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Health Canada: No new marijuana beverage rules before fall 2022

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Canadian marijuana companies awaiting a potentially major regulatory overhaul that could pump new life into the country’s fledgling infused beverage market will have to wait a bit longer.

Canada’s federal health department told MJBizDaily that proposed changes to regulations that would effectively increase the amount of cannabis beverage consumers could purchase at any one time by more than eightfold aren’t expected to be ready until fall – at the earliest.

Some businesses had been hoping the proposed change would be rolled out before summer, but the government now says that won’t happen until at least the fall.

“I can’t think of any stakeholder across the cannabis supply chain, from producers to retailers, that would be pushing back against this regulation,” Paul Weaver, head of cannabis at Boston Beer Co., told MJBizDaily.

“As far as regulations changes go to cannabis in Canada, the hanging fruit doesn’t get any lower than this. It’s a pretty straight-forward fix that everyone wants.

“It would have been great to have something in time for summer. This is really the first summer where cannabis beverages are starting to have an opportunity to shine.”

Currently, the “equivalency rates” for cannabis possession limits in Canada mean an individual can possess only 2.1 liters (71 ounces) of cannabis-infused beverages – or about five standard-sized cans.

In March, the government proposed increasing the dried cannabis equivalency for cannabis beverages so that 1 gram of dried cannabis is equal to 570 grams of cannabis beverages.

That would have the effect of raising the public possession limit for cannabis beverages for an adult to 17.1 liters – or 48 standard-sized beverage cans.

“Health Canada is in the process of analyzing the results of the public consultation … to inform the development of the final regulatory amendments,” a spokesperson for the federal cannabis regulator told MJBizDaily via email.

After the analysis is completed and the final regulatory package is prepared, Health Canada said it will submit the proposal for consideration by the Treasury Board and approval by the Governor in Council before it comes into force.

“It is not anticipated that this will be completed before fall 2022,” the spokesperson noted.

The 45-day public consultation ran from March through April 26.

Health Canada said it received 83 total submissions from a variety of stakeholders, including researchers, public health organizations, provincial stakeholders, the general public, cannabis license holders and industry associations.

Industry’s view

Boston Beer’s Weaver welcomed the progress.

“There is movement on it, so that is encouraging to hear,” he said in a phone interview.

Weaver expects the new rules, if implemented, would be good for businesses such as his.

“By expanding how many (beverages) an individual consumer can buy, the most passionate beverage cannabis consumers can use that format exclusively as opposed to the need to augment (consumption) with other form factors or coming into the dispensary once a week,” Weaver said.

“So we’re trying to create purchase behaviors and those types of purchase habits for loyal consumers.”

The new rules would not change the maximum limit of 10 milligrams of THC per container.

The public consultation involved the piloting of a new online consultation feature, where stakeholder comments may now be viewed.

Canadian cannabis producer Tilray Brands wants to be able to sell multipacks of beverages with various flavors, but such an opportunity would require a further change to the regulations.

“This would help promote better sales of beverages in the legal cannabis industry as consumers could purchase a mixed pack to sample various flavors offered by a License Holder,” according to the New York-based company’s submission.

Other proposals

The government is also proposing to allow researchers to use Good Production Practices (GPP)-compliant cannabis rather than solely relying on Good Manufacturing Practice (GMP)-compliant cannabis.

Since a relatively small percentage of Canadian cannabis is produced according to GMP standards, that would mean more supply is available for testing.

According to the proposal, current barriers to research “may result in both researchers being unable to use grants received for cannabis research, and funding bodies deciding not to offer grants for cannabis research, which could create a risk of researchers choosing to pursue their work outside of Canada.”

The proposed amendments would exempt nontherapeutic cannabis research involving human subjects from the clinical trial requirements under the Food and Drug Regulations, “where that research is conducted under a cannabis research license issued under the Cannabis Regulations.”

Most of the public comments were in favor.

In its submission, Alberta-based cannabis producer Sundial noted that the proposed changes are positive and supported.

“Enabling access to non-therapeutic research for GPP compliant products already widely available on the market will allow licence holders to better understand the effects of these products,” Sundial wrote in its submission.

“Additional regulatory updates are needed to allow licence holders to publish this information, in a context that relates to products, or product attributes, to further incentivize collection of information and distribution to Canadians.”

The proposed changes are available here.

Source: https://mjbizdaily.com/health-canada-plansno-new-cannabis-beverage-regulations-before-fall-2022/

Business

EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

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A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.

Investigation Under Digital Markets Act Gains Momentum

The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.

Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.

Industry Groups Demand Swift Action

Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.

Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.

In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.

Google Denies Allegations

Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.

However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.

Potential Billion-Euro Penalties

If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.

Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.

Wider Implications for Big Tech

The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.

A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.

As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.

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AI & Technology

Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations

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Milan: U.S. tech giant Amazon is facing the prospect of a major legal showdown in Italy, after prosecutors in Milan formally requested a court to move forward with criminal proceedings over alleged tax evasion totaling approximately ₹12,500 crore (€1.2 billion).

The case targets Amazon’s European division along with four senior executives, marking one of the most significant tax-related investigations involving a global e-commerce platform in Europe.

Trial Push Despite Multi-Million Euro Settlement

The move comes even after Amazon reached a financial settlement with Italian tax authorities in December, agreeing to pay around ₹5,500 crore (€527 million), including interest, to resolve part of the dispute.

Typically, such settlements lead to the closure of criminal investigations. However, Milan prosecutors have opted to proceed, signaling a tougher stance on alleged corporate tax violations.

A preliminary hearing is expected in the coming months, where a judge will decide whether to formally indict the company and its executives or dismiss the case.

Allegations of VAT Evasion Through Marketplace Sellers

At the center of the investigation are claims that Amazon’s platform enabled non-European Union sellers to avoid paying value-added tax (VAT) on goods sold to Italian consumers between 2019 and 2021.

Prosecutors allege that the company’s marketplace structure allowed thousands of foreign vendors—many reportedly based in China—to operate without fully disclosing their identities or tax obligations. This, authorities argue, led to substantial VAT losses for the Italian government.

Under Italian law, online platforms facilitating sales can be held partially liable if third-party sellers fail to comply with tax requirements, a key point in the prosecution’s case.

Italian Government Named as Affected Party

In their filing, prosecutors identified Italy’s Economy Ministry as the injured party, citing significant financial damage resulting from the alleged tax evasion.

Legal experts say the outcome of the case could have wide-ranging implications across the European Union, where VAT systems are harmonized and similar compliance rules apply to digital marketplaces.

Multiple Investigations Add to Pressure

The VAT probe is just one of several legal challenges facing Amazon in Italy. The European Public Prosecutor’s Office is reportedly examining additional tax-related issues covering more recent years.

Meanwhile, Milan authorities are pursuing separate investigations into alleged customs fraud linked to imports from China and whether Amazon maintained an undeclared “permanent establishment” in Italy—potentially exposing it to higher tax liabilities.

In a separate regulatory action, Italy’s data protection authority recently ordered an Amazon unit to stop using personal data from over 1,800 employees at a warehouse near Rome.

Amazon Denies Allegations

Amazon has consistently denied wrongdoing and indicated it will strongly contest the allegations in court if the case proceeds. The company has also warned that prolonged legal uncertainty could impact investor confidence and Italy’s appeal as a destination for international business.

Broader Impact on Europe’s Digital Economy

If the case moves to trial, it could become a landmark moment for the regulation of global e-commerce platforms in Europe. Governments across the region are increasingly scrutinizing how digital marketplaces handle tax compliance, especially in cross-border transactions.

With online retail continuing to expand, regulators are under mounting pressure to ensure that multinational platforms and third-party sellers adhere to the same tax rules as traditional businesses.

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Aviation

IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?

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Airports across India witnessed scenes of distress and confusion as thousands of passengers were stranded due to IndiGo’s massive flight disruptions. Families with medical emergencies, funerals, and personal crises were left helpless as the airline cancelled hundreds of flights without adequate communication or support.

Passengers described desperate situations — a mother pleading for sanitary pads for her daughter, a woman unable to transport her husband’s coffin, and others stranded while trying to reach family funerals or hospitals. “It was like a lockdown at the airport,” one passenger said, describing the panic that unfolded as IndiGo’s mismanagement crippled operations nationwide.

Root Cause: IndiGo’s Market Monopoly

The turmoil, industry experts argue, stems from IndiGo’s monopolistic control over India’s domestic aviation market. The airline operates nearly 2,100 flights daily and holds around 60% market share — meaning every second plane flying within India belongs to IndiGo.

This dominance has given the company unparalleled influence. When IndiGo falters, the entire aviation system suffers. Passengers are left with few alternatives, as other airlines lack capacity to absorb stranded travellers. The result: skyrocketing ticket prices, chaos at terminals, and total dependence on a single private operator.

Aviation pioneer Captain G.R. Gopinath, founder of Air Deccan, criticised the government’s inaction, noting that on some routes, IndiGo’s economy fares surged to ₹1 lakh. He compared the situation to a hostage crisis, writing that the airline “held the system ransom” and forced regulators to defer new safety rules meant to protect pilots and passengers.

Government Intervention and Regulatory Weakness

The crisis erupted after IndiGo failed to comply with the Flight Duty Time Limitations (FDTL) — rules introduced by the DGCA in January 2024 requiring adequate rest for pilots. Despite having nearly two years to adapt, IndiGo blamed the rule for operational disruptions, citing a shortage of pilots.

Under mounting public pressure, the government stepped in, temporarily relaxing FDTL norms and capping airfare hikes. Officials claimed the move was to protect passengers, but analysts say it exposed the state’s vulnerability to corporate monopolies. “The government had no option but to yield,” said one aviation policy expert, pointing out that ignoring safety regulations for short-term relief could have long-term consequences.

The crisis also rekindled memories of the June 2025 Air India crash near London, which claimed over 240 lives. Experts warn that compromising pilot rest and safety standards to maintain flight schedules could risk another tragedy.

If Telecom Giants Fail: A National Paralysis

The article raises a troubling question — what if a similar crisis struck the telecom sector, where Jio and Airtel together control nearly 80% of subscribers and serve over 780 million users?

If both networks failed simultaneously, the repercussions would be catastrophic. Internet shutdowns would halt UPI transactions, online banking, OTP verifications, video calls, OTT streaming, and emergency communications. Critical services such as airports, hospitals, stock exchanges, and small businesses — many of which rely on WhatsApp and digital payments — would come to a standstill.

In essence, a telecom breakdown could paralyse India’s digital economy, exposing the nation’s dependence on a duopoly.

E-commerce Monopoly: Another Fragile Ecosystem

The same risk looms over the e-commerce sector, where Amazon and Flipkart dominate nearly 80% of the market. A disruption similar to IndiGo’s could cripple daily life — halting delivery of groceries, medicines, and essential goods, freezing refunds and customer support, and leaving small sellers without platforms to trade.

Local retailers, freed from competition, might exploit shortages by inflating prices. Such a scenario underscores the perils of market centralisation in sectors critical to everyday living.

A Wake-Up Call for Regulators

The IndiGo crisis, analysts say, is a warning shot for policymakers and regulators. A single company’s operational failure exposed systemic weaknesses in India’s infrastructure and consumer protection mechanisms.

As the aviation regulator DGCA investigates and IndiGo works to restore normalcy, the broader lesson remains clear: unchecked monopoly power in any essential service — whether air travel, telecom, or e-commerce — poses a direct threat to economic stability and citizen welfare.

Without stronger competition laws, redundancy frameworks, and regulatory oversight, India risks repeating this crisis across multiple sectors — each time with millions of citizens paying the price.

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