Health Canada says it has just 67 active inspectors across the country responsible for overseeing Canada's legal cannabis industry, as senators raise concerns that large quantities of marijuana may be finding their way into illicit markets at home and abroad.Blacklock's Reporter says the figure was disclosed in a written response to the Senate national finance committee, which has been examining oversight of the cannabis sector nearly eight years after Parliament legalized recreational marijuana."As of June, Health Canada has 67 active inspectors designated under the Cannabis Act that conduct inspections," department officials wrote. "Health Canada conducts inspections of both commercial cannabis licence holders and registered personal and designated production sites for medical purposes."The department did not disclose how many inspections its officers conduct annually, saying only that it uses a risk-based approach to prioritize activities posing the greatest threats to public health and safety.The issue came under scrutiny during a June 10 Senate committee hearing, where senators questioned whether legal cannabis was being diverted into black markets.Sen. Claude Carignan, chair of the committee, said reports from Europe suggest Canadian cannabis is arriving overseas in significant quantities."When we meet our European friends, they are not very happy," said Carignan. "They tell us that currently cannabis arrives by the tonne in Europe and it is Canadian cannabis."Carignan also cited figures showing 197 cannabis inspections were conducted over the past year, with 93 resulting in what he described as a Level 3 rating, indicating a serious risk to public health or the potential for diversion into illegal markets..Kendal Weber, assistant deputy minister at Health Canada, acknowledged that some individuals operate outside the legal framework but emphasized that illegal cannabis activity remains a criminal matter."There are individuals who operate outside of the regulated program," Weber told senators. "They could be organized crime. They could be those who choose not to be in the regulated regime. That is illicit cannabis."Internal government documents indicate federal officials have already taken enforcement action against thousands of cannabis registrations.A Health Canada mandate briefing binder dated Oct. 9 stated the department had suspended licences and registrations for reasons related to public health, public safety and illegal diversion."Health Canada continues to take action to strengthen oversight and reduce the risk of abuse of the program," the briefing note said.The document added that under federal cannabis regulations, registrations can be refused or revoked when there is a risk cannabis could be diverted to illegal markets or activities.According to the briefing, Health Canada had refused or revoked more than 4,100 registrations as of March 31, 2025. Of those, approximately 3,400 were cancelled due to public health and public safety concerns.The department did not identify any cannabis producers, distributors or wholesalers whose registrations had been revoked, nor did it disclose how many cases had been referred to police for possible criminal prosecution.The revelations come as lawmakers continue to examine whether Canada's legal cannabis framework has adequately prevented diversion into illicit markets since legalization took effect in 2018.
