Uber's (NYSE:UBER) delivery and takeout unit is partnering with cannabis retailer Tokyo Smoke to allow online cannabis orders through Uber Eats across Ontario.
The move, which has been reported by the Reuters News Agency, would mark Uber’s first entry into the cannabis business.
Uber, which already delivers liquor through its Uber Eats unit, has had its sights on the cannabis market for some time. Uber Chief Executive Officer Dara Khosrowshahi said in April of this year that the company will consider delivering cannabis when legally permitted to do so in the U.S.
Uber says its partnership with Tokyo Smoke will help Canadian adults purchase safe, legal cannabis, helping combat the underground illegal market which still accounts for over 40% of all non-medical cannabis sales throughout Canada.
Customers will be able to order cannabis from the Uber Eats app and pick it up at their nearest Tokyo Smoke store. The Tokyo Smoke storefronts will be live on the Uber Eats app starting today (November 22).
Last year's pandemic-induced stricter mandates and lockdowns spurred demand for cannabis-related products from customers who were stuck at home with limited entertainment options.
