This process is for Farmgate Exclusive Skus ONLY. Any Farmgate General List SKU must go through the regular Price Change process.
Pricing Overview
Wholesale Price Changes: Suppliers may submit changes to the Landed Cost for each active Farmgate Exclusive SKU listed with the OCS, which will result in a change to the Wholesale Price of that Farmgate SKU. All requests are subject to OCS approval.
Submitting Price Changes to the OCS: The OCS accepts price changes on a weekly basis. To submit a change, the Supplier must complete and email the Weekly Price Change Submission Form to pricingsubmissions@ocs.ca by the end of the business day (5 p.m. EST) on Wednesday in each given week.
If approved, the Supplier will receive a Cost Change Form. This form must be signed and returned to the OCS by email by the end of business day (5 p.m. EST) on the following Tuesday in each given week. For any cost reductions, the Supplier is responsible for ensuring there is no inventory in the OCS Farmgate portal prior to submitting a price change request. Cost reductions will not be actioned until there is no inventory in the virtual warehouse.
Pricing Changes
Effective Date: The price change will be effective eight (8) to 10 business days after submission. This timing is applicable to Farmgate Exclusive SKUs only.
Frequency: The Supplier may submit changes in accordance with the weekly price change process for Farmgate Exclusive SKUs. Any items that are Farmgate General List SKUs must follow the pricing change process.
Fixed Wholesale Markup Rates
Minimum Wholesale Price: The OCS has established a Minimum Wholesale Price (also referred to as a “Price Floor”) for Dried Flower, Pre-rolls, Infused Pre-rolls and Vapes. These categories each have a different Minimum Wholesale Price, as they all have different Fixed Wholesale Markup rates. Minimum Wholesale Prices support the OCS’s social responsibility objectives while providing the industry with price assurance. As the OCS uses the Landed Cost as the base calculation of a product’s Wholesale Price, the Minimum Wholesale Price results in a minimum Landed Cost (or “Cost Floor”) in these categories. For clarity, this is the lowest Landed Cost the OCS will accept from a Supplier for products purchased in these categories.
The chart outlines the Minimum Wholesale Price and corresponding Cost Floor (all values are based on the Minimum Wholesale Price per gram):
Category | Minimum Landed Cost (per gram – ex HST) | Wholesale Markup | Wholesale Price (ex HST) |
Dried Flower | $1.85 | 23% | $2.28 |
Pre-Rolls | $1.76 | 29% | $2.27 |
Infused Pre-Rolls | $1.76 | 29% | $2.27 |
Vapes (1 g) | $15.25 | 25% | $19.06 |