Israel’s Commissioner for Trade Levies at the Ministry of Economy and Industry says it will investigate four Canadian cannabis companies in its latest probe into accusations of “product dumping.”
In an October 22 announcement, the Commissioner named four companies: GrowCo, Cielo Verde Quebec Inc., 2323414 Alberta Ltd., and Koots Canna Ltd., which it identifies as being responsible for most of the cannabis being exported from Canada into Israel’s medical cannabis market.
Cielo Verde is located in Quebec. The numbered company in Alberta is the wholly owned subsidiary of CannaPharmaRx Inc., and Koots Canna is located in BC. Together, these three sampled “premium” producers represent approximately 22% of total exports among the 16 “premium” producers that provided data to the Ministry.
Out of 22 Canadian companies that submitted initial responses and questionnaires, 17 exported medical cannabis to Israel during the investigation period. Because so many entities cooperated, the Commissioner found it impractical to calculate each exporter individually in a timely manner. Instead, the Ministry says it is applying an approach that pairs a statistically representative sample of premium producers with a separate, individual review of GrowCo.
The Commissioner focused not only on GrowCo’s large export volume, but also on its greenhouse cultivation operation, which it contrasts with higher-cost indoor operators. Together, the Commissioner says these four companies account for about 70% of all Canadian cannabis exports to Israel.
Reporting by Israel’s Cannabis Magazine notes that Canndoc markets Koots Canna’s products in Israel; 2323414 Alberta operates in Israel through Cannapharma and is marketed by Formosa (formerly Cantec); and Cielo Verde Quebec, whose products were previously marketed here by Green Boys and Sheach.
Cronos, Cannapharma, and Cielo Verde were not immediately available for comment. Koots Canna declined to comment.
The parties involved in the investigation have been given five business days from the publication date (October 22, 2026) to submit written comments or objections on the proposed sample selection methodology. The Commissioner says it will consider these submissions before finalizing the sample selection, and it has not yet published a preliminary decision on dumping duties.
This latest action is part of an ongoing trade dispute between Israeli officials and Canadian cannabis exporters that began with an initial anti-dumping investigation launched in January 2024. In that initial probe, the Commissioner recommended imposing tariffs on Canadian cannabis companies. Although Israel’s Advisory Committee recommended adopting those findings in early 2025, the Minister of Finance ultimately opposed the tariffs, citing macroeconomic reasons and concerns over market competition and patient access
Those tensions resurfaced when the government launched another investigation in June 2026, only to close it abruptly in late July because of a procedural error involving advance notification to the Canadian government. The government quickly restarted it in August 2026, leading to the current sample selection announcement.
Israeli cannabis producers in the country of about 10 million have been lobbying their government for several years to address what many say is the unloading of low-cost cannabis for the country’s medical market by Canadian producers. Israel’s Minister of Finance eventually rejected those levies, and the issue was eventually dropped until a new investigation was announced in 2026.
Israel is one of the top export destinations for Canadian cannabis, along with countries like Germany, Portugal, Australia, and the United Kingdom. Canadian cannabis companies have exported more than 18,000 kg of cannabis to Israel in the first seven months of 2026, worth $29.6 million.
Although Israel is consistently one of Canada’s top 10 export destinations for cannabis, exports in the first seven months of 2026 accounted for only about 8% of Canada’s total exports (236,822 kg).
Countries like Germany, Portugal, and Australia received most of these exports. Canadian companies exported more than 92,000 kg of cannabis to Germany in the first seven months of 2026.