Bruce Linton was in an ebullient mood on Thursday after Health Canada announced proposed rules that would allow Canadians to buy a wide range of cannabis products, including edibles and drinks.

Canopy is now building a 197,000-square-foot bottling plant next to the former chocolate factory that houses its Tweed marijuana grow-op.

Canopy has partnered with huge U.S. beer, wine and spirits company Constellation Brands to develop cannabis drinks. The draft regulations give a boost to those plans.

The regulations usher in the second wave of Canada’s legalization of recreational marijuana. Only dried weed and oils are legal now, but the regulations cover a flood of new products, from vape pens to lotions.

The regulations don’t list specific products, but offer guidelines. Nothing can appeal to kids. The amount of THC, the psychoactive component that causes the high, will be limited.

For example, each package of a cannabis edible or drink container could contain 10 mg of THC, which is considered one serving size in some American jurisdictions that have legalized pot. Drinks could not contain added vitamins, minerals or alcohol.

Linton said he was pleased the draft regulations allow the categories of products now sold in the black market.

“They (the government) are doing what they said they would do. You can’t squeeze out the illicit and the illegal producers if you don’t have generally matched categories, then let (legal) companies create superior products.

“We have all the categories and the capacity to make superior products across all of them. So that means it’s a good day to operate our kind of business and probably a countdown for a lot of people in the other (illegal) ones.”

Canopy plans to make products in all the categories allowed, said Linton.

“Chewables, inhalables, vape pens, topicals … .”

Canopy, which is the world’s largest cannabis producer, has been researching and developing beverages and other products for more than three years.

Linton is optimistic about the appeal of beverages, because that’s a form of intoxicant people are familiar with.

The regulations propose that no alcohol could be added to cannabis drinks, nor could they be associated with alcohol brands.

“You can’t make de-alcoholized beer, call it beer and power it with THC,” said Linton. “We’re fine with that because we look forward to preparing you a Tweed and tonic, which is an entirely new category of a clear, low- or no-calorie beverage.

“It will be a cannabis drink. Don’t buy a liquor drink, buy ours. Or buy them on different days and compare the products. This is an entirely new product.”

What about cannabis candies and cookies, which are big sellers in U.S. states where pot is legal and are also sold by the Canadian black market?

Canopy has a deal with local gourmet chocolate maker Hummingbird to create cannabis-infused treats.

Linton is cagey about plans for other products because the industry is fiercely competitive.

But he expects Health Canada to take a conservative approach to interpreting what might be appealing to kids.

“I suspect the regulators will keep it a little careful, rather than let it get out of hand.”

Some of the cannabis chocolate bars produced by Dixie Brands, a Colorado-based company that has a licensing deal with Canadian company Auxly, to manufacture Dixie products for the Canadian market.All the products would be sold in plain packages featuring a THC symbol and health warning labels. The same packaging rules apply to the dried weed and oils that went on sale Oct. 17 when Canada legalized recreational marijuana.

The regulations covering the new products must be in place by October 2019.

Health Canada is conducting a two-month online public consultation on the draft regulations, which will be published in the Canada Gazette on Dec. 22 or can be obtained by emailing cannabis@canada.ca.

The draft regulations: highlights
• The regulations cover edible cannabis products, such as food and drinks; cannabis concentrates, such as the liquid used in vape pens; and topical products such as creams;

• The amount of THC, the compound with psycho-active effects, would be limited in all those products. For instance, for edibles and drinks it would be 10 mg per package or container, which represents roughly one serving size;

• Cannabis drinks could not contain added alcohol, vitamins or minerals;

• Cannabis edibles must be “shelf-stable,” which means they don’t require refrigeration;

• Products cannot be appealing to children;

• Cannabis extracts, such as the liquid used in vape pens, cannot have added sugars, colours or sweeteners, nicotine or caffeine;

• Products must contain a list of ingredients;

• Products must be packaged  in child-resistant, plain packages with health warnings and a THC symbol;

• And products cannot have any elements that associate them with alcohol brands.