OrganiGram: Business Industry

OrganiGram
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OrganiGram: Business Industry
OrganiGram is a licensed Canadian company producer of medicinal Marijuana that seeks to expand to the recreational market by producing recreational products from Cannabis or Marijuana. This is a highly regulated industry in Canada, where significant laws were enacted to control its use. It includes the Marihuana for Medicinal Purposes Regulations (MMPR), which was published under the Controlled Drugs and Substances Act in 2013 (Leung, 2017).
The publication of the MMPR is the attempt of the Canadian Government to control the production and selling of medical Marijuana. The Canadian Government provided licenses to the companies that allow for the distribution of dried Marijuana to patients with a prescription. Furthermore, the Government grants companies another license to sell the seeds and oil of cannabis to the consumers. This includes the production, marketing, and retailing of the cloned strains of cannabis such as the starter plants. In 2013, the Canadian Government began to grant licenses to the companies, which resulted in the annual production of approximately 1, 500 kilograms of dried cannabis and 500 kilograms of its oil extracts. By 2016, around thirty-seven companies have been permitted to operate, and the majority of these are located in British Columbia and Ontario (Leung, 2017).
Detailed and exhaustive measures were implemented by the Canadian Government to monitor its production and use. The companies must keep track of the production and distribution of their products by recording the name of the seller, the complete account of the product, and the date and place of the transaction (Leung, 2017).
OrganiGram is situated at the East Coast of Canada, and it is the sole company in the area that produces medical Marijuana. Its license for the production of dried cannabis was granted in March 2014 while the permission to cultivate its oil extracts was issued in July 2016 (Leung, 2017).
Factors that Contribute to the Ambiguity Faced by OrganiGram
In 2016, the use of recreational marijuana is still illegal in Canada. Despite this obscurity at the time, OrganiGram decided to partner with TGS International LLC in September 2016. The latter is a company situated in Colorado, the United States, where the use of recreational marijuana is legal. The partnership between the two companies is set to aid OrganiGram to produce recreational Marijuana in the form of “edibles” and increase its manufacturing power in OrganiGram’s factory located in Moncton. The partnership was announced in November 2016 as “Trailer Park Boys Choose OrganiGram as Strategic Partner.” Due to this announcement, the Canadian Government has been prompted to implement further measures to regulate the use of cannabis. This is because the company is already planning to “delicately” sell the recreational counterparts of the product (Leung, 2017).
Canada’s Task Force on Cannabis Legalization and Regulation endorsed its recommendations that the licensed producers must limit the advertisements favouring the use of recreational marijuana. This includes its sponsorship, commendati...