The province of Saskatchewan is following Alberta’s lead in adopting a industry-primarily based method to allocate cannabis retailer permits, a move which will tremendously expand the quantity of retail possibilities out there for entrepreneurs.
By scrapping the 51-retailer limit, the province is opening the door to more rapidly development in the regulated industry for adult-use cannabis – a industry that has been held back in Saskatchewan by a lack of new retailer openings.
Sales of recreational cannabis in the province have barely risen in the previous 5 months, expanding from six million Canadian dollars (four.six million) in April to CA$six.eight million in August, according to the most current Statistics Canada information.
“We think opening the industry to additional retailers will assistance meet client demand even though also assisting discourage competitors from unlicensed shops,” stated Gene Makowsky, the minister accountable for the Liquor and Gaming Authority (SLGA), in a press release.
The SLGA will accept applications for cannabis retail permits beginning in April 2020 for communities with populations below two,500.
Subsequent September, the provincial regulator will accept license applications for retail outlets in all communities.
Permits for the present crop of 51 shops have been handed out by way of a lottery.
The provide of cannabis in Saskatchewan will continue to come from federally licensed cultivators and permitted wholesalers.
Saskatchewan will join Alberta and British Columbia in adopting an open industry method for cannabis shops.
Alberta has 311 listed cannabis providers.
New retailer openings are the most significant driver of retail sales in Canada
Sales of recreational marijuana across Canada rose to CA$127 million in August, buoyed by new retailer openings in British Columbia.
Following a slow start out, B.C. is quickly expanding its cannabis retail possibilities. Shop licenses issued in that province rose from 14 in March to 94 in September.
Dozens additional are anticipated to open in B.C. in the close to future.
Matt Lamers can be reached at [email protected]