
Canadian cannabis sales continue to increase gradually, with sales in July 2023 up 1.92% from the prior month to $446.10 million. Sales are up 13.55% from July 2022.
July sales in Newfoundland and Ontario, provinces that typically see an increase in sales month-to-month, dropped by 7.12% and 0.81% respectively from the prior month. All other provinces saw increases in their monthly sales.
Prairies
The Prairies saw slight sales increases in July. Sales were up 4.48% in Alberta from the prior month to $78.53 million, while Calgary sales increased 4.99% and Edmonton sales went up 3.48%. Sales were up 1.52% in Saskatchewan from the prior month to $19.84 million, while Manitoba saw an increase of 1.51% to $16.68 million.
The Manitoba Liberal Party announced it wants to crack down on illicit drug sales in the province as part of its Election Platform in the lead up to the October 3rd election.
In their platform, the Party writes, “Legal Manitoba-based cannabis stores have struggled to compete because there has been no enforcement against illicit sales, either online or with brick-and-mortar stores. While illicit tobacco sales are being investigated and prosecuted by the province, cannabis sales are not.”
Ontario
For the first time since February, monthly sales in Canada’s largest province dropped a minimal 0.81% to $176.08 million. Regardless, this province consistently has the highest cannabis sales in the country. Sales in Toronto and Ottawa were down 0.82% and 0.81% respectively in July.
In September, the Ontario Cannabis Store will be changing its price structure, reducing most wholesale markups that OCS puts on cannabis products it sells to retailers, lowering its profit margins. This change comes after the OCS has come under fire in the past for its ‘outrageous’ profits.
Quebec
Quebec’s July sales increased 1.97% from June to $54.42 million. Sales in Gatineau were up 8.49% while Montreal and Quebec City saw smaller increases.
The Société québécoise du cannabis (SQDC) recently reported net earnings of $20.6 million for the first quarter ending June 17, 2023, compared to $20.5 million for the same quarter last year. Sales grew by 2.6% compared to the same quarter last year despite the ongoing labour disputes.
British Columbia
After little change in June, July sales were up 6.72% in British Columbia to $70.77 million, while Vancouver saw an increase of 4.93% to $22.70 million. More municipalities in BC are starting to allow cannabis stores so there has been a growing number of stores in that province.
Since the passing of Bill 10 by the NDP government in 2022, the province has seen an increase in unionization in liquor stores. It is likely that cannabis retailers too will soon have to face the prospect of unionization in their stores.
Maritimes
For the first time since February, sales in Newfoundland were down 7.12% to $7.19 million. Prince Edward Island saw a notable increase with July sales up 14.32% from the prior month to $2.27 million, while sales were up 5.18% and 1.51% in Nova Scotia and New Brunswick respectively.
Provincial Sales (x1,000)
Canada: $446,104 (1.92%)
Newfoundland: $7,192 (-7.12%)
Prince Edward Island: $2,267 (14.325)
Nova Scotia: $10,322 (5.18%)
New Brunswick: $7,686 (1.51%)
Quebec: $54,419 (1.97%)
Montreal: $29,162 (0.60%)
Quebec City: $4,894 (2.51%)
Gatineau: $1,267 (8.49%)
Ontario: $176,081 (-0.81%)
Toronto: $58,127 (-0.82%)
Ottawa: $15,845 (-0.81%)
Manitoba: $16,677 (1.51%)
Winnipeg: $10,006 (0.56%)
Saskatchewan: $19,844 (1.52%)
Alberta: $78,533 (4.48%)
Calgary: $22,192 (4.99%)
Edmonton: $25,812 ($3.48%)
British Columbia: $70,773 (6.72%)
Vancouver: $22,703 (4.93%)
Yukon: $1,170 (6.46%)
Source: Statistics Canada