The Environment

In 2021, new legislation was approved by the Isle of Man Government to allow the cultivation, extraction, manufacturing, importation and exportation of medical and industrial derived cannabis products.

The emerging Cannabis sector has been identified to boost the Isle of Man economy by £3 million, furthermore poses huge potential to provide high-value economic diversification and generate employment in multiple industries such as Medical, Nutrition, Agriculture, Construction and Transport.

Since the drafting of regulation passing in June 2022, there has been much activity across multiple industries, which has involved various business propositions outlining innovative projects in the space. The sector is encouraging quality businesses and the development of innovative and sustainable projects.

In the last year, we have adopted a pro-active approach in developing our knowledge on the sector and networking within the community. We are developing key relationships to support our position as a leading Corporate Service Provider in the space.

The Regulation

The selected regulator is the Gambling Supervision Commission (GSC), which holds a prestigious reputation in regulating multiple sectors on the Isle of Man with a sophisticated gold standard tier 1 regulatory framework.

The GSC will provide the sector with a modern approach in multiple licensing pathways under the new legislation, which are categorised by the type of cannabis product intended to be cultivated or exported from the Isle of Man.

The Isle of Man Government ran a public consultation for a cannabis regulatory reform in 2019 to gain an understanding of the publics support. The consultation resulted in 99% of respondents in favour of a cannabis regulatory reform, which provided them with a clear indication to explore the sector further.

The multiple licenses and various fee structures available enhances the flexibility for interested parties from different industries which encourages innovation across the sector. The variety of licences include; Industrial Hemp Licence, High THC Cultivation Import/Export Licence, Manufacturing and Extraction Licence, Analysis Licence, Research and Development Licence and Transport and Storage Licence.

Download the GSC Guide to License’s here

The Environment

In 2018, Malta passed legislation for the Production of Cannabis for Medicinal and Research Purposes Act. Since then, Malta has been the first mover within Europe to legalise the cultivation and personal use of cannabis.

The regulation has come into effect after recognising the significant economic potential the sector could offer the jurisdiction and its local industries, including pharmaceutical and agriculture. In addition to generating new employment across industries.

The jurisdiction had the aim to regulate the sector to increase the level of regularised activity in the product, to allow individuals to grow and utilise the drug recreationally in very small quantities.

The regulation opens the jurisdiction to medical cannabis market, which provides access for individuals to utilise the product for health care conditions. It is noted that the European cannabis sector will be valued at €115 billion by 2028.

The Regulation

The Malta Medicines Authority will regulate the cannabis sector, in which have developed a licensing framework and guidelines for recreational use of the drug, titled The Authority of Responsible Cannabis Use.

The introduction of the regulated cannabis sector has not made the drug in the jurisdiction entirely legal, with fines in place for individuals possessing more than 7 grams and growing more than 4 plants at home.

The Government have also implemented fines to deter individuals from smoking the drug in public, including an additional fine in the presence of infants.

There is a licensing framework in place for the distribution of the drug, to regulate the market and control the amount an individual can have access to. Individuals may access the drug from an association – to which they can only be a member of one association.

They have also introduced various policies to regulate the sector including, issuing permits, monitoring the distribution, advertisement in the sector and managing fines or breaches in regulation.

We provide our clients close assistance from bespoke cannabis consultancy, to understand their unique business model and goals to the licence application formation. Our experience with the Regulator in each of our jurisdictions provides us with the expertise on how to form a licence application of the highest standard. In addition to this, we provide guidance and work with our clients to form a comprehensive business plan.

Our relationship with the Government in each of our jurisdictions supports our assistance with Government grant applications on behalf of the client. Our global network of intermediaries, which includes established relationships with banks, lawyers and auditors supports our seamless service.

In addition to our clients receiving a dedicated point of contact, our administration team provide an efficient on-boarding process from the incorporation to the on-going administration. Our services continue to support the business as it grows and flourishes.

Our knowledge in each of our jurisdictions and established networks also provides our clients with added value. We can provide assistance with obtaining local employment and much more.

Contact Us

As an experienced Corporate Service Provider on the Isle of Man in niche and emerging sectors, specifically eGaming and Fintech, our teams hold an integral understanding on the Isle of Man’s regulatory regime and licensing process.

In the last year, we have adopted a pro-active approach in developing our knowledge on the sector and networking within the community. We are developing key relationships to support our position as a leading Corporate Service Provider in the space.

We have been assisting clients in the eGaming sector since 2014 and provide a personal approach to corporate services. We hold a 100% licence application success rate within the eGaming sector, which demonstrates the standard of our applications that we form on behalf of the client.

Our services are bespoke and tailored to meet the needs of a unique business model.

If you would like to know more on our Cannabis services or have an enquiry, please visit our contact page here, or alternatively email us at info@affinityco.com