delete Cannabis Tracking System Order
This Order imposes detailed monthly inventory tracking and reporting requirements on all cannabis license holders (cultivation, processing, medical sales), public bodies, and provincial retailers. It mandates exhaustive reporting of inventory movements, book values, quantities by product class and province, surface area measurements, and operational details through a dedicated government portal, with two-year record retention obligations.
The regulation imposes massive compliance costs that stifle competition and consumer welfare. The granular monthly reporting—tracking every inventory movement by class, province, and book value—consumes resources that could instead expand production, lower prices, or create jobs. Smaller operators face disproportionate burdens, creating barriers to entry that protect established players. The data collection appears far more extensive than needed for core objectives (tax enforcement, diversion prevention), which could be achieved through targeted audits or leveraging existing financial records. This represents the unseen cost of regulation: resources diverted from productive use to paperwork, ultimately reducing supply and increasing prices in the legal cannabis market.