What we do: cannabis

The federal Cannabis Act contains the regulatory framework for controlling the production, distribution, sale and possession of recreational cannabis in Canada. Under the Cannabis Act, each province and territory is responsible for setting its own rules for how cannabis can be sold, where stores can be located, and how stores must be operated. Provinces and territories may also set additional restrictions they feel are necessary.  

The AGCO ensures that the retail sale of cannabis in Ontario is carried out with honesty, integrity and in the public interest as set out in the Cannabis Licence Act, 2018 and Regulation 468/18. To help us achieve this goal, we established the Registrar’s Standards for Cannabis Retail Stores (the Standards) which our licensees must follow. 

The AGCO issues licences to eligible cannabis retail store operators and retail managers. The AGCO also issues cannabis retail store authorizations. All three are required in order to open a retail store and sell recreational cannabis. The one exception to this is if you are a sole proprietor, or in a partnership between two or more individuals, and will be both the licensed operator and performing the duties of the retail store manager for a particular store, you do not need to get a Cannabis Retail Manager Licence for your store.

Residents in the municipality of a proposed cannabis store location have an opportunity to share their views and concerns with the AGCO during the retail store licensing process. Learn more about objecting to a proposed application for a new licenced location for cannabis sales. 

The AGCO works with licensed cannabis retail store operators and licensed cannabis retail store managers to help them understand their obligations and ensure they are selling cannabis in a safe, responsible and lawful manner. AGCO inspectors inspect authorized retail stores to confirm compliance with the CLA, its regulation, and the Standards.  

Learn more about the AGCO’s compliance activities.  

The AGCO employs a risk-based compliance approach to the regulation of retail cannabis in Ontario. This allows us to focus the greatest resources on mitigating the highest areas of risk. Learn more about how this approach applies to retail cannabis in Ontario.  

The Board of the AGCO is responsible for approving the cannabis retail employee training program, which must be taken and successfully passed by anyone who works at a cannabis retail store. This includes retail store authorization holders, licensed cannabis retail managers, retail store employees (including those employees that deliver cannabis sold through the store) and individuals who provide security services in relation to the operation of the retail store.