Manitoba Liquor & Lotteries (MBLL) announced on February 9 that it has selected five companies to provide cannabis distribution services in the province. The new distributors will join the existing three that are already licensed by the Liquor, Gaming and Cannabis Authority of Manitoba (LGCA).
MBLL seeks to enhance storage capacity and delivery times
MBLL, which oversees the sourcing and distribution of cannabis to retailers in the province, first announced in June 2023 that it was seeking new applicants to handle distribution in 2023. The goal was to improve storage capacity to meet greater product demand while reducing delivery times, especially for small, rural, and remote retailers.
The new distributors, Kief Cannabis Company, Valiant Distribution Canada, Lineage Distribution, Delta 9 Logistics Inc., and Open Fields Distribution, have entered into twelve-month renewable agreements with MBLL and now must get a Cannabis Distributors License from the LGCA to be permitted to begin operations.
New distributors bring diverse experience and expertise
Several of the new distributors have already been providing distribution services in the province as holders of federal production licences, or in partnership with a federally-licensed cannabis producer. This new licensing process allows Manitoba to further regulate and oversee these activities.
For example, Lineage Distribution, which also distributes cannabis in Saskatchewan and the Territories, says it is happy to see another evolution of the Manitoba cannabis market. Graham Taylor, President and CEO of Lineage Distribution, told StratCann that they are thrilled to be officially announced as a distribution partner with MBLL and to continue expanding their services to the Manitoba market and beyond.
Another new distributor, Valiant Distribution, is owned by High Tide Inc., which also owns the Canna Cabana chain of retailers. High Tide has experience in wholesaling cannabis products and consumption accessories in Saskatchewan, as well as in the United States and Europe. Raj Grover, founder & CEO of High Tide, says they are excited to extend their wholesale and distribution services into Manitoba and encourage other provinces to follow Manitoba and Saskatchewan’s lead in leveraging private sector expertise in wholesale distribution and fulfilment services.
Manitoba offers flexibility and innovation in cannabis distribution
Manitoba is one of the few provinces that allows private sector involvement in cannabis distribution, along with Saskatchewan and Newfoundland and Labrador. Manitoba also still allows cannabis producers to bypass distributors and ship products directly to retail stores.
This model offers more flexibility and innovation for the cannabis industry, as well as more choice and convenience for the consumers. Manitoba has also been praised for its progressive approach to cannabis retail, which allows for online sales, home delivery, and click-and-collect services.
Manitoba has now announced several new cannabis distributors to improve its supply chain and meet the growing demand for cannabis products in the province. The new distributors will join the existing ones that are already licensed by the provincial regulator and offer diverse experience and expertise in the cannabis industry.