Sales of legal bud are reducing purchases of ale and other suds, finance minister claims

The legal sale of cannabis has vaporized more than $6 million worth of provincial beer sales, Manitoba's finance minister claimed as he continued to predict no net revenue from recreational weed.

Almost six months after Canada legalized the sale of recreational cannabis, Manitoba is not expecting to make a profit off the new industry, Finance Minister Scott Fielding said Monday.

• Province announces multiple taxes on legal pot
• Manitoba's cannabis retailers hit with 6% tax to cover 'social costs' of legalization

Expenditures related to legal cannabis will outpace revenue from its sale for years, said Fielding, who declined to say whether the province will make any cannabis revenue projections in the provincial budget expected on Thursday.

He also suggested anycannabis profits could be offset by reduced beer sales, based on Colorado's experience following legalization.

"When cannabis is introducedto a marketplace, whatactually happens is beer sales goes down. We anticipate that our beer sales are going to go down by upwards of $6million dollars," Fielding told reporters at the Manitoba legislative building.

• Winnipeg mayor questions premier's marijuana math, says province will make 'a lot of money' from cannabis

The official opposition quickly ridiculed Fielding's claim.

"If this government can't make money selling weedthen I think their reputationas good managers of money is grossly overstated," NDP leader Wab Kinew said.