Sales of edibles could turn the tide for Cannabis NB, finance minister says

Revenue at Cannabis NB remains lacklustre, but Finance Minister Ernie Steeves said the figures may improve once cannabis-laced candy and cookies hit the shelves.

"Edibles are coming inthe supply situation is better now, the pricing is getting better, and there still has to probably be some more changes, so we'll keep digging into that," he said.

Since opening the doors at its retail outlets in October2018, the Crown corporation has performed well below expectations, failing to meet aprojected $45 million in sales for the first fiscalyear.

In the firstquarter of the current fiscal year,Cannabis NB lost $2.2 million and weekly sales averaged $700,000 half of what was expected.

"The premier said wehave to stop the bleeding and we're working towards that," said Steeves."Taxpayers don't want to subsidize weed."

Losses increased atCannabis NB after Brian Harriman resigned as president and CEO in February.

As losses increased, 60 employees were let go and blame for the decreasing revenue was puton poor supply of product from a fledgling legal industry.

Compounding the problemwas thecost of 20 new, standalone buildings built across the province, as well as competition from illegal sellers.

Things were so bad at one point, Steevessaid he wondered if some of the Cannabis NB stores may have to close.

The corporation operatesthe 20 stores for theprovince'spopulation of 770,000. In the neighbouring province of Quebec, 12stores are in operation for a population of more than 8 million.

Despite Steeves' hopes for improvement with the future sales ofedible marijuana, there were no projection of sales made.