Two Cannabis Companies Cease Production Of Certain Extracts Due To Inaccurate Classification

Health Canada notified two cannabis businesses on improper product classification. Organigram Holdings Inc OGI OGI and Indiva Limited NDVAF NDVA improperly classified some of those products as "extracts" rather than "edibles" under the Cannabis Regulations.


Organigram stated: “The company remains of the view that the patent pending products are properly classified as cannabis extracts and compliant with the cannabis regulations, and is assessing its options with its legal advisors. At present, the company has paused production of the products in the current packaging format, pending resolution of the matter.” According to Health Canada’s notification, the company can continue to sell and distribute inventory of the products until May 31, 2023.


Heath Canada has requested that Indiva cease production of Indiva Wild Cherry THC Lozenges and Life Lemon THC Lozenges in their 100 mg, 250 mg and 500 mg THC per package formats.

Indiva stated: “Prior to the launch of the products, the company closely considered the regulatory requirements of the legislation, including with respect to product classification, and conducted substantial research. Consistent with the legislative requirements and the company's research, the company classified the products as cannabis extracts. Currently, the company has paused production of the products as it consults with its advisors and considers next steps and a potential resolution of this matter. The company may choose to continue manufacturing the products in alternative packaging formats.”

Benzinga's Cannabis Capital Conference Is Back

The most successful cannabis business event in the world, the Benzinga Cannabis Capital Conference, returns to Miami for its 16th edition. This is the place where DEALS GET DONE, where money is raised, M&A starts, and companies meet investors and key partners. Join us at the Fontainebleau Miami Beach Hotel in Florida on April 11-12. Don’t miss out. Secure your tickets now. Prices will surge very soon.

Photo by Elsa Olofsson on Unsplash

Market News and Data brought to you by Benzinga APIs
Posted In: CannabisNewsPenny StocksMarketspremium
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

The Top Cannabis Event In New Jersey

Join the Benzinga Cannabis Market Spotlight in New Jersey on June 17th! Grow your business, raise money and capitalize on the booming NJ recreational market. Don’t miss this must-attend event in New Brunswick. Secure your tickets now. Very few spots are left. Use the code "JAVIER20" for 20% off!