MjLink Cannabis Business News and Press
British Columbia, Canada, is permitting cannabis producers to apply for a Producer Retail Store (PRS) license to sell adult-use products from stores located at their cultivation site.
Public Safety and Solicitor General Mike Farnworth announced Oct. 5 that standard and micro cultivators and nursery license holders can apply for a PRS license starting Nov. 30 through the Liquor and Cannabis Regulation Branch’s (LCRB) liquor and cannabis licensing portal.
The province is launching farm-to-gate sales “to support the development of a robust, diverse and sustainable legal cannabis economy that is inclusive of Indigenous and rural communities,” according to the news release.
PRS licensees will also be permitted to register for the B.C. Liquor Distribution Branch’s (LDB) direct-delivery program, which “allows federally licensed cannabis nurseries and small-scale producers processing as much as 3,000 kilograms (6,614 pounds) of dried, unpackaged cannabis or its fresh equivalent annually to deliver directly to licensed and authorized cannabis retail stores in B.C.”
The direct-delivery program allows small-scale cultivators to sell their products in local stores, which can help increase brand loyalty and relationships with licensed retailers and their customers.
“The fourth anniversary of the legalization of cannabis in B.C. is around the corner, and we continue to look for ways to support [the] growth of the legal market while providing safe and accessible options for British Columbians,” Farnworth said. “The PRS license is another way we are working to support the success of B.C.-based producers.”
As tens of thousands of pounds of adult-use cannabis continue to fly off the shelves at Michigan dispensaries, the state set another record with more than $195 million in sales for September.
Through the first three quarters of 2022, adult-use retailers have sold $1.45 billion worth of cannabis, representing a whopping 56% increase compared to the same nine-month period from last year, according to the Michigan Cannabis Regulatory Agency’s (CRA) monthly reports.
Since the state first launched its expanded market in December 2019, adult-use customers have spent nearly $3.3 billion at licensed retailers.
The overall sales increases are a result of continued demand growth, which reached a record 53,758 pounds of adult-use flower sold in September, a 9.7% increase from the previous month. In other product categories, vape cartridges (12.7%) and edibles (3.9%) also experienced month-over-month growth.
Meanwhile, the average price per ounce for dried flower at adult-use retail dipped for the 13th consecutive month, falling to $109.88 in September, which mirrors the average ounce of medical flower at $109.63 for the month.
That price downtrend continued as small-scale operators in the state plead their case for a licensing moratorium with CRA officials last month, despite that power residing in the hands of state legislators.
COMMERCE, California., Oct. 14, 2022 - PRESS RELEASE - Cheef Botanicals introduces private labeling for its CBD products to allow "store brands" to resell the product with exclusive branding. Cheef botanicals introduced the dynamic of private labeling to help small businesses and entrepreneurs to grow with the industry and become profitable. Cheef Botanicals wants people to consume vegan CBD products extracted from organic Colorado-grown hemp with multiple health benefits.
Why is Private Labeling Popular in the Hemp Industry?
Private labeling is where a third party forms an agreement with a manufacturer on terms where the concerned party uses the already manufactured products and sells them by putting custom-made labels and brand tags. Private labeling helps small businesses sell high-quality manufactured products with customized branding. Private labeling is slightly different from traditional white labeling. The manufacturer provides the base product and makes the specific design, branding, and labeling customizations regarding white labeling. The third party must choose only from the available options and make deals accordingly.
CBD Products Offered By Cheef Botanicals For Private Labeling:
CBD Gummies: Cheef offers CBD gummy cubes and potent vegan CBD gummies in 5 flavors.
CBD Lotions & Balms: CBD lotions and balms by Cheef botanicals are widely popular because of their fast-acting ability and skincare properties. The popular varieties are CBD body lotions, CBD salves, and balms.
MINNEAPOLIS and VANCOUVER, British Columbia, Oct. 14, 2022 – PRESS RELEASE – Goodness Growth Holdings Inc. announced that on Oct. 13, 2022, Verano Holdings Corp. delivered notice to Goodness purporting to terminate the arrangement agreement between Verano and Goodness dated Jan. 31, 2022, as amended. Under the arrangement agreement, Verano agreed to acquire all of the issued and outstanding subordinate voting shares, multiple voting shares and super voting shares of Goodness.
RELATED: Verano to Acquire Goodness Growth for $413 Million
Goodness believes that Verano has no legal basis to terminate the arrangement agreement, and that Verano has committed various material breaches of the arrangement agreement. Verano’s repudiation of the agreement has been acknowledged by Goodness, and the transaction will not proceed. Goodness intends to immediately commence legal proceedings against Verano to seek significant damages for, among other things, Verano’s material breaches of the arrangement agreement, Verano’s failure to discharge its obligations thereunder and Verano’s breach of the duties of good faith and honest contractual performance.
The termination notice claims that Verano has grounds to terminate the arrangement agreement on the basis of:
alleged breaches of certain representations made by Goodness; Goodness’ alleged failure to give reasonable consideration to Verano’s comments on the draft Goodness proxy circular prepared by Goodness and reviewed and cleared by the U.S. Securities Exchange Commission (the “proxy”); the refusal of the board of directors of Goodness to reevaluate the terms of the transaction despite the fact that no material adverse changes had occurred to either Goodness or Verano; and Goodness’ alleged failure to reaffirm its recommendation to shareholders to vote for the transaction, which recommendation had not yet been made and was planned to be made in the proxy, which was anticipated to be mailed to the shareholders of Goodness next week.Goodness vehemently denies all of Verano’s allegations and has complied with its obligations under the arrangement agreement in all material respects at all times. Verano has no factual or legal basis to justify or support its purported grounds for termination of the arrangement agreement. Goodness believes that Verano is repudiating the arrangement agreement to avoid fulfilling its obligations thereunder after Goodness refused Verano’s request to reduce the agreed-upon consideration payable by Verano under the arrangement agreement.
Goodness will file suit promptly to recover all damages available to it under the arrangement agreement and at law, and hold Verano responsible for its breaches and failure to consummate the transactions contemplated thereunder.
Adult-use cannabis legalization advocates succeeded in landing another petition on the South Dakota ballot, but polls are not in their favor this time around.
While South Dakota voters already passed an adult-use legalization referendum with a 54.2% majority in 2020—but had their voices cut off following a state Supreme Court decision in 2021—two polls show that enthusiasm for reform is now lagging behind heading into next month’s election.
Most recently, pollsters from South Dakota State University (SDSU) found that 47% of the state’s likely voters oppose Initiated Measure 27—the 2022 adult-use legalization ballot question—while 45% support the referendum and 8% are undecided. Those results are from the “2022 South Dakota Election Study” that was conducted from Sept. 28 to Oct. 10 by a nonpartisan research group housed in the School of American and Global Studies at SDSU.
The poll, which included input from 565 registered voters, has a four-point margin of error.
“This shows that the electorate may have shifted on the issue since approving a similar measure in 2020 and is bucking the national trend,” SDSU pollsters wrote in their findings, recognizing the growing support for reform elsewhere in the U.S.
That poll deviates slightly from a mid-July 2022 poll of 500 registered voters conducted by Mason-Dixon Polling & Strategies, which revealed 54.4% of South Dakotans opposed adult-use legalization while 43.8% supported it—a 10.6-point margin verses the 2-point margin in the more recent poll.
California Attorney General Rob Bonta announced this week a broader effort to eliminate illicit cannabis operations in the state as California’s state-legal cannabis businesses struggle to thrive.
Bonta plans to expand the state’s Campaign Against Marijuana Planting (CAMP) program, a multi-agency seasonal eradication program started in 1983 under former Gov. Deukmejian, into a year-round effort to investigate illegal grows, the Associated Press reported.
The new effort will become a permanent Eradication and Prevention of Illicit Cannabis (EPIC) task force, according to the news outlet.
The CAMP program is already the largest in the country, lasting about 90 days each summer, AP reported.
The program rounded up nearly a million illicit cannabis plants this year alone, according to the news outlet.
Kansas lawmakers are holding two hearings this month on medical cannabis after a proposal to legalize medical cannabis in the state stalled during this year’s legislative session.
The first hearing on Oct. 12 heard testimony from law enforcement, state agencies and local governments, according to a local KAKE report, while the second hearing, slated for Oct. 19, will hear public testimony on the issue.
Sen. Rob Olson, R-Olathe, who chairs the 2022 Special Committee on Medical Marijuana, said the pair of hearings will allow lawmakers to improve upon last year’s failed medical cannabis bill ahead of next year’s legislative session, according to a KSNT report.
“Legislators need to feel comfortable that we’ve got good legislation that works, that meets all the needs, and there’s no loopholes,” Olson said, according to the news outlet.
Rep. Christina Haswood, D-Lawrence, a member of the committee, added that lawmakers should be selective in their restrictions in the bill.
Sitting on 6 acres in Elora, Tenn., is AJA Acres, a minority woman-owned hemp farm that cultivates and manufactures CBD health and beauty products and is dedicated to increasing minority farmer representation in the hemp and CBD industries.
Nicole Carter, CEO of AJA Acres, founded the company after a loved one was suffering from chronic pain and turning to narcotics to alleviate symptoms.
“I read about natural things that could help, and it was the first thing that came to mind," she said. “Eventually, this person … became my first client. … That client [turned] to numerous other clients until I said, ‘I’m going to make this lifestyle.’”
AJA Acres cultivated 6,000 pounds of hemp its first growing season and manufactured its CBD health and beauty products at its facility in Birmingham, Ala. The company currently does not have an active cultivation license is Tennessee, as it does not plan to grow again until 2024.
Since the company’s inception, Carter has strived to make the industry more equitable and inclusive, as she faced several challenges when entering the industry as a minority female. Some of the challenges she faced included local farmers, organizations, and other individuals doubting or taking advantage of her.
“People telling me, organizations telling me how challenging it is going to be, [or] how I’m not going to be able to afford the equipment,” she says. “I just bought the farm, so I didn’t have enough credit to get equipment. Then, local farmers in the area are all older men, and I’m doing these things, and they’re saying, ‘Well that’s not the right way to do it.’ Or I’m trying to buy a tractor, and they’re trying to overcharge me.”
Short on staff, the team within the Mississippi Department of Health that is tasked with overseeing the state’s medical cannabis program doesn’t have enough hands to issue disciplinary actions against those currently violating state law.
During the ramp-up period to a commercial medical cannabis program rollout—with a sales launch expected before the end of 2022—Mississippi only has three staffers and zero investigators in its Health Department who are currently committed to the cannabis program’s oversight, Mississippi Today reported.
But questions arose about the department’s regulatory actions during the state’s Board of Health’s public meeting Oct. 12, when small-scale cultivators commented on Mockingbird Cannabis LLC’s disregard of state regulations, according to the news outlet. Specifically, Mockingbird allegedly used plastic- and cloth-covered greenhouse structures to begin cultivating—a practice that is cheaper and faster than constructing an indoor facility, which is required under state law.
According to the Mississippi Medical Cannabis Act, which Republican Gov. Tate Reeves signed in February, a cannabis cultivation facility is defined as a business entity that “acquires, grows, cultivates and harvests medical cannabis in an indoor, enclosed, locked and secure area.”
Before the act was passed by the state Legislature, an amendment proposed by Democratic Sen. Barbara Blackmon aimed to allow for outdoor cultivation and harvesting, but bill sponsor Sen. Kevin Blackwell asked his Republican colleagues to vote against the amendment because of what he said would be additional costs to supervise those operations. The amendment failed.
WAKEFIELD, Mass., Oct. 13, 2022 – PRESS RELEASE – Curaleaf Holdings Inc., a leading international provider of consumer products in cannabis, announced that it has relocated its Deerfield, Ill., dispensary to 677 Lake Cook Road and expanded the location’s operations to serve adult-use customers.
Curaleaf Deerfield is dedicated to providing premium quality products for adult-use customers while continuing to serve patients enrolled in the Illinois medical program. The new location has implemented additional measures to prioritize licensed medical patients including a secure online ordering system and a curbside pickup option for medical patients only.
The dispensary celebrates its soft opening Oct. 13, and will follow with an official grand opening event on Oct. 20, commencing with a ribbon cutting ceremony at 9:50 a.m. and featuring festivities throughout the day including limited-time discounts and swag giveaways.
"As we expand access to high quality cannabis products and service, we're excited to open the doors to adult-use customers at our new location in Deerfield," Curaleaf CEO Matt Darin said. "Curaleaf remains committed to Illinois state medical patients, as demonstrated by our convenient curbside pickup option which enables our team to provide a streamlined cannabis retail experience exclusively for medical patients."
For more information regarding Curaleaf's dispensary opening in Illinois, along with product offerings and hours of operation, visit https://curaleaf.com/dispensary/illinois.]]>Wilmington, DELAWARE — PRESS RELEASE — Recognized as a cannabis juggernaut before legalization, New York City’s emerging regulated adult-use industry is poised to be historic. Its new head is a respected industry pioneer with regulating experience and a demonstrated commitment to centering equity and inclusion in the space. On Wednesday, NYC Mayor Eric Adams and New York City Department of Small Business Services (SBS) Commissioner Kevin D. Kim announced the appointment of Cannabis Regulators of Color Coalition (CRCC) Chair Dasheeda Dawson as the founding director of its new Cannabis NYC initiative to lead the agency’s support of the burgeoning cannabis industry.
Dawson will helm SBS’s strategy to support New York’s emerging cannabis market through public education, direct services to cannabis entrepreneurs and professionals, legislative advocacy, and policy development at all levels of government.
She’ll serve as the primary liaison between SBS, other city agencies, the New York State Office of Cannabis Management (NYSOCM), as well as community stakeholders, including elected officials, community boards, and industry associations. She will also work to establish and collaborate with the New York City Cannabis Advisory Council, an advisory board of industry and community stakeholders that aims to ensure innovation and equity are central to the success of this emerging industry.
“As a Brooklyn, New York native, I witnessed the many harms of cannabis prohibition—the unequal enforcement that shattered the lives of so many of my peers, the awful impact of revolving residents shuttering in and out of the criminal justice, the void left by the unfulfilled promise and traps into poverty and marginalization,” says Dawson. “Now, I have an opportunity to support our state’s nascent industry so that it can be a force for positive change. I am honored by the chance to lead cannabis efforts in the Big Apple and look forward to working with Mayor Adams, SBS, the New York State Office of Cannabis Management, as well as community stakeholders to ensure that every New Yorker can benefit from the growing industry, particularly those most harmed by prohibition, which targeted Blacks and other people of color.”
“Dasheeda is a regulator with a thoughtful and inclusive approach that seeks to restore communities and individuals harmed by cannabis prohibition. She works hard to ensure that everyone benefits from the fast-growing industry, not simply those with money and power,” says Shaleen Title, CRCC co-founder and former Massachusetts Cannabis Control Commissioner. “I’m confident that she will bring the same spirit of fairness and cooperation to what will likely be the biggest cannabis market in the world. New York City is lucky to have a leader with her vision and determination.”
Nearly a century ago, U.S. federal lawmakers began to examine cannabis legislation, which eventually led to its prohibition in 1937. The reason? At that time, an influx of Mexican immigrants were entering the country following the Mexican Revolution, bringing with them bits of their culture, which included “marihuana,” according to the Drug Policy Alliance. The flow of new immigrants brought a wave of xenophobia, which eventually led to the demonization of cannabis as a way to quell Hispanics entering the country.
Fast-forward to today, and the Denver-based National Hispanic Cannabis Council (NHCC) is still working to fight that stigma, both outside of and within the U.S. Latino community. The NHCC was founded in 2021 as a way to educate and empower Hispanics who are interested in both cannabis use and entering the industry. The organization currently has 40 paid members, as well as corporate members who consist of some of the largest players in the cannabis space, including Cresco Labs, Curaleaf and more.
Here, NHCC President Brian Vicente (who is also a co-founder of law firm Vicente Sederberg), and NHCC Executive Director Antonio Valdez, both of whom co-founded the organization, discuss how they’re working to break down barriers for Latinos who want to enter the industry in light of National Hispanic Heritage Month (Sept. 15-Oct. 15).
Theresa Bennett (TB): Can you tell me a little about how the organization got started and its biggest initiatives to date?
Brian Vicente (BV): The world is becoming sort of familiar with how cannabis became illegal, and it was largely just through racist legislation passed to discriminate against Latinos. Last year, in the height of the [Black Lives Matter] movement and all these really important conversations in our country, we said, ‘You know, it's just sad that Hispanics are underrepresented as owners, as consumers and as staff of these facilities. Let's organize and see if we can do something about that.’ So, we're working on education, and we're doing that in a very organized fashion. We have subcommittees that hold webinars that are really well-attended. We're working with a lot of our board members, who are some of the biggest cannabis companies in the world, to provide bilingual materials to encourage hiring Latino staff, but also highlighting their Latino staff. So, just this kind of destigmatizing and empowering is how we're spending our time now.
Antonio Valdez (AV): We're still in the wild, wild west here in the cannabis industry since [the federal government] is not involved. It's really a jigsaw puzzle, and a lot of Latinos are embarking on it, but it's not a uniform approach. There [are] social equity programs out there, but I think at the end of the day, for us, it's to have more seats at the table in terms of representation and to demystify it from all angles.
For example, one of the biggest things we did was a white paper on the state of Hispanics and cannabis. We wanted to get a pulse on [a few] things: Number one, total market availability, and what does that slice of the pie look like for Latinos? Number two, for those Latinos that are currently in the industry–for the 560 that we unearthed– where are they? Who are they, how did they get in this, what made they get in this? And what did their mom think when they got in this? [Laughs.] You know, those cultural taboos.
PORTLAND, Ore. — PRESS RELEASE — Former Cannabis Program Manager Dasheeda Dawson shared that she is taking on a new role in the City of New York’s cannabis program. Dawson’s announcement was first shared by the New York Times today. Dawson's last day with the City of Portland was yesterday, but she plans to remain as a volunteer to support Portland’s Cannabis Policy Oversight Team.
“I have loved working with this amazing team and community committed to growing Portland’s cannabis market and repairing the damage of cannabis prohibition,” said Dawson. “The program is under the Office of Community & Civic Life because it houses important community issues including cannabis reform, immigration, livability and disability justice. The bureau's framework in working with the community to resolve systemic issues is only inspiring other larger markets to follow Portland’s lead.”
Despite the market’s repetitive theft, increased overhead, and inflation challenges, Portland may have the country’s most innovative, equity-centered, and resilient cannabis ecosystem due to the creative problem-solving and programming created by the community, businesses and the city's program.
The program’s recent accomplishments include:
The illicit cannabis market in Southern Oregon continues. So, too, does the eradication effort by law enforcement officials.
The Jackson County Sheriff’s Office announced Oct. 12 that Illegal Marijuana Enforcement Team (IMET) detectives served a search warrant last week at three neighboring properties in rural Rogue River, where they discovered 113 cannabis greenhouses. The illicit operation included roughly 8,675 plants, 7,155 pounds of processed cannabis and $46,000 in cash.
Assisting in serving in the warrant were sheriff’s deputies, the Oregon State Police Southwest Region Drug Enforcement team, and Homeland Security Investigations (HSI) Medford.
“This case was the result of a months-long investigation of a black-market marijuana growing and processing operation,” according to a press release from the sheriff’s office. “Detectives identified the primary suspects and investigations are ongoing. The three separate properties are owned by different individuals.”
Jackson County code enforcement officials issued $1.25 million in fines to the property owners, which, in addition to the unpermitted greenhouse structures, included citations for unpermitted electrical and mechanical installations, unpermitted accessory structures, failing to obtain cannabis land use approval, camping within a cannabis grow site, and solid waste, according to the release.
The $1.25 million in fines also includes citations stemming from last year, for similar violations that the property owner failed to correct, according to the release.
Charlotte’s Web, a producer and distributor of hemp-derived CBD products, is partnering with Major League Baseball (MLB) in a first-of-its-kind agreement.
This partnership makes Charlotte’s Web’s products, including its new SPORT product line, available to MLB players to support recovery, focus and sleep cycles, according to a release.
The first product released in the company’s SPORT line, its Daily Edge tincture, underwent specific testing to meet MLB scientific and no-banned substances standards. Daily Edge was also Certified for Sport by NSF, a third-party, independent auditor of safety and quality standards, becoming the first broad-spectrum, hemp-derived tincture to earn that distinction.
RELATED: Major League Baseball Officials Say They Will Allow CBD Companies to Sponsor Teams
Charlotte’s Web also plans to add gummies, topical creams and sprays to its SPORT product line, which, in tandem with this partnership, launches this month during MLB’s postseason.
The company says it will have a brand presence at MLB events going forward, including this postseason and World Series, as well as future All-Star games and more.
Adult-use cannabis is already legal in Colorado Springs—the Centennial State’s second largest city of roughly half a million people—but city council members still don’t want retail operations a decade after legalization.
In a symbolic stance against a pair of ballot questions that will go before voters this November, Colorado Springs City Council members voted, 6-3, during their Oct. 11 meeting to pass a resolution that opposes the ballot measures.
That resolution, in part, states that “City Council is gravely concerned about the dangers of allowing retail marijuana by expanding access within the City of Colorado Springs and strongly encourages greater awareness regarding the harms and dangers of marijuana use.”
Regardless, voters will still have their say in just a few weeks.
Question 300 would amend the city’s ordinances to authorize adult-use cannabis retail establishments in the same manner as medical cannabis, as well as authorize already existing medical operators in the city to be licensed for an expanded market.
Question 301 would attach a 5% local tax to adult-use cannabis sales, which would fund public safety programs, mental health services and post-traumatic stress disorder programs for veterans.
TORONTO, Oct. 12, 2022 – PRESS RELEASE – TerrAscend Corp., a North American cannabis operator, announced that its New Jersey and Maryland subsidiaries—TerrAscend NJ LLC, HMS Hagerstown LLC, HMS Processing LLC, and HMS Health LLC—have closed on a non-brokered senior secured term loan for gross proceeds of approximately US$45.5 million from funds managed by Pelorus Equity Group, a leading provider of commercial real estate loans for the cannabis sector.
The loan currently bears interest of 12.77% per annum and is based on a variable rate tied to the one month secured overnight financing rate, with interest-only payments for the first 36 months. The maturity is five years from closing. There are no warrants being issued as part of the transaction. The loan proceeds from this transaction will be used to fund the company's growth initiatives.
“We are pleased to announce this non-dilutive financing at attractive terms given the current market environment," TerrAscend Executive Chairman Jason Wild said. “The Pelorus team has been a pleasure to work with, delivering exactly what they promised. We look forward to a long successful partnership as we continue to grow.”
“With this agreement, we are excited to help fuel TerrAscend’s growth and long-term business goals," said Dan Leimel, CEO of Pelorus Equity Group and manager of the Pelorus Fund. "Our investment and lending philosophy is focused on being honest, upfront and doing what we say we’re going to do for both our borrowers and our investors. As the demand for capital continues to increase in tandem with the growth of the cannabis industry, we plan to deliver even more innovative, flexible lending solutions and stabilized loans like this one to meet the needs of a wide range of clients, including MSOs, SSOs and ancillary businesses.”
Pelorus Managing Partner Travis Goad said, “We really enjoyed working with the TerrAscend team on our first deal together—they were great throughout the entire process.”
Goad added, “As the largest privately held commercial real estate lender in cannabis, we are seeing an increase in deals coming through our pipeline, and are strategically closing on them—even during this time of market volatility. With the longest history in the space of deploying capital successfully and seeing it returned, we spend a lot of time underwriting the company we're working with, the real estate and the projections prior to making any loans.
It's that time of the year:budget season!
When developing a budget foryour business, there are a lot of factors to consider, such as revenues,expenses, build-out costs, industry- and inflation-related trends, and muchmore.
Here, Naomi Granger, founderof the NationalAssociation of Cannabis Accounting and Tax Professionals, shares critical factors cannabis businesses should considerwhen building their budget for 2023 and how they can plan for the potentialimpacts of even greater inflation in the new year.
REVENUES
When creating a budget,Granger says one of the first factors owners need to consider is theirrevenues.
Retailers: Retailers should track existing data to access revenuenumbers.
"They should be lookingin their POS (point of sale) system,” Granger says. “They should be able to seehow many transactions they're doing on a weekly basis and what their averagebasket price is per transaction. If you multiply the total transactions timesthe average ticket price or average basket price per transaction, you can gethow much you should expect to earn on a weekly, monthly, or annual basis."
New York regulators recently unveiled proposed cannabis packaging and labeling rules that include provisions to boost sustainability in the state’s adult-use industry.
The regulations, in part, direct licensees to implement an environmental sustainability program that requires businesses to incorporate at least 25% post-recycled consumer content into their packaging and annually report key metrics on the implementation of their sustainability initiatives.
RELATED: Cannabis Industry Stakeholders Weigh in on New York’s Packaging and Labeling Regulations
In more mature markets out West, some cannabis operators have already implemented sustainability standards on their own that could provide a benchmark for newer markets.
Troy Meadows, co-founder of California-based Legion of Bloom, has taken steps in his own business to transition to more environmentally friendly packaging solutions for the company’s vape cartridges and flower line.
Cannabis industry stakeholders are grappling with New York’s proposed adult-use packaging and labeling regulations, which, in a largely unprecedented move, include a sustainability program that directs licensees to incorporate at least 25% post-recycled consumer content into their packaging.
The state’s Cannabis Control Board (CCB) proposed the initial rules and accepted public comment on them through Aug. 15. The New York Office of Cannabis Management (OCM) is currently sifting through the feedback and working on revised regulations that will again go before the CCB for approval once all comments are assessed, according to Lyla Hunt, the OCM’s deputy director of public health and campaigns.
“I just want to underscore the balance of the wide array of different critical public policy goals in releasing the packaging and labeling regulations,” Hunt said. “We’re really excited to move the needle and to be leading here on the environmental component. We’re really excited to work to help continue those good efforts.”
As Cannabis Business Times previously reported, the draft regulations include provisions to ensure that cannabis packaging is child-resistant, tamper-evident and nontoxic. The proposal also includes required labeling components such as warnings, serving size, potency, ingredients, and usage and storage instructions. In addition, the draft rules require a universal symbol—which includes a triangle containing a cannabis leaf and the word “THC,” as well as a circle containing “21+” and an outline of New York that’s labeled “New York State”— on all cannabis packaging.
The initial guidelines prohibit packaging that could be attractive to individuals under the age of 21 (e.g., packaging that incorporates cartoons, characters, celebrities or toys), as well as packaging that includes false or misleading statements (e.g., “organic,” “craft” or health claims) and multiple brand logos.
