Sudbury

CannAssist to set up medical marijuana facility in Kapuskasing

The Town of Kapuskasing is entering into a partnership to house a medical marijuana facility.
The Town of Kapuskasing has entered into a public-private partnership with CannAssist to set up a medical marijuana facility. (Associated Press)

The Town of Kapuskasing is entering into a partnership to house a medical marijuana production facility.

The deal has been years in the making. In 2014, CannAssist Canada Inc., the town and the local economic development corporation started discussions around the construction of a facility that would produce medical marijuana.

On Tuesday, the town announced a formal public-private partnership agreement had been reached.

According to Mayor Al Spacek, the project will create 60 full-time jobs, and will provide about $12.5 million in associated economic benefits to local businesses.
Kapuskasing Mayor Al Spacek (Erik White/CBC )

"With the increased efficacy of marijuana for several medical conditions and the legalization of recreational marijuana approaching fast, we are perfectly positioned to become a key player in the industry," Spacek said.

Janice Britton, the CEO of CannAssist Canada Inc., says so far, it's been a good partnership between the company and the town, adding the Kapuskasing site will be the first production facility for the company.

"But the whole vision of our company is to work with communities that are in remote areas and challenged with economic development and job creation," Britton said.

The warm reception company representatives received each time they visited Kapuskasing was one of the main reasons why CannAssist chose the town for its production site, Britton said.

"They were very supportive of any project that was going to create jobs and economic development for the area. And so we felt like it was a really great synergy between my team and the Kapuskasing leadership team."

Community very receptive to plans

Most residents have been receptive to the plans for the facility, Spacek said.

"It's also important to note that the location of this facility is not near any residential area. It's on the [municipal] airport grounds. It's a semi-secure area now, where there is no residential area close by, so that's also another bonus to this project."

A memorandum of understanding between CannAssist and the Town of Kapuskasing will be signed on Dec. 28.

Construction is expected to start in April. If all goes as planned, medical marijuana will be ready to be shipped to customers by the end of 2018.

With files from Angela Gemmill