The Tweed Farms cannabis growing operation on Concession 5 in Niagara-on-the-Lake closed on Friday and 30 employees were permanently laid off.
Tweed Farms is owned by Canopy Growth, which has been cutting costs in response to dramatic and growing losses.
The NOTL facility opened in 2014 and after a $70 million expansion in 2018, the operation boasted three massive greenhouses with 1 million square feet, and 270 employees.
Anticipated market expansion faltered and in March 2020 the company decided not to put its third greenhouse in NOTL into operation. By September 2020 staff layoffs began.
Canopy Growth is not alone, as many other large cannabis producers have closed operations and cut costs across the country.
Lord Mayor Betty Disero said she got a phone call on Thursday evening to give her the news about Tweed Farms closing, just ahead of the announcement to staff on Friday.
“It’s really unfortunate 30 people lost good-paying jobs,” she said, adding that another 60 were offered relocation.
“What is happening to Tweed is happening to many other cannabis operations. The market is not as broad as they hoped, so we’re bound to see a lot of adjustments.”
Disero said the facility will be put up for sale and she hopes that “perhaps it will be used for a more food-related operation.”
Canopy Growth did not respond to repeated requests for additional information.