The plea comes as the cannabis industry faces one of its most difficult years yet. With investors disillusioned after several years of losses, and with interest rates on the rise, analysts are predicting widespread industry consolidation over the next few years.
The report, prepared for the CCC by EY’s global strategy consulting arm, assessed the effect of tax on the cannabis industry. It found that for each gram of value-priced cannabis sold at an Ontario dispensary, just 22.7 per cent of the total proceeds went to the producer; 35 per cent of the value was paid in a combination of excise duties and harmonized sales taxes. The Ontario Cannabis Store and the retailer each took about a 20-per-cent cut through markups.
Since 2018, the Canadian cannabis industry has contributed a total around $15.1-billion in tax revenues for Canada, $2.9-billion of which came from sales and excise taxes, according to a recent study by Deloitte.
Could be because it is as easy to grow in your backyard as tomatoes.
Can someone make weed that doesn't reek?
Just get rid of the $1 flat rate, and keep the 10% rate. Problem solved.
Might the fact that there's a store on every corner have something to do with it?