The Senate voted on an amended legalized cannabis bill on Thursday passing it with a vote of 50 to 36 with one abstention. (Jim Young/ REUTERS)

Cannabis in Canada, a $7 billion dollar industry in 2019


A new report says Canadians could spend up to $7 billion on cannabis products in 2019 once recreational use becomes legal.

The study indicates that cannabis use could increase because of legalisation.

However, the report indicates that even after legalisation, the illicit sales segment would survive with about $1 billion still within the black market.

Still, the law should be a success in gaining control and regulation according to most experts.

Bill Bogart (LLM) is a law professor emeritus at the University of Windsor and author of “Off The Street: Legalizing Drugs”


Canada’s Senate is to vote today on it’s amendments to the government Bill to legalise recreational use of cannabis. If accepted, the Bill would go back to the House where they would vote on the amended Bill.

Professor emeritus and author Bill Bogart (LLM)

While there is some contention, it is generally thought the Bill will pass and that recreational cannabis use –with certain restrictions and government control- will be legal later this year.

The report by the firm Deloitte is entitled “ A Society in Transition, an industry ready to bloom”

While Holland decriminialised personal cannabis use, Portugal decriminalised all drug use, and certain U.S. states legalised recreational use, Canada will be the first G7 country to legalise cannabis on a national scale.

In the report, Deloitte indicated that the burgeoning market would be roughly made up of over $4 billion in legal recreational sales, medicinal use would account for an addition amount of approximately $1.5 billion, and the black market would hang on for about $1 billion in sales..

Huge greenhouse of marijuana plants. The cannabis industry is poised to become big business in Canada with legalisation. A study says it could be worth about $7 billion in 2019 Photo: Getty Images

Both professor Bogart and the report say the success of legalisation depends on the government offering product at a competitive price to black market sales, as well as the simple fact of availability so that people have easy access to the government controlled sales outlets.

Quality is also a factor.

The report says about two thirds of current regular users will likely switch to legal sources once this becomes an option.

Deloitte 2018- A Society in Transition

It also says the age group of 35-54, currently not users, may become occasional users upon legalisation.

Currently provincial liquor boards control the distribution and retail sale of alcohol, and will also control cannabis sales.

Interestingly, the report suggests that cannabis may to some extent become a substitute for beer, spirits, and wine.  Thus all alcohol categories are expected to be negatively affected in terms of revenues for governments, liquor companies,and retailers, especially in Quebec where grocery and convenience stores offer wine and beer products.

A Liqour Control Board of Ontario store. Provinces control the very profitable sales of alcohol and will control cannabis sales. As cannabis sales rise, the report suggests these may supplant alcohol sales to some extent and decrease alcohol revenues to the province and to manufacturers. Photo: David Donnelly-CBC

With variations regionally, the average Canadian price on the illegal market for marijuana is roughly $8.24 per gram and the survey suggests users would be willing to pay slightly more for legal product, again roughly 30 cents to a dollar more per gram, but there are limits.

While price can be an issue, respondents said the added advantage of safety is a concern which may push them toward the legal product.

The report also shows a desire for “edibles” or cannabis in non-combustible forms, but this will not be available for at least a year after legalisation.

Noting that about 100 years ago, alcohol was viewed negatively, even banned, the report concludes that eventually cannabis will become accepted in society as “normal” just as alcohol has become.

Tagged with: , , ,
Posted in Economy, Health, Politics

Do you want to report an error or a typo? Click here!

@*@ Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

 characters available

Note: By submitting your comments, you acknowledge that Radio Canada International has the right to reproduce, broadcast and publicize those comments or any part thereof in any manner whatsoever. Radio Canada International does not endorse any of the views posted. Your comments will be pre-moderated and published if they meet netiquette guidelines.

Netiquette »

When you express your personal opinion in an online forum, you must be as courteous as if you were speaking with someone face-to-face. Insults and personal attacks will not be tolerated. To disagree with an opinion, an idea or an event is one thing, but to show disrespect for other people is quite another. Great minds don’t always think alike—and that’s precisely what makes online dialogue so interesting and valuable.

Netiquette is the set of rules of conduct governing how you should behave when communicating via the Internet. Before you post a message to a blog or forum, it’s important to read and understand these rules. Otherwise, you may be banned from posting.

  1.’s online forums are not anonymous. Users must register, and give their full name and place of residence, which are displayed alongside each of their comments. reserves the right not to publish comments if there is any doubt as to the identity of their author.
  2. Assuming the identity of another person with intent to mislead or cause harm is a serious infraction that may result in the offender being banned.
  3.’s online forums are open to everyone, without regard to age, ethnic origin, religion, gender or sexual orientation.
  4. Comments that are defamatory, hateful, racist, xenophobic, sexist, or that disparage an ethnic origin, religious affiliation or age group will not be published.
  5. In online speak, writing in ALL CAPS is considered yelling, and may be interpreted as aggressive behaviour, which is unpleasant for the people reading. Any message containing one or more words in all caps (except for initialisms and acronyms) will be rejected, as will any message containing one or more words in bold, italic or underlined characters.
  6. Use of vulgar, obscene or objectionable language is prohibited. Forums are public places and your comments could offend some users. People who use inappropriate language will be banned.
  7. Mutual respect is essential among users. Insulting, threatening or harassing another user is prohibited. You can express your disagreement with an idea without attacking anyone.
  8. Exchanging arguments and opposing views is a key component of healthy debate, but it should not turn into a dialogue or private discussion between two users who address each other without regard for the other participants. Messages of this type will not be posted.
  9. Radio Canada International publishes contents in five languages. The language used in the forums has to be the same as the contents we publish. The usage of other languages, with the exception of some words, is forbidden. Messages that are off-topic will not be published.
  10. Making repetitive posts disrupts the flow of discussions and will not be tolerated.
  11. Adding images or any other type of file to comments is forbidden. Including hyperlinks to other websites is allowed, as long as they comply with netiquette. Radio Canada International  is in no way responsible for the content of such sites, however.
  12. Copying and pasting text written by someone else, even if you credit the author, is unacceptable if that text makes up the majority of your comment.
  13. Posting any type of advertising or call to action, in any form, to Radio Canada International  forums is prohibited.
  14. All comments and other types of content are moderated before publication. Radio Canada International  reserves the right to refuse any comment for publication.
  15. Radio Canada International  reserves the right to close a forum at any time, without notice.
  16. Radio Canada International  reserves the right to amend this code of conduct (netiquette) at any time, without notice.
  17. By participating in its online forums, you allow Radio Canada International to publish your comments on the web for an indefinite time. This also implies that these messages will be indexed by Internet search engines.
  18. Radio Canada International has no obligation to remove your messages from the web if one day you request it. We invite you to carefully consider your comments and the consequences of their posting.