The Canadian province of Saskatchewan is following Alberta’s lead in adopting a marketplace-primarily based program to allocate cannabis retailer permits, a move that will tremendously expand the quantity of retail possibilities readily available for entrepreneurs.
By scrapping the 51-retailer limit, the province is opening the door to quicker development in the regulated marketplace for adult-use cannabis – a marketplace 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, increasing from six million Canadian dollars (four.six million) in April to CA$six.eight million in August, according to the most recent Statistics Canada information.
“We think opening the marketplace to extra retailers will assist meet buyer demand when also assisting discourage competitors from unlicensed retailers,” Gene Makowsky, the minister accountable for the Liquor and Gaming Authority (SLGA), stated in a news release.
The SLGA will accept applications for cannabis retail permits beginning in April for communities with populations below two,500.
In September 2020, the provincial regulator will accept license applications for retail outlets in all communities.
Permits for the present crop of 51 retailers had been handed out by means 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-marketplace program for cannabis retailers.
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.
Soon after a slow start off, British Columbia is quickly expanding its cannabis retail possibilities. Shop licenses issued in that province rose from 14 in March to 94 in September.
Dozens extra are anticipated to open in British Columbia in the close to future.