In the second part of our series on the ‘best places to launch a cannabis business’ we go to Jamaica. This part of the world is rich with cannabis history and a place that has great framework to help you become compliant. If you wish to retain 50% or more of the business you will need to have been living in Jamaica for 3 or more years. Only ‘ordinary residents’ can take substantial ownership.
Eligibility
There is certain criteria that needs to be met by applicants to enable them to obtain the relevant licences. For example, if applying as an individual you will need to be an ‘ordinary resident’, (i.e. living in Jamaica for 3 or more years) and a company must have substantial ownership (over 50%) from an ordinary resident. Also if you have been convicted of certain offences in Jamaica or overseas you will be forbidden to apply.
Licences
There are a number of different licences a business can apply for. They may also apply for more than one licence where relevant;
Cultivator’s Licence
Tier 1 = Cultivate up to 1 acre.
Tier 2 = Cultivate between 1 and 5 acres.
Tier 3 = Cultivate over 5 acres.
Processing Licence
Tier 1 = Process cannabis in a space of up to 200 square metres.
Tier 2 = Process cannabis in a space of over 200 square metres.
Transport = Transport between two licensed premises in an approved motor vehicle.
Retail Licence
- With consumption = Sell cannabis with a space for immediate consumption by consumers.
- Without Consumption = Sell cannabis without a space for immediate consumption by consumers.
- Therapeutic = Provide therapeutic or spa services utilising cannabis products.
Research and Development Licence
- Experimental = Undertakes all activities involved in the assessment, study, research, development and testing of products derived from all or any part of the cannabis plant, including the analytical services for own use.
- Analytical Services = Provide commercial services exclusively for the determination of any or all of the constituents, characteristics, quality or safety parameters of cannabis or cannabis products by accepted and/or accredited methods.
Fees
Please see table of fees below — you can also find out more on when fees are due on the CLA website.
Process
It can take over 6 months to complete the process of applying for your businesses licence.
- First you will need to submit the relevant application form and pay your application processing fee to the CLA. The CLA verify your application and consult with key partners to do due diligence.
- If you pass this initial stage you will be granted conditional approval. The next step will require you to undertake additional site-related works to meet the criteria.
- The final step will be for the CLA to undertake site inspection before advising on the decision to approve your application. Once approved you will be required to pay any remaining fees and the security bond.
- Your official licensing documentation will be issued.
Summary
It is estimated that the Jamaican home market has the potential to reach $300m in sales, with 40% of the nation open to cannabis consumption. We have already seen three companies successfully launch and establish their brands; Jacana, Kaya Herb House and Island Strains.
In summary, Jamaica could be the ideal home for your cannabis business however the need for residency will likely restrict the number of businesses deciding to launch in the country. As a small island Jamaica has always punched above its weight, producing the best talent across a multiple of disciplines (music, athletics etc.). I would not be surprised to see hugely successful businesses created in Jamaica as export restrictions loosen and the country’s heritage shines through.
