GUELPH -- Guelph will soon be home to the province's legal cannabis distribution centre.

The Ontario Cannabis Store has announced plans to move from its facility in Oakville as the industry continues to grow.

The cannabis industry has been growing quickly since it was legalized two years ago.

"Right now, we're at 160 stores and the government has made a commitment that they're going to allow the market to determine how many stores there are," Daffyd Roderick with the Ontario Cannabis Store said.

Moving to Guelph will give the store a larger distribution centre to keep up with demand.

"We are expected to support a number of stores we believe by the end of the year," Roderick said. "We'll have the most stores in the country."

Roderick said the move from Oakville to Guelph is also about proximity to Highway 401.

"There's a strong community there that has the ability to support the workforce needs," he said.

Guelph Mayor Cam Guthrie is excited about the move.

"It's a great win for our city," he said.

Guthrie said the facility will help support the local economy.

"There's 200 local jobs," he said. "When those people have a job, they get to buy a car, buy a house, go out for dinner, go to entertainment. So, that helps the entire economy."

The Ontario Cannabis Store didn't disclose the location or size of the facility, but said it will be in an industrial area in the city.

"We'll receive product from more than 75 licensed producers across the province and across Canada, and we'll distribute that produce," Roderick said.

The distribution centre should be up and running by October.