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Home / Business / Pot companies urge California to postpone rigorous testing rules

Pot companies urge California to postpone rigorous testing rules






LOS ANGELES (AP) – Almost 150 marijuana companies in California warned on Friday that they could suffer crippling financial losses unless the state extends a July 1 deadline that is severe Standards for pot testing and packaging imposed.

In a letter to Governor Jerry Brown, the United Cannabis Business Association said the changes would further unsettle the looming legal market, which started on January 1, and might force companies to close their doors

The Trading Group, representing cannabis companies said there were too few laboratories to run the tests, and retailers had 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 deliveries were destroyed.

"Forcing the industry to comply … will do it Also paralyzes the already competitive regulated market," the letter said.

In a statement, the State Office for Cannabis Control gave no indication that it would consider postponing the deadline.

and at that time we were pretty clear that there would be a six-month transitional period for retailers to consume their existing supply. We felt that there was enough time to reduce existing inventories and adapt to the new Californian rules, "Agency spokesman Alex Traverso said in an email.

The rules will be phased in six months after the State legalizes and needs marijuana This pot sold after Saturday meets stringent quality standards and with the approaching deadline, retailers have unloaded unchecked stock 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 complains about taxes, which can reach 50 percent in some areas.

Others fear that a shortage of retailers in both adults and medical marijuana could bring the supply chain to a standstill

California operates under temporary arrangements while the largest city, Los Angeles, only slowly issues licenses.

The change of rules was part of the state's decision to allow the industry to start to run at the beginning of the year. The shops were given six months to burn cannabis and edible food that was produced without stringent testing requirements.

Any marijuana harvested this year or sold for sale on July 1 must meet or be destroyed by quality and safety standards

The pictured letter is an emerging industry struggling to gain a foothold.

The group said the 30 licensed laboratories testing the pot would not be able to meet demand, resulting in a shortage of shelves. A system to track plants from seed to sale has been delayed. And the packaging companies are not ready to comply with the new rules.

"Customers and patients will turn to illegal market traders and delivery services who still have plenty of products to sell, and licensed retailers will be forced to close the store," the letter said.

The companies and interest groups that signed the letter represent a fraction of the state's legal market. For example, more than 3,300 cultivation licenses have been granted and there are more than 400 licensed retailers.


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