LOS ANGELES – Nearly 150 marijuana companies in California warned on Friday that they could suffer crippling financial losses if the state does not extend a Sunday deadline mandating stringent standards for pot trials and packaging
In a letter to Governor Jerry Brown's United Cannabis Business Association said the changes would further unsettle the looming legal market, which was introduced on January 1, and may force companies to close their doors.
The trade group representing cannabis companies said there were too few laboratories to run the tests. Traders would have to destroy huge quantities of unsold cannabis that did not meet the new standards.
Association President Jerred Kiloh estimated that companies could suffer losses of nearly $ 400 million if these unsold supplies were destroyed.
compliance … will further cripple the already highly competitive regulated market, "the letter said.
In an opinion issued by the Bureau of Cannabis Control, there was no indication that the deadline would be postponed.
The rules are being adopted six months after the far-reaching legalization of Marijuana required by law This pot, sold after Saturday, meets strict quality standards, and as retailers approach the market, they have sold unchecked inventories at bargain prices.
The rollout of the country's largest legal pot market was bumpy at best – the black market is still flourishing and the industry is complaining Taxes may reach 50 percent in some areas.
Others fear that a shortage of both adult and medical marijuana retailers could bring the supply chain to a standstill
California is subject to temporary regulations, while the United States largest city, Los Angeles, only slowly issuing licenses.
The change of rules was part of the state's decision to get the industry up and running at the beginning of the year. The shops were given six months to burn cannabis and foods that were made without stringent testing requirements.
Any marijuana harvested this year or sold on Sunday must meet quality and safety standards or be destroyed.
Emerging industry struggling to gain a foothold.