SOR-2026-171 Canadian Industrial Hemp Promotion-Research Levies Order

Current to 2026-09-03 · last amended 2026-08-04

Contents
Provision

Whereas the Governor in Council has, by the Canadian Industrial Hemp Promotion-Research Agency Proclamation a, established the Canadian Industrial Hemp Promotion-Research Agency, under subsection 39(1) b of the Farm Products Agencies Act c; SOR/2024-220 S.C. 1993, c. 3, s. 12 R.S., c. F-4; S.C. 1993, c. 3, s. 2

Provision

Whereas that Agency has been empowered to implement a promotion and research plan under that Proclamation;

Provision

Whereas the proposed Canadian Industrial Hemp Promotion-Research Levies Order is an order of a class to which paragraph 7(1)(d) d of that Act applies, by reason of section 2 of the Agencies’ Orders and Regulations Approval Order e, and has been submitted to the National Farm Products Council under paragraph 42(1)(d) b of that Act; S.C. 1993, c. 3, s. 7(2) C.R.C., c. 648

Provision

And whereas, under paragraph 7(1)(d) d of that Act, the National Farm Products Council has approved the proposed Order after being satisfied that it is necessary for the implementation of the promotion and research plan that that Agency is authorized to implement;

Provision

Therefore, the Canadian Industrial Hemp Promotion-Research Agency makes the annexed Canadian Industrial Hemp Promotion-Research Levies Order under paragraphs 42(1)(d) b and (e) b of the Farm Products Agencies Act c and section 9 of the schedule to the Canadian Industrial Hemp Promotion-Research Agency Proclamation a.

Provision

Ottawa, July 2, 2026

Interpretation

s. 1 — Definitions

The following definitions apply in this Order.

s. 1 — collector

collector means a person appointed by the Agency under subsection 9(5) of the schedule to the Canadian Industrial Hemp Promotion-Research Agency Proclamation to collect on the Agency’s behalf the levies and statements referred to in this Order. (percepteur)

s. 1 — dealer

dealer means a person who acts as an agent or mandatary in the purchase or sale of an industrial hemp product. (négociant)

s. 1 — purchaser

purchaser means a person who purchases an industrial hemp product, and includes a producer, processor and dealer who purchases an industrial hemp product. (acheteur)

s. 1 — seller

seller means a person who sells an industrial hemp product and includes a producer, processor and dealer who sells an industrial hemp product. (vendeur)

s. 2 — Interpretation — dealer

If more than one dealer is involved in the purchase or sale of an industrial hemp product, a reference to “purchaser” is to be read as a reference to the dealer who first receives payment of the purchase price.

Interprovincial Trade

s. 3 — Levy — seller
s. 3(1)

A seller who sells an industrial hemp product listed in the schedule in interprovincial trade must pay to the Agency a levy in the amount of 0.5% of the purchase price.

s. 3(2) — Levy — producer

When an industrial hemp product listed in the schedule is produced in one province but processed in another province, the producer must pay to the Agency a levy in the amount of 0.5% of the price determined by the producer.

s. 4 — Payment of levies — collector
s. 4(1)

All levies referred to in section 3 must be paid to the Agency through a collector.

s. 4(2) — Statements — collector

All statements referred to in section 7 and subsection 9(4) must be submitted to the Agency through a collector.

s. 5 — Deduction and remission of levy by purchaser
s. 5(1)

A purchaser must deduct from the purchase price the levy payable by the seller under subsection 3(1) and remit it to the Agency at the first point of sale on behalf of the seller through the collector.

s. 5(2) — Payment of levy by processor

A processor must pay the levy payable by the producer under subsection 3(2) to the Agency at the first point of processing on behalf of the producer through the collector.

s. 6 — Document — purchaser
s. 6(1)

At the time of the sale, the purchaser referred to in subsection 5(1) must provide the seller with a document setting out the purchase price and the amount of the levy deducted.

s. 6(2) — Document — processor

At the time the industrial hemp product is processed, the processor referred to in subsection 5(2) must provide the producer with a document setting out the amount of the levy payable.

s. 7 — Time limit and information

The purchaser referred to in subsection 5(1) or the processor referred to in subsection 5(2), as the case may be, must remit or pay the levy to the Agency within the time limit established by the Agency for remitting levies and, at that time, provide a statement that sets out

s. 7(a)

the name, mailing address, telephone number and email address of the purchaser or processor, if any;

s. 7(b)

the weight, in kilograms, and value of the industrial hemp product purchased or processed;

s. 7(c)

the amount of the levy remitted or paid; and

s. 7(d)

the name, mailing address, telephone number and, if any, email address of

s. 7(d)(i)

the seller, if there has been a deduction of the levy from a purchase price, or

s. 7(d)(ii)

the producer, if it is a payment of a levy on behalf of the producer.

s. 8 — Records

Every person referred to in sections 3 and 5 must

s. 8(a)

keep all records relating to the sale or processing of an industrial hemp product, including the records necessary to verify the statement provided under section 7 and the amount of the levy remitted or paid, for seven years after the day on which the product is sold or processed; and

s. 8(b)

at the request of the Agency, make those records available to the Agency through a collector.

s. 9 — Proof
s. 9(1)

At the request of the Agency, every person referred to in sections 3 and 5 must prove that a levy payable under this Order has been

s. 9(1)(a)

deducted and remitted under subsection 5(1); or

s. 9(1)(b)

paid under subsection 5(2).

s. 9(2) — Failure to deduct and remit levy

If a purchaser fails to comply with subsection 5(1), the seller must pay the levy to the Agency.

s. 9(3) — Failure to pay levy

If a processor fails to comply with subsection 5(2), the producer must pay the levy to the Agency.

s. 9(4) — Payment and information

When paying a levy under subsection (2) or (3), the seller or the producer, as the case may be, must provide a statement to the Agency that sets out

s. 9(4)(a)

the name, mailing address, telephone number and email address of the seller or producer, if any;

s. 9(4)(b)

the weight, in kilograms, and value of the industrial hemp product purchased or processed; and

s. 9(4)(c)

the amount of the levy paid.

s. 10 — Liability — purchaser and seller
s. 10(1)

If the purchaser and the seller fail to comply with subsections 5(1) and 9(2), respectively, they are jointly and severally, or solidarily, liable for the levy that is payable to the Agency.

s. 10(2) — Liability — processor and producer

If the processor and the producer fail to comply with subsections 5(2) and 9(3), respectively, they are jointly and severally, or solidarily, liable for the levy that is payable to the Agency.

Review and Cessation of Effect

s. 11 — Review of Order

The Agency must review this Order when carrying out the plan review required under subsection 11(1) of the schedule to the Canadian Industrial Hemp Promotion-Research Agency Proclamation.

s. 12 — Cessation of effect

Section 3 ceases to have effect on the first anniversary of the day on which this Order is registered.

Coming into Force

s. 13 — Registration

This Order comes into force on the day on which it is registered.

Schedule

Industrial Hemp Products Subject to Levy Item Industrial Hemp Product 1 Hemp Flower 2 Hemp Leaf 3 Hemp Branch 4 Hemp Extraction Biomass 5 Hemp Extraction Biomass Screenings 6 Hemp Chaff 7 Hemp Chaff Screenings 8 Hempseed, for sowing 9 Hempseed, for processing 10 Hempseed, toasted, roasted and hulled 11 Hempseed Screenings 12 Hemp Stalk and Straw 13 Hemp Root

SCHEDULE