Ontario cannabis retailers can now open their doors as early as 7 a.m. following an amendment that took effect on May 1. The Alcohol and Gaming Commission of Ontario detailed the change in a news release that day.
Authorized cannabis stores have now shifted from the previous 9 a.m. to 11 p.m. operating window with a couple extra hours in the morning. Curbside pickup is permitted to commence at seven while delivery hours remain 9 a.m. to 11 p.m. to align with alcohol retail regulations.
Provincial officials built support for the amendment through public consultations held last month. They acquired feedback on aligning cannabis store hours with those of liquor retailers in grocery and convenience stores. Supporters have highlighted potential gains in operational flexibility, inspector efficiency and the ability to compete more effectively with the illicit market.
Ontario is now serving cannabinoid consumers at an earlier hour than any other province. Most others maintain 9 a.m. or later starts. Manitoba and Saskatchewan permit 8 a.m. openings.
This change has brought considerations with it for major provincial operators like High Tide Inc. (CVE: HITI) (NASDAQ: HITI) (FRA: 2LYA), SNDL Inc (NASDAQ: SNDL) (FRA: VY4), Cronos Group Inc (TSE: CRON) (NASDAQ: CRON) (FRA: 7CI) and OrganiGram Holdings Inc (TSE: OGI) (NASDAQ: OGI). Stores opening their doors earlier could capture additional revenue from shift workers and first-light shoppers, but whether these sales will offset higher staffing costs depends on actual demand patterns in each location.
Urban outlets with existing early delivery volume may see clearer benefits while others could find that the added labour expenses outweigh the gains.
Recent regulatory developments in the U.S. cannabis sector add another layer of uncertainty for Canadian operators. Progress with rescheduling could divert investor capital and market focus southward, potentially resulting in headwinds for marijuana companies in the Great White North.
Read more: Cannabis stocks swing wildly on U.S. rescheduling news
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