For the Culture By The Culture
Five plus years after legalization, Canada has pulled most consumers into the legal cannabis market. A new Waterloo study shows 78% of users buy legally, with prices converging and Ontario leading sales past $2.1B. With over 3,000 stores nationwide, Canada’s retail footprint is crushing the illicit trade while the U.S. still lags.
The Canadian cannabis industry is in crisis due to high federal excise taxes and provincial markups, which make legal products expensive and fuel the illicit market. A significant percentage of producers report negative net income, and reforms are urgently needed to adjust tax rates and eliminate markups to support legal businesses effectively.
High Stakes, Higher Expectations" takes you on a wild ride through Canada's legal cannabis market post-legalization. From the initial green gold rush to the sobering challenges of overproduction, competition, and tight regulations, this article explores how the industry is adapting to a new normal. It’s a story of economic evolution, societal shifts, and navigating the unpredictable waters of a market once on the fringes. Join us as we unpack the complexities and future prospects of Canada's journey with legal cannabis.
