British Columbia, which is already known for BC Bud, is providing a one-time grant of $2.3 million to its Indigenous Cannabis Business Fund (ICBF) to allow indigenous groups to participate in its regulated regulated cannabis industry..The money will be provided to the New Relationship Trust, which is responsible for administering the program, to increase the number of indigenous businesses that could receive support through the fund, the province said in a release. The new, one-time funding is in addition to the original joint contribution of as much as $7.5 million by the province and the federal government over three years..The fund supports “non-medical” sales in the production, distribution and retail facets of Canada’s federally regulated pot industry. .“I am pleased this additional grant will support indigenous entrepreneurs in British Columbia,” said Mike Farnworth, BC’s minister of public safety and solicitor general..“It is another step forward in keeping true to our commitment to develop a robust, diverse and sustainable regulated cannabis economy that's inclusive of indigenous entrepreneurs and First Nations communities.”.The government said the fund supports business planning and advisory services and helps cover the costs of licensing and permitting. It also makes capital available to support the launch or expansion of existing businesses..Additionally, the fund will support the development of information and planning workshops for First Nations communities and indigenous entrepreneurs to learn about the cannabis industry, regulations, business opportunities and how to apply for funding. The province hopes it will create jobs and economic opportunities for indigenous businesses..Along with the BC government, the IBCF was developed in partnership with the BC Assembly of First Nations, the network of BC Aboriginal Financial Institutions, Health Canada, and the Indigenous Strategic Partnership Initiative. .According to its website, the issue isn’t just economic diversity, but also human rights and reconciliation..“I commend the province for enhancing its support of First Nations cannabis-related economic development through the ICBF. This fund is one example of how the BC Assembly of First Nations advocates and works collaboratively to advance first nations rights and interests in alignment with the United Nations Declaration on the Rights of Indigenous Peoples,” said Regional Chief Terry Teegee, of the BC Assembly of First Nations..Added Hugh Braker, a political executive with the First Nations Summit: “The cannabis industry is one of many sectors where First Nations communities and entrepreneurs can work to create self-determined economies, engage in the B.C. economy and take a lead in the cannabis industry going forward.”.Despite the hoopla, legal weed is proving to be a tough sell in Canada. In 2021 legal cannabis sales had dropped almost half from $1.2 billion per month — the year it was legalized — to $690 million according to Statistics Canada. The federal government said pot sales were about $3.7 billion in the first 10 months of last year, well short of the $7 billion the industry had been expecting. By comparison, Canadians spent abut $3.3 billion on shoes in 2021..Consequently, the share prices of Canada’s publicly traded ‘hempire’ are down about 60% from their pre-pandemic peaks..The shortfall in herb sales was blamed on the slow rollout of commercial stores in Ontario and Quebec, the country’s two most populous provinces. Canada is home to about 3,700 retail licenses, including 1,700 in Ontario that sold about $172 million worth of weed in December of last year, according to MjBizDaily. .That was followed by Alberta at $73.8 million and BC at $63.1 million. Manitoba had the largest month-over-month sales growth at 21.7%. Figures for the NWT and Nunavut weren’t disclosed..Still, the illegal black market accounts for about 43% of all sales, a figure that remains stubbornly high. By definition, it’s practically impossible to put a dollar value on it..But it probably accounts for the relative weakness of BC sales figures, considering it's Canada’s pre-imminent pot destination.
