Manitoba's cannabis retailers hit with 6% tax to cover 'social costs' of legalization

Cannabis retailers in Manitoba will be slapped with a six per cent levy to cover the province's "social costs" of legalizing the drug.

The Manitoba government plans to begin collecting the markup, which it defines as a "social responsibility fee," this January, the province announced on Thursday.

The new revenue stream would ensure retailers share in the social costs of public education, safety, health and addictions, the provincial news release said.

"Obviously we're going to have costs," said justice minister Cliff Cullen, after the legislation was introduced in the Manitoba Legislature. "There's going to be social costs to cannabis.


Canada: Manitoba announces ‘social responsibility fee’ and markups on cannabis

When legalization is implemented in Canada this October, cannabis in the province of Manitoba will be subject to a wholesale markup and a government fee.

The provincial government is applying a 75 cent markup per gram with an additional nine percent at the wholesale distribution level.

Additionally, six percent will be added to a retailer’s annual revenues. The provincial fee will be known as a “social responsibility fee” and will take effect sometime next year.

The Progressive Conservative government in the province says they will use that money to help pay for public education, safety enforcement and addictions programs.


Canada: Delta 9 announces four cannabis retail locations in Manitoba for 2018

Delta 9 Cannabis Inc. is pleased to announce the planned locations for its first cannabis retail stores. Delta 9 intends to open two stores in Winnipeg, one in Brandon and one in Thompson before the end of the year. At least one of the Winnipeg stores is expected to be open on October 17, 2018, which is the date that has been announced as the first day for legal retail sales of cannabis. The Company's online sales portal will also be operating on that date.


Canada: Manitoba and Quebec move to ban home cultivation

Canadian provinces can now ban home cultivation due to recent amendments to the incoming cannabis act. A move the Manitoba and Quebec have already decided to make, writes Calvin Hughes.


Canada: 4 groups get nod to operate retail pot stores in Manitoba

Manitoba has identified four companies that will be allowed to operate retail cannabis locations.

The province says it has conditionally accepted proposals from:


Canada: Council bans tobacco, marijuana smoking on patios

City council voted overwhelmingly Thursday in favour of a ban on smoking tobacco and marijuana around restaurant patios.

Two councillors — Ross Eadie (Mynarski) and Jason Schreyer (Elmwood-East Kildonan) — voted against the bylaw. Eadie said a ban would further stigmatize smokers.

Smoking in any form — cigarettes, cigars, pipes, e-cigarettes, water pipes, hookahs or other devices — won’t be permitted on outdoor patios where food and drink are served. Council made an exception for smoking within Indigenous-led ceremonies.

The bylaw will come into effect on April 1, though the amount of the fine is not yet clear.


High or dry? Manitoba municipalities must decide if they'll allow marijuana sales by Christmas

Manitoba municipalities have less than one month to get on board with pot sales in towns and cities or be left dry and not-so-high — and that tight turnaround is worrying some rural officials.

"I may be reading this wrong, but I get the impression they [provincial officials] are as much in the dark still as we are — just feeling their way around trying to come up with regulations," said Brian Hodgson, reeve for the rural municipality of Victoria Beach.

Mayors, reeves and councillors from across Manitoba met at the annual Association of Manitoba Municipalities conference in Brandon this week to learn more about the province's hybrid private-public pot model, and how it will impact smaller communities. 


Amid Marijuana Boom, Cost Data Leave Analysts Dazed and Confused

Marijuana plants grow at a Bonify facility in Winnipeg, Manitoba, Canada.

If there’s one thing that’s still hazy in Canada’s nascent marijuana market, it’s how wide the margins are on that dime bag.

With less than nine months left before recreational cannabis becomes legal in the country, analysts and investors are still unclear who the big winners and losers will be. Some publicly traded pot companies don’t report how much a gram of dried bud costs them to make and if they do, the numbers aren’t uniformly calculated. Moreover, producer margins could start to shrink as provinces start to purchase pot wholesale.


Private stores will sell pot in Manitoba while province will control distribution

Manitoba has unveiled a "hybrid model" for selling pot in the province when recreational marijuana use becomes legal next July.

The Manitoba Liquor and Lotteries Corp. will secure the supply of marijuana and track it in Manitoba, but private retail stores will be in charge of selling it.

Pot won't be sold where alcohol is sold, which means the province won't have to pay for new storefronts, Premier Brian Pallister said at a news conference on Tuesday.

Manitoba Liquor and Lotteries will deal with supply chains and orders from retailers, and retail stores will open as early as July 2, 2018.

Marijuana is scheduled to be legalized under federal legislation on July 1, 2018.


Manitoba premier says he won't follow Ontario cannabis model

Manitoba Premier Brian Pallister signalled Monday that the province's private sector will be involved in the distribution of marijuana when recreational use is legalized next July.

Pallister said details of the provincial plan to govern cannabis would be released Tuesday. He rejected earlier statements from the Manitoba Government and General Employees' Union that sales should be done exclusively through government-run stores.

Pallister said there will be some sort of a "hybrid option" - public-sector regulation and distribution combined with private-sector delivery - that could take business away from the existing black market.


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