Idaho Bans Hemp Ingredients In Animal Feed and Pet Food

9/29/2022

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The Idaho State Department of Agriculture (ISDA) is banning hemp and hemp-derived ingredients in animal feed, pet food, and supplements sold in the state beginning November 1. The move is in consensus with the U.S. Food and Drug Administration (FDA) and Association of Animal Feed Control Officials (AAFCO) which have not approved the use of hemp or hemp-derived ingredients in animal feed. 

“Safe levels of hemp and hemp-derived products in animal feed have not yet been established under federal or state law. As such, these products are not approved feed ingredients and cannot lawfully be added to or incorporated into commercial feed. This includes feeds, treats and remedies intended for pets, livestock, or any other animal.” — ISDA in a July 20 memorandum  

Idaho legalized hemp in 2021 but the ISDA notes that the law “did not legalize hemp in every setting or product type.” The agency indicated it is “working with new hemp licensees and animal feed companies to understand what is legal in the state.”  

“Interest in hemp animal feeds and remedies has grown significantly, and these products are known to be available online and in retail stores,” the ISDA says in the memorandum. “We recognize that some states have adopted laws and rules that allow for hemp to be included in human and animal foods.” 

The agency said it would begin inspecting for hemp and hemp-derived animal feeds starting November 1 and violations will be subject to a stop-sale order and possible “further action” from regulators.  

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Nevada Cannabis Regulators Reject Testing Lab’s Bid to Dismiss Disciplinary Action

9/29/2022

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The Nevada Cannabis Compliance Board (CCB) on Tuesday voted unanimously to reject the motion to dismiss disciplinary action by a cannabis testing laboratory accused of intentionally manipulating testing results to inflate THC levels, the Las Vegas Review-Journal reports. Lettucetest LLC, formally known as Cannex Nevada LLC, now faces disciplinary action and could lose its business license and be prohibited from operating in the industry for a decade. 

The facility first faced a complaint from regulators in January 2021, including more than a dozen violations, the report says. The board found that the testing company also passed samples tainted by microbial contaminants in addition to misreporting THC levels.  

“Rather than protecting consumers through accurate and honest testing, Cannex implemented testing processes that were designed to protect the monetary assets of their clients without regard for consumer safety.” — CCB in the January complaint 

Lettucetest had argued during a special board meeting earlier this month that the charges should be dropped due, in part, to a technicality that since the violations occurred prior to the board’s formation, it doesn’t have the authority to charge them, the report says.  

The facility has previously been suspended twice in 2019 and 2020 when it was discovered it had passed tainted products which were then sold at retail dispensaries. The Nevada CCB complaint indicated it found 232 instances of unapproved retesting of products that had initially failed testing for microbials. 

The company could also face a $62,500 fine.   

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Libertarian Iowa Gubernatorial Candidate Releases Pro Cannabis Legalization Ad

9/29/2022

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In a new ad titled “Dear Kim, WEED,” Rick Stewart, the Libertarian gubernatorial candidate in Iowa, called out Gov. Kim Reynolds (R) over her position on cannabis legalization.  

In the ad, Stewart apparently stood a few miles from the border of Illinois and Iowa and stated that were he to buy cannabis in Iowa he would be “buying it from a crook” but were he to buy it just an “over the bridge” he’d be “buying it from a reputable businessperson.” 

“Our laws today in Iowa put people in rape cages because they smoke marijuana. You’re going to lose your college scholarship, you’re going to lose your job, you’re going to lose your kids, you’re going to lose everything because in Iowa we think cannabis is a gateway drug. Well, gateway to what?” — Stewart in the ad 

Stewart points out that former presidents Barack Obama, George W. Bush, Bill Clinton, and Vice President Kamala Harris have each admitted to consuming cannabis at some point in their lives. 

“A gateway to what?” he muses in the ad, “to the White House?”   

Stewart also appears in front of a corn field and asks why he can grow corn but “can’t grow weed?”  

“They’re both plants,” he says. 

In the ad, Stewart points out cannabis plants growing in a ditch (it’s unclear whether the plants are growing in Iowa or Illinois) and says that “God put them there.” He follows up by asking “Kim” why she thinks she is “smarter than God.” 

“If a farmer wants to grow corn, let him grow corn. If a farmer wants to grow weed, let him grow weed. So, when is the drug war going to end in Iowa, Kim?” he asks before facing the camera and answering his own question. “Easy answer. The day I’m governor.”  

In a July poll from the Des Moines Register/Mediacom Iowa, Stewart had the support of just 5% of respondents. 

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Nidhi Lucky Handa: Consumer-Friendly Cannabis Products Under a Multistate Lifestyle Brand

9/28/2022

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LEUNE is a California-based cannabis company that has expanded into Arizona and Maine since its launch. The lifestyle company was founded by Nidhi Lucky Handa, a former celebrity talent manager, and a luxury brand communications expert. LEUNE brands and sells packaged cannabis flower, one-time-use vape pens, and rosin gummies.

In this written interview, Nidhi breaks down the reasoning behind LEUNE’s branding and market expansion, how they source their products, the quality control that goes into sourcing and branding the company’s consumer packaged goods across multiple states, and more.

Scroll on to read the full interview!

Ganjapreneur: What have you enjoyed about starting a business? Alternatively, what are the hard parts of entrepreneurship that can be glossed over?

Nidhi Lucky Handa: Great question – much of the time founder life creates tunnel vision and laser focus on moving forward, so it’s nice to pause and reflect on the highs as well as the…challenges!

The parts I love are so easy to see in the rear view – building a team, a culture, getting the big ideas from paper to production, celebrating the smallest of victories – but the reality is, I’m learning now that the best parts are actually in the process, in the now. I feel so immensely grateful to have a business in this dynamic industry and to have the opportunity to tell the stories that are important to me with a team I adore and learn from everyday.

The harder parts are the ones you’d expect – making choices that are in the best interest of the company even when they’re at the expense of a part of the vision. It’s a constant pivoting exercise running a business in an emerging industry and that means (sometimes) letting go of the passion projects or putting them on ice for a later time.

When you couldn’t find adult-use products catered to women on dispensary shelves, you identified a gap in the market and decided to create LEUNE. How do you believe LEUNE has filled this gap, and how does its branding and marketing advance this concept?

I was (and still am) less interested in gender and more interested in building something for a consumer (like me and my peer group) who is excited about legal weed, but isn’t/wasn’t being spoken to. I wanted to build something that was aesthetic and stylish, well-priced and high on quality – that’s where LEUNE was born.

We’ve been thoughtful about everything from consumer arc to buying habits. We’ve paid close attention to the consumers who want to initially just dip their toe in the pond but quickly convert to regular customers – we’ve listened closely to what makes folks stick around and what makes them leave.

I’ve put a strong emphasis on the creative spirit at LEUNE because that’s what resonates with me as a consumer. Our campaigns are ethereal, beautiful and relatable all at the same time.

What branding components signal to the ideal cannabis consumer that LEUNE products are for them? How else does the brand engage the consumer in the retail store?

That’s a good question- I believe that consumers who are drawn to LEUNE branding are attracted to the clean, modern, color-blocked aesthetic and simple overall architecture of the brand.

What attracted LEUNE to Maine as you expanded into new markets?

Maine is close to my heart as a Massachusetts native. I spent many a summer holiday in Portland growing up. The food and craft culture are all in such perfect alignment with who we are as a brand – small, unique, happily in our own skin. We were thrilled when the stars aligned and the opportunity presented itself. I love shopping the dispensaries in Maine and soaking in the passion for the plant that the local market clearly hones in on.

Did LEUNE complete any market research before releasing products in Maine? What research tools or resources were helpful during the expansion?

Yes, of course! We do so for every market. We look carefully at existing brand presence, product assortment, price points and quality. In order to build out a plan and product assortment that fits well for the market in question we do extensive research. In terms of tools, we talk to experts in the market, visit stores and go through retail menus – it’s the most accurate and up to date way to get this kind of data – albeit very time consuming.

What is Honestly Grown, and what moved the team to create the publication?

Honestly Grown is LEUNE’s quarterly lifestyle magazine. It focuses on raising the bar surrounding the conversation on cannabis. With activism and social justice at its forefront, Honestly Grown aims to bring awareness to the reader through interviews, anecdotal submissions, art and education.

We were inspired to create a magazine because we wanted to use our creative resources to highlight the importance of social justice in cannabis, such a s restorative justice for those still currently incarcerated for nonviolent cannabis crimes. We are also aiming to destigmatize conversations around cannabis and promote conversations that normalize the plant in every way.

Why did the brand choose to expand its product offerings, and what dictated that the new product would be a gummy candy?

From inception it was always clear to me that LEUNE would be vertical agnostic – even at launch with four SKUs, it was two all-in-one vapes and two pre-rolls.

We are proudly a consumer-first brand – and in an industry that is so young and constantly evolving, we want to listen to the consumer and understand what, why, where and how often they want to consume. In order to do that, we have to give them choice and pay attention to the evolving use-case of different form factors.

As for the gummies – those took the most R+D, time and iteration to get right, and I couldn’t be prouder. Rosin, gluten free, vegan, taste GREAT…they check all the boxes of a discerning consumer.

Who is your manufacturing partner in California? How do you oversee quality control using an offsite manufacturing facility?

We’ve worked with over a dozen facilities across the state to ensure LEUNE products stay on the shelf! We’ve learned so much about the importance of super buttoned up, specific SOPs and rigorous QA/QC check-ins over the years. It’s essential that brands stay vigilant and particular about the consistency of the products to ensure that customers have a great experience again and again.

How do you manage quality control as you’ve expanded into new markets? Can a consumer expect the same quality pre-roll from a California and Arizona dispensary?

As a brand this is of utmost concern and care. We vet our partners through-and-through.

Does LEUNE use sales teams, software, or a combination of the two to reach its retail partners?

It looks a little different in every market. Here in CA, LEUNE products are distributed and sold by a full service distributor. With that relationship we have access to a robust team of professionals throughout the state who can reach all corners of California.

When a new store puts in an order, does the brand educate retail staff before the products hit shelves?
ABSOLUTELY! Education (at every level) is the most important part of sales in my opinion! Ensuring that the budtenders are able to speak to the UVP of the brand is essential to strong sell through and retention.

What types of cannabis products do you think will gain popularity among California consumers in the coming year, and why?

​ROSIN GUMMIES! Consumers are starting to learn the benefits of rosin in edibles – no more distillate hangover for starters. It’s a game changer and once you try a better quality product (like LEUNE Gem Drops) it’s impossible to go back.

Do you have advice for entrepreneurs interested in building a consumer-focused brand?

The cliche is true – be authentic, find a problem and fix it, know what your UVP is!

Thanks again, Nidhi, for answering our questions! Our readers can visit LEUNE.co to learn more.

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Canopy Growth Divests Its Retail Businesses Throughout Canada

9/28/2022

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Canadian cannabis company Canopy Growth Corporation on Tuesday announced that it is divesting itself of its retail cannabis businesses across the nation, including its stores operating under the Tweed and Tokyo Smoke banners. The company said the move reinforces its “focus on advancing its path to profitability as a premium brand-focused cannabis and consumer packaged goods company.”  

In a statement, CEO David Klein described the plan as “the next critical step in advancing Canopy as a leading premium brand-focused [consumer packaged goods] cannabis company while furthering the company’s strategy of investing in product innovation and distribution to drive revenue growth in the Canadian recreational market.” 

Under the agreement, OEG Retail Cannabis (OEGRC), an existing Canopy Growth licensee partner that currently owns and operates the company’s franchised Tokyo Smoke stores in Ontario, will acquire all Tokyo Smoke-related intellectual property. Canopy said it has also reached an agreement with 420 Investments Ltd. in which 420 will acquire the ownership of five retail locations in Alberta.  

Both transactions are subject to regulatory approvals and other customary closing conditions. 

“By realizing these agreements with organizations that possess proven cannabis retail expertise, we are providing continuity for consumers and team members. Through the best-in-class retail leadership that OEGRC and 420 have demonstrated, they will continue to serve Canadian consumers with the high-quality in-store experiences that are essential for success in a new industry.” — Klein, in a statement 

The plan will also terminate Canopy’s master license agreement with Alimentation Couche-Tard Inc. with respect to the use of the Tweed brand for brick-and-mortar retail stores operating in Ontario. 

Canopy will, however, continue to own and operate the Tweed brand.  

The company indicated that all of its retail workers would continue their employment under the new regime.  

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New York Receives More Than 900 Retail Dispensary Applications

9/28/2022

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New York regulators received more than 900 adult-use retail cannabis dispensary applications before the application window closed on Monday, Syracuse.com reports. The state plans to initially issue up to 150 conditional adult-use retail dispensary licenses in the first round of licensing; however, state regulators have yet to promulgate industry rules.

Individuals who qualify for the conditional licenses must have been arrested in New York for a cannabis offense (or have a family member who was) prior to March 31, 2021, and have operated a profitable business for at least two years. Licenses will also have access to storefronts that are currently being secured and will be built out into dispensary spaces by the Dormitory Authority of the State of New York (DASNY), the report says.

A Siena University poll in March found a majority of New Yorkers – 54% – oppose the plan to give the first batch of adult-use licenses to social equity applicants.

The state also plans to grant 25 licenses to qualifying nonprofits but those organizations won’t have access to the DASNY properties or the state’s $200 million social equity cannabis investment fund.

The state plans to award the licenses by region. According to Office of Cannabis Management plans, the Manhattan region is set to receive the most licenses (22), followed by Long Island (20), Brooklyn (19), Mid-Hudson (17), Queens (16), Western New York (11), the Bronx (10), Finger Lakes (9), Central New York and the Capital Region (7 each), the North Country (4), Staten Island and the Southern Tier (3 each), and the Mohawk Valley (2).

While the timeline for the rollout of adult-use dispensaries has shifted from before the end of the year to potentially the middle of next year, the report notes that state officials still expect the first conditional adult-use retail dispensary to open before year’s end.

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Arkansas Supreme Court Approves Cannabis Legalization Question for November

9/28/2022

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The Arkansas Supreme Court last week ruled the state’s adult-use cannabis ballot initiative can appear on November ballots, the Associated Press reports. The ruling came after Responsible Growth Arkansas asked the court to reverse an August decision by the state Board of Election Commissioners that said the measure could not appear before voters in November because of a title language technicality, despite the group having collected more than enough signatures. 

“The people will decide whether to approve the proposed amendment in November,” Justice Robin Wynne wrote in the court’s ruling.

The court had allowed the initiative language to go forward in August while it decided the case. In the meantime, state Attorney General John Thurston, who chairs the Board of Election Commissioners, agreed with the Board and said the initiative could not be considered in November. 

“We’re extremely grateful to the Supreme Court that they agreed with us and felt like it was a complete validation of everything we’ve done,” Steve Lancaster, an attorney for Responsible Growth Arkansas, told the AP. “We’re excited and moving on to November.”

Arkansas passed a medical cannabis constitutional amendment in 2016. If approved, the adult-use law would allow Arkansans aged 21 and older to purchase up to an ounce at regulated dispensaries.

The court also struck down the 2019 law that gave the Board of Election Commissioners the authority to approve ballot measure language. That task now falls to the state attorney general, the report notes.

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Cannabis Crossing Borders: Global Flower Trade in 2022

9/28/2022

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Editor’s note: This guest article was contributed by Michael Sassano, CEO and Chairman of the Board for Somai Pharmaceuticals LTD, a European pharmaceutical and biotech company.

As you read this, cannabis flower is soaring from country to country. That’s right — cannabis is a global market breaking through borders. As expected, lower-cost-producing countries and regions are fast becoming the go-to suppliers for higher-cost, wealthier zones. Globally, what was discussed for years is coming to fruition. Let’s consider the state of the six major worldwide cannabis growing markets: the United States, Canada, South America, Europe, Africa, Australia, and Asia.

The United States cannabis market keeps to itself

The U.S. is a series of closed state markets that do not allow the crossing of state borders with regulated cannabis products. While a small emergence of DEA-registered pharmaceutical growers that produce medical APIs can cross state and international borders as registered medicines like Groff North America, these are rare. The U.S. has continuously operated a closed pharmaceutical model.

Canadian cannabis costs negate global early entrant advantage

Canada is still the heavyweight of export and based its entire overbuilding and overgrowing models on a robust international trade future look. Unsurprisingly, money moved faster than the cannabis regulations worldwide. The public markets have suffered since 2019 from this fiscal hangover and continue to do so. Three years later, the Canadian survivors are those who have become the largest exporters and feed the local markets.

While Canadian genetics may be superior to emerging countries, their costs are much higher, and other countries have learned from their mistakes. Canada is the home base for several global leaders like Canopy Growth Corporation, who paved the paths of the worldwide market. Still, volumes and lower costs from other countries are quickly chipping away at Canada’s first-mover advantage, which spells more woes for Canadian producers.

South America works to match world cannabis demand

South America quickly adapted to the progress in cannabis of their latitudinally northern neighbors. South American market entrants understand that not only is their climate more beneficial for growing, but they can also secure labor and general costs at a premium compared to North American markets.

Uruguay emerged as the self-proclaimed global distributor for South American cannabis and made regulations beneficial to achieve that goal. Large cultivators like Fotmer Life Sciences call Uruguay home. Columbia was also proactive in supporting the cannabis trade and hosts public companies like Clever Leaves and Khiron Life Sciences Corp. They are leaders in the European Union in bringing products and distribution models to the global cannabis market. Increasingly, more and more products are making their way from South America and around the globe to feed the increasing worldwide demand for cannabis.

Outdoor farms are the cheapest and most sustainable source of cannabis but many U.S. markets have forced licensed cultivators to operate indoor-only grows.

All eyes are on the European green wave

Europe is the most-watched cannabis-growing region to date. Beneficial regulatory environments steadily increase demand, drawing growers worldwide, and local production ramped up. Countries like Portugal cemented their position as the largest cannabis cultivators and exporters in the EU early on. Portugal hosts 19 working facilities and powerhouses like Tilray Inc. It has over 100 additional pre-license applications in the works and exported over 30 tons of product in 2021 — a figure it has already exceeded in the first half of 2022. These products reach countries like Germany, the United Kingdom, and almost every EU country with good regulatory frameworks for cannabis, in addition to countries like Israel, Australia, and other emerging cannabis markets. The EU will become the second-largest regional market and a serious worldwide competitor in the next few years. All eyes are on Europe and the countries within vying for position.

Africa emerges on the cannabis world stage with significant advantages

Africa — especially South Africa and Lesotho — has become a powerhouse of large-scale growing operations designed to export into the global markets. Initially, Canopy made significant investments there, which they later divested. Still, the local market smelled green. There are roughly 70 operating licenses in the south of Africa, and their low production costs have attracted buyers in Israel, the EU and Australia. Leaders like MG Health and Highlands Investments call Lesotho and South Africa home, respectively. With countries like Morocco going legal and a robust agricultural labor force throughout the region, more African countries are expected to emerge as lower-cost cultivation facilities.

Australia has a big appetite for cannabis imports

Australia was an early adopter on the opposite side of the globe from North America. Not only does Australia have a good infrastructure for home-grown products, but demand has been so robust that they are a large importer. Australia is home to many global companies like Little Green Pharma. Their neighbors in New Zealand are expected to improve their regulatory framework, which will open more trade for Australia. Australia is expected to be a large importer as demand in the region is outpacing local production infrastructure.

Asian cannabis market rocked by Thai entry

Finally, Asia is heating up with the entry of Thailand onto the international cannabis scene. Thailand cultivators came out of nowhere this year and have been making their presence known on the global markets with boasts of the lowest cost of production anywhere in the world. There are yet to be public figures to easily verify this claim since this is all so new, but let’s have some faith and see what comes from Thailand. Unsurprisingly, countries famous for cannabis genetics pre-legal global world have the edge over northern latitude countries. South America, Africa, and Thailand are well known for having suitable climates and lower labor costs that cater to healthy cannabis growth.

At the crossroads of Europe, Africa and Asia, we would be remiss to skip over Israel’s Asian impact. Israel remains the largest market in the region with over $250 million in sales and is one of Asia’s oldest legal cannabis markets. Israel hosts global companies like Tikun-Olam and BOL Pharma.

Cannabis will continue to increasingly criss-cross the globe

Cannabis is sweeping the globe in airplanes from lower-cost producers and mature markets sharing their great genetic flower power. Demand is increasing worldwide, and growers are becoming much more agile to adapt to new markets and produce properly regulated flowers for export and import. What was once a prophecy of a greener international market is now a reality that is only growing faster and more robust.

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Australia Fines Three Medical Cannabis Companies Nearly AUD$1M

9/28/2022

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Australia’s drugs regulator, the Therapeutic Goods Administration (TGA), on Tuesday issued 73 infringement notices totaling $972,360 to medical cannabis companies that claimed their products could treat serious medical conditions, including cancer and epilepsy. 

MGC Pharmaceuticals Ltd was issued 23 notices totaling $306,360, Cannatrek Ltd was issued 22 notices totaling $293,040, and Little Green Pharma Ltd was issued 28 notices totaling $372,960 for the alleged unlawful advertising of medical cannabis products on their websites and social media platforms. The TGA said that some of the ads in question “suggested or implied that particular medicinal cannabis products were recommended or approved by a government authority.” 

“Advertising of prescription-only medicines directly to consumers undermines the doctor-patient relationship and may create an inappropriate demand for particular medicines which may not be right for the individual. Businesses can advertise prescription-only medicines exclusively to health professionals as long as those advertisements are not accessible to the public.” — TGA in a press release 

The TGA said, “the use in advertisements, of claims about a serious disease or condition, is also unlawful without express permission from the TGA because Australians facing a serious disease or condition are a particularly vulnerable consumer group.” 

In a statement to the Guardian, MGC said it “cooperated fully with the TGA to remedy the issues raised, including removing all posts of concern from its social media channels, some of which were third-party posts, and placing the company’s website into maintenance.” 

The company’s website on Wednesday remained under maintenance with a note that it “is going through a rebranding.” The websites for Cannatrek and Little Green Pharma remain online and functional. 

All dollar figures in AUD. 

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Hempcrete Approved for U.S. Residential Construction

9/27/2022

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Hempcrete was approved for the model U.S. residential building code during a hearing last week overseen by the International Code Council (ICC), HempBuild Magazine reports. The material was approved as an appendix for the 2024 International Residential Code (IRC), which governs U.S. residential building codes for 49 out of 50 states.

The new code, set to be published formally in 2023, will feature Hemp-Lime (Hempcrete) under “Appendix BA.” Specifically, hempcrete was approved as a non-structural wall infill system similar to cob and straw bale construction, according to the report. The approval applies to one- and two-family dwellings and townhouses and should increase the availability of hemp-based building materials and facilitate greener construction projects around the U.S.

Hempcrete is a popular alternative to concrete that is made from a mixture of hemp stalk hurds and lime. It creates a fire-resistant fibrous insulation wall that also acts as a moisture regulator. Additionally, because it is made from hemp — an organic material — hempcrete is considered a carbon-sequestering construction material which further improves its sustainability.

The successful application to certify hempcrete for the IRC was submitted by the U.S. Hemp Building Association after having raised more than $50,000 and working alongside a committee of civil engineers, hemp-lime builders, architects, and other experts. CoExistBuild’s Ana Konopitskaya, a Pennsylvania-based architect who helped write the application, told HempBuild Magazine that “including hemplime” in U.S. residential construction codes was “of paramount importance.”

“It will allow architects like myself, focused on sustainability, to specify this product in any municipality across the U.S.” — Konopitskaya, via HempBuild Mag

While hempcrete will be available to most home construction projects in the U.S., it remains prohibited from commercial projects until at least 2025 — that is when officials are set to renew the International Building Code (IBC), which governs any occupancies not covered by the IRC.

The construction material has long been used in France and more recently in Canada but federal hemp prohibition in the U.S. kept it out of official building codes for decades despite its uniquely sustainable properties.

The U.S. legalized hemp at the national level in 2018.

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Missouri Cannabis Sales Could Hit $300M During First Few Years

9/27/2022

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Missouri’s adult-use cannabis industry could generate between $250 million and $300 million in sales during the first few years of sales, according to Beau Whitney of Whitney Economics, who also estimates the state industry could grow to $800 million and $900 million by 2025 as individuals shift from the unregulated market to the regulated market.

“Consumers are extremely price sensitive when it comes to cannabis purchases. But they’re willing to pay a premium to do things in the legal market, just as long as that premium is not excessive. The sweet spot really is 10 to 15% premium above the illicit market price.” — Whitney to KCTV5 

If the sales reach those initial projections, Whitney said, the state would reap about $81 million in taxes over the first few years alone.

Currently, the unregulated cannabis trade in Missouri is worth about $2 billion, the report says. 

Missouri voters in November are set to decide whether to legalize cannabis for adult use and internal polling by advocacy groups suggests the reforms will pass. Separately, a SurveyUSA poll released in May found 62% of Missourians back the reforms, including 76% of Democrats (14% opposed), 49% of Republicans (38% opposed), and 66% of independent voters (20% opposed). 

The initiative has received pushback, though, from a coalition backed by Democratic state Rep. Ashley Bland Manlove who argues that “people from politicians to Bob on the street didn’t know the details” on the proposed constitutional amendment, which she described as exploitative. The organization, Canna Reform Coalition, also counts members of cannabis businesses as its backers. The group is criticizing the proposed constitutional amendment for not offering social equity provisions and for civil penalties included in the question, including a $100 fine for smoking cannabis in public.

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South Carolina Farmer Sues State Agencies Over Destroyed Hemp Crop

9/27/2022

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A South Carolina farmer is suing several state agencies claiming that they conspired to deny him his due process rights after authorities destroyed his hemp crop in 2019, which was cultivated in unregistered fields, the Associated Press reports. In the lawsuit, John Pendarvis argues that the South Carolina Law Enforcement Division (SLED), Department of Agriculture, and attorney general’s office denied him due process after agriculture department officials found unreported hemp crops during a check of his property. 

Pendarvis claims in the lawsuit, which was filed on September 16, that he had filed an amended hemp application with regulators that indicated droughts had forced him to move his crop’s location. However, Derek Underwood, assistant commissioner of the Agriculture Department’s Consumer Protection Division, claimed that Pendarvis’ moving of the crop was a “willful violation” of the state’s hemp farming program, according to emails shared in the complaint outlined by the AP. Underwood subsequently sought approval to destroy the crop, the report says. 

In the lawsuit, Pendarvis says the legal mechanism for seeking such approval is unclear which is why he argues the government violated his due process rights. Under the state’s hemp law, registered farmers must report their hemp crops’ coordinates to the South Carolina Department of Agriculture and cannot grow plants that exceed the federal THC limits. Farmers are also required to correct any negligent violations. 

Pendarvis, a fourth-generation farmer, is the first person charged with a misdemeanor crime under the North Carolina hemp farming program. 

In emails included in the lawsuit, South Carolina Solicitor General Adam Cook describes the enforcement mechanism in the state law as “ultra-murky,” giving “no direction whatever to law enforcement.” In the emails, the state attorney general’s office advised the South Carolina Law Enforcement Division to “seek judicial authorization” to ensure Pendarvis “receives due process,” according to the documents reviewed by the AP. 

After SLED was unable to get a local judge to sign their seizure and destruction order, agents – without detailing their intent to destroy the crop – secured an arrest warrant for Pendarvis from another magistrate. Emails included in the complaint show that SLED agents took this action despite the original judge offering to hold a hearing in the matter, which SLED’s general counsel Adam Whitsett declined.  

Officials in the attorney general’s office then amended their guidance to agree with SLED’s interpretation that the hemp farming participation agreement – which allows the destruction of crops grown in an unlicensed area – amounted to the “valid consent” necessary to pursue their plan. Pat McLaughlin, Pendarvis’ attorney, told the AP that nowhere in the participation agreement do farmers waive their right to challenge such claims. Pendarvis also claims the agents denied his repeated requests to call his attorney.  

In an emailed statement to the AP, South Carolina Attorney General’s Office Communications Director Robert Kittle said the lawsuit “lacks merit.” 

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Few Using Services Provided Under Oregon’s Drug Decriminalization Law

9/27/2022

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Following the drug law reforms in Oregon – which decriminalized possession of all drugs and sent millions of dollars to drug treatment programs – few individuals are utilizing services to help them with their addictions, according to an Associated Press report. According to Oregon Health Authority (OHA) figures, of 16,000 people who accessed services during the first year of decriminalization, only 0.85% entered treatment, 60% received “harm reduction” like syringe exchanges and overdose medications, 15% got housing assistance, and 12% obtained peer support.

Steve Allen, behavioral health director of the OHA, said during testimony before lawmakers last week that the state has sent more than $302 million to facilities to help people with their addiction or help them use drugs safely, such as needle exchanges.

The voter-approved law is the first of its kind in the nation and supporters argued that decriminalization would keep people out of prison and urge them to seek treatment; however, since the passage of the reforms, fatal overdoses increased by nearly 20% over the previous year, the report says.

Under the law, people caught possessing drugs receive a citation, with the maximum $100 fine waived if they call a hotline for a health assessment. However, an investigation by Oregon Public Broadcasting found that most of the more than 3,100 tickets issued so far have been ignored and few people have called the hotline.

During his testimony to lawmakers, Tera Hurst, executive director of Oregon Health Justice Recovery Alliance, which is focused on implementing the voter-approved law, called the millions of dollars in funding – which comes from cannabis taxes – a “pivotal moment” and that as the program is still in its nascent stages it’s important to focus on “just building a system of care to make sure that people who need access can get access.”

“Measure 110 is launching,” he said, “and will provide critical supports and services for people, families, and communities.” 

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Nation’s Largest B2B Event for BIPOC Cannabis Professionals Returns to New Orleans

9/27/2022

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From November 3-5, Black CannaBiz Expo will feature 40+ influential speakers and welcomes company partners including Curaleaf, Wana Brands, 5th House Farms, Cresco Labs, and others

NEW ORLEANS, September 27, 2022 – Black CannaBusiness Conference LLC is pleased to announce the third annual Black CannaBusiness Expo & Conference (“Black CannaBiz Expo”), the only B2B conference for Black and Brown professionals in cannabis. The event, which attracts the largest gathering of BIPOC cannabis professionals, takes place November 3-5, 2022 in New Orleans to focus on the Southern Gulf Coast as regional changes in cannabis legalization take hold.

Black CannaBiz Expo & Conference is a first-of-its-kind networking, education and career-advancing conference and expo specifically curated for BIPOC individuals in the cannabis space. The business community-focused conference will feature keynote addresses and fast-paced workshops and break out sessions presented on an open platform for quick, tangible takeaways. More than 40 influential speakers will take the stage for enlightening and educational discussions focused on the state of BIPOC cannabis business, from social equity and policy, to capital funding and cultivation.

Attendees will have the opportunity to connect with solution providers and go-to experts in cannabis during the Black Cannabiz Expo, the largest expo for BIPOC exhibitors.

“As we head into our third year, we are excited to be introducing new speakers as well as unique and exciting networking and educational opportunities for our exhibitors and attendees,” said Kristi Price, Founder and CEO of Black CannaBiz Expo. “Our goal every year is to create a safe and productive place not only for people of color, but for everybody in the cannabis industry that believes in inclusion and justice.

“At Curaleaf, we are looking for ways to continue expanding access to our company and the cannabis industry at large,” said Raheem Uqdah, Director of Corporate Social Responsibility at Curaleaf. “Minority communities have shouldered the burden of cannabis’ prohibition and deserve to reap the benefits of regulation both medically and financially. We are honored to be a part of the Black CannaBiz Expo and its continued success as a hub of learning and networking for BIPOC professionals who are looking to be a part of this incredible industry.”

Adding to the depth of the event, is the list of keynote and featured speakers that includes some of the best and brightest BIPOC voices in cannabis. The conference is excited to announce Chris Ball, the Founder of Ball Family Farms, Inc., the first vertically integrated, minority-owned, Social Equity commercial cannabis facility in Los Angeles, Toi Hutchinson President and Ceo at Marijuana Policy Project and Gary Chambers Jr., US Senate candidate and , native son of Baton Rouge, Louisiana. The event will also welcome Mr. John Bailey, CEO & Principal of The Bailey Consulting Network, Chair of the Colorado Black Round Table and the Founder and Lead Convener of the Black Cannabis Equity Initiative (BCEI).

Black CannaBiz Expo will be hosted at the recently renovated, state-of-the-art Ernest M. Morial Convention Center in New Orleans, Louisiana. Tickets are on sale now and can be purchased on the Black CannaBiz Expo website. To learn more about attending, exhibiting, sponsoring or speaking at Black CannaCon, please visit https://blackcannabizexpo.com or email support@blackcannabusiness.com. Submissions for speaker proposals close September 30th, 2022 and applications can be found here.

About Black CannaBusiness Magazine
Black CannaBusiness Magazine is a subsidiary of KRMA Media Inc, a Black woman-owned multi-media company helping Black professionals accelerate their involvement in the cannabis industry through the distribution of curated B2B content, the production of experiential events and the development of original video programming. Our sponsors prioritize diversity and are committed to doing their part to create a more inclusive industry.

About Curaleaf
Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf”) is a leading international provider of consumer products in cannabis with a mission to improve lives by providing clarity around cannabis and confidence around consumption. As a high-growth cannabis company known for quality, expertise and reliability, the Company and its brands, including Curaleaf and Select, provide industry-leading service, product selection and accessibility across the medical and adult-use markets. In the United States, Curaleaf currently operates in 21 states with 136 dispensaries, 26 cultivation sites, and employs over 6,000 team members. Curaleaf International is the largest vertically integrated cannabis company in Europe with a unique supply and distribution network throughout the European market, bringing together pioneering science and research with cutting-edge cultivation, extraction and production. Curaleaf is listed on the Canadian Securities Exchange under the symbol CURA and trades on the OTCQX market under the symbol CURLF. For more information, please visit https://ir.curaleaf.com.

Media Contacts
Black CannaBusiness
Octane PR
Sophia Thay, Director of Business Development
media@OctanePublicRelations.com

 

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Bloom Announces 90% Increase in Cannabis Trimming Speed

9/27/2022

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Artificial Intelligence Doubles Human Processing Capabilities

WOBURN, MA – Bloom Automation Inc., an agri-tech company specializing in cannabis trimming equipment, today announced a 90% increase in their trimmer’s processing speed, as enabled by new artificial intelligence algorithms.

The Bloom trimmer — which uses a robotic arm and visual sensors to trim leaves from cannabis flowers — incrementally improves its capabilities using machine learning. The leap in performance is a culmination of a larger dataset of images, thousands of hours of software R&D, and a faster graphic processing unit (GPU).

“Our updated machine processes cannabis at approximately twice the speed of a human trimmer, moving us that much closer to Bloom’s vision of hand-trimmed-quality at an industrial scale,” said Jon Gowa, CEO and Founder of Bloom.

Bloom Automation’s system requires little attention from the operator, allowing personnel to perform additional tasks while the machine runs. Gowa estimates that a single technician can operate six Bloom trimmers — effectively performing the work of 12 employees.

“The AI has expedited the analysis of a frame of data from 15 seconds to 1 second, now down to just 0.1 seconds,” said Gowa. “It can distinguish flower from leaf almost instantaneously — hence the advancement in speed.”

Unlike other machine trimmers and standard hand-trimming processes, the Bloom system trims without detaching the flowers from the stem. Each stem is suspended vertically while a robotic arm shears away leaves. Gowa reports that this method prevents damage to the valuable flowers and preserves the plant in a form that is as close to its original state as possible.

For more information about cannabis trimming or the science behind Bloom Automation, contact Shannon Hagerty, Marketing and Business Associate, at info@bloomautomation.com.

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Georgia Awards Two Medical Cannabis Licenses

9/27/2022

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The Georgia Commission for Access to Medical Cannabis has awarded its first two medical cannabis production licenses, The Current reports. The licenses to cultivate, process, and sell low-THC medical cannabis oil was awarded to Trulieve Georgia Inc. and Biological Sciences. Trulieve is building its cultivation facility in Adel and Biological Sciences is building west of Savanna in Glennville.

The announcement comes seven years after Georgia lawmakers decriminalized low-THC oil in the state. While the bill legalizing the oils was originally passed in 2015, it provided no legal way for producing the product. In 2019, the Legislature addressed the issue by creating a licensing structure and, more than a year ago, Georgia awarded six of those licenses. However, the licenses were put on hold after some applicants claimed the selection process had been unfair and arbitrary, the report says. Gov. Brian Kemp (R) ultimately set aside $150,000 from the governor’s emergency fund to hold hearings for those applicants who were not awarded licenses.

Trulieve Georgia President Lisa Pinkney told The Current that the company will begin work immediately to provide oil to patients. 

“The Georgia team is hard at work to begin operations as soon as possible to ensure those in need have access to Trulieve’s line of products. We’re also excited to share that Trulieve’s operation and its ancillary business partners are projected to create a wide range of jobs in the state as the business grows.” — Pinkney to The Current 

The company plans on initially opening five dispensaries throughout the state.

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Michigan State Police Refuse to Elaborate On Faulty Cannabis Blood Testing

9/26/2022

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Michigan State Police (MSP) are not offering any comment or follow-up after halting blood tests for cannabis late last month after discovering false positives for THC in the protocols. In a statement following the initial report, Shanon Banner, manager of the Public Affairs Section for MSP said the agency was “immediately halting the processing of all THC blood samples” out of an “abundance of caution” as the agency worked “to learn more” or “institute another validated method of testing to ensure accuracy.”

On August 31, the agency halted the testing following an interview with MSP Toxicology Unit Supervisor Geoffrey French by freelance reporter Eric VanDussen in which French confirmed that his department’s testing for THC levels in blood samples was unreliable and that the MSP Forensic Science Division had been using the faulty testing process for more than 20 years.

Last week, MLive asked Banner for an update, to which she responded that the “August 31 statement is still the most current information” the agency has to share.

In the statement, MSP estimated that there are more than 3,000 cases that could be impacted by faulty THC blood tests but that any drug tests that confused CBD and THC prior to March 28, 2019, are moot because hemp remained outlawed in Michigan.

“CBD, which is structurally similar to THC, was illegal in Michigan until March 28, 2019,” state police said in the statement. “Since that date, however, CBD, which is reported to have no psychoactive properties, has been legal under Michigan law.”

Arthur J. Weiss, president of the Criminal Defense Lawyers of Michigan, told MLive that he is “troubled by the way this was rolled out and the lack of transparency and information that’s been given to us.”

“There have been a number of people in the defense community for years that have indicated the crime lab should be an agency and department independent of the Michigan state police, because we’re concerned about the potential institutional bias and wondering whether this is the type of situation that reinforces that belief,” he said.

Criminal defense attorney Michael Nichols told MLive he has been “calling this to the attention of judges all over the state” for years and he doesn’t believe the state police crime lab first learned about the problem last month. He theorizes that judges and juries have ignored the problem because “they want to make their criminal justice partners… happy.”

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Guam Approves First ‘Responsible Official’ Cannabis ID Cards

9/26/2022

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Guam cannabis regulators have approved the island’s first credentials for its adult-use cannabis industry, the Pacific Daily News reports. The Cannabis Control Board today approved the “responsible official” cannabis identification cards for David Cruz, from Pacific Cultivation, and Stephen Roberto, from Green Flash Guam. 

Revenue and Tax Director Dafne Mansapit Shimizu, who also serves as the vice chairwoman of the cannabis board, told the News that businesses must still obtain cannabis establishment licenses, operating permits, and a cannabis business license before the businesses can start in earnest.  

Cannabis businesses can’t receive a license or an operating permit unless there is a government-approved “responsible official” in charge, and businesses will need government-approved “designated transporters” to move cannabis and cannabis products throughout the island. The U.S. territory is using Metrc as its seed-to-sale tracking system.

Guam legalized adult-use cannabis in 2019 and the industry rules and regulations took effect on May 29. Regulators began accepting applications for responsible official identification cards in August.

Currently, adults 21-and-older can grow, possess, and consume cannabis but it is illegal to sell it or trade it for anything of value unless the transaction is conducted by a licensed and permitted cannabis business. There are licenses for cultivators, manufacturers, testing labs, and retail stores; however, residents are barred from owning more than one type of cannabis business license.

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Rick Ross Launches Smokable Hemp Brand

9/26/2022

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Rapper Rick Ross is launching a line of smokable hemp products, including hemp cigarettes, smoking paper, and alternatives to nicotine tobacco. Ross made the announcement last Thursday. 

“This Hemp Hop right here. This the combination of the game right here. Something some of the finest, healthiest rollups. It’s about doing something that last forever, cause we gon’ live forever. It’s history.” — Ross in a video posted to Instagram

In a statement posted to the Hemp Hop website, Ross said he truly believes “in the health benefits of hemp-derived products.” 

“Having had my own health scares, and through my healing process, I decided I would develop a line of smokables to help others with the benefits of hemp cannabinoids,” he said.

The line is a partnership with Hempacco who first announced the collaboration during Ross’ Boss Up Conference, which was held Sept. 17-29, according to a Hip Hop DX report.

Jorge Olson, a co-founder and chief marketing officer for Hempacco, told Hip Hop DX that the company is “ready” to start offering the brand to wholesale distributors.

“With Rick Ross and James Lindsay spearheading the sales, distribution, and marketing, it will be a wonderful consumer experience for the consumers,” Olson told Hip Hop DX. “James Lindsay is also a wholesale distribution veteran and is ready to present the products to all of his Rap Snacks network of distributors all over the country.”

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Las Vegas Votes to Allow Cannabis Social Consumption Lounges

9/23/2022

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The Las Vegas City Council voted on Wednesday to allow cannabis social consumption lounges within city limits, KSNV reports. The 5-1 vote was to reject a motion to opt out of the state’s consumption lounge program — if the city had done nothing, it automatically would have been added to the state program.

The lone “no” vote came from Councilwoman Victoria Seaman, who said her constituents were wary of lounges in residential neighborhoods. Councilman Stavros Anthony did not participate in the meeting, according to the report.

The Nevada Cannabis Compliance Board (CCB) plans to issue 20 lounge licenses in October. So far, Clark County and the city of Las Vegas are the only localities to allow the lounges in southern Nevada. North Las Vegas, Henderson, Mesquite, and Boulder City all have opted out of the program, City Attorney Bryan Scott said in the report.

Before awarding any licenses, Las Vegas must amend the city code and craft ordinances regulating the new businesses, meaning it’s likely that the city won’t start accepting applications until early 2023.

The CCB approved the social consumption regulations in late June of this year. Half of the first round of licenses are set to go to social equity applicants. Businesses are required to submit diversity plans outlining how they will be inclusive.

Lounge patrons will be limited to 3.5 grams (or one eighth of an ounce) and cannot take unused cannabis from the lounge. Edibles or tinctures containing more than ten milligrams of THC are required to carry a warning label that reads: “Caution — this product is very potent and is not recommended for inexperienced users.” Lastly, lounges must have dedicated smoking rooms although outdoor lounges are also allowed.

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Canadian Government Launches Review of Cannabis Legalization

9/23/2022

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Four years since legalizing cannabis at the federal level, the Canadian government announced plans this week for an official review of its cannabis program and resulting national industry, CTV National News reports.

The legislative review is long-overdue — it was originally expected nearly 12 months ago — and looks to investigate the effects of cannabis legalization on the health of Canadian citizens and analyze its effects on the economy and illicit cannabis marketplace, which has continued to thrive. The review will pay careful consideration to the effects of cannabis on Canadian youth, according to Health Canada.

Participants in Canada’s cannabis industry have consistently called for changes amid hefty tax rates and strict regulations, which they say help facilitate steep competition from the unregulated marketplace.

George Smitherman, president of the Cannabis Council of Canada, said in the report that the “playing field” between legal cannabis companies and unlicensed operators is “nowhere near level,” especially given the popularity of unregulated retail shops and delivery services.

“There’s a significant body of regulation, but there isn’t enough law on the books to stop obvious illegal operators and no one is doing anything about it.” — Smitherman, via CTV National News

Canada federally legalized cannabis for adults in October 2018 and was only the second country in the world to pass the reforms at the national level.

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Denver May Give Social Equity Companies Exclusive Right to Cannabis Delivery

9/23/2022

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The Denver City Council is set to consider a new plan to make cannabis delivery licenses permanently exclusive to social equity companies, according to an Axios report.

Per city regulations, any business owner considered to have been disproportionately affected by cannabis prohibition can qualify for a social equity license. The proposal is being pushed by the Department of Excise and Licenses in an effort to facilitate a more diverse cannabis industry after the first eight years of regulated cannabis led to an industry largely dominated by white males.

“Everyone should have a chance to find opportunity in Colorado’s cannabis industry. The barriers to entry can be really, really high — especially for social equity entrepreneurs.” — Marijuana Industry Group Executive Director Truman Bradley, via Axios Denver

Denver established its social equity-based delivery regulations last year alongside a similar plan for social consumption lounges but, while the plan was initially to sunset the social equity requirements in 2024, the new proposal would see them extended indefinitely. Experts, however, warn the city may already be so saturated with adult-use retailers that there might not be a significant market left for delivery services. According to city data outlined by Axios, delivery transactions account for less than 0.5% of Denver-based cannabis industry sales, and of the city’s 208 licensed dispensaries, just nine offer delivery options.

The proposal will appear before the Denver City Council for consideration sometime in the coming weeks, a Department of Excise and Licenses spokesperson said.

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German Officials Visit California Cannabis Businesses

9/22/2022

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A delegation of officials from Germany recently took a closer look at California’s cannabis market, Marijuana Moment reports. Consisting of multiple German lawmakers and a top federal (German) drug official, the group toured cannabis businesses and heard from California regulators, experts, and advocates about lessons learned from launching a regulated cannabis industry.

The officials “examined products of dispensaries with equity licenses” to better understand “cannabis legalization opportunities and risks,” according to a tweet from the German consulate in San Francisco.

“It was a really expansive conversation,” said Hirsh Jain, founder of the consulting firm Ananda Strategy.

“What they had said is like, ‘Look, we want to legalize cannabis and we want to do it in the name of public health.’ That’s how they kicked off their conversation with us and that was kind of the framing for the conversation.” — Jain, via Marijuana Moment

During the meetings, California officials shared the importance of a regulated cannabis market where products are tested and age restrictions are enforced, the report says.

“As someone who interacts with a lot of American politicians, I was astounded about the extent to which they at least seemed to be engaged in a policy sense,” Jain said.

In addition to the dispensary tour, the delegation visited Sacramento and met with Nicole Elliott, California’s top cannabis regulator. They also toured a Lowell Farms cultivation facility and an SC Labs testing laboratory.

The California tours come two months after a historic meeting between officials from Germany, Luxemburg, Malta, and The Netherlands where they discussed how Europe could move forward in legalizing adult-use cannabis.

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Florida Finally Licenses Its First Black Medical Cannabis Farmer

9/22/2022

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Florida officials have finally licensed the state’s first Black medical cannabis cultivator, according to the News Service of Florida.

Terry Donnell Gwinn, the 69-year-old owner of Gwinn Brothers Farm in Suwanee County, received a “written notice of intent” on Tuesday from the State Department of Health signaling their intent to award him the license. In his application, Gwinn named his prospective cannabis farm ‘Gwinn Brothers Medicinals’ — he and his brother Clifford have farmed together for more than 40 years, growing watermelons, soybeans, peanuts, corn, and peas on their 1,137-acre farm, the report said.

“Mr. Gwinn is very pleased that his application was selected for licensure and is grateful for the hard work by the Florida Department of Health, Office of Medical Marijuana Use, to complete the review of the applications received. He looks forward to working with the office to complete the final steps to licensure.” Jim McKee, Gwinn’s attorney, via the News Service of Florida

The license was a long time coming: when the state’s first cannabis licenses were awarded in 2015, the rules were decried for containing discriminatory elements that favored white farmers. Then in 2017, lawmakers passed a law that was supposed to see new licenses awarded as the number of medical cannabis patients continued to increase.

Gwinn’s licensing could signal that health officials are finally set to honor that law, under which the state is required to double its number of cannabis operators from 22 to 44. Earlier this month, Florida First District Court of Appeals Judge Ross Bilbrey criticized state officials for having not issued any additional medical cannabis licenses: “Almost five years after the emergency rule was issued, the MMTC license application window remains closed,” Bribley said.

Meanwhile, multiple Florida senators formally questioned the head of the state’s medical cannabis licensing department last Fall about the delay in awarding a cannabis business license to a Black farmer.

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