces if we want to encourage cannabis tourism.

7. Accurate ways to determine the level of impairment

This is an issue for residents as well, but for tourists who’ve never had to determine impairment by cannabis, it’s a really big concern. We know that it’s illegal to drive while under the influence and that you can be arrested and charged for doing so, while we have no real way to measure when we’re past that point. Because of this, we need clearer rules outlining how much may be consumed by people before reaching this point, as well as guidance on other aspects, such as how long people should wait before getting behind the wheel.

8. Eliminating the black market

The black market is alive and thriving in Canada, where law enforcement seems to be leaving both grey and unlicensed vendors to operate independently of laws and regulations. Some point toward the need for affordable access to cannabis as a good reason to let sleeping dogs lie, but the reality is that this is a serious issue for legal businesses. When the black market, without paying for taxes or expensive product testing, is free to compete with legal vendors, who pay a fortune in licensing and taxes, it’s a massive deterrent for those who are thinking about getting into cannabis vacation planning or venues.

9. Funding for budding businesses

This is a common complaint of practically every type of cannabis business, and it’s especially true for those in the tourism sector. Canada puts millions in funding towards initiatives to improve the country’s tourism industry, but cannabis businesses struggle to qualify for this funding, in particular those that are still trying to get established. As the world re-opens, it’s more important than ever before for the Canadian government to consider funding cannabis tourism.

10. US federal cannabis legalization

The United States, though home to some of the largest cannabis markets in the world, has yet to federally legalize the sale or use of the plant, which makes it impossible for tourists to cross the border with products bought in Canada. Some are so afraid of being associated with the still illegal substance that they won’t even bring home souvenirs, and that’s a serious problem. If borders were to open, and people could freely travel with cannabis in hand from one country to another, it would offer an immediate boost to the tourism sector.

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