The wholesale markup on cannabis sold in Manitoba will increase on June 1, 2025.

In a memo sent out to retailers on April 15, Manitoba Liquor & Lotteries (MBLL) instructed licensed cannabis retailers in the province that the 9% markup on cannabis products retailers buy will increase to 11%. 

According to the MBLL memo, the increase seeks to balance impacts on retailers and consumers with investments in public services for the benefit of all Manitobans.

The net revenue from Manitoba’s wholesale cannabis markup is returned to the province to help fund social responsibility and law enforcement programs related to the sale and consumption of cannabis and invest in public services, such as healthcare and education.

“We will continue working with the local cannabis industry to explore further improvements to cannabis wholesale, distribution and retail processes in Manitoba,” says the memo, in part. “These efforts have already led to a significant reduction in lead times with new delivery standards, new in-province distribution services, improvements to MBLL’s cannabis customer online portal, and soon retailers will be able to add seeds to their product mix.”

The MBLL also tells retailers that they will be able to order cannabis seeds soon and that the provincial government is looking into relaxing Manitoba’s window cover requirements for cannabis stores. The province passed legislation in 2024 that repealed a ban on growing cannabis at home, which is expected to come into force soon. 

Manitoba has one of the lowest wholesale markup rates in Canada, even after this increase. By comparison, Alberta’s AGLC has the lowest markup at 6%. British Columbia’s LDB adds an across-the-board 15% markup, while the Ontario Cannabis Store (OCS) has a 23% markup on wholesale cannabis flower. 

The owner of a former cannabis production facility in New Brunswick recently discovered a September 2023 federal briefing note to then-finance minister Chrystia Freeland that said markups were causing producers “financial distress” and had gone “beyond what was envisioned” in 2018. 

The province brought in $39.5 million in profit from cannabis sales in 2024.

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