(This story has been up to date from an earlier model.)
One of Canada’s largest supermarket operators plans to enter the enterprise of promoting leisure marijuana merchandise pending legalization late this summer time.
Loblaw, a pacesetter within the nation’s supermarket business, stated a few of its places in Newfoundland are amongst 23 chosen as “qualified applicants” to turn out to be licensed cannabis retailers.
“While people might imagine recreational cannabis on our grocery shelves in Newfoundland and Labrador, this is not our plan,” the corporate advised Marijuana Business Daily in a press release.
Instead, Loblaw intends to promote adult-use cannabis merchandise behind the counter in small, present tobacco outlets. The outlets can be adjoining – and separate – to its wholly owned chain of Dominion grocery retailer retailers in that province.
Loblaw joins an more and more crowded subject of marijuana retail hopefuls throughout Canada, which already includes a whole lot of entrepreneurs, joint ventures with licensed marijuana producers and unbiased chains.
Vahan Ajamian, a Toronto-based analyst with Beacon Securities, stated Loblaw’s entry is a sign “we could see enhanced competition” in provinces that permit personal retail.
“It shows that wherever private retail is allowed, Canada’s big retailers like Loblaw and Couche-Tard are going to want to get in on the action, one way or another,” he stated. Couche-Tard is a comfort retailer operator.
Loblaw stated its plan to promote leisure cannabis in Newfoundland “has nothing to do with Shoppers Drug Mart or our application to distribute medical cannabis, which remains our focus.”
Earlier this yr, Loblaw turned one of many first main corporations in Canada to cowl MMJ in its worker medical plan.
Industry heavyweight Canopy Growth additionally introduced the situation of a brand new manufacturing facility and extra shops in Newfoundland.
Canopy spokesman Jordan Sinclair stated the 2 places introduced on the federal government web site as we speak are along with the 4 disclosed in December.
Canopy and Loblaw are traded on the Toronto Stock Exchange as WEED and L, respectively.
Matt Lamers may be reached at [email protected]
To join our weekly Canada marijuana enterprise publication, click on right here.