Ontario Reduces Wholesale Markups On Marijuana As Large Operators Continue To Struggle
Portfolio Pulse from Nina Zdinjak
The Ontario Cannabis Store (OCS) has announced a reduction in most wholesale markups on marijuana products sold to retailers starting in September. This move is expected to save the industry $60 million in 2024. Large marijuana operators such as Aleafia Health, Fire & Flower, Canopy Growth, Tantalus Labs, and Aurora Cannabis, who have faced operational challenges and downsizing, may benefit from this change.
July 31, 2023 | 1:20 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Aurora Cannabis, which had multiple layoffs last year, may benefit from the reduction in wholesale markups.
The reduction in wholesale markups could potentially help Aurora Cannabis in its financial recovery by reducing costs and improving profitability.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Aleafia Health, which recently filed for bankruptcy, may benefit from the reduction in wholesale markups on marijuana products.
The reduction in wholesale markups could potentially help Aleafia Health in its restructuring process by reducing costs and improving profitability.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Canopy Growth, which announced downsizing and debt reduction plans, may benefit from the reduction in wholesale markups.
The reduction in wholesale markups could potentially help Canopy Growth in its financial recovery by reducing costs and improving profitability.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Fire & Flower, which filed for bankruptcy protection in June, may see a positive impact from the reduction in wholesale markups.
The reduction in wholesale markups could potentially help Fire & Flower in its financial recovery by reducing costs and improving profitability.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80