Chris Treville: Maximizing Efficiency for Indoor Cannabis Cultivation

Chris joined our podcast host TG Branfalt recently for a conversation about GrowEx and the company’s high-tech cultivation capabilities. In this interview, Chris shares the story that brought him into the cannabis space, discusses the industry’s need for more advanced indoor growing systems, explains what exactly the GrowEx system is capable of and how the company’s innovations could revolutionize indoor cultivation practices, and more.

Scroll down and listen to the interview via the media player below, or keep scrolling to find a full transcript of this week’s Ganjapreneur.com podcast episode!


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TG Branfalt: Hey, there. I’m your host, TG Branfalt, and thank you for listening to the Ganjapreneur.com podcast, where we try to bring you actionable information and normalize cannabis through the stories of ganjapreneurs, activists, and industry stakeholders. Today I am joined by Chris Treville. He’s the co-founder of indoor cultivation tech company, GrowEx, a patent-pending technology that controls pests and mildew without using pesticides or chemicals. How are you doing this afternoon, Chris?

Chris Treville: Great. Thank you.

TG Branfalt: So tell me about yourself, man. Tell me about your background. How’d you end up in the cannabis space?

Chris Treville: Well, in 2014, my brother and I decided to look at it closer. It was starting up at ground-zero level, which is what we’re calling it in terms of large-scale, commercialized, legal cannabis commercialization, let’s say, in Colorado. So we started visiting some sites to see how that was taking place, who was doing what, how are they growing, really just interested in taking some notes and visited a few sites in the Denver area. That was in 2014, and then, of course, we went to the very first Las Vegas MJBiz show, which at the time was at the Rio Hotel in Las Vegas.

TG Branfalt: Sounds like a good time.

Chris Treville: Yeah. And since then, it just kind of kept escalating from one year to the next, just more shows, more visits, broader geography, not just Colorado, but also in Canada as Canadian law came into place federally, of course. Uruguay came on board, and then now we’re seeing a whole slew of United States that are coming on board, whether it’s medical or recreational, European countries, African countries, Australia. So it’s a worldwide movement, and we’ve been right on the ground floor of it since… I would say actually… I said 2014, but really it was 2012 that we started doing these visits, because 2014 was when we started to actually spend money towards it, which was an R&D, research and development effort on a small scale to start proving our first concept, which is what you introduced, the pest control system.

TG Branfalt: Tell me about when you first sort of started this R&D process, going to these sites. What were some of the things that stood out to you during those initial visits?

Chris Treville: Well, that’s a good question because our existing company at that time, my brother and I were involved and we are still involved in what we call controlled atmosphere technology. What that means is that we build storage facilities for fruit and vegetable farmers all across North America. So basically, it’s a facility kind of like a warehouse, but it’s got gas-tight rooms. I call them bubble rooms, so there’s no penetrations at all in those rooms, kind of like an operating room, if you will, but on a large scale, where millions of pounds of biomass are stored. And this biomass, in particular, is fresh fruit, just for an example, that gets harvested by the farmer, and then it gets held at low temperature in a fresh state, so kind of fridge-like conditions.

We control humidity as well, and we also control all the gases. The pertinent gases are CO2, oxygen, nitrogen, ethylene, ethanol. Those are all gases that exist inside these bubble rooms, and we have machinery, industrial-caliber machinery, that needs to control these gases to very precise decimal points, two decimal points actually in percentages. And that is what will dictate the quality holds that we’ll keep inside those storage facilities. So each variety, each cultivar of fruit or vegetable has its own protocol of temperature, humidity, and pertinent gases.

So that’s our expertise. We’ve been doing this for many years. It’s actually a Dutch background, the technology in question, Holland being world-renowned for agritech. And my brother was a senior engineer at Storex, which is probably the largest company in the world that specializes in that field. So when we did the visits with the cannabis facilities, our eyes and ears were mostly focused on the technology part of things, like how the building was built. Were there air leaks? Was there contamination involved? How energy efficient was the equipment? Because, in essence, the biomass for cannabis also needs to be controlled in the same way as the fruits. And since they’re plants, massive amounts of… millions of pounds of plants that are growing and that they require also specific protocols of temperature, humidity, and all the pertinent gases as well that affect yield, that affect quality, and affect consistency harvest after harvest.

TG Branfalt: So for that two years before you actually started putting money into the cannabis tech, what were some of the considerations that you and your partners and your brother were sort of taking on when trying to answer this question of whether or not you were going to start investing?

Chris Treville: Well, I mean, the first consideration logically for us was the building itself, like the actual structure, the shell, if you will, because that was also our main focus with our other farmer clients. And by the way, these are the biggest fruits producers in the world, so they’re large facilities that we build. So the structure was the first thing to look at, and we saw that the industry, the cannabis industry, was going towards a greenhouse model or a standard building, kind of like a warehouse with rooms built inside there. But they weren’t really paying attention to the detail that are necessary for such an industry, so for controlling such amounts of biomass on such a large scale.

So that was the first point of engineering on paper that we worked on, and there were a lot of parallels that were easy to bring over from our fruit clients to the cannabis clients. But then that wasn’t enough because we needed to be able to explain to a grower why that had an impact on the yield and on the quality. So we had to get involved… As a next step, we had to get involved also in terms of the actual way the plants grow, what kind of configuration of the canopy, what kind of lighting, what kind of irrigation, what kind of growing mechanism, if you will, throughout the entire facility. Not only growing, but from seed all the way to trimming, drying/curing, and packaging. So it started off in 2014, like I said, but it kept on going all the way to 2019 really.

TG Branfalt: Yeah. And you had mentioned earlier you had noticed some of the energy efficiency, what was going on at these centers. And a couple of years go, there was a report, and there hasn’t been too many that have looked at how much energy the cannabis space uses. And this report, in particular, found that it used as much as some larger data centers, server rooms. So what did you notice in terms of energy efficiency? What stood out to you? Was it very inefficient? What were you noticing?

Chris Treville: Yeah. I mean, that is a very big concern. The Dutch agritech has taught us over the last 20 years that energy efficiency is a big concern for farmers. I mean, they’re always looking for the more efficient tractor, the more efficient storage facility, industrial-caliber equipment to control temperature, humidity. There’s a real push towards finding ways to cut costs and to be more efficient with an industrial-caliber farming operation, whereas the cannabis industry has not looked at that at all. Even today, it’s still more focused… The industry, in general, is still more concerned about just the mere fact of being in business, the whole idea of getting a license to produce a legal substance that used to be prohibited, right? So that whole topic of legalization, getting the license, that still takes more precedence in the business plan.

And then the rush to market is the other big points that companies are looking at mostly, so how much volume of production they can make in the quickest time possible in as many places as possible. And the concern of energy efficiency is definitely not in their agenda. So we’re seeing an industry that’s growing very quickly without any concern whatsoever for energy efficiency. So that is, for me, a major issue that the industry is going in the wrong direction for that reason. So that has pushed us even more so to fine-tune that design so that we can get a model that’ll produce a very high yield per square footprint, and it’ll be able to do that using half the amount of energy that the current big players are using.

TG Branfalt: Describe this tech, the GrowEx tech, and how it is more energy-efficient. I said this at the top when we were sort of introducing ourselves. I don’t grow anything, and I’m killing a fern upstairs. So make it sort of simple enough so that a guy who is currently killing a fern can understand.

Chris Treville: Okay. Well, I mean, first of all, we recruited very important team members inside GrowEx. The GrowEx team is comprised of three growers who have a lot of experience. So we are, if you will, a team of expert growers, expert engineers of various kinds: mechanical, electrical, structural engineers, and some smart marketing people. So those people have been working on small-scale tests for the last five years, and we’re almost… I would say we’re about 80% completed our first large commercial site, which is near Montreal. And we had one site… We had data from another site, which was smaller. I still call that a small site, but it was really a commercial site also. It ran for about three years in Colorado on about 2,000 plants. So we had data from about three years on 2,000 plants.

TG Branfalt: And were those plants going into the market?

Chris Treville: Yeah. Yeah, those plants were going into the market in Colorado. So I call that Version 1.0, I would say, of the GrowEx system. And then the Montreal site that we’re 80 to 90% finished is what I’m calling Version 2.0, which is a larger scale. It’s on about 10,000 plants, as opposed to 2,000 plants.

TG Branfalt: Wow.

Chris Treville: So it’s a bigger step, right? Basically, the formula is you’ve got a bubble room, which means that if you can imagine a plastic bag, the plant is inside that plastic bag. Okay.

TG Branfalt: Okay.

Chris Treville: But of course, it’s not just one plant. It’s a whole room full of plants that’s inside a large plastic bag. So what does the plastic bag do? And by the way, it’s not made out of plastic. It’s a figure of speech I’m using. But what does it do? Well, it basically gives us complete control of everything that’s got to do with temperature, humidity, CO2, oxygen, nitrogen, and ethylene, all those gases that are pertinent to the plant’s development. And we can literally dial in down to a granular science exactly what we need in terms of protocol to get that perfect growth environment and stability also, which is a big key in terms of avoiding powdery mildew, for example, which mildew will proliferate if there are inconsistencies in those temperatures and humidities. So since we don’t have any inconsistencies at all, we don’t have any issues with powdery mildew at all. Therefore, no need for any treatments of any kind.

And then, of course, being in a bubble also avoids any incoming contaminants, whether it’s pollution or insects or whatnot. These bubbles have doors, so we still have humans walking into those rooms, but we’re working on a human-free environment. That’s our next development. But for now, we do still have people walking in. So there’s still a risk of insects, and these are microscopic insects that live outside. They’re all over the place normally in nature. But just like humans, they love those plants. So they’re literally lining up at the door trying to get in. So if there is an issue with too many of these insects coming in at once and a section of the room starts getting contaminated with some insects, then we have an algorithm we came up with to essentially suffocate these insects within 24 hours without affecting the plants.

So that’s our first patent pending. It’s called the PCS system. It’s a pest-control system, which doesn’t use any chemicals. It doesn’t use any outside, any external treatments. It’s purely the same exact temperature, the same exact humidity, the same exact gases, but just in different concentrations. Hence, the algorithm, right? And then the sixth factor is time, which is somewhere around 18 hours or something like that. So it’s a good insurance policy in case something goes out of control on these large, massive rooms full of valuable plants.

So that precision control, I’d say, is already the first step to using less energy because we have little waste of machine run-times. Because we have a very constant machine run-time and we don’t have to compensate for leaks coming into the room and having to compensate so that the system can hold the right amounts of CO2 or the right amounts of temperature or humidity, the machines don’t work as much. So that also helps with energy efficiency. The machines themselves are industrial caliber, so they’re meant to… The design of the machines are very energy efficient as well. Low maintenance as well. So I would say that’s the first topic. And then, of course, the structure is insulated and gas-tight, so that also has a huge impact.

And then the other point of energy efficiency is on the selection of the lights. We use laser LED lights. The short form of that is called LLED. So that’s very advanced because most of the market right now, I would say maybe 85% of the grows worldwide are still using HPS lights, which are good performance lights, but they’re very inefficient in terms of energy. They create a lot of heat. Hence, the fact that the plants have to be four to six feet away from those lights, or otherwise they burn. So you don’t have a good optimization of the canopy. You have to be very far away from the plants. The distance between the plant and the light is big, so that’s why you need these giant rooms with tall ceilings. Very inefficient.

So the LLED lights allow us to come six inches from the plant, and therefore, we can pack more plants in the room. And those lights use a lot less energy. They emit a lot less heat. So that would be a huge consideration there in terms of energy efficiency per gram produced. Since there’s a lot more plants, also a lot more density in terms of the canopy.

TG Branfalt: Are you able to control… Is time a factor, I guess is my question? With this system, do plants take any more or any less time to grow? Because as you said, people are trying to get product to market. And I don’t really grow anything, so does this also impact the growing time?

Chris Treville: Huge, huge. I mean, first of all, time to market is a huge point you just made, and I understand these companies. They get the license. They’re happy. They want to move forward. They’ve raised funds. They want to get to market as soon as possible. So not only are we energy efficient, but also our time to build such a facility is very fast because everything is pre-engineered, pre-fabricated. It’s just a question of assembly, kind of like a Lego, if you will. So it’s a really efficient build-out. And then to your question, the actual timeframe to grow, I mean, all these grow-masters out there who’ve been growing in their garage in the gray markets or black markets, whatever you want to call it, whatever shade of dark you want to call that, that are now operating in the legal market, they’re excellent growers, but their issue is that they’ve been growing in what I call craft growing, like a very small quantity. We’re not talking about millions of square feet of canopy. So it’s a different ballgame completely.

So we’re hitting some numbers right now. This is still early because we’re not fully optimized yet, but we’re talking about somewhere around 90 grams per square foot of canopy. And from the whole process, from the beginning of the plant to dry/cure, including dry/cure, we’re talking about 38 days.

TG Branfalt: Seriously?

Chris Treville: So it’s considerably… It’s about 40%… No, sorry. It’s almost two times faster than what normal people are seeing.

TG Branfalt: That’s incredible. And I don’t really grow anything, but I do know that it takes a hell of a lot longer than 40 days.

Chris Treville: Yes. Usually it’s longer. Like I said, it’s probably close to twice as longer, and the yield is also not as high. And it’s really math. I’m not a grower either, but the guys, the scientists, because really they’re scientists. They’re all masters; some of them are PhD that are on our team. It’s about science. So what it is in layman’s terms, the plant is like a device, if you will, that has X number of let’s call them receptors, which are these areas where light will go through in the process of photosynthesis. And of course, it’s not just light that they absorb. They also absorb CO2. They absorb nutrients. So let’s say that there’s X number of entry points for all this material to go inside the plant to create the energy to allow the plant to grow, right?

TG Branfalt: Yeah.

Chris Treville: Humans have similar points of receptors, i.e., the skin. The skin breathes. We eat obviously. We drink. We breathe through our nose and our mouth. So the plant has all these receptors. So there’s a certain number of these receptors per plant. It’s not an infinite number. There’s a finite number of these. And the formula is basically time, how much time do we feed through those receptors? How many are being fed at the same time, and at what concentration? And we try to basically optimize that.

TG Branfalt: One of the things too that stuck out to me when I started looking at interviews you’ve done and your website, you guys grow vertically as well, right?

Chris Treville: Yeah.

TG Branfalt: Explain why that’s important for efficiency, why you do that, and how you sort of came up with this idea to grow cannabis literally on the walls.

Chris Treville: Well, basically, it all boils… The industry of lighting has been pretty stuck, I would say, for the most part… Again, I’m going to use that number of 85%, let’s say, because there are a few exceptions out there. But let’s just say that for the most part, we’re talking about a horizontal layout. So it’s a plant that’s on a table, or sometimes you can even see them on the floor, or it could be a couple layers of tables, like horizontally stacked. And then you’ve got a light that’s above it that hangs from a ceiling or from the next level above it. And there’s a lot of space there, a lot of air space, cubic space basically that needs to be managed.

So right there was something that we didn’t like that. And as we were working with lights that allowed us to bring the light a lot closer, we thought, “Why not set up the plants along a vertical wall and then kind of like sandwich a row of lights and have another row of plants behind it?” where that way, instead of having just one light shining on one group of plants, we would have one light shining on two groups of plants on each side, right?

TG Branfalt: Yeah.

Chris Treville: That would reduce the capital expense of buying more lights. We would use less lights just in mere numbers of lights for basically double the amount of plants. And then the other consideration is also the whole topic of the human working there and how that person can reach the plants and work on them. And when you have these flat tables that you have to reach far to look at a plant that’s in the middle of the table, and even stacked horizontally, it’s even worse, because you have to climb up and then reach, so the topic of labor was also a concern.

So having the plants all laid in a vertical system along a wall, it’s much easier. There’s no leaning. The plants are right there at your fingertips, and you can just work along this wall, if you will, on a Skyjack basically that goes up and down. So it reduces the labor costs. It’s much more efficient for labor. And we started off, the growers that we work with developed this system in Colorado with a 14-foot height, and now we’re at 26 feet in height.

TG Branfalt: Wow!

Chris Treville: And we intend to go higher. We intend to go to 50 feet, but the way to go to 50 feet is you’re going to need some form of automation, because people won’t want to go that high in height. For myself even, 26 feet is too high. I don’t feel comfortable at that height. But there’s a lot of people who are totally fine working in the Skyjack. So the idea there is to replace that Skyjack with some sort of small robot that’ll just go and pick up a cartridge, which will bring it down to a human lower on the ground. So it’ll be kind of more automated. And this exists already in terms of in other industries, there’s automated palletization that exists already.

TG Branfalt: Yeah. I mean, just sitting here talking to you, it sounds like you guys are sort of like mad scientists of efficiency.

Chris Treville: Yeah, yeah, that’s what we are. We call it… And the thing is that it’s kind of evolved into a bunch of guys… I don’t call them mad scientists. I call them my Big Bang Theory team, and they’re all very excited about just making a better mousetrap. And then me, as a manager of all this, I’m kind of looking at it and saying, “Okay, this is interesting. Is it really worth it?” And so far, they keep showing me that it is. And now it’s going further than that. It’s actually creating a position that we’re in, which is a very sustainable and environmentally friendly position because all this is translating towards using 10 times less land, 20 times less water, half the amount of electricity. So it’s a very environmentally friendly position, which I still think…

I just came back from Vegas two weeks ago, Vegas still being the biggest trade show right now in this industry. And really, there’s no one having this position yet. So I think that we… And in fact, if we just look at it on the standpoint of the world and how every other industry is trying to be more environmentally friendly, cannabis, in my mind, kind of has the responsibility to lead the way of being environmentally friendly because all this technology that we’re learning from cannabis, and we’re very grateful that there’s value there and that the money can be used for R&D, it’s a spearhead really for other crops. And as soon as we have Version 2.0 up and running and 3.0, which we plan on launching in 2020, our goal is to draw out parallels from these GrowEx centers that are doing cannabis and seeing how we can do that on other crops and find that sweet spot of profitability and quality and an environmentally friendly position for lettuce, leafy green, and all that.

And there’s been an effort… There are companies right now in the world that are trying to figure out that sweet spot, to make that efficient and to make it viable so that we can stop relying on outdoor farming for a very consumed crop like lettuce or leafy green, for example. Those make no sense to grow outside, where there’s massive amounts of land being used and water and then trucking. And now we’re seeing the signs, that the costs are getting higher; the quality is not necessarily there in the supermarkets, and we’re seeing signs of contamination even because they’re trucked for a week to wherever, and it’s just not holding in terms of quality.

So I think we’re really at the brink of really needing another solution for many things that are in our salads and in our burgers. And like I said, there’s been companies that are trying it, but they’re not profitable. That’s the problem. And the ones that are still operating right now, it’s because they’re heavily relying on R&D money from people who are concerned and who want to spend money on R&D, and that’s great. But I think they’re still missing the point in terms of things that we’re doing right now with GrowEx.

TG Branfalt: So let me ask you. It sounds like you had to… There was a significant learning curve for you to begin with, and then you’re having to sort of expand at the pace of the industry somewhat, which is at breakneck speeds right now. What’s been your most challenging experience as it relates to launching in the cannabis space?

Chris Treville: Well, I mean, money is the gas we need, right? At the beginning, we were funded on our own. So basically our own company, which wasn’t that big, but it basically loaned money to the startup, if you will, to GrowEx. And that was tough. It was five years of really bootstrapping it basically out of Montreal and Colorado. And then we were hoping to get a… The investors were mostly after the shiny, bright toys, which were groups of people putting together business plans and hitting the market hard with massive-sized greenhouses, like I said, like I explained earlier. That was not our interest. We were not catering to that type of investor.

So we had to stay in our corner and just kind of keep focused on our message and on our design, if you will, and to look for that exceptional group that would understand our positioning and not try to influence us, because the other thing too is that the industry is also controlled… Not only is it controlled by the shareholder expectations and the stock market and the shiny, bright, new toy. But it’s also controlled, like I was saying earlier, by the grow-master and the know-how of those growers who have been propelled from their back yard or their garage on a small scale to these gigantic, multi-million square-feet facilities. And they must be losing sleep because overnight they have to manage a hundred times more plants. So they’re trying their best to do it, but again it’s, in my mind, the wrong model.

So having those meetings with those people was counter-productive. It was just not… I was trying to teach old dogs new tricks. And here I am, and I never grew a plant before, trying to explain to them how to do it. So that was a challenge, to find the right group of people, and we got lucky. We were persistent and wanted to meet the right group. We finally did, a group of investors in Quebec, who said, “Oh, yeah, okay. Yeah, you totally get this. We understand your positioning.” Those guys were totally not in the industry before, which was nice, and they didn’t have a grow-master on their team, so we became that entity. Not only did we become the consultant/contractor to build the facility based on our design, which I call the 2.0 design, but on top of that, we had the team of growers that were already in the right mindset, and so it was a perfect formula.

So now we have the money to execute, and it’s just been snowballing from there. My confidence level also has raised, and so when I go do a presentation to another group, I have a better approach. I can tell them per square foot how much yield we’re going to do. I can give them an estimate of how much their operating cost is going to be and how fast their production is going to be profitable.

TG Branfalt: So with this sort of… With the tech and the rate at which you’re growing, that your company is growing, and the growth that’s obviously happening in Canada and in Colorado, in the United States sort of in general, what advice do you have, would you have for entrepreneurs looking to enter maybe not the cultivation tech space, but the tech space in the cannabis industry?

Chris Treville: Well, I mean, what advice do I have? I mean, obviously, my advice is going to be a little biased, but I guess, you’ve got to look at it on the standpoint of what would a company today in our modern day and age need to look like in terms of environmental impact and what also would a company look for in terms of quality products, because I would say that most of the product that’s out there is not high quality. It’s very low quality, and it’s inconsistent quality.

Yeah. I mean, you’ve got to stay away from that shiny-new-toy syndrome, you know what I mean, which is, yeah, I get it. You’re getting a license. Finally, prohibition is gone. Okay, we get it. You’re in a hurry. We get that too. You want to rush to market, but really maybe look at your business plan more so on a standpoint of profitability, environmental position, social position, and what I mean by that is who you’re hiring, how the industry is… You should be modern in the sense that you should look at minorities. You should look at women. You have the potential to do that, so just right away, you should implement those more modern business behaviors, let’s say, training. And then, of course, quality of product is huge. Customer satisfaction, a big point also. Right now, we’re seeing companies just walking in and saying, “Here, I’ll supply this,” and then a month later, they don’t have it anymore. You know what I mean?

TG Branfalt: Yeah.

Chris Treville: So it’s so fragmented right now. So do a business plan that’s more modern. That would be my advice.

TG Branfalt: Cool, man. This has been a really interesting conversation. I don’t really have the opportunity that often to talk to cultivators or people involved in cultivation technology, so I really appreciate your time and breaking it down in a way that somebody who’s killing a fern can understand. Where can people find out more about GrowEx? Where can people find out more about you, man?

Chris Treville: Well, we’ve been trying to stay under the radar as much as possible, but people can reach out to me directly. Do you want me to give out my email address?

TG Branfalt: Sure can.

Chris Treville: Okay. It’s chris.treville@growxcorp.com, which is G-R-O-W-X Corp, C-O-R-P.com. We haven’t… Our website is not tailored for cannabis just because of that whole stigma and us crossing the border and all that. But if you look at the GrowEx website, which is GrowEx.StoreExCa.com, you can also see me there.

TG Branfalt: Awesome, man. That was Chris Treville. He’s the co-founder of the indoor cultivation tech company GrowEx. We’re delighted to have you on the show, man, and I really can’t wait to see what you guys do next, because you’re already growing cannabis literally on the walls. So what comes next is probably going to be pretty cool too.

Chris Treville: Well, what’s next is extraction. We’ve adapted for the last 12 months with the same type of scope because, at the end of the day, the flower is one thing, but it’s also mostly going to be consumed in a concentrated format, and that also requires efficiency and quality and all those things. So we’re getting involved in that. We’ve recruited some bright minds in extraction. And we’re looking to make our first deal in the US. It looks like we’re going to be doing that in the next 30 or 60 days with a similarly thinking group on the East Coast.

TG Branfalt: Awesome.

Chris Treville: And then Europe is next.

TG Branfalt: Awesome, man. Definitely keep me updated on what you’ve got going on in the US, man.

Chris Treville: All right.

TG Branfalt: It’s needed down here.

Chris Treville: I’ll be at the CWCB Expo in New York in May, which is-

TG Branfalt: That’s my neck of the woods, New York. I mean, it’s the wrong part of it, but…

Chris Treville: It’s a big trade show. It’s another organization. They’re really growing in leaps and bounds. They’re very cool people, and I’ve been supporting their trade show for the last couple of years. So yeah, it’s May… I think it’s May 27th or something like that in New York City, CWCB Expo.

TG Branfalt: Maybe we’ll do this again live at CWCB.

Chris Treville: Okay. Sounds good, man.

TG Branfalt: Thanks, man.

Chris Treville: All right, take care.

TG Branfalt: You can find more episodes of the Ganjapreneur.com Podcast in the podcast section of Ganjapreneur.com and in the Apple iTunes store. On the Ganjapreneur.com website, you’ll find the latest cannabis news and cannabis jobs updated daily along with transcripts of this podcast. You can also download the Ganjapreneur.com app in iTunes and Google Play. This episode was engineered by Trim Media House. I’ve been your host, TG Branfalt.

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Poll: 53% of Adults Say Medical Cannabis is ‘Essential’ Service

According to a YouGov poll, 53 percent of U.S. adults believe medical cannabis dispensaries should be considered an essential service as states shutdown businesses amid the coronavirus pandemic. The poll found just 26 percent didn’t think medical cannabis should be considered essential and 21 percent said they didn’t know.

The majority of all adults under 55-years-old polled said medical cannabis should be essential, while just 47 percent of those 55-plus agreed. Democrats and those who described themselves as “other” politically overwhelmingly believed that medical cannabis should be considered essential, 62 percent and 64 percent, respectively. The majority – 52 percent – of independents also said cannabis should be considered essential, but just 43 percent of Republicans agreed.

Support for medical cannabis as an essential service was highest in the Northeast (57 percent), followed by the West (56 percent), the Midwest (53 percent), and the South (50 percent).

As of Tuesday, 32 states, Washington D.C. and Puerto Rico have issued stay-at-home orders, while three other states and one territory have closed non-essential businesses in order to stem the spread of the coronavirus. Every state that has issued a stay-at-home order has allowed medical cannabis dispensaries to remain open and operational as “essential” businesses; although, many have implemented rules such as social distancing, curbside pickup, or delivery.

Among states with recreational legalization, only Massachusetts has shut down adult-use sales.

The YouGov poll was conducted on March 25 and surveyed 5,369 adults.

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Massachusetts Gov. Refuses to Reopen Adult-Use Dispensaries

Massachusetts Gov. Charlie Baker (R) called the reopening of recreational cannabis dispensaries a “non-starter” because they would likely attract out-of-state customers, MassLive reports. Yesterday, Baker extended his order closing non-essential businesses until May 4 and did not carve out an exception for adult-use cannabis shops.

“There is tons of evidence that because Massachusetts is one of the few states in the Northeast that’s legalized recreational marijuana, that if we make recreational marijuana an essential business … we are going to have to deal with the fact that people are going to come here from all over the place.” – Baker via MassLive

Baker initially closed non-essential businesses last week as part of the state’s efforts to slow the spread of the coronavirus. The Cannabis Control Commission imposed social distancing rules to allow continued sales but ultimately shut down recreational sales entirely. Industry business owners and advocates – including at least one member of the Cannabis Control Commission – have called on Baker to reopen adult-use dispensaries arguing the shops could implement the same safety measures being used at medical dispensaries. The advocates say that many recreational consumers would be medical cannabis patients but either don’t want – or cannot afford – to enroll in the program.

Uxbridge Selectman Stephen Mandile argued that since the state is still allowing alcohol sales, adult-use cannabis sales should be permitted and that Baker has not provided “a compelling answer” as to why the state shut down recreational sales.

Recreational cannabis is considered “essential” in other states that allow adult-use sales. Each has implemented safety measures – social distancing, increased sanitation practices, curbside sales, or delivery services – in order to protect customers, staff, and patients.

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Profile: Dennis Peron, Patient Activist

Dennis Peron is touted as the “Father of Medical Marijuana,” and for good reason. Before he was advocating for patient access to clean cannabis, Peron served in the Air Force during the Vietnam war, where he witnessed death and devastation in droves. After playing his part in that seemingly endless war, he was convinced that peace was the only way forward. Luckily, his first stop after returning from Vietnam in the 1960s was San Francisco, where the hippie movement was a large part of the city culture. 

Coming to San Francisco

In the city, Peron became an active Yippie, a member of the Youth International Party, which was a radical group actively involved in preserving free speech and ending war in the 1960s. Through his involvement with the group, he wasn’t only able to promote peace but he became entrenched in the cannabis movement. He believed that the calming nature of the plant and the ritual of sharing it while smoking could be a powerful and peaceful way to end the war and frequently hosted “smoke-ins.”

In the 70s and 80s, Peron was arrested multiple times for selling cannabis out of various storefronts in the Castro district of San Francisco, sometimes getting busted in his own living room. Once he was out of jail for cannabis-based charges he would immediately begin selling pot again to neighbors and friends. In 1974, Peron bought a restaurant in that same neighborhood at 16th and Sanchez and named it The Island. Soon he had also purchased the flat above the place which would serve as his apartment. As the story is told, pot smoke was always wafting in the air around the now iconic Victorian.

Tragedy strikes

Peron became friends with Harvey Milk, activists and eventually the first openly gay elected official, and became more actively involved in the legalization movement. During this time Peron became a Bay Area celebrity, getting eager waves and celebratory high fives as he walked down Market Street. With friends in political places and a passion for change, he began drafting Proposition W as in weed, a proposition that would instruct law enforcement to stop pressing marijuana-related charges. Mayor George Moscone even asked the local officials to ignore possession of an ounce or less. But the campaign’s planning stage was interrupted by the assassination of Harvey Milk and Mayor Moscone — two friends, allies, and fellow advocates for the movement.

Soon after the assassination came the AIDs epidemic and the political movement came to an official stop while patient need in the area reached an all-time high. Tragically, the love of his life, Jonathan West, contracted the virus and Peron stopped everything to act as a caregiver. With his background in cannabis and caring for Jonathan, Peron saw first-hand how cannabis could help patients. Their love was strong and ran deep, making West’s eventual loss to AIDs in 1990 a huge blow to Peron. At that point, the activist made it his mission to “leave a legacy of love” for his fallen partner. 

Peron shifted from advocating for full legalization to advocating for legal access for qualifying medical patients like those being ravaged by the AIDs epidemic. “Jonathan was taking many prescribed drugs,” Dennis recounted to O’Shaugnessey’s writer Fred Gardner, “and there were severe side effects, from nausea to loss of appetite. Marijuana was the only drug that eased his pain and restored his appetite and gave him some moments of dignity in that last year. And of course, I had hundreds of friends with AIDS who relied on marijuana for the same reasons: appetite, relief from nausea, relief from pain, to be able to sleep.”

The Cannabis Buyers’ Club

He had an idea while awaiting his release for yet another possession charge in Mission Station, while Jonathan laid at home sick and without his weed: what if there was a place the sick man could go be with others like him? Thus, the Cannabis Buyers’ Club was born: a private club where patients with AIDs, cancer, and other diagnoses could buy cannabis from a reliable source. The activist almost single-handedly collected signatures for Proposition P that year, which would legalize cannabis for medicinal use within city limits. The proposition passed with 80% approval and, with that, the Cannabis Buyers’ Club was formed.

The first iteration of the club opened in a flat on Sanchez St. in 1992 with three-quarters of a pound of weed meant for seriously ill patients — those who couldn’t afford it would get what they needed for free. “Brownie Mary” Rathburn, Dale Gieringer, Beth Moor, John Entwhistle, Jason Patrick Menard, Gerry Leatherman, Richard Eastman, and Tod H. Mikuriya are all credited with helping launch the storefront.

Just three years later, membership had grown to 2,000 patients — significant growth that required the business’s relocation to a larger space. More space allowed for more than just a place for the ill to find alternative medicine: political activists commonly hung out at the Buyers Club, so Peron began hosting meetings there each Sunday. These people ran the gamut from growers who were breeding strains specifically for epilepsy patients to lawyers with an interest in political reform, and they helped Peron draft two bills in 1994 and 1995 that would make marijuana use legal for patients with a few severe qualifying conditions. 

Prop 215

What they crafted would come to be known as Proposition 215, or the Compassionate Use Act of 1996. The ballot initiative passed with 55.6% approval in 1996 and from then on medical cannabis use was legal in California despite federal law. Patients with a valid doctor’s recommendation could possess and cultivate cannabis, which led to a system of collectives and cultivations growing under state-wide legality. This made California the first state to legalize medical cannabis and made Dennis Peron, an author of the initiative, a hero in the movement. 

Dennis Peron passed away in January 2018 after a long battle with lung cancer but — as California continues to hone regulations, laws, and stipulations for cannabis dispensaries, cultivators, and processor — now is the best time to remember him, one of few people who can be credited with launching the cannabis advocacy movement. He lived his life for love and, to him, the best way to deliver love to the most people was through cannabis. Today, more people than ever in the world have access to regulated, legal cannabis, so we could say that his life’s mission was a success.

 

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Colorado Implements Social Distancing Rules for In-Person Cannabis Sales

Colorado officials have re-opened in-shop cannabis sales but businesses are required to implement social distancing rules. Patients and consumers may still pre-order and pick up products and dispensaries can still offer curbside pickup services.

Under the Marijuana Enforcement Division rules published on Monday, businesses may not accept cash payments outside of the premises, meaning all curbside orders must be paid for electronically or on-site via credit or debit card.

According to the rules, dispensaries must limit the number of people allowed inside the premises and ensure that all people – including employees – are six feet apart. Dispensaries must also limit the time customers and patients can spend in the shops. Additionally, officials are suggesting other protective measures, including the installation of “sneeze guards.”

“To maximize Social Distancing and limit interactions inside the Licensed Premises for the safety of employees, patients and consumers, Medical and Retail Marjuana Stores are strongly encouraged to direct their patients and consumers to telephone and online options for placing orders and making payment. When any portion of a transaction occurs inside the Licensed Premises (pick-up, payment, product selection, etc.).” – Marijuana Enforcement Division, Updates to Guidance Regarding MED response to COVID-19, March 30, 2020

The MED notes that failure to follow the social distancing requirements set forth by the state could lead to fines or license suspensions or revocations.

Last month, Denver Mayor Michael Hancock (D) had called for both recreational dispensaries and liquor stores to shut down amid the state’s stay-at-home order which closed non-essential businesses starting March 26. Hancock ultimately changed his order to allow both sectors to remain open “with extreme social distancing.”

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Essential Advice from Leading Women in Cannabis

Current events may have thrown spring 2020 into chaos, but, in recognition of Women’s History Month, we reached out to some of the cannabis industry’s top women founders with a question. Especially in these uncertain times, we can look to and be continually inspired by the bravery and poise shown by leading women in the industry.

The question we posed to them was, “What advice do you have for women looking to make an impact in the cannabis space?”

You can read through their compiled responses below.


“Be true to yourself and don’t be afraid to make waves or start trends. The beautiful thing about the cannabis space is that it has a spirit and is alive – make what you do meaningful and follow your heart. Choose healthful ingredients and remain in the spirit of the plant – inclusive, generous, and unconditionally compassionate. Cultivate your connection with cannabis on an individual level and see what she inspires you to create! Consume and listen. That will make you a better medicine maker for everyone.”

Maya Elisabeth, Founder of Om Edibles


“As a woman in the cannabis industry, you have the power to remind others of their female customers. We are an economic force in this society and we must use it for the benefit of others. Women will eventually exceed men in purchasing cannabis products when there are more products designed for them. The industry is still dominated by white males. You will often be the only non-white male in the room. Make your presence known by contributing a nugget of information at each meeting.  Get to know more than one facet of the industry to make yourself flexible and useful.”

Dr. Genester Wilson-King, Founder and Medical Director of Victory Rejuvenation Center


“For every woman entering the cannabis industry, make it a point to mentor the one behind you. Influence is based on giving people other options for a healthier lifestyle, not you in a bikini smoking a joint. Be Kind and remember to unwind.”

Ophelia Chong, Founder of Stock Pot Images, MOGU.CARE, Asian Americans for Cannabis Education


“My advice is to bring your already established niche or skill set from industry at large and figure out how to transfer those skills into the cannabis industry. My favorite quote is “women who seek to be equal to men lack ambition.” It’s something  I’ve taken to heart, both as a woman and a woman of color. It served me well as an executive in the entertainment industry, and again as I started Apothecarry. Yes, The odds are always against you as an entrepreneur, yes it’s difficult as a female fundraiser — but you have to trust in your ability and capabilities. Some of it becomes a mind game — you  have to shake off anything you hear that tries to consciously or subconsciously limit what you can achieve. That’s also the joy of working in such a new and booming market — You get to blaze a new trail.”

Whitney Beatty, CEO of The Apothecarry Brands, Inc.


“Your ideals should be firmly planted in the terra firma of the origins of this industry while incorporating the science of modern health and wellness with business based in circular economics.  Do not fall into the trap of dog eat dog, buyer beware, profits are everything, “business as usual” outmoded business practices. Modern consumers are and will become more educated on how they spend their money.  They realize their dollars are votes in a new paradigm of social responsibility and community building that includes the planet and everything and everyone on it. In fact, they will spend more to support sustainable businesses who are consciously investing in social equity, quality over quantity, accountability and giving back.   Cannabis businesses that layer modern business practice on top of a foundation in genetic science between people and cannabis will lead the way and remain relevant and prosperous.”

AC Braddock, CEO of Eden Labs LLC


“The greatest advice I have for women in the cannabis industry is the priceless value of being seen. This plant has allowed me to be seen and to pass it on and see others. When you experience the act of seeing others, you cannot lose. Since cannabis is an emerging industry people are so worried about compliance, funding, and marketing their product. All of those things are important, but so are the people who use the product. Other than the 18-35 white male stoner, most people’s cannabis experience has been invisible, not unlike their own personal narrative. When you see all types of people with differing beliefs and life paths seeing themselves in your brand- you have done something more powerful than marketing.”

Olivia Alexander, CEO & Founder of Kush Queen


“Making an impact is a combination of making hundreds of small decisions. My advice is to reflect on what values you want to share with the world. Is it being environmentally friendly? social justice? creating a community? Being focused on your narrative is key to success. Let what you value be the driving force in how you make decisions. We’re all human and only have 24 hours in a day, being intentional with your actions every day creates meaningful impact.”

Mimi Lam, CEO & Founder of Superette


“The cannabis industry is still being created from scratch as we speak, meaning there remains an opportunity to shape exactly how it grows. Cannabis is the vehicle women have been waiting for to smash the glass ceiling, challenge the patriarchal model, and build businesses designed for conscientious capitalism. Don’t just look for work in the cannabis industry. Set your sights higher. Form your own business or collaborate and build companies with other women. Women have a knack for balancing the needs of all stakeholders, including our families, communities, society at large, and the environment. We can change the world with our ideas and successful execution. We are limited only by our own creativity. Embrace the moment, dream big, and rise to the occasion.”

— “The Knox Docs”
Dr. Janice Knox, Co-Founder of the American Cannabinoid Clinics
Dr. Jessica Knox, CEO of the American Cannabinoid Clinics
Dr. Rachel Knox, Co-Founder of the American Cannabinoid Clinics


“Know what business you’re in and be in that business. For example, if you are a teacher, use those skills to teach about cannabis. If you’re an accountant, cannabis businesses need you. If you’re a farmer, grow cannabis. Whatever job held in the non-cannabis sector has a match within cannabis. Getting into cannabis does not mean starting over. It is expensive and hard work, but worth it. Last thing, however much money you think it will take, it takes more. Much more.  Know this upfront because desperate dollars are far more expensive to raise than savvy forecasted amounts.”

— Mara Gordon, Founder of Aunt Zelda’s


“Women and mothers especially are key in cannabis legalization and normalization and stand to have a huge impact on the cannabis space. Collaborating and networking with a wide spectrum of cannabis businesses and drug policy or social justice organizations is critical for success. If those parties aren’t willing to do so, just keep your blinders on, stay focused on your goals and the action items you need to complete to accomplish them.

Leah Maurer, Co-Owner & Editorial Lead of The Weed Blog


“The cannabis industry is still very new! There is an incredible opportunity here for women to get involved now when precedent has not been set – we’re paving the road as we walk on it! The biggest impact can be made by actually following through and turning dreams into reality. This industry is full of powerful females, we’re here to support each other and facilitate the positive development of this industry.”

Lo Friesen, Founder & CEO of Heylo Cannabis


“Be bold and innovative – this industry is still in its early stages to make your mark. To make an impact in the cannabis industry one must honour their reasons for joining,.. we all have our reasons; whether that may be helping patients or raising awareness on the vast medical relief we can offer to making this space more inclusive by offering opportunities to people of colour and diverse backgrounds. Find your true passions in cannabis – the green greed won’t be enough.”

Antuanette Gomez, Founder & CEO of Pleasure Peaks


“Be true to your values and vision. The cannabis industry is incredibly volatile right now, and so many people are jumping in that you need to be careful who you work with and who you trust. Partnerships are absolutely key to success in this industry, and there are a lot of good people out there who would make great strategic partners. Don’t chase the money. Be rooted in a mission, honor your instincts, and keep returning to what you know to be right: integrity, honesty, transparency, generosity, kindness. Find the partners who share your mission, vision and values. Good will prevail and make what you build in this industry more lasting and meaningful.”

Aliza Sherman, Co-Founder of Ellementa


“In my opinion, the greatest impacts come from a deep understanding of the market’s needs. The key is to get exposed as much as possible to the people and products in the cannabis space, be attentive to the existing challenges and understand what needs to be improved. When I speak with our partners, I try to get a deep understanding of what they’re looking for and what the market currently has to offer. Studying this gap allows me to come up with ideas for solutions which Eybna brings into products.”

Lior Chatow MS., R&D Coordinator for Eybna Technologies Ltd.


“Find your tribe! There will be a lot of times where you will find yourself in questionable situations. Having supportive friends and colleagues are invaluable to keeping your sanity and fueling your passion. There will be trials and tribulations, but those situations will help you grow. As the old Mexican proverb goes, “They tried to bury me, but didn’t know that I’m a seed.” All seeds need conducive environments, and as a human seed, your friends and family are your sun and your water. Don’t skimp on the essentials. ;)”

Kristen Yoder, Cannabis Industry BS Detector


“Diversify as much as possible. We must examine our privileges and biases, and work to empower marginalized groups of people across the board. Remember what brought you to this work, and hold that vision. Don’t be derailed by folks that may stand in your way. You fight for the cannabis plant and mother nature, not for the human ego. Be open to having your mind changed and shifts in how you view the world. Stand up and make your voice heard. Go outside your comfort zone and also seek solace with others who share your mission. Find your own unique perspective and gifts you can bring the community. Stay true to yourself and learn all you can. When met with criticism, recalibrate, go forward, and keep moving.”

Sarah Russo, Content Editor & Project Manager of the Society for Cannabis Clinicians


“It’s important to understand what it takes to develop needle-moving business initiatives that foster growth and success. My advice to women looking to break into the space would be to lead through inspiration and a positive attitude, which I’ve seen first hand help with establishing a strong organizational bond that fosters confidence among the entire team. I also think it’s important to not be afraid to take risks and challenge the status quo – you never know where an outlandish idea might get you!”

Ellese Symons, VP of Marketing for Balanced Health Botanicals (BHB)


“Surround yourself with people who are smarter than you and get involved with your local and national grassroots communities. Extremely passionate individuals fought for cannabis regulation by challenging the status quo, and in order to truly make an impact, we must follow in their footsteps. Find what you love and are passionate about within this brand-new regulated industry, whether that’s packaging sustainability, criminal justice reform, branding, marketing and that will ensure you never have to “work” a day in your life.”

Chelsea Johnson, Co-Founder of HUXTON

Photo credit: Kitchensink Studios

“The most crucial thing in the cannabis industry is to find, or create, your community. By having a network of people that you trust, whose values you share, you have the potential to create far greater impact than you would by flying solo. Cannabis is a natural connector, and if you prioritize creating genuine relationships with like-minded people, good things are sure to follow.”

Anja Charbonneau, Founder of Broccoli Mag


We would like to extend a huge thank you to everyone who contributed to this piece. We appreciate the advice you have shared and look forward to seeing more women in leadership roles in our industry!

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Hemp Businesses Eligible for Coronavirus Stimulus Package

State-legal hemp businesses are eligible for aid under the $2.2 million coronavirus stimulus package signed by President Donald Trump last week; however, medical and recreational cannabis firms will not have access to the relief package due to federal cannabis prohibition.

“Under the CARES Act, small businesses can receive loans to cover payroll expenses, health care benefits, employee salaries, rent, utilities and interest on mortgage debt,” according to Vince Sliwoski of the law firm Harris Bricken. “To qualify for these ‘Paycheck Protection Program’ loans, businesses must employ 500 employees or less, including all full-time and part-time employees. Nearly all U.S. hemp businesses fall into this category.”

EcoGen Laboratories Head of Sales Doug Watson explained that the company is working on its own program to help its partners weather the coronavirus storm. The company’s planned program would buy back hemp from farmers. He said he is “hopeful” the stimulus package will help the hemp industry.

“During these stressful times, we are excited to see that the CARES Act includes language that designates relief for farmers and small businesses. Farming comes with certain risks and any assistance from the government will help ease some of the fear in continuing to plant during this pandemic.” – Watson, in a statement

Medical Marijuana Inc. CEO Dr. Stuart Titus said it “remains to be seen” whether CBD companies will have access to funds in the relief package.

Different state hemp programs have different rules regarding CBD and federal rules are muddy, to say the least. The Food and Drug Administration is still devising regulations for CBD and, according to a March 5 statement, the agency is still in the research phase of that process.

In all, 46 states have legalized hemp cultivation and sales and the U.S. Department of Agriculture has approved 12 state programs submitted after the passage of the 2018 Farm Bill. Another 17 states will continue operating under their 2014 pilot programs, while eight others are pending review by the USDA.

In order to be eligible under the CARES Act, hemp businesses must be in compliance with their codified state and federal rules.

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Massachusetts Cannabis Commissioner Wants to Re-Open Adult-Use Dispensaries

Massachusetts Cannabis Control Commission member Shaleen Title is joining advocates and business owners in calling for the state to re-open recreational cannabis dispensaries amid the coronavirus stay-at-home measures. Title said in a statement yesterday that safety measures applied at medical dispensaries – such as sanitization efforts and social distancing – could be used at recreational shops.

The closure of recreational cannabis businesses came last week when Gov. Charlie Baker (R) shut down all non-essential businesses. The governor included recreational dispensaries in the shutdown order due to traffic associated with out-of-state customers.

“Reopening these businesses would provide access to the many adult-use consumers who rely on cannabis for medical purposes.” – Title in a statement

Shanel Lindsay, an attorney who is a member of the Cannabis Control Commission Advisory Board, called for reforms to the cost of medical cannabis cards, rather than advocating for recreational dispensaries to reopen. In a statement, Lindsay pointed out the carDs are “hundreds-of-dollars expensive” making them unaffordable for many would-be patients.

“Though advocates have fought so admirably over the years to remove barriers so that all patients can be treated as such, we already know that, especially in underserved communities, the level of registered patients is far below the actual number of those who use and consume this plant for medical purposes,” she said in a statement.

The group recommended measures to open back up the dispensaries, including limiting sales to Massachusetts residents, establishing exclusive hours for customers 60-and-older, encouraging or mandating pre-order, and utilizing curbside pickup.

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Missouri Legalization Effort Stalls After Stay-at-Home Order

The campaign manager of Missourians for a New Approach – the organization leading the initiative to legalize cannabis in the state – said that the group would unlikely meet the May deadline to turn in its petition due to the state’s stay-at-home order, the St. Louis Post-Dispatch reports.

John Payne did not declare the campaign over, but that the organization is “exploring their options” including an extension for signature-gathering. However, a spokesperson for the secretary of state told the Post-Dispatch that the state constitution does not give the secretary of state the authority to extend the deadline.

“Unfortunately. while there is widespread support from Missourians to tax and regulate marijuana, there is currently no practical way during the COVID-19 outbreak to safely, publicly gather the 170,000-plus signatures needed.” – Payne to the Post-Dispatch

Dan Viets, board chair for Missourians for a New Approach, called it “a terrible setback” after the organization had collected more than 60,000 of the 170,000 signatures it needed to get the question on November ballots.

The group had also raised $400,000 this month – more than half coming from New Approach PAC and $25,000 each from Focus Partners LLC, Holistic Health Capital LLC, and Mid America Asset.

The measure was estimated to raise between $93 million and $155 million annually for the state, the report says.

This is at least the second legalization drive likely stalled by measures implemented to prevent the spread of the coronavirus as Oklahoma paused all ballot initiatives in the state after the declaration of a 30-day state of emergency.

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High Times Set to Acquire Humboldt Heritage and Subsidiaries

High Times Holding Corp. – the owners of High Times magazine – have signed a letter of intent to acquire California-based Humboldt Heritage Inc. and its subsidiaries Humboldt Sun Growers Guild and Grateful Eight LLC., Media Post reports. The deal gives High Times cannabis cultivation, processing, and manufacturing capabilities following a January announcement that the company had procured dispensary licenses in Los Angeles and Las Vegas, Nevada.

Taken together, both moves fall in line with the media company’s planned pivot to becoming a plant-touching business. Last December, the company’s financial filings pointed toward a future in doubt but the following month, former Overstock.com president Stormy Simon was named CEO and hinted that the company planned to shift to cannabis sales and distribution.

Barry Nachshon, Humboldt Heritage CEO, said the deal gives the company’s cultivators “unprecedented exposure to consumers as High Times reaches millions of people all over the world.”

Adam Levin, High Times executive chairman, said he anticipates the Sun Growers Guild farmers will become an integral part of the company’s future cannabis events.

“High Times’ mission is to connect consumers to cannabis — not only the best access and experience, but the best products available to our consumers across the country, and eventually the world.” – Levin in a statement to Media Post

Last year, Hight Times completed a flurry of cannabis-media deals including purchasing DOPE and CULTURE magazines and the Green Rush Daily website. The company, which is still in the midst of launching an IPO and was granted a trading symbol last month, plans on opening its first Los Angeles dispensary this quarter.

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Pennsylvania Seed-to-Sale Glitch Blocks Patient Access

Pennsylvania officials have deemed the state’s medical cannabis businesses as essential and the Health Department has temporarily removed the five-patient cap for caregivers in order to ensure access; however, a technical glitch is preventing patients from registering with new caregivers, according to a Citizen’s Voice report.

The state’s cannabis patient and caregiver registry is managed by MJ Freeway, which said that work was underway to fix the glitch last week but as of yesterday patients could still not register with a caregiver if that caregiver had reached their five-patient cap. Caregivers are allowed to pick up medical cannabis from dispensaries and bring it to patients.

Additionally, the state has implemented curbside pickup for patients and some dispensaries have set aside some of their operating hours each day to serve older and at-risk patients.

Jason Erkes of Cresco Labs told WESA that the adjustments are a “new normal for everyone” but the company is trying to “mitigate risk.” Cresco is encouraging patients to order online, set a time to visit, show their ID, and get their product.

“There are a lot of people that rely on cannabis for their day-to-day wellness and it’s important that we have access for them to get their medicine.” – Erkes to WESA

Pennsylvania has about 153,000 registered patients enrolled in the two-year-old medical cannabis program.

In most states that have declared a stay-at-home order amid the coronavirus pandemic, cannabis businesses are considered essential services; however, in Massachusetts only medical cannabis sales are allowed as officials say recreational sales tempt out-of-staters to travel to Massachusetts and risk spreading the virus.

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Oklahoma Cannabis Petition in Doubt as State Shuts Down Signature Gathering

Oklahoma Secretary of State Michael Rogers has paused all ballot initiative petition signature-gathering efforts in the state putting the cannabis legalization efforts in the state on hold and in doubt, the Oklahoman reports. Gov. Kevin Stitt declared a 30-day state of emergency on March 15 and Rogers halted all campaign efforts until the declaration is “affirmatively withdrawn.”

Ryan Kiesel, a proponent of SQ 807, told the Oklahoman that even after the order is withdrawn it would be “really difficult, if not impossible to imagine a scenario in which an initiative petition campaign could responsibly and feasibly collect the signatures necessary in order to make the 2020 ballot if that campaign doesn’t already have the signatures on hand.”

“It would be irresponsible for anyone to try to collect signatures in this environment. It would put signature collectors in danger and it would put the general public in danger.” – Kiesel to the Oklahoman

The campaign – which aims to change the state constitution – needs to collect 178,000 signatures in 90 days to qualify for November ballots.

Andy Moore, executive director of People Not Politicians, which is seeking to change the way legislative and congressional districts are drawn in the state, said any campaign’s success this election season is “pretty unlikely.”

The secretary of state did not expand the deadline, which remains August 24, and the office typically requires two to three weeks to count and verify the signatures and campaigns like to have a cushion in case they are challenged in court. Moore said he is working with lawmakers to see if they could allow online signature gathering for initiative petitions but because legislative leaders oppose the redistricting and cannabis legalization reforms, it’s unlikely they will allow the process to be conducted online.

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Cannabis Legalization in New York Likely Delayed Due to Coronavirus

As New York lawmakers deal with the fallout of the coronavirus pandemic, it appears cannabis legalization is off the table for this session, according to a Times-Union report. During a coronavirus briefing yesterday, Gov. Andrew Cuomo (D) said the state would likely only be able to pass a “bare-bones” budget as it’s been the state hardest hit by the pandemic.

While Cuomo said during a press conference on Wednesday that he would like to include legalization in the budget, State Sen. Liz Krueger (D), the Senate sponsor of the legalization measure, said the “governor’s staff essentially took marijuana off the table weeks ago.”

“While it is important that we end marijuana prohibition as soon as possible, it is also important that it be done the right way. If that cannot be achieved in the midst of a public health crisis, then we will all be better off waiting. There is no reason we cannot negotiate and pass a nation-leading legalization model when the crisis is over.” – Krueger to the Times-Union

Assembly Majority Leader Crystal Peoples-Stokes (D) told Spectrum News on Thursday that cannabis legalization – and other bills that would positively impact disenfranchised communities – should be passed during the session because the state faces a probable recession as it uses its resources to combat the public health crisis associated with the coronavirus.

Last week, the cannabis bill was amended to include the personal cultivation of up to six plants. According to Peoples-Stokes, staffers and legislative leaders are still holding meetings to determine what should be included in the state’s ‘bare bones’ budget.

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NCIA Reschedules Cannabis Summit

The National Cannabis Industry Association has rescheduled its Cannabis Business Summit and Expo to September 29 through October 1.

The event, which was previously scheduled for June 15-17, will still be held at San Francisco’s Moscone Center.

Aaron Smith, executive director of the National Cannabis Industry Association, said the industry is “used to weathering the worst of storms and thriving in the harshest environments.”

“The health and safety of our members, speakers, exhibitors, sponsors, visitors, and staff is our number one priority. … NCIA is confident that the industry will rise to this occasion and continue to grow and thrive. We assure both cannabis business owners and consumers that we will continue to represent the industry in our nation’s capital and offer support to help you get through the weeks and months ahead. We are dedicated to ensuring that recovery efforts can begin as soon as is safely possible, and the new dates for the Cannabis Business Summit & Expo are specifically timed to help cannabis businesses move forward and thrive with the increasing understanding that we are an essential component of personal, social, and economic health in this country.” – Smith in a press release

All attendee and exhibitor registrations for the original dates will be honored.

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Canadian Cannabis Firm Applies to Conduct COVID-19 Therapy Trials

Canadian Cannabis healthcare technology company Cannalogue has submitted an application to Health Canada to conduct a clinical trial for COVID-19, the disease caused by the novel coronavirus, to determine whether medical cannabis can reduce the symptoms of the disease or any mutant strains of the virus.

Dr. Mohan Cooray, president and CEO of Cannalogue and a specialist in Internal Medicine, Gastroenterology, and Hepatology, said that while the company is “not suggesting with current knowledge of medical cannabis that it is a prevention, treatment or cure” of the disease, “plant cannabinoids have naturally occurring immunomodulatory properties that absolutely require expedited investigation given the current global COVID-19 pandemic.”

“Cannabinoid receptors are naturally found on immune cells in the body. If stimulated prior to an infection, it may dampen the inflammatory response that follows, which is a key factor in the severity of symptoms observed in patients. If we can’t flatten the curve, then we need to focus on reducing the number of deaths.” — Cooray in a statement

The company has launched a website calling for volunteers in the event the trial is approved by Health Canada.

Scientists have long investigated the immunomodulatory properties of cannabis. Some research suggests that THC and other cannabinoids are immune-suppressant — other studies, however, suggest that cannabis can boost the immune system by increasing white blood cell count in patients with immunodeficiency disorders such as HIV.

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New Jersey Supreme Court: Cannabis Patients Cannot Be Fired for Failed Drug Test

The New Jersey Supreme Court has ruled that employees can maintain action under the state Law Against Discrimination against employers if the employee suffers an adverse employment action for lawful medical cannabis use, according to a Mondaq report.

In the Wild v. Carriage Funeral Home case, the plaintiff used medical cannabis with an approved recommendation as part of his cancer treatment and was involved in a work-related car accident. After admitting to being a medical cannabis patient, his doctor did not perform a drug test because he did not perceive the plaintiff to be impaired at the time of the accident.

His employer, however, did require him to undergo a drug test, which he failed and was ultimately terminated.

A trial court ruled in favor of the employer and dismissed the lawsuit; however, the state Appellate Division reversed the decision of the lower court. The Appellate Court found the plaintiff met his burden under the discrimination law by alleging that the employer knew of his disability, need for treatment, and need to take the recommended medication.

The court’s decision indicates that an employee’s mere notification of lawful medical cannabis use to their employer may be sufficient to trigger the employer’s duty to engage in possible accommodations, such as not taking action based on a positive drug test, the report says. The court also noted that while the medical cannabis law doesn’t require employers to accommodate medical cannabis use in the workplace, it does require them to abide the anti-discrimination workplace law with regard to medical cannabis patients.

The court added two caveats to the ruling – that employees who operate heavy equipment may not be protected under the law because the medical cannabis law prohibits patients from operating vehicles or heavy machinery under the influence of cannabis; however, the law does not define “under the influence.”

Ultimately the ruling does not prevent employers from firing a patient who is under the influence in the workplace, it does allow registered medical cannabis patients who test positive for cannabis protection from adverse actions by their employer.

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Washington Cannabis Company Pivots to Hand Sanitizer

Although cannabis companies have been deemed “essential” in Washington state, some licensees have decided to pivot their operations to provide badly-needed supplies in the fight against COVID-19. New Day Cannabis in Newport, Washington is now manufacturing hand sanitizer using an excess stock of ethanol, according to the Spokesman-Review.

Company owner Joe Rammell said the sanitizer will be sold to hospitals and government at a discount.

“We watch the news like everybody else. We really can’t make masks. We can’t manufacture ventilators,” he said in the report.

“You don’t need a chemistry degree to make this stuff, but you need to know what you’re doing.”

The state has identified hand sanitizer and disinfecting sprays on its list of high-demand items to combat the spread of the virus. Rammell said the shift to hand sanitizer will also help keep his workers employed.

Around the world, cannabis companies have stepped up to help aid their communities as the coronavirus continues to spread. Massachusetts’ Central Ave. Compassionate Care is positioned to manufacture hand sanitizer for local hospitals, while Canada’s Canopy Growth and Hexo Corp. are donating face masks and other protective equipment to medical professionals on the front lines of the crisis.

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Coronavirus Could Lead to More States Legalizing Cannabis

While COVID-19 has shaken the global economy, local government bodies are also bracing for extreme revenue shortfalls in the months to come. Business analysts from DataTrek Research believe that the pandemic, however, could lead to the acceleration of state legalization efforts.

“There’s a simple and effective solution for states and cities to help cover their huge budget shortfalls after the COVID-19 pandemic subsides: legalize recreational sales of marijuana.” — Jessica Rabe, co-founder of DataTrek Research, in a written statement

“We’ve been thinking a lot about how life will change post-virus, and one big difference will be that state and local governments are going to encounter large unexpected tax receipt shortages,” Rabe wrote. “That’s particularly true when it comes to sales and income taxes amid stressed consumer balance sheets and massive layoffs. And unlike the Federal government, states can’t print unlimited amounts of money.”

Rabe suggests that traditional revenue-boosting strategies such as increasing income, sales, or real estate taxes could push taxpayers away and further weaken state economies. A brand new taxed and regulated cannabis marketplace, however, would help reinforce state coffers without directly alienating taxpayers. In New York, for example, the state is expecting a massive revenue drop of between $4 and $7 billion from coronavirus’s fallout. Experts conservatively estimate that a legal cannabis market in New York would generate over $1 billion in annual tax revenue, which would make up a significant chunk of the state’s missing revenue.

Rabe warns, however, against over-taxing the already hyper-regulated industry and points to California — where high taxes and regulatory restrictions have allowed unregulated sales to thrive — as a cannabis market failure.

“The economic impact from this virus may be enough for some states, such as New York, to finally get enough votes to pass such legislation,” Rabe wrote. “While we recognize legal marijuana is a controversial topic for many people, the budget shortfalls that COVID-19 will create may sway opinions about the issue.”

Adult-use cannabis is legal in 11 states — Washington, Oregon, California, Nevada, Colorado, Illinois, Michigan, Massachusetts, Maine, Vermont, and Alaska — plus Washington D.C.

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USDA Approves Iowa Hemp Plan

Iowa’s industrial hemp plan has received approval from the U.S. Department of Agriculture and farmers in the state can begin applying to cultivate the crop starting April 1. The plan does not legalize the production or use of CBD, according to the state Department of Agriculture & Land Stewardship.

“This commercial hemp production program does not legalize the use of cannabidiol (CBD) for human consumption, extraction or processing in Iowa. The Federal Drug Administration (FDA) is still working to determine if CBD is safe for human consumption. Hemp grain, hemp seed oil and protein powder derived from hemp grain have been cleared by the FDA for human consumption.” – IDALS in a March 20 press release

Under the state’s rules, all individuals associated with hemp production must be listed on the company’s license and undergo a background check and submit fingerprints.

In all, the USDA has approved 12 state hemp program plans since the passage of the 2018 Farm Bill, which legalized hemp. Another 17 states will continue operating under their 2014 pilot programs, while eight other state programs are still pending review by the agency.

Connecticut and Tennessee are listed as having submitted a plan to the USDA that required resubmission. Other states not pending review are currently drafting plans, according to agency data. Regulators have also approved 14 tribal hemp production plans and list another 16 as under review.

Gov. Kim Reynolds (R) signed the hemp legislation last year. It allows farmers to grow up to 40 acres of the crop.

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Cannabis Books Worth Socially Isolating With

Normally active, social people around the world have been forced to socially isolate themselves in light of the coronavirus pandemic, making this a great time to catch up on that reading list. For years, cannabis buffs had cult classics like Jorge Cervantes’ Growing Marijuana and the beloved cultivation anthologies from Ed Rosenthal. Now, in a post-legalization world, the cannabis enthusiast’s library has grown exponentially. These books could provide entertainment and activities for the remainder of your social isolation:

Higher Etiquette: A Guide To Cannabis, From Dispensaries to Dinner Parties

Decades after the iconic Emily Post set the stage for proper rules of etiquette, her daughter Lizzie Post, President of the Emily Post Foundation, released this guide to cannabis culture etiquette. Read about how to navigate the myriad choices at a dispensary, the proper way to gift weed to a dinner party host, and more in this informative book for stoners and the polite people who love them.

Brave New Weed: Adventures into the Uncharted World of Cannabis

Travel around the world while you’re stuck inside with this international view of the cannabis plant. Join the author on investigative trips to California, Colorado, Amsterdam, and Israel as they attempt to unearth the individual sordid regional histories of prohibition, defamation, and insanity that comes along with the cannabis plant. Be entertained while also learning, Brave New Weed leaves readers thinking about the current state of cannabis business.

Bong Appétit: Mastering the Art of Cooking With Weed

When VICE began producing the television show Bong Appétit, which features professional chefs cooking with a vast kitchen of weed products, it became instant canon in the industry. Now, the MUNCHIES team at Vice has created a compilation of recipes with one main star: cannabis. Throughout the cookbook, read tips from co-hosts Ry Pritchard and Vanessa Lavorato. 

The Cannabis Spa At Home: How to Make Marijuana-Infused Lotions, Massage Oils, Ointments, Bath Salts, Spa Nosh, and More

Many ancient spa remedies included cannabis, many of which are the model for the home treatments explained in The Cannabis Spa At Home. Browse a whopping 75 recipes for lotions, salves, emulsions, and more that can be made right in your own kitchen. The author is an herbalist, autoimmune disease survivor, and California cannabis patient who has used that unique experience to build these timeless ways to treat yourself. 

Humboldt: Life on America’s Marijuana Frontier

Humboldt County is a special place in Northern California where generations of cannabis farmers have existed and sometimes thrived despite prohibition laws. The region’s families, farmers, and cannabis genetics are intriguing for cannabis aficionados and entrepreneurs alike. Author Emily Brady spent a year living with these secretive farming families which allowed her to build a world of fascinating characters while providing a bird’s eye view into life in the Emerald Triangle.

Craft Weed: Family Farming and the Future of the Marijuana Industry

Follow along as author Ryan Stoa makes his case for craft weed in a world where small farms are constantly being challenged by big business. First-person interviews with activists, growers, politicians, and investors lead readers to question whether they care if their weed is sustainable, local, artisanal, or even ethical. Stoa suggests a sustainable, artisanal, local farming model be put in place for cannabis. His solution aims to build a cannabis industry that mirrors the robust Northern California wine country, but is it the right decision? Read Craft Weed to decide for yourself. 

Handbook of Psychotropic Herbs: A Scientific Analysis of Herbal Remedies for Psychiatric Conditions

Investigate the real medicinal value of herbs and plants in this extensive book from Dr. Ethan Russo. Sure, we’re stuck socially isolating and mostly staying inside but a quick walk around our yard or in a neighboring park is safe at a distance from others. Take a walk with this handbook and see if any medicinal plants have been growing in your region all along. It’s a great, fact-filled read for students, psychiatrists, counselors, psychologists, physicians, and anyone interested in herbalism.

The Cannabis Manifesto: A New Paradigm for Wellness

Iconic activist and founder of Oakland’s Harborside Health Center Steve DeAngelo lays out his views on the relationship between cannabis and wellness in this first-hand look at medical cannabis. The advocate explains how he believes that cannabis prohibition has changed the way we look at family, the courtroom, the doctor’s office, and the workplace. Read The Cannabis Manifesto to gain insight on cannabis culture and to build your own idea of what future national cannabis policy might look like.

Whether you’re learning how to use cannabis in the kitchen or the bath, or perhaps about the history of generational cannabis cultivation in Humboldt, these books can keep you company during your period of social isolation. For more, including how-to manuals and business books, check out the rest on our list!

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Utah Gov. Signs Bill to Increase Medical Cannabis Access

Utah Gov. Gary Herbert (R) has signed a medical cannabis bill that allows patients to use letters from physicians to purchase their medicine but only through the end of the year, when the state will begin requiring state Department of Health issued identification cards, Fox13 reports. The measure also reduced the number of doctor visits required for a patient to qualify for the program.

Previously, patients were required to already have the ID cards in order to make purchases but the state Health Department had a backlog of applications, according to Fox13.

Richard Oborn, director of the Center for Medical Cannabis, explained in a statement that under the new, temporary, rules patients making purchases using the physician recommendation letters “must purchase all of their medical cannabis from the same pharmacy until they obtain a medical cannabis card.”

Since March 1, the state Department of Health has issued 1,076 medical cannabis ID cards and 203 medical providers – which includes medical doctors, osteopathic physicians, advanced practice registered nurses, or physician assistants – have signed up to qualify patients for the program, KUTV reports.

Currently, there is only one dispensary operational in the state; another 13 are expected to open by the end of the year. Under the state’s medical cannabis law, eight dispensaries were expected to open by March 1, while the remaining six must wait until July 1. Only Dragonfly Wellness in Salt Lake City was able to open its doors at the beginning of the month.

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Quebec & B.C. Deem Cannabis Essential During COVID Response

Quebec, Canada officials have included cannabis retailers as essential businesses after the provincial government ordered the closure of all non-essential businesses amid the coronavirus outbreak. The order also allows cannabis cultivators, processors, and manufacturers to remain operational because they are suppliers for the now essential cannabis businesses.

In all, there are 40 provincial-run Société québécoise du cannabis (SQDC) shops throughout Quebec and spokesperson Fabrice Giguere told MJBizDaily that, despite the coronavirus outbreak, SQDC planned to open two more stores by next week.

“For the moment we’re not scaling back on the opening hours. We’re closely monitoring the situation which is rapidly evolving.” – Giguere to MJBizDaily

British Columbia officials declared a state of emergency last week and also included cannabis as an essential service. The B.C. Liquor and Cannabis Regulation Branch is allowing retailers to take online and telephone orders for in-store pickup, Dugald Smith, general manager of the Liquor and Cannabis Regulation Branch, told MJBizDaily.

Amid the outbreak, Canada Post said they would no longer deliver packages to residences that require signatures – which includes age-restricted packages such as cannabis deliveries. Under the changes, such packages will be dropped off at a nearby post office and a notice will be left at the residence.

Additionally, at least two private retailers – Canopy Growth and Superette – announced they would close all of their storefronts. Canopy said they would continue selling online.

Canada’s response to the coronavirus outbreak also includes business loans but cannabis companies are not eligible for financial relief.

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Study: CBD Helps Antibiotics Fight Resistant Bacteria

A University of Southern Denmark study suggests that combining antibiotics with CBD can help to fight antibiotic-resistant bacteria, Science Daily reports.

In the study, CBD was used as a “helper compound” to enhance the effect of the antibiotic bacitracin against a staph infection, which frequently causes community- and hospital-acquired disease.

“When we combined CBD and antibiotics, we saw a more powerful effect than when treating with antibiotics alone. So, in order to kill a certain number of bacteria, we needed less antibiotics.” – “Cannabidiol is an effective helper compound in combination with bacitracin to kill Gram-positive bacteria,” Scientific Reports, Mar. 5, 2020

The researchers found that when using CBD as a helper compound the staph bacteria could no longer divide as it normally would, the expression of key genes in the bacteria was lowered, and the bacteria membrane became unstable – which resulted in fewer antibiotics required for treatment.

Janne Kudsk Klitgaard, one of the study authors, said that combining an antibiotic with a helper compound – such as CBD – could lead to overall less antibiotic use which could “contribute to the development of fewer resistant bacteria.”

Last year, Australian researchers found that CBD alone worked as a potent antibiotic killing all strains of antibiotic-resistant bacteria in a lab test. That study found that the bacteria did not become resistant to the CBD even after being exposed to it for 20 days – the period when bacteria can become antibiotic-resistant. However, the study didn’t find CBD to be effective for Gram-negative bacteria which have an outer membrane that prevents most drugs from entering the cell.

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Cannabis Brands Making Sanitizer & Donating Equipment In Coronavirus Fight

Massachusetts’ Commonwealth Dispensary Association is partnering with the Massachusetts Health & Hospital Association to make hand sanitizer and other cannabis companies around the continent are donating personal protection equipment to hospitals amid the coronavirus pandemic.

The CDA estimates that it can produce 5,000 gallons of hand sanitizer per week to donate to hospitals. The organization members have applied World Health Organization Guidelines to its cannabis machinery and the sanitizer will be labeled accordingly so it can be distributed to hospitals by the Massachusetts Emergency Management Agency. The move follows a public health emergency order by Department of Public Health Commissioner Monica Bharel.

The plan was proposed by John Hillier, CDA board member and executive director of Central Ave. Compassionate Care, and founder and president of Gage Cannabis, who said the lab facilities of member cannabis companies are “equivalent” to pharmacies which can produce hand sanitizer during states of emergency.

“I also had the opportunity to visit Lowell General Hospital and observed the production of hand sanitizer in one of their facilities. It was clear to me that hospitals are spending valuable resources producing hand sanitizer when they should be preparing for what’s coming down the road. As an industry, we have the capabilities to step in and allow them to spend more time providing care.” – Hillier, in a statement

In Canada, Canopy Growth Corp. and Hexo Corp. are providing hospitals with face masks, gloves, and bodysuits from their excess inventory, Bloomberg reports. Greenhouse staff often use the same PPE equipment as hospital workers to help prevent contamination.

Jordan Sinclair, Canopy Growth spokesperson, told BNN that the company donated “thousands” of gloves, Tyvek suits, and masks sourced from two greenhouses in British Columbia that the company closed earlier this month.

A Hexo spokesperson told BNN that it had donated 150 N95 masks to paramedic services in Quebec.

Organigram Holdings spokesperson Ray Gracewood said the company had donated 500 liters of ethanol to a New Brunswick manufacturer for hand sanitizer but would be unable to provide any PPE saying they are already at critical levels. Aurora Cannabis Inc., and Tilray also said they were running low on PPE equipment.

WeedMD Inc. indicated plans to switch to alternative facemasks and donate its supply of N95s.

Other Canadian cannabis companies, including Village Farms International Inc., Aphria Inc., TerrAscend Corp., and CannTrust Holdings Inc., told Bloomberg that they were evaluating their PPE stock in order to determine how much they could donate to frontline medical staff.

In California, the Glass House Group is donating 1,000 protective gowns to a Santa Barbara hospital to help protect healthcare workers there from exposure to the virus. According to company president Graham Farrar, the firm also intends to find additional masks for frontline healthcare workers and will donate 5% of product sales to the local food bank during the crisis.

“For years, the majority of the world’s perspective was that the cannabis industry was a bunch of stoners, but the reality is we are an industry with deep roots in the medical aspect of things,” Farrar said.

“When we saw our fellow caregivers in need of personal protective equipment that we had on hand and used in the farm for pest control, we jumped in and did everything we could to help our fellow soldiers in arms helping patients on the frontlines.”

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