The Cannabis Farmer's Alliance is grateful for the support of the Assembly and Senate for advancing its priorities in their One House Budgets. While the Alliance is disappointed these critical initiatives were not included in the final Enacted Budget, it remains committed to advancing the goals of capital access and track and trace relief for cannabis farmers. The Alliance urges the Executive to utilize revenues received from the newly implemented Special Fees on Registered Organizations to invest in the supply side of the cannabis industry.
The supply side, and cannabis farmers in particular, have long been overlooked as the industry has grown. Early mismanagement of the program left cannabis farmers with large amounts of unsold inventory and no viable market. The program's structure, particularly the reliance on consignment sales, resulted in widespread payment delays and cash flow crises. A burdensome regulatory environment resulted in low margins. Furthermore, the lack of a track and trace program for the product resulted in a substantial amount of out-of-state or inverted product that continues to pose a risk to the legal market. Multi-state operators managing medical cannabis companies pressured the Office and successfully litigated against the State to enter the market earlier than the statute allowed.
Through all of this, the State has been focused on the success of the retail side of the industry at the expense of the supply side. The Alliance has brought its message to elected officials, public servants, the media, and anyone else who will listen: without farmers, there are no cannabis products and no cannabis industry.
Although the State has begun to right the course on the retail side of the industry, cannabis farmers remain in a precarious place. Investments in the supply side are desperately needed: access to capital, implementation and administration of track and trace software by the Office of Cannabis Management, expansion of canopy for adversely affected conditional cultivators, and regulatory reform are all critical steps to ensure the viability of the market.
The Alliance urges the Governor to refocus efforts on supply-side issues to bring stability and ensure the growth of the industry.
For more information:
The Cannabis Farmers Alliance
www.cannabisfarmers.org/