The Future Of Farmgate For Cannabis Retail

Updated: Jul 20, 2021

Farmgate retail has finally arrived in Ontario and will provide licensed producers with the unique opportunity to sell their Cannabis products directly to consumers.

Customers in Ontario will now have the chance to purchase Cannabis directly from the site it was cultivated. This allows the customer to connect with the team of growers who developed the product, thereby allowing for a more personable experience.

The prospect of farmgate also extends to Micro-Cultivation facilities, with F1NE Cannabis in St Catharine’s being the first Micro in the city to apply. F1NE Cannabis plans to showcase both flower and pre-rolls of their proprietary strains to kick-off their farmgate retail store.

The new farmgate framework opens up the possibility of replicating the model used by many of Ontario’s vineyards, allowing licensed cultivation sites to open attached Retail directly to customers. Vineyards and breweries have always proved popular methods of alcohol-consumer tourism, particularly here in Niagara, and so Cannabis farmgate is expected to bring exciting new possibilities to the Cannabis industry.

The long-awaited farmgate will not cut out the middleman entirely, however. The province’s monopoly wholesaler, the OCS (Ontario Cannabis Store), will still play a pivotal role in ensuring Cannabis products meet regulatory obligations. The OCS is set to announce more information in the coming months during this initial trial period.

The AGCO (Alcohol and Gaming Commission of Ontario) confirms that they have already granted six Retail Operator Licenses (ROL), the first requirement towards gaining a license to operate farmgate. Upon receiving the ROL, the next necessary step is to gain a Retail Store Authorization (RSA) for the proposed storefront; of which Thrive Cannabis in Jarvis, Ontario just became the first to receive. With BC recently delaying their roll-out of farmgate licenses until 2022, Thrive Cannabis will become the first licensed producers to offer farmgate not only in Ontario, but in the whole of Canada.

U Cann Grow offers applications for farmgate licenses on behalf of their clients as a part of their Cannabis consulting and construction services. Email for more information!

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