Canadian adult-use cannabis sales jump nearly 18% in 2022, hitting CA$4.5 billion

February 22, 2023 · MJ Biz Daily

Canada’s cannabis consumers spent 4.52 billion Canadian dollars ($3.35 billion) on regulated adult-use products in 2022, growing 17.9% over 2021’s sales total, according to new retail sales data released Tuesday by Statistics Canada.

The year-over-year sales increase came as the number of licensed cannabis stores in Canada increased.

In 2021, Canadians bought CA$3.83 billion worth of recreational cannabis from licensed stores.

Despite the notable year-over-year increase, the pace of cannabis sales growth in Canada appears to be slowing, said Michael Armstrong, who studies Canada’s cannabis market as an associate business professor at Brock University in St. Catharine’s, Ontario.

“I think that (growth), to a large extent, is the story of stores,” Armstrong told MJBizDaily.

Across Canada, Armstrong explained, cannabis sales trends track closely with the number of retail outlets.

In Ontario, Canada’s most populous province and most valuable marijuana market, the number of cannabis stores increased until the summer of 2022, he said.

“Most other provinces weren’t adding stores as rapidly,” Armstrong said.

“Alberta was close, but they already had a lot of stores, so I think they were seeing less effect.”

Canada is home to roughly 3,700 cannabis stores and retail licenses, including nearly 1,700 in Ontario.

Overall store count growth has stagnated, Armstrong said.

Without some kind of change – for example, if major cities such as Richmond, British Columbia, or Mississauga, Ontario, permitted cannabis retail, or if provincial governments were more permissive toward consumption lounge – Armstrong expects future market growth to come from “slow, gradual population growth, maybe a little bit of product innovation.”

“But nothing like what we have seen prior to this year,” he added.

Monthly cannabis sales record

Monthly recreational cannabis sales reached a record CA$425.9 million in December, following month-over-month declines in October and November.

Sales increased 13.8% on a month-over-month basis from November’s revised sales total of CA$374.3 million.

After adjusting for the fact that December was one day longer than November, month-over-month sales increased by 10.1%.

The province of Manitoba led Canada in monthly sales growth, with sales increasing by 21.7%, to CA$18.3 million, from November to December.

Cannabis sales also grew on a monthly basis in every other province and territory tracked by Statistics Canada, as follows (presented in order of market size):

  • Ontario: CA$171.2 million (+15.1%)
  • Alberta: CA$73.8 million (+11.1%)
  • British Columbia: CA$63.1 million (+13.3%)
  • Quebec: CA$54.6 million (+12.7%)
  • Saskatchewan: CA$17 million (+10%)
  • Nova Scotia: CA$9.9 million (+15.2%)
  • New Brunswick: CA$7.6 million (+14.3%)
  • Newfoundland and Labrador: CA$6.4 million (+13.8%)
  • Prince Edward Island: CA$2 million (+10%)
  • Yukon: CA$966,000 (+13.4%)

Statistics Canada did not present sales figures for the Northwest Territories and Nunavut.

Armstrong said the strong December sales figure is partly attributable to seasonal holiday spending.

“To the extent that that is true, we will likely see the reverse in January, a small drop,” Armstrong said.

“Just like you see in most other retail sectors, spending peaks in November, December, and then January, February (are) slow months before things recover in March.” (Full Story)

In categories:International Lifestyle
Next Post

Democrat Party announces anti-cannabis campaign platform

While nearly every street corner in tourist areas of Thailand is selling cannabis legally now (a recent driver in Samui spotted nine shops in a two-block stretch), not everyone is in favour of it, especially politicians. Politicians believe the rushed legalization and subsequent free-for-all…
Previous Post

Vermont Cannabis Regulators Investigating Curaleaf’s Ties to Russian Oligarch

Regulators in Vermont are investigating links between Roman Abramovich, a Russian oligarch, and cannabis MSO Curaleaf. Cannabis regulators in Vermont are investigating the links between Russian oligarch Roman Abramovich and multi-state cannabis operator Curaleaf, VT Digger reports. The inquiry follows a report by Vice that…
Random Post

Alaska 'Bud & Breakfast' Cannabis Scam Netted Couple $700k, Feds Say

The indictment notes that the couple had little possibility of obtaining necessary permits. A married couple from a small town in the far interior of Alaska has been charged with wire fraud in connection with a sham marijuana tourism business that they…
Random Post

Pelorus Breaks Credit Grass Ceiling With A Rated Notes

Cannabis debt has been typically given low ratings if receiving a rating at all. This week, cannabis commercial real estate lender Pelorus Capital Group announced that $50 million in aggregate principal amount of 7% senior secured notes due September 26, 2026 issued by its…
Random Post

U.S. Secret Service Loosens Rules On Past Marijuana Use By Prospective Agents

The U.S. Secret Service (USSS) has updated its employment policy to be more accommodating to applicants who’ve previously used marijuana—becoming one of the latest federal agencies to adjust cannabis rules amid the state-level legalization movement. Additionally, USSS added a policy…
Random Post

Do Cannabis Creams and Rubs Work for Alopecia Patients?

Topical Cannabis Found To Be Beneficial For Alopecia Patients Alopecia is an autoimmune disease of the skin that affects around 2% of the global population. The main symptom of alopecia is hair loss; though there are different kinds of alopecia areata, they are…