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Uber Eats allows cannabis orders in Ontario




Uber Eats will list cannabis retailer Tokyo Smoke in its market on Monday, after which customers can place orders from the Uber Eats app and then pick them up at their nearest Tokyo Smoke store, the spokesperson said.

Uber, which already delivers alcohol through its Eats unit, has been targeting the booming cannabis market for some time now. Its CEO Dara Khosrowshahi told the media in April, the company will consider delivering cannabis when the legal coast is free in the United States.
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More than three years after the legalization of recreational cannabis began in Canada, the country is trying to fix its struggling pot market, where illegal growers still control a large portion of total annual sales.

The partnership will help Canadian adults buy safe and legal cannabis, helping to fight the underground illegal market that still accounts for more than 40% of all non-medical cannabis sales nationwide, Uber said Monday.

Global cannabis stock tracker MJ ETF climbed 2%, while shares of Uber rose 1.2% to $ 44.78 in pre-market trading.

Cannabis sales in Canada will total $ 4 billion in 2021 and are expected to reach $ 6.7 billion in 2026, according to data from industry research firm BDS Analytics.

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Asked about the possibility of expansion to other Canadian provinces, or the United States, a spokesperson for Uber said there was “nothing more to share at this time.”

“We will continue to closely monitor regulations and opportunities market by market. And as local and federal laws evolve, we will explore opportunities with traders who operate in other regions,” said the spokesperson for ‘Uber to Reuters.

The tighter warrants and lockdowns induced by last year’s pandemic have boosted demand for cannabis-related products from customers stuck at home with limited entertainment options.




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