Industrial hemp in Canada is regulated under the Cannabis Act (2018) and the Industrial Hemp Regulations made under that Act. Hemp food products made from non-viable seed fall outside the Cannabis Act and are regulated as food, under the Food and Drugs Act and Canadian Food Inspection Agency oversight. CBD and other cannabinoid products derived from hemp are regulated separately, under the broader Cannabis Act framework, not the Industrial Hemp Regulations.
The defining threshold
Industrial hemp is defined as Cannabis sativa L. material with a delta-9 THC concentration of 0.3 percent or less by weight in the flowering heads and leaves. Any cannabis material exceeding that threshold is regulated as marijuana, regardless of the cultivator's intent.
Cultivation licensing
A Health Canada licence is required for commercial activities with industrial hemp itself: cultivation, possession of viable seed or grain, processing grain, sale, import, export, breeding, or research. Products made from non-viable hemp seed, such as hemp hearts, hemp seed oil and hemp protein, need no hemp licence; since March 2025 they no longer have to meet a THC limit or be lot-tested to stay outside the Cannabis Act. Licence categories distinguish between these activities; most commercial growers hold a cultivation licence specifying their location and approved cultivars. Health Canada's service standard for processing an application is 60 business days (approximately three calendar months).
Licensed growers must:
- Plant only seed of pedigreed status from cultivars on Health Canada's List of Approved Cultivars (93 cultivars for 2026)
- Maintain detailed records of planted area, seed source, and harvest disposition
- Permit Health Canada inspection
- If growing for planting seed, have the flowering heads and leaves tested for THC at a competent laboratory and report the results to Health Canada
Hemp food regulation
Hemp seed, hemp seed oil, hemp protein powder, and hemp flour are foods in Canada, subject to the same labelling, food safety, and packaging requirements as other foods. The CFIA oversees compliance with the Food and Drugs Act, the Safe Food for Canadians Act, and related regulations. Specific labelling rules apply (a Nutrition Facts panel, common name, net quantity, etc.), but hemp foods carry no special restrictions beyond standard food law.
The 0.3 percent THC standard applies to the growing plant, not to the food. Until March 11, 2025, products made from hemp grain were exempt from the Cannabis Act only if they contained no more than 10 micrograms of THC per gram. Amendments in force since March 12, 2025 (SOR/2025-43 and SOR/2025-44) removed that limit and its testing requirement and placed products made from non-viable hemp seed outside the Cannabis Act; Health Canada's analysis said they generally do not contain significant levels of cannabinoids. They must meet the Food and Drugs Act like any other food. Natural health products are the exception: a hemp product licensed as one, such as hemp seed oil capsules, must not contain more than 10 micrograms of THC per gram.
CBD: regulated separately
Cannabidiol (CBD), even when extracted from low-THC industrial hemp, is regulated under the Cannabis Act as a cannabis product, not as a food or natural health product. Federal regulations require:
- A processing licence to extract CBD from hemp
- Sale only to provincially authorised cannabis distributors
- Retail sale only through provincially authorised cannabis retailers (the OCS in Ontario, BC Cannabis Stores in British Columbia, the SQDC in Quebec, AGLC retailers in Alberta, and so on)
- Health Canada-approved packaging including child-resistant features, plain packaging requirements, warning labels, and the federal excise stamp
Selling CBD in grocery stores, pharmacies, or natural food stores is not permitted in Canada under current regulation, regardless of source.
Recent and pending changes
In March 2025, Health Canada introduced sweeping amendments to the Cannabis Regulations to reduce administrative burden on licensed producers. The same package also amended the Industrial Hemp Regulations: it repealed the 10 microgram per gram THC limit for hemp grain products, with its testing and wholesale labelling requirements, and a companion order added products made from non-viable seed to Schedule 2 of the Cannabis Act (SOR/2025-43 and SOR/2025-44). In 2026, Health Canada is consulting on potential changes to simplify the Industrial Hemp Regulations along similar lines, including possible reforms to the licensing process and cultivar approval mechanism. Final regulatory changes have not been published as of mid-2026.
Import and export
Importing or exporting viable hemp seed or grain requires a Health Canada permit for each shipment, even for licensed growers; products made from non-viable hemp seed need none, and since March 2025 they no longer need a THC certificate of analysis either. Canada is the world's largest exporter of food-grade hemp seed, with the United States, Korea, Japan, and the European Union as the largest destination markets.
This article summarises the current regulatory framework for general educational purposes. It is not legal advice. Anyone intending to grow, process, or sell hemp commercially in Canada should consult Health Canada's official publications and a qualified regulatory adviser.