Alert – Deloitte Canada: New open market for cannabis retail stores in Ontario – what does this mean for you?
Canada | December 19, 2019
New open market for cannabis retail stores in Ontario – what does this mean for you?
As you might have heard, the Ontario government is moving to an open market for retail cannabis stores. Starting January 6th, 2020, the Alcohol and Gaming Commission of Ontario (AGCO) will begin accepting operator licence applications from prospective retailers on a first-come first-serve basis.
In addition to modifying the application process, the provincial government announced several other changes to the system, including:
A “farmgate” provision that will allow cannabis growers to open a store at one of their growing sites
An increase on ownership caps of retail stores by licensed producers; now up to 25% stake
Authorized stores may now begin selling items directly related to cannabis or its use (e.g. magazines and cookbooks)
Licensed operators may have up to 10 stores until September 2020, up to 30 until September 2021, and up to 75 thereafter
With January 6th being right around the corner, the time to capitalize on this opportunity is now. Give yourself piece of mind this holiday season – CCI Deloitte is ready to help guide you through the entire process and ensure that your business objectives are met. Consider our latest Canada-wide supporting data:
Total number of clients that we’ve successfully helped to become licence holders (Retail, R&D, Standard Cultivation etc.), with another 150+ client licence applications currently in the queue
Total number of client retail engagements
Total number of provinces that we have direct retail licensing experience in (Ontario, British Columbia, Alberta, Saskatchewan, and Manitoba)