Ontario Cannabis Store Set To Lose $25 Million This Year, Ford Claims ‘Federal Mismanagement’

Article by Daniel Tencer, Huffington Post

Ontario Cannabis Store Set To Lose $25 Million This Year Amid ‘Federal Mismanagement’ Startup costs and a legal pot shortage mean Doug Ford isn't making any money selling weed. By Daniel Tencer A Ontario Cannabis Store website pictured on a mobile phone Ottawa on Thursday, Oct. 18, 2018., claiming high volume of orders and an apology for any inconvenience. THE CANADIAN PRESS/Sean Kilpatrick

Ontario’s provincially-run cannabis distributor is set to lose $25 million in the current fiscal year, according to projections in the 2019 budget released by Queen’s Park on Thursday.

The losses are the result of its initial investment in developing a wholesale distribution network, combined with the fact that OCS has sold relatively little product so far — which the provincial Progressive Conservative government blames on the federal Liberals.

The OCS is facing “a national cannabis supply shortage brought on by the federal government’s mismanagement,” the budget document says.

“By choosing to throw open the doors to cannabis legalization without first taking into account the reliability and sustainability of the national cannabis supply, the federal government is failing to curb the growth of the illegal cannabis market while also creating widespread business uncertainty for the people and businesses seeking to make a living in this new industry.”

The budget document predicts the OCS will turn profitable next year, earning a net income of $10 million. It sees profits rising to $40 million annually by the 2021-22 fiscal year.

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