As of Monday, Toronto residents will be the first Canadians to be able to order weed straight from their Uber Eats app after the delivery app signed a deal with the pot platform and marketplace Leafly.
On the fourth anniversary of cannabis legalization in Canada, Uber Eats and Leafly announced they signed a deal that will allow CannSell-certified staff to deliver pot directly to the door of Torontonians over 19.
Under the deal, Leafly will process orders from retailers and deliveries will be organized by Uber Eats. However, deliveries won’t be done by regular delivery staff but CannSell certified staff who work at the shop.
Uber Canada Inc. did not specify how much profit the company will get thanks to the deal but said the partnership will help combat the underground illegal market which still accounts for over 50 per cent of all non-medical cannabis sales in Ontario.
The firm said the partnership will also decrease impaired driving and improve safety on the road as a survey from the analytics firm Public First showed that one in seven pot users drive within two hours after getting high.
Residents of Toronto now have access to a cannabis category via the Uber Eats app where they will be able to search licenced retailers.
So far there are three licenced retailers registered with the app including Hidden Leaf Cannabis, Minerva Cannabis and Shiva’s Rose.
“Hidden Leaf has been providing safe, legal cannabis to Torontonians at three locations over the last year and a half,” said Marissa and Dale Taylor, owners of Hidden Leaf, one of three currently participating retailers in Toronto.
“We are a small business and this partnership is a great way for us to expand our reach and grow our business across the city. Just like the in-store experience, our CannSell certified delivery staff understand and comply with local regulations around cannabis transactions, including checking ID.”
The province of Ontario made pot delivery possible during the Covid-19 restrictions and the policy was permanent since March but came with strict rules from the Alcohol and Gaming Commission of Ontario (AGCO).
Previously, Uber Eats had come to an agreement with The Katz Group of Companies and Canopy Growth Corporation (TSX: WEED) (Nasdaq: CGC) subsidiary Tokyo Smoke to be the first to list products in the Uber Eats app, but products were not delivered nor processed via the platform.
Read more: Tokyo Smoke and Uber Eats launch weed reservation service in Ontario
Read more: Fire & Flower launches delivery in British Columbia
“Leafly has been empowering the cannabis marketplace in Canada for more than four years and we support more than 200 cannabis retailers in the GTA. We are thrilled to work with Uber Eats to help licenced retailers bring safe, legal cannabis to people across the city,” Leafly CEO Yoko Miyashita said.
“We are partnering with industry leaders like Leafly to help retailers offer safe, convenient options for people in Toronto to purchase legal cannabis for delivery to their homes, which will help combat the illegal market and help reduce impaired driving,” Uber Eats general manager Lola Kassim said.
“Over the last few years, we have invested heavily in our delivery business and selection has expanded tremendously. Uber Eats has grown quickly to become a versatile platform usable by diverse businesses large and small.”
Other provinces like Manitoba were considering allowing third-party delivery companies such as SkipTheDishes, Uber Eats and DoorDash to start delivering cannabis.
British Columbia has allowed private delivery and curbside pickup, but some retailers say benefits are still to be seen, as it adds extra costs that can be punishing for small operators.
