Canada Global (Web News) In an effort to help marijuana sellers compete with the black market, The Ontario Cannabis Store says it will be lowering its price margins.
The price adjustments, according to the provincial distributor of marijuana, will go into effect in September and will bring in around $35 million during this fiscal year.
The OCS anticipates that the donations will reach $60 million in the 2024 fiscal year and will increase steadily over the following years as the legal cannabis industry expands.
According to the OCS, the modifications will include a predetermined markup for each product category that will be added as a percentage to the landing costs of each product, which already include producers’ profits and excise taxes.
To provide producers with more assurance, the OCS will publicly post the markups along with a pricing calculator.
In order to allow the OCS and licenced manufacturers time to think about adjustments to existing products and their release dates, it states that the margin decrease and fixed mark-up structure will go into force later in the year.
