Uber Eats To Take Orders for Cannabis in Canada, Company Confirms Foray Into Booming Market


Uber will allow users in Ontario, Canada to place cannabis orders on its Uber Eats app, a company spokesperson said on Monday, adding that the ride-hailing giant has been a booming business.

Uber Eats The spokesperson said the cannabis retailer will list Tokyo Smoke on its market on Monday, after which customers can place an order from the Uber Eats app and then pick it up from their nearest Tokyo Smoke store.

Uber, which already delivers alcohol Through its Eats unit, we have been eyeing the growing cannabis market for some time now. its CEO Dara Khosrowshahi The company told the media in April consider giving away cannabis When in the United States the legal coast is clear.

With Canada more than three years into the legalization of recreational cannabis, the country is trying to heal its ailing pot market, where illegal producers still control a substantial portion of total annual sales.

Uber said Monday that the partnership will help Canadian adults buy safe, legal cannabis, helping to combat the underground illegal market, which still accounts for more than 40 percent of all non-medical cannabis sales nationally. Is.

Global cannabis stock tracker MJ ETF rose 2 per cent, while Uber shares were up 1.2 per cent at $44.78 (around Rs 3,330) in premarket trading.

According to data from industry research firm BDS Analytics, cannabis sales in Canada will total $4 billion (about Rs 29,785 crore) in 2021 and are projected to grow to $6.7 billion (about Rs 49,890 crore) in 2026.

When asked about the possibility of expansion into other Canadian provinces or the United States, an Uber spokesperson said it “has nothing more to share at this time”.

An Uber spokesperson told Reuters: “We will continue to look closely at market-by-market regulations and opportunities. And as local and federal laws develop, we will explore opportunities with merchants operating in other regions.” “

Strict mandates and lockdowns prompted by last year’s pandemic fueled demand for cannabis-related products from customers who were stuck at home with limited entertainment options.

© Thomson Reuters 2021


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