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Ordered to close doors, cannabis retailers look to future

One store owner fears users will turn to black market after province deems businesses non-essential.
Kia Ora Matthew Harrison
Matthew Harrison, general manager of Kia Ora Kannabis. (Ian Kaufman, tbnewswatch.com)

THUNDER BAY – A Thunder Bay cannabis store owner says he understands why stores like his were removed from a provincial list of essential services allowed to remain open during the COVID-19 pandemic, even as alcohol sales continue.

“I think people understand why,” said Matthew Harrison, general manager of Kia Ora Kannabis, located on Victoria Avenue in the city’s south end.

“There’s different issues with alcohol versus cannabis and people’s mental health. [With cannabis], people can just stop – they won’t necessarily enjoy it, but they’re not going to end up in the hospital.”

Still, Harrison is concerned the move could push users toward the black market, and holds out hope the industry can work with government to find a safe way for cannabis stores to serve customers.

Ontario deemed the stores non-essential Friday, ordering them to close their doors the next day. After more than a year of navigating shifting regulatory approvals, licensing, and inspections, Kia Ora had just received all necessary approvals and was close to opening as the city's second cannabis retailer, after Tokyo Smoke on Memorial Avenue.

“On Friday, we were literally going over our list of what we were going to buy this week,” Harrison says. “We have everything in place.”

Consumers can still order through the government’s online retailer, the Ontario Cannabis Store (OCS). They will need to pick up those orders at a post office, since Canada Post is no longer delivering the product door-to-door. Harrison expects many will turn to the black market instead.

“It’s not going to stop people,” he says of the store closures. “And then you’re just having people do other interactions instead, maybe with other individuals who won’t be practicing social distancing. You’re pushing people towards someone who maybe won’t take the same precautions as a business would.”

Harrison says industry groups are asking the province to consider options like online ordering and curbside pickup or delivery that could allow stores to serve customers while respecting public health precautions. Under current regulations, customers can place orders on store websites, but must complete transactions inside the store for age verification purposes.

While Harrison acknowledges the shutdown will be challenging for his industry, he believes the majority of businesses will be able to weather the storm.

“I think most are going to be okay,” he says. “All across the province, you’ve got billions of dollars invested.”

As for his own shop, he expects Kia Ora could begin selling cannabis “within the week” once the closure order is lifted.

Another prospective cannabis retailer in the city is also showing signs of confidence. The Toke House on James Street South, which is still awaiting final approvals from the province, is going forward with hiring staff amid the shutdown.

In a statement, store owners said “things are still moving forward with ease” when it comes to the province’s licensing process.



Ian Kaufman

About the Author: Ian Kaufman

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