Since its legalization in October 2018, recreational cannabis has increased the Canadian gross domestic product by $43.5 billion. Ontario benefited from an increase of $13.3 billion.
Recreational cannabis: a new engine of economic growth.
According to the report published last Tuesday by the firm Deloitte Canada and the Ontario Cannabis Society, the cannabis industry contributed approximately $1.09 to the GDP of Canada and $1.02 to the GDP of Ontario, for every dollar of revenue or capital expenditure.
“In the space of three years, the Canadian cannabis sector has taken hold and proven itself as a new engine of economic growth, creating and maintaining tens of thousands of jobs in many communities across the country. As the sector grows and is currently reaping the returns of the substantial investments made, we can expect it to have increasingly significant positive impacts on the national and provincial economies,” describes the report.
The legalization of recreational cannabis has created 151,000 jobs.
The report revealed that the industry created 151,000 jobs. Additionally, for one million dollars in revenue or capital expenditure, the cannabis sector supports an average of four jobs in Canada and Ontario, respectively.
The industry generated $15.1 billion in tax revenue in Canada and $3 billion in Ontario. As for sales, they generated $2.9 billion in sales and excise taxes.
In regards to Ontario, the report shows that cannabis retailers and producers were responsible for $142 million in direct taxes, $1.2 billion in indirect taxes, and $673 million in other taxes, while consumer purchases contributed to $1.0 billion in sales and excise taxes.
