Saskatchewan’s cannabis retail framework allows for farmgate cannabis. However, there are currently no cannabis retail stores at federal licensed production sites. In Alberta, retail stores can be adjacent to production sites but cannot be realized because of restrictive supply chain requirements.
Other provinces and territories such as Manitoba, Quebec, Yukon and the Maritimes still have yet to establish their farmgate cannabis sales programs.
Farmgate cannabis retail in Ontario: Canada introduced regulations in 2021 for licensed cannabis retail stores, including the option to operate farmgate cannabis retail stores. Farmgate
The Liquor and Cannabis Regulation Branch (LCRB), responsible for licensing cannabis retail stores in British Columbia, recently announced some new projects to be rolled out
Federally licensed cultivators and processors who intend to sell farmgate cannabis must comply with provincial legislation for cannabis retail. This means a federal licensee must obtain necessary provincial permits or authorizations before farmgate cannabis retail can be carried out. As each province has different regulatory frameworks for cannabis retail, license holders would go through different processes for farmgate sales depending on the province of their site location.
Farmgate cannabis retail licenses would need to be renewed on a provincial level, as federally licensed cultivators and processors who intend to sell farmgate cannabis must obtain necessary provincial permits or authorizations before farmgate cannabis retail can be carried out. Further information on the frequency and process for renewal would be provided by the province.
Farmgate cannabis is a retail model by which cannabis can be sold directly to customers by the licensed producer who manufactures such products. In this set up, a licensed producer of cannabis (cultivator or processor) will have a production site that also includes a store-front to allow customers to purchase cannabis products directly from the producer, similar to a vineyard.
Farmgate cannabis is reserved for licensed producers only, as they will have a production site that also includes a store-front to allow customers to purchase cannabis products directly from the producer. Regular cannabis retail stores do not have a production center on-site.
The same types of documents that are submitted for regular cannabis retail licenses would need to be submitted to the provincial/territorial governments for authorization of a farmgate cannabis retail license. This would include things such as incorporation documents, organizational charts, information on controlling individuals/entities, background checks, funding, etc.
They are actually quite similar! Agricultural farmgate sales is a direct marketing method where farmers sell their produce directly to the consumer with the intent to bypass intermediaries such as wholesalers and retailers. In some models, consumers can visit the farm and pick the produce themselves. In cannabis, while farmgate adopts the concept of direct sales of cannabis products to the consumer from the license holder’s location, the province maintains governance and control over the supply of cannabis products.
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