The red tape of selling into Alberta: Producers expressed frustration at what they describe as additional layers of taxes, paperwork and approvals to sell into Alberta, including the additional 16.8% duty. 

Limits for small-batch, craft products: Many producers are finding they have to partner with others to get enough volume in their purchase orders to be considered by Alberta, which gives producers less leverage in pricing. This means finding smaller batch, more “craft” products from smaller producers is less likely in Alberta compared to other provinces. 

Central distribution time too long: Products also take too long to go through central distribution to retailers, impacting freshness.

A difficult province to work with: Some Alberta producers are unable to/choosing not to sell into Alberta because it can be a difficult province to get approved in or to work with. One example of this is the process for provincial audits being very protracted. 

Industry decline: Another concern is a “brain drain” on the industry, as some people are leaving it altogether. The sector is shrinking, and wages are, in some instances, declining. 

Time to market: Criticisms of the length of time it takes to bring product to market due to challenges with provincial distribution.

Lack of public consumption space and education: Frustration that there are many limitations on where people can consume cannabis in public in Alberta, as well as the overall lack of education within the industry about ongoing regulatory change: the province can do more to communicate these issues to producers and retailers doing business in Alberta.

Event sponsorship: They also want more clarity on what is and isn’t allowed for event sponsorship.

Packaging restrictions: There are too many packaging restrictions at the federal level; they’d like to see the allowance of a window for consumers to visually inspect products before purchase and to make packages more appealing to consumers in general. 

Marketing restrictions: There is frustration with limitations on marketing and advertising for cannabis products, especially in comparison to products like alcohol. 

Federal regulations prohibitive: There are too many regulations for producers at the federal level, especially for micros, as well as concerns with extra requirements like a QAP that are needed for a processing licence.

Direct sales models: They’d like to see direct-to-retailer and direct-to-consumer sales models to ensure products can get to retailers and consumers faster. 

Sales data: Producers want to know where their products are selling in the province, which stores, regions, and how those sales are doing so they can make informed decisions.

Possession/purchase limits: There is a need for an increase in possession/purchase limit.

Access to capital: Access to capital is getting more difficult. 

Lack of networking opportunities: More networking opportunities are needed.

Barriers to product innovation: The cost and time it takes to create product innovation in this highly regulated, under-capitalized market is challenging.

QCW issues: It can be challenging to get Qualified Cannabis Workers (retail); the process of getting security clearance through the AGLC’s process is too onerous.

More engagement from provincial regulators: More communication from the provincial regulator about ongoing regulatory changes is needed and more engagement with retail licence holders in general. 

More education for consumers needed: Retailers are frustrated with limitations on how they can communicate with consumers; retailers need more education from the provincial government on what can and cannot be said.

Possession limits: The 28 gram possession limit needs to increase, especially as we are 5+ years into legalization. 

Better comms from provincial regulators: Better communication from provincial regulators about federal vs provincial rules and jurisdiction is necessary.

16.8% provincial markup is too high: Another comment about the 16.8% provincial markup/fee being too high, putting too much pressure on the industry. It should be refunded to Alberta producers.

Direct delivery model: More comments were expressed about the need for direct delivery for both retailers and consumers.

QC concerns: There are concerns with quality control at central distribution, and delivery to retailers. 

Application to onerous: Applying to be a registered cannabis representative in Alberta is far too onerous and costly.

Lack of banking services: There is a need for more reliable banking services to support the industry.

Marketing restrictions: Both federal and provincial restrictions on marketing continue to be an ongoing issue and challenge across the industry.

Price incentives: Allow for price incentives. 

QCW concerns: This table expressed that “QCW needs to go away”.

Restrictions on consumer interactions: Provincial and federal rules for retail stores make it difficult for consumers to make better choices. Consumers should be able to better interact with products before they purchase. Consumers need more opportunities to learn about products. 

Packaging restrictions: Current packaging in the industry is wasteful; “childproof” packaging can be difficult even for adults. 

Consumption space needed: Alberta’s lack of consumption space was raised again; there is a need.

Independent retail stores: From a retail perspective, the playing field needs to be levelled to allow the smaller, independent stores a chance to compete with larger chains. 

QCW strikes again: The QCW is ridiculous and makes hiring staff difficult.

Advertising restrictions are prohibitive: Retailers need to be able to advertise to consumers and offer more production information/education to consumers in-store so they can make informed decisions.

CRR screening process for LPs in Alberta: This is the only province with such a process, which adds more paperwork and challenges to doing business in Alberta. CRR screening has turned some investors off.

AGLC listing practices: The AGLC rates SKUs based on a formula that is not transparent.

Uneven playing field: It’s not fair that larger retailers can have their own in-house brands, which leads to higher sales and makes it easier to get those products relisted compared to more niche or small-batch products. 

Brand negotiation with AGLC: Brands are responsible for negotiating with the AGLC, which can be difficult for smaller companies, again creating an uneven playing field and an Alberta market that favours large producers.

THC inflation: Would like to see Alberta doing a testing program similar to what Ontario is currently doing to discourage this practice.

Lack of education and culture: Education and culture is lacking in Alberta compared to retailers in other provinces. There is a high level of retail saturation in the province and high employee turnover rates.

Lack of data: Producers want access to Alberta sales data to understand what products are selling where. Other provinces offer this. This could potentially also discourage retail “kickbacks/data deals”.

AGLC website needs improvement: AGLC’s website is difficult for retailers to navigate, with out-of-date info, broken links, etc. 

Access to banking: Access to banking in Alberta remains a prohibitive challenge. 

Market data: Alberta should provide an overview of the current price per gram to give an industry average.

Increase purchase limits: The 28 gram purchase limit is very frustrating this far along into legalization.

Direct delivery & sales data: We need to allow producers to sell directly to retailers, and allow producers to see sales data.

Packaging innovation: We need to see more innovation in packaging to make it easier for consumers to inspect products before making a purchase.

Distribution flexibility: Central distribution is very difficult for smaller companies to navigate. There needs to be more flexibility for smaller producers.

Additional excise tax in AB: Alberta should not be the least competitive and most taxed industry in Canada.

SKU onboarding time: The AGLC SKU onboarding timeline is too long and too complicated.

Uneven enforcement: Frustration that rules are not evenly enforced, discourages compliance and lack of incentive to follow the rules.

Sampling legislation: Sampling legislation changed in January, there’s been a lack of communication about the changes.

Retail saturation: Expressed concern with retail saturation, it is hard for stores to be competitive. 

Sales data needed: The AGLC needs to provide sales data to producers, similar to what Ontario and BC are doing.

Provincial changes to cannabis at events: Alberta’s recent changes that allow cannabis companies at events are too difficult for smaller producers due to regulatory requirements, once again making it an uneven playing field. 

Consumer information restrictions: There is a large gap between what consumers need and what retailers/producers can communicate to them regarding information/knowledge.