SAINT JOHN, N.B. -- New Brunswick's provincial budget doesn't include a decision about the potential privatization of Cannabis NB, but the province's finance minister said an announcement would be coming soon.
"I'm not going to comment on Cannabis NB other than to say Cannabis NB will be coming up in cabinet this Thursday," said Finance Minister Ernie Steeves on Tuesday. "I would suggest that shortly after that you'll get a sense of what's happening."
Later in the day, Steeves said it was his own personal preference to sell Cannabis NB in an interview with CTV's Steve Murphy.
Meanwhile, industry officials and municipalities are urging the New Brunswick government to keep Cannabis NB under provincial control.
Tanner Stewart, the founder of Tanner Farms in St. Stephen, added his signature to a letter signed by nine other New Brunswick cannabis companies and Assembly of First Nations Regional Chief Roger Augustine. The letter, sent to Premier Blaine Higgs, asked the provincial government to press pause on any decision about Cannabis NB's future.
"The thing that is most bothersome about this whole process is that this is the sale of an entire industry, the whole retail model and distribution model, but nobody within our industry was consulted as to whether this would be good for New Brunswick or not," said Stewart.
A separate letter, sent on behalf of the New Brunswick's eight city mayors, is also asking the government to halt privatization discussions due to concerns over job losses.
"At the time when (the provincial government) first decided to look at privatization, Cannabis NB wasn't profitable," said Miramichi Mayor Adam Lordon, who's also president of the Cities of New Brunswick Association. "And now they are very profitable, so that is a significant change and a lot of that has resulted in improved operations."
The provincial government began to make moves to privatize the Crown corporation after revenue losses of about $12 million were reported in its first six months of operation.
Most recently, Cannabis NB reported sales of more than $19 million in the last quarter of 2020, marking a 76 per cent increase from the previous quarter and a profit of $2.8 million.
Jessica Hope, a New Brunswick cannabis industry writer, said the Crown corporation has overcome early supply shortages and complaints of uncompetitive prices.
"Cannabis NB has finally figured out how to make it more affordable while turning a profit, and they're doing really well with it," said Hope.
In November 2019, the New Brunswick government issued a call for proposals for the operation, distribution, and sales of recreational cannabis. In January 2020, the province said it had received privatization proposals from eight companies.
