Canada Welcomes Cannabis Innovation

Canada Welcomes Cannabis Innovation

Canada set forth Bill C-45, or the Cannabis Act

The Canadian marijuana market is world-renowned for its major expansion over a span of only a couple of years. When Canada set forth Bill C-45, or the Cannabis Act, in October 2018, it was only the second country, after Uruguay, to fully legalize marijuana’s production, consumption, and sale.

Nearly immediately following the passing of Bill C-45, sales analytics shot straight up. Canadians spent $1.6 billion on legal cannabis, which calculated to more than double the amount spent on the strictly medical counterpart in 2017, according to ArcView Market Research. To put that number in perspective, in 2017, each Canadian would have paid around $1,200 each for access to medical marijuana. In the three months post-legalization, Canadians spent $151.5 million on the blooming cannabis industry. This created a cushion of sorts for marijuana companies to experiment with the untapped consumer base.

According to Statistics Canada, the first half of 2019 brought in nearly $420 million. That cements the cannabis industry as more productive than the hard liquor market and rapidly encroaching on the annual numbers that the wine market sets. This influx of industry impacts all facets of business, including tourism, fashion, and transportation; in response to the boom, the Deloitte Private, an off-shoot of consulting firm Deloitte aimed at assisting small to medium enterprises and individuals with high net-worths, estimated that potential Canadian economic impact related to the cannabis market’s entrance was upward of $22 billion. 

When MediPharm Labs Corporation came onto the Canadian medical cannabis scene in 2015, the company was a pioneering force. It was the first cannabusiness in Canada to be certified to produce cannabis extracts and oils without a formal cannabis cultivation license; this process was legal under the “Access to Cannabis for Medical Purposes” regulations. The company quickly became a world leader in research-driven pharmaceutical-grade extraction, distillation, and cannabidiol derivatives. In 2017, the cannabis giant commercialized an Australian extraction facility, MediPharm Labs Australia, effectively placing it on a worldwide stage.

“We have made a strong statement about our international intentions and our focus on the medicinal cannabis market in Australia since signing our first supply deal with AusCann Group Holdings Ltd. – an Australian pharmaceutical company with operations across all facets of the medicinal cannabis value chain,” Pat McCutcheon, CEO of MediPharm Lab Corps., said. “The most recent agreement with Compass Clinics is one of a pipeline of opportunities we have identified across Australia, and other emerging cannabis markets, that are available to us today and in the future as we receive other international regulatory permits and additional GMP certifications.”


“Whether Cannabis is consumed for prescribed medicinal or wellness reasons, patients and consumers want to feel they can trust their product choices and know they are receiving pure, tested products that are properly dosed for a predictable, consistent experience. As a pharmaceutical-quality manufacturer, MediPharm Labs lives up to this brand promise.” – Pat McCutcheon, CEO of MediPharm Lab Corps.


In September 2019, the company expanded into European medical marijuana pursuits, following the signing of the company’s first white-label sales agreement with ADREXpharma GmbH out of Germany. This qualifies MediPharm Labs Corp. as the first extraction-only company in the world armed with an export-based supply agreement to Germany.

In Canada, “Cannabis 2.0” products were legalized in October 2019. Essentially, products that fell within the boundaries were strictly concentrate-based. The unveiling of these products was gradual throughout the country, which created limited product diversity. The executives at MediPharm Labs Corp. saw the market insistence and began formulating a white label line based solely on the previous consumer- and patient-targeted data.

In March 2020, MediPharm Labs Corp. unveiled a new family of the previously established white label line; the new products focus on medical and wellness implementations. “CBD Regular formula 25” is the breakout product for this new line; it offers a 25:1 ratio or 25 mg/mL of CBD for every 1 mg of THC. To enhance the flavor as well as maintain sustainability standards, a coconut and palm-based MCT carrier oil was chosen. Down the road, additional products will be marketed.

“We are thrilled to be launching MediPharm Labs’ first branded products, answering the call from consumers and retailers for more choice of high-quality, innovative cannabis products,” McCutcheon said. 

“True to our pharma roots, based on a foundation of quality, our first branded product is a high-concentration CBD oil, created by our expert pharmaceutical team, specifically for medical and wellness purposes. We believe our focus on purity, potency and price will make MediPharm Labs CBD REGULAR FORMULA 25 Canada’s preferred choice.”

With a medical marijuana market saturated by more than 1.1 million Canadians, wellness is of utmost priority; wellness products encompass the wants and needs of 87 percent of cannabis enthusiasts, as of December 2019.

“Whether Cannabis is consumed for prescribed medicinal or wellness reasons, patients and consumers want to feel they can trust their product choices and know they are receiving pure, tested products that are properly dosed for a predictable, consistent experience,” McCutcheon said. “As a pharmaceutical-quality manufacturer, MediPharm Labs lives up to this brand promise.”

At the end of March 2020, the company announced that it had completed the first shipment of bottled CBD topicals under a new manufacturing agreement. Sent from its 25,000 sq ft, GMP-certified Barrie, ON location, these topicals will be distributed from consumers directly to the medical and adult-use customers. The research and development team has been hard at work advocating for the company’s place in Canada’s blooming medical and adult-use topicals market. Through wholesale and white label avenues, MediPharm Labs Corp. formulates, consumer tests, processes, packages, and distributes product off of five distinct extraction lines within the Barrie facility. 

Now, with strong ties to the Australian cannabis market, McCutcheon, alongside MediPharm Labs Australia CEO Warren Everitt have big plans for worldwide expansion. Currently, the Australian medical marijuana market mirrors that of Canada, accounting for more than 34,500 patient scripts, according to the Australian Therapeutic Goods Administration.

“Since opening the doors to our Australian facility late last year, we have made excellent progress with prospective customers to supply GMP concentrate and finished products to fuel downstream third-party programs,” Everitt said. “This shipment, which will include 35,000 units of finished product and our largest volume of GMP cannabis extract imported to date for further processing into soft gels and tincture bottles, accelerates our ability to start addressing the growing demand in Australia and from other jurisdictions.”

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