As provinces lift coronavirus restrictions and allow for emergency orders to expire, there is going to be at least one sector of business suffering from the forthcoming changes.
Ontario’s emergency order is slated to expire on July 15, meaning that some of the temporary measures enacted in April will have to come to an end as well. As a result, the province’s privately-run cannabis stores will not be able to offer curbside pickup or delivery services to their consumers anymore. However, cannabis retailers are allowed to open their stores to customers, so as long as safety measures are followed, including social distancing, and capacities on the number of customers allowed inside at a time.
Ontario is home to over 100 licensed cannabis retailers, and as a result of the pandemic, consumers have been flocking to buy the licensed product during the height of stay-at-home-orders. However, now that above-and-beyond services are no longer going to be permitted, some of the province’s smaller cannabis providers will suffer a reduction in revenue as a result.
According to Joey Khan, who is the manager of Bonnefire, a small cannabis store in Toronto, curbside pickup and delivery services accounted for up to 30% of the business’s revenue. With the termination of the additional services, small cannabis retailers will no longer be able to compete with the illicit market, which accounts for approximately 80% of all household cannabis expenditures.
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