Ontario Cannabis Sales See Major Boost From Physical Store Rollout; B.C. Sales Drop

Article by Matt Lamers, Marijuana Business Daily

Ontario cannabis sales see major boost from physical store rollout; B.C. sales drop Published 10 hours ago | By Matt Lamers

Adult-use cannabis sales in Canada’s largest consumer market more than doubled in April on the back of new store openings, representing “powerful evidence” of pent-up demand for regulated marijuana after months of stagnation, according to experts.

Receipts of recreational-use cannabis products in Ontario totaled 19.6 million Canadian dollars ($15.1 million) in the month, recent data from Statistics Canada shows, up from CA$7.6 in March and CA$7.5 million in February.

April’s receipts consider the first monthly sales at fewer than two-dozen physical stores in the province.

“This is remarkable given only a handful of stores in Ontario opened on the April 1 inauguration date,” Chris Damas, editor of BCMI Cannabis Report, said in a note to investors.

Damas expects sales in the province to climb in May and June before leveling off after Ontario’s 25-store cap is reached.

“I would imagine May and June are going to show additional gains in Ontario cannabis sales but more moderate after the initial store-opening publicity-fueled excitement,” he told Marijuana Business Daily.

“The Ontario April sales numbers are powerful evidence that there is significant pent-up demand for cannabis, in spite of the existence of the provincial online store.”

Ontario’s 25-store limit contrasts with Alberta’s approach, which has a plan to get to over 200 cannabis stores this year.

The government-run OCS expects to lose CA$25 million selling marijuana this year.

Across Canada, consumers purchased CA$74.6 million of cannabis products through regulated retailers in April, according to the Statistics Canada data. That’s an increase of 22% from the previous month.

Ontario accounted for 87% of that growth.

Read the full article here.

About Dankr NewsBot

Beep Boop. I'm just a bot who brings you the dankest news in the biz

Leave a Reply

Powered by Dragonballsuper Youtube Download animeshow