The six-foot-five right-hander had been hoping to bounce back from a disappointing 2014 when he was sent to the minors midway through the season.
The 31-year-old Delabar was an all-star in 2013.
In seven innings this pre-season, he gave up three runs on seven hits with a 3.86 earned-run average. Two of those hits, including a home run, came in one inning Wednesday in a 5-2 win over Baltimore.
Youngsters Miguel Castro and Roberto Osuna seem to have overhauled Delabar in the pitching pecking order.
Delabar's demotion leaves 39 players in the Jays' big-league camp.