Short cannabis supply limits retail outlets
If ontario’s government had its way, there would be as many cannabis retail stores across the province as the market could sustain.
We believe in a free market, promoting innovative entrepreneurs, and creating a province that is open for business.
This is the best approach to eliminating the illegal market and keeping our children and youth safe.
unfortunately, there is a serious cannabis supply shortage. as a result, we are being forced to scale back our plans dramatically, for now.
The number of brick-and-mortar stores to be licenced is based on the available supply of cannabis, and right now, the appropriate number is 25. This is the responsible approach.
We have adopted a temporary lottery process to select retailers and establish 25 stores in ontario.
The licences are being distributed in five regions across the province, with the specific number of licences being determined on a per capita basis. We think this is the fairest approach under the circumstances.
many people have expressed concerns that we cannot possibly combat the illegal market with just 25 stores, and our government would agree wholeheartedly.
But would we be better off opening hundreds of stores across the province, and not have cannabis to supply them?
companies and individuals are proposing to invest tens of thousands of dollars to purchase licences, open retail stores, and hire staff.
as a lifelong entrepreneur, i know full well the risks of opening a small business with an outside supply chain.
The risks increase substantially if
What we need is for the federal government to review their approval process to ensure licensed producers are able to bring cannabis to market.”
you don’t know from one day to the next if you are going to have any inventory at all. unfortunately, that is the reality right across canada.
Quebec has limited retail operating hours to four days a week due to the lack of supply and alberta has stopped issuing any new retail cannabis licences.
We remain committed to moving to an open allocation of licences once we have certainty surrounding the federally regulated cannabis supply.
at that point, all regions of the province will have access to as many retail store authorizations as market demand supports.
in addition to any retail operation, ontario’s cannabis store online distribution is up and running and proving itself effective. ocs has delivered more than 400,000 orders since the start of legalization. every day, customers are ordering and receiving their shipments.
What we need is for the federal government to review their approval process to ensure licensed producers are able to bring cannabis to market in a safe, but efficient manner.
our goals are to keep our kids and roads safe and combat the illegal market. Taking a measured approach to retail licensing is the prudent, responsible way to achieve our goals while the federal government fulfils its obligations.