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FROM THE PUBLISHER
Emerging Into the Future It’s a new era in human history. From this moment forward, there will be two ways of framing one’s life: before the pandemic and after. Looking back, it doesn’t seem like that long since we last enjoyed our favorite activities — date night at the movies, a hug from a friend, riding the train to the ball game, or attending an industry event to mingle with peers. Yet, even as I type the words, it seems like a distant memory of things long since passed. Charles Warner, Publisher/Editor-in-Chief
Though our routines have changed, our hearts long for some sense of normalcy. In this issue, we’re presenting many of our traditional sections, but the tone and content tend to revolve around what’s on all of our minds, “How can we move forward as the pandemic rages on?” We’re focused on looking to the future. What’s next for the many industries of which cannabis is now a part? How are companies adapting, strategizing, attracting investment, and connecting with one another while maintaining bonds with their customers? Virtual networking is booming this year, and Cannabis & Tech Today is taking a unique approach to this “for-now normal.” As a company whose life blood centers around the cannabis community, we’ve decided to offer our audience an outlet, a way to emerge from the darkness of the past six months and reconnect with one another. That’s why we’re hosting the Emerge Cannabis Conference and Expo this September, highlighting the future of cannabis, the inequity inherent in the legalized market, and the individuals working to make our nation and our industry more inclusive for the people who built its foundations. Cannabis has a dark history. Not because of the plant itself, but because of the way this country has treated the individuals who use it. It’s been vilified, driven underground, and resurrected, but those who were most impacted by the war on drugs remain incarcerated for taking part in what is now one of the most lucrative markets in America. This issue will examine the forces keeping Black and Brown citizens behind bars while also highlighting the individuals striving to create systematic change. Change comes in many forms. This issue covers the changing face of food, fuel, and fiber with our spotlight on Greeley, Colorado as a tech zone for hemp innovation. We take a look at freeze-dried cannabis, retail’s rising digital strategy, and the pause on puff, puff, passing. To quote Carlos Santana’s enlightening cover interview from this issue, “There’s too much on every channel promoting fear. I find that very predictable, boring, and pathetic.” We share that sentiment and propose that instead of fear, we promote innovating through crisis, emerging with our heads held high, and striving to create a better world than the one we knew pre-pandemic. Let’s Emerge into the future as an industry, together!
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Cannabis & Tech Today // Summer 2020
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SINCE LAST ISSUE…
PUBLISHER/EDITOR-IN-CHIEF Charles Warner cwarner@goipw.com CREATIVE DIRECTOR Shane Brisson shane@goipw.com
ONWARD AND UPWARD It’s been an eventful few months since our spring issue featuring Al Harrington hit newsstands. Much has happened around the world and we’ve had some exciting developments at Cannabis & Tech Today, as well. The publication launched its very own podcast, Cannabis Tech Talks, to unexpected acclaim. Hosted by various members of staff, Cannabis Tech Talks dives into unexplored facets of cannabis innovation, speaking with industry leaders and emerging innovators pioneering the space. The 2020 Nichee Awards recognized our humble efforts and awarded us the “Best Podcast” of the year during their virtual award show in May. Check it out for yourself at cannatechtoday.com/podcasts/ or on Stitcher, iHeartRadio, or wherever you find your podcasts. Our sister publication Innovation & Tech Today hired a new managing editor, Joe Toppe. His background as a journalist covering the manufacturing and tech beat in his native Indiana made him a perfect fit to spearhead production for Innovative Properties Worldwide’s flagship publication. Welcome to the IPW team, Joe! We’re also launching our first event, the Emerge Virtual Cannabis Conference & Expo this September. We’ve partnered with Hyperfair to bring their unique virtual platform to North America for its cannabis-industry debut. The platform provides an immersive virtual world where attendees and speakers can customize personal avatars, walk around, chat with one another, attend panels and sessions, and gamify their experience to win real world prizes. Learn more at www.EmergeCanna.com.
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Cannabis & Tech Today // Summer 2020
contents
SUMMER 2020
70 Carlos Santana: Riding the Seventh Wave By Patricia Miller Cover Photo: Maryanne Bilham
Departments 10 By the Numbers 12 Event Wrap-Ups 14 Know Before 16 International 18 Pets 20 Hemp
92 Product Revolution 94 Something Edible with Laurie Wolf 95 Event Calendar + Coming Next Issue 96 The Lighter Side
22 Innovator Profile: Guy Rocourt 24 Sustainability The Long Road to Researching Cannabis 26 Specific Spectra for Consistent Cannabinoids
28 Investing The CARES Act Doesn’t Care for Cannabis
32 Business Innovations The Imprisoned African American Man: American’s First Marijuana Entrepreneur 34 Reinventing Retail for Digital and Delivery 38 A New Way to Network 40 From Illegal to Essential — Cannabis in the Time of Pandemic 2020 42 NACB: Helping Cannabis Businesses Meet Social Equity Challenges
44 The New Normal How to Earn Coverage and Influence People 46 Puff, Puff, Hold
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Cannabis & Tech Today // Summer 2020
contents
SUMMER 2020 50 Tech Zone Northern Colorado’s Hemp Epicenter 52 Soil & Seeds 54 Cultivating Cooperation 58 Processing and Partnerships
62 Transforming an Agricultural Hub, Organically 64 A Northern Colorado Advantage 66 Manufacturing a Mindset 68 A Helping Hand for Hemp
76 Emerge A Pandemic Pivot 80 Emerge Conference Schedule of Events 84 Emerge Speakers
86 Health & Wellness COVID-19 Anxiety Drives Cannabis Use Across America
88 The Lab From Stalk to Smoke in 24 Hours
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Cannabis & Tech Today // Summer 2020
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A look at the metrics shaping the cannabis business market — and our lives When cities and states began to initiate stay-at-home orders in the middle of March, so many things were uncertain. While most recreational and medical cannabis businesses were deemed essential and allowed to stay open, it was unclear how successful business would be. Here, we’re breaking down those early days of quarantine, looking at the month of March and a very unique 4/20 to see how businesses fared when COVID-19 hit. It’s a bit of a mixed bag, as you’ll see this year’s 4/20 did not quite live up to last year’s. However, with people stuck inside for weeks on end, the general uptick in cannabis sales isn’t all too surprising. Check out the stats below.
Percentage sales growth of March 16, 2020 compared to March 16, 2019 Washington California
159%
100% Colorado
46% Source statista.com / Graphics: istockphoto.com
Cannabis Retail Statistics from March 2020 For the 1,300 stores using cannabis e-commerce platform Jane Technologies, average store revenue was up 52-130% at the end of March, compared with January.
Wholesale marketplace LeafLink reported a 48% spike in orders from March 16 to March 23.
Jane Technologies reported the number of new users ordering online grew 142% over March 2020.
MKM Partners Research says operators saw an average jump in sales of THC products of 36% for the week ending March 19. Source CNBC / Graphics: Vecteezy.com
From 4/14 to 4/19, sales were
$23.3 million, a 32% increase from 2019’s $17.6 million*
Average 420 sales per store across North America: $8K, down 50% from 2019
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Cannabis & Tech Today // Summer 2020
Average spent per transaction: $61, up 17% from 2019
Average gross profit per store:
$3.2K, down 54%
STATS FROM:
4/20 2020
from 2019
Average customer transactions per store: 150, down 50% from 2019 Source Cova Software / *According to Headset
A
G I N
J A R
P A C K
G
S
&
// EVENT WRAP-UPS //
Masks Off
Exploring The Virtual Necessity Of Digital Events This summer should have been one of the biggest event seasons in the history of legalized cannabis. Instead, many event coordinators scrambled to find new ways to connect with their would-be exhibitors and attendees. The fact that the novel coronavirus swept the globe during one of the greatest technological revolutions in human history helped soften the blow to the event space. Virtual events started springing up as early as March, and now even the world-renowned CES will take place online in January 2021. While many events were postponed, others went all-in on the virtual experience. Some of the digital events we especially enjoyed included: The Experience Hemp Summer Solstice NoCo Virtual Conference & Trade Show took place June 16-19, offering virtual expo halls, live webcast super sessions, access to
the NoCo Hemp Library, and networking lounges where attendees, sponsors, and exhibitors could unwind after their virtual journey with a cocktail and some much needed industry banter. MJBizConNEXT Direct provided valuable insights from major C-level industry talent while giving attendees the ability to network, collaborate, and get the fast track on insider info usually only available at MJBiz’s in-person events. In a typically innovative move, content from this expansive event is now available on demand, so the learning never ends. The International Cannabis Business Conference (ICBC) hosted the Virtual Global Cannabis Symposium on June 9, and offered attendees face time with industry elites like Rick Steves, Doug Benson, Lorenza Romanese, and Tommy Chong. ICBC has more virtual events in the
Photo: iStockphoto.com/sandsun
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Cannabis & Tech Today // Summer 2020
works and will likely be announcing a return to in-person events sometime in 2021. Stay tuned to the Events Calendar at www.cannatechtoday. com/events/ to discover new opportunities for networking, learning, and collaborating as the cannabis community adjusts to this “fornow normal.” ❖
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DEPARTMENTS // KNOW BEFORE
Know Before Your Inspection Photo: iStockphoto.com/GeorgePeters
By Ebby Stone
While owning a cannabis business sounds glamorous, there are certain elements no one looks forward to. Inspections and licensing are one such area, often riddled with red tape and inconvenient paperwork. However, without the wonderful world of inspections, the legal cannabis industry would be a dangerous, dirty, unreliable world — particularly for consumers. Since the inspection process is unavoidable, what are some of the key considerations when preparing for an inspector’s visit? While every state has its own standards, there are a few commonalities shared by most jurisdictions. First, be aware that it’s standard practice for a cannabis business to work with a variety of inspectors and auditors. Entities such as the Occupational Safety and Health Administration (OSHA), the state licensing body, insurance companies, the Environmental Protection Agency (EPA), fire marshals, building inspectors, the labor department, and many more all have compliance concerns that impact your operating procedures. Step one: Follow a Quality Systems Approach. This consists of three parts: design, execution, and control. Design your quality system by determining what’s most important to the operations of your business. Execute by 14
Cannabis & Tech Today // Summer 2020
taking those important facets and translating them into actionable goals for staff. Lastly, monitor and control how those operations are being carried out, ensuring quality and compliance for your business. Step two: Create a compliance system. There are a variety of compliance systems available. Whether you use Metrc, MJ Freeway, or BioTrack, automated systems track your product from seed to sale, generate reports, and help with inventory, taxes, payroll, and more. Step three: Document everything. To paraphrase Alex Jason (frequent contributor to the television show Mythbusters), the only difference between screwing around and science is writing it down. Proper, thorough documentation ensures that in the event of an audit, you have everything written down and ready for review. Step four: Develop a transparent relationship with your bank. Your banking institution should be privy to employee relations, revisions in federal regulations, and proposed legislative developments. This helps protect your bank from sudden changes and increases the likelihood that they’ll continue offering their services to the cannabis industry.
Step five: Know what’s on your labels and document proof of their validity. If you have tests indicating products from a specific batch have a certain chemical profile, file those test results. That way, if a customer or regulator later finds an inaccuracy, you have third party verification of your claims. There are several key pieces of documentation to have in place before scheduling an inspection. Compile or update the following before inspection day: a quality assurance manual, standard operating procedures, resumes for all staff, and a validation summary. Without those, an on-site inspection cannot occur. Inspectors also have to know you have certain plans in place, such as a security plan, a master manufacturing and product quality plan, an inventory control plan, a premises diagram, personnel procedures, and a waste management plan. These areas must be clearly defined and available for the inspector to review. Of course, these are just the tip of the inspection iceberg. As the Denver Government website kindly reminds us, before any inspection, “Businesses are encouraged to consult with a private attorney and a licensed contractor to ensure full compliance with state and local regulations.” ❖
DEPARTMENTS // INTERNATIONAL
Cannabis Reform and COVID-19: A Global Forecast By Alex Rogers, CEO of the International Cannabis Business Conference The global pandemic has slowed down many aspects of daily life around the globe, and in some cases, shut them down entirely. Fortunately, the cannabis movement has pushed on despite the ongoing pandemic. This is not to say that things are full steam ahead because there have certainly been setbacks and additional hurdles caused by the battle against coronavirus, especially in the United States. Several cannabis legalization campaigns that were aiming to make the 2020 ballot were forced to postpone efforts because effective signature gathering for initiatives proved to be nearly impossible. Cannabis legalization was also largely put on hold in Mexico, where lawmakers were supposed to meet an April 2020 deadline for passing a cannabis industry legalization measure. The deadline was an extension from the original October 2019 deadline set by Mexico’s Supreme Court that lawmakers failed to meet due to political disagreements. Unfortunately, the deadline had to be extended because of the pandemic.
Photo: iStockphoto.com/loops7
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Cannabis & Tech Today // Summer 2020
While many efforts have stalled in the United States and Mexico, cannabis reform is still moving ahead in various other parts of the world. A great example is in New Zealand, where voters will be deciding on a cannabis legalization measure in September. Some
observers weren’t sure if a final draft for the measure would be crafted in time for the election. However, the final measure was revealed in May, which gives supporters plenty of time to educate voters on its merits. As of right now, only Uruguay and Canada have legalized cannabis for adult use. If New Zealand’s measure passes, the nation will presumably become the third country on the list since no other country appears to be on track to legalize cannabis before September. Medical cannabis reform is still on the move across the globe, as is hemp reform, despite the ongoing health crisis. One of the most historic medical cannabis victories is shaping up in the Middle East, where Lebanon recently announced it would be releasing a draft of a measure to legalize cannabis for medical use. Lebanon will be the first country in the entire region other than Israel to pass such a measure, which may lead to more reform in the area. Israel recently took a major step forward by approving cannabis exports. Africa was once slow to embrace medical cannabis reform; however, this year has seen significant movement in a number of countries on the continent, including Malawi, which passed a medical legalization measure earlier this year. Other countries like South Africa, Lesotho, Zimbabwe, and Zambia previously passed medical cannabis legalization measures and 2020 has seen their industries make great strides despite the pandemic. Medical cannabis sales are strong in Europe and momentum is building in parts of Asia and South America as well. It is all further proof of the resiliency of the cannabis reform movement and emerging cannabis industry. The history of the cannabis community is packed with hurdles overcome, and the pandemic may just be another challenge to surmount. ❖
DEPARTMENTS // PETS
Make Your Escape With a Pet-Friendly Cannabis Vacation By Bridget Callahan If there’s one thing cannabis enthusiasts love more than weed, it’s their dogs. For example, see: the entire state of Colorado. So it’s understandable that when it comes to planning your vacation, you want to find a place where Fido is welcome too. Here are some of the best cannabis and pet-friendly vacation ideas we’ve found around the country: (Note, while we’re all about sharing our experiences with our dogs, cannabis consumption can be toxic for pets. So, enjoy having your puppy with you, but keep the edibles out of reach of prying snouts.) Photo: iStockphoto.com/walik
CannaVenture The folks at CannaVenture are all about pairing outdoor adventures with THC. The group hosts hikes, events, and campouts, all of which are consumption and pet friendly. If you’re visiting Colorado, check out their site to sign up for events like the Discs-n-Dabs Tournament and Campout, a weekend discgolfing tournament on private land where teams do a dab at every basket. If you’re looking for some friendly, outdoorsy individuals to explore the natural beauty of the Rockies with, this is your group. Learn more at http://www.cannaventure.org/.
Glam Camp at a Pot Farm At the Farmhouse Enlightenment Cannabis Experience, the picturesque cabin sits right in the middle of a private weed farm, and the guest spaces come stocked with the best snacks, a variety of different buds for taste-testing, and dogs are totally welcome. You’re also only a short drive away from Tahoe National Forest and several other gorgeous parks. So after a day of mountain vistas, fishing, or hiking, you can come back to a long soak in a lavender-scented outdoor tub watching the sun set over some of California’s finest strains. Check out their IG: @FarmhouseEnlightenment. Courtesy Moxie Group PR
Hicksville Pines Bud & Breakfast Looking for a little weird in the woods? This woodsy getaway is about 100 miles east of Los Angeles nestled in the amazing San Jacinto mountains, and features fun, themed rooms that give every guest a different experience. There’s the 420 Room, with blacklight posters and a sunken bed to live that 70s vibe. But if that’s a little on the nose for you, there’s the Disney Haunted Mansion room, Dolly Parton’s room, even a Revenge of the Nerds room. Dogs are welcome for a small fee, and a shuttle bus ferries guests to the local dispensary every day. Look for yourself at http://www.hicksville.com/idyllwild/index.html.
Photo courtesy of CanyonSide Campground
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Cannabis & Tech Today // Summer 2020
CanyonSide Campground For smoking to truly be legal when you’re out camping, you need to be on privately-owned land. But luckily, weed-friendly campgrounds are available throughout legalized states. Canyonside Campground outside Ft. Collins, CO, not only allows consumption on the property, but they also offer weed concierge services. Though your pup can’t join you in your tent (bears are a concern), they’re welcome in the RV park or cabins. You can schedule a cannabis introduction class, rent pipes and accessories, or just partake and enjoy the laid back campground vibe. Your pup will love the wild beauty of the Colorado foothills too, with plenty of opportunities for rafting, fishing, hiking, climbing, or just enjoying the view. Reserve your spot at https://www.canyonsidecampground.com/. ❖
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DEPARTMENTS // HEMP
Photo: iStockphoto.com/Martin Keiler
America’s CBD Companies Need Better Seeds By Bridget Callahan The United States was once a hotbed of hemp innovation. Since the 17th century, American farmers and homesteaders planted hemp as an industrial crop to make rope, sails, clothing, paper, and thousands of other products. For hemp enthusiasts and CBD fans, the story of hemp in America is a familiar one. After being made illegal as a Schedule I drug thanks to the 1970 Controlled Substances Act, it’s been a long fight for activists who have been trying to bring back this once invaluable crop. Finally, in late 2018, hemp was made federally legal and removed from the list of scheduled drugs. Now, only two years later, the United States is the third-largest producer of hemp in the world, behind China and Canada. Perhaps it’s no coincidence that the U.S. is also in the middle of a CBD boom. The popular cannabinoid is derived from industrial hemp and for the first time manufacturers have all the materials they need right here. Since the 2018 Farm Bill legalized CBD, many businesses have been cultivating feminized CBD seeds and just last year it was announced that the USDA would 20
Cannabis & Tech Today // Summer 2020
start regulating hemp seed imports. But there is still a major shortage of high-quality CBD feminized seeds and clones. Why is that?
girls at the dance — and feminized clones were
Part of the shortage can be attributed to simple demand. According to the Brightfield Group, the Hemp CBD market is projected to be a $22 billion dollar industry by 2022. As an alternative wellness treatment and one that is now legal everywhere, CBD is a star. It shows up in food products, pet treats, makeup, and hair products. While much of the science is still out on CBD’s effects, it’s been embraced by a population that is already racked with anxiety and healthcare shortages. Consequently, the American market is saturated with CBD cultivators, all of whom are looking for highquality feminized clones and seeds.
industry, with customers purchasing large
The hemp industry is rushing to meet the demand. But, the U.S. is playing catch up. A driving force behind the 2019 shortage was that many operations were not able to scale up to the demand as quickly as necessary. Industrial hemp went from being a small, niche business, to suddenly becoming one of the most popular
still hard to come by. Scandals and lawsuits have rocked the batches of seeds that turned out to be neither feminized nor consistent in quality. For many people there is no direct access to the seed suppliers and they have to go through a broker, which has led to an understandably shady vibe with unregulated deals and inflated sales pitches. This late start for CBD genetics is definitely a hitch, but it also means there is plenty of opportunity for enterprising, ethical seed growers. As the industry continues to boom and lawsuits pile up, state and federal regulation of CBD standards are right around the corner. Tackling the problems of genetic uniformity, 100% feminization, and uniform CBD content will be the next step in creating CBD plants that are truly market friendly. Fortunately, the money is out there to solve the problem, waiting to be invested in the right companies. ❖
OF THE
INNOVATOR PROFILE YEAR
Guy Rocourt
The Co-Founder of Papa & Barkley shares his journey from dealer to dynamo.
Does What’s Never Been Done By Rachelle Gordon
Guy Rocourt won’t settle. The co-founder and chief product officer of Papa & Barkley, the preeminent California cannabis wellness brand, is responsible for creating some of the most popular and effective topicals, tinctures, and ice water hash on the market today. But he’s not ready to relax quite yet. “I’m always trying to innovate,” Rocourt said in an interview with Cannabis & Tech Today. “Just because nobody’s done it before doesn’t mean it can’t be done.” A fixture on the West Coast cannabis scene, Rocourt’s journey to success is a textbook industry Cinderella tale. From underground dealings with Montel Williams back in the day to now fielding offers from high-profile investors and manufacturing partners, Rocourt has always remained unapologetically himself — fighting for integrity, truth, and quality in the so-called “Wild West” of weed. A Tale as Old as Time Rocourt’s cannabis journey started in New York. After a stint in the military after high school, he was first exposed to the plant in college and found it to be incredibly helpful in managing his anxiety and stress. An early career in the film industry led Rocourt to meet famed talk show host Montel Williams, one of the first high-profile advocates for medical marijuana, who uses cannabis to help manage his multiple sclerosis (MS). A young Rocourt soon found himself connecting the media juggernaut to some quality cannabis, cultivating a fast friendship. “I didn’t start out wanting to be an outlaw,” Rocourt demurred, channeling a sentiment expressed in Williams’ autobiography. “Definitely ended up being one for years.” 22
Cannabis & Tech Today // Summer 2020
Rocourt spent the next several years helping Williams raise awareness of the potential cannabis can have as a medicine, eventually relocating to California around the dawn of the new millennium to continue his advocacy work. However, it wasn’t until over a decade later in Colorado that the next phase of his story would truly begin. A Topical for the Ages By 2015, Rocourt was a busy legal cannabis industry professional operating a compliant business in Colorado when a friend came to him with a homemade infused salve. The deep emerald concoction was pungent, offering unprecedented efficacy. Rocourt soon realized it was something special. “I looked at it and of course, the first thing I did was send it out for testing, because that was new and novel for us. What I realized was his homemade version of the topical was much stronger than topicals on the market.” Not long after, Papa & Barkley was born. Their flagship “ReLeaf Balm” quickly became a hot seller, known for both its intoxicating aroma and borderline miraculous benefits. Rocourt credits the product’s success to both the high-quality, sun-grown source material and the lipid infusion process of manufacturing. “It’s really about true whole plant infusion when it comes to topical. I like to tell people that our topicals are the closest thing to grinding up herbs and stuffing them in a wound like they used to do back in the day.” The Innovation Continues Papa & Barkley’s topicals became an overnight sensation, leading Rocourt and his team to wonder, “What’s next?” The company quickly increased its offerings to include transdermal
patches, capsules, skincare, and tinctures — all of which are produced without the use of solvents. A CBD line available in all 50 states followed, bringing the Papa & Barkley experience to a whole new set of customers. Wishing to venture into the booming concentrates game, Rocourt soon introduced the Papa’s Select line of premium “living extracts.” Their rosin and ice water hash is produced using freshly harvested cannabis flower that is then flash-frozen. The brand dominated the 2019 Emerald Cup, sweeping the ice water hash category. The “living tincture” line was launched soon after, which Rocourt hopes will one day offer strain-specific formulations for the discerning consumer. Next on the docket? Edibles. The Papa & Barkley team is currently working on a line of gummies and high-end chocolates, which they plan to launch this fall.
“The first question I wanted to answer before I got into edibles is, ‘Why would Papa & Barkley, the company that grew the California Wellness Marketplace, be going into edibles?’ Well, it’s because nobody was doing a wellness edible. Most edibles out there are just filled with sugar. Even the ones that are vegan, they’re filled with pectin and tapioca flour and tapioca starch. We tried to fill the hole for those folks who really need their medicine but may have other dietary restrictions, whatever their ailments might be.” A Commitment to Clean Cannabis Pushing the Industry Forward What truly sets Papa & Barkley apart is their pledge to approach the supply chain with sustainability and integrity from the top down. The company only uses naturally sun-grown cannabis sourced from environmentally-friendly family farms who put the passion for the plant
first in their hearts. To ensure the highest quality in their finished goods, all products are tested three times throughout the manufacturing process. “I believe that the TLC that one puts into growing ends up in the magic of the plant,” Rocourt declared. “Not using the power of the sun for an agricultural, sun-grown product, given the world that we’re in, that’s not fair.” Rocourt wishes more operators would take the same approach, fearing the burgeoning marijuana marketplace will end up looking more like the nutraceutical or pharma realms as big business begins to take hold. “I don’t necessarily need to be the only person doing solventless clean products,” he said. “I wish more of my competitors were doing that because that’s how we push the industry forward. In cannabis, we have an opportunity to set up this
industry with some of the values we had when we were outlaws. I don’t want to lose that.” “That’s just my truth…” Back in Northern California, Rocourt is trying to stay focused. Despite everything going on in the world, the team at Papa & Barkley is forging ahead. The edibles line will soon be making waves, and other new and exciting product offerings are just around the corner. It’s hard to say if Rocourt will ever be satisfied, as he is constantly striving to find more ways for his company to change the world for the better. “We’re on a mission to unlock the power of the plant to improve people’s lives,” Rocourt said passionately, adding he isn’t afraid to create medicine by any means necessary, despite what others may think. “That’s just my truth and I’m going to stick to it and let’s see [what happens].” ❖ Summer 2020 // Cannabis & Tech Today
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// SUSTAINABILITY //
The Long Road to Researching Cannabis One Navy Seal’s Mission To Grow Research-Quality Cannabis By Matt Grimshaw
Is cannabis safe for pregnant women to use? Is there a danger to secondhand cannabis smoke? Does cannabis use clash with other medications?
already gone through the usual cocktail of prescribed solutions heard that medical cannabis was showing great promise for symptoms like his. Still, upon asking for advice from the local Department of Veteran Affairs (a.k.a. the VA), he hit a brick wall of silence.
Hodgin notes: “They wouldn’t tell him anything; they were not permitted to give him All of these are fairly straightforward questions any guidance at all. Later I discovered that their which should be straightforward to study, but not in the nascent grey industry that is legal cannabis. Scientifically speaking, we know more about the effects of cow flatulence on the Former Navy SEAL atmosphere than the effects of George Hodgin graduated from cannabis on the human body. If the Stanford Business cannabis industry is to ever be taken School prior to seriously on the international stage, founding the there’s a desperate need for research Biopharmaceutical Research Company. from respected scientists and doctors His desire to cultivate and less anecdotal input from Jeff quality cannabis for the Budtender. scientific research The science remains unknown because there’s been a significant lack of clinical research in demonstrating the therapeutic effects of cannabis. Government research has largely focused on its potential harms.
has been stymied by prohibitive legislation.
In late 2016, a former Navy SEAL named George Hodgin was in the final months of completing a graduate degree from Stanford Business School and was trying to work out what to do upon its completion. Like many veterans of the US armed services, Hodgin knew plenty of fellow vets suffering from the effects of service-related PTSD. One fellow vet who’d 24
Cannabis & Tech Today // Summer 2020
silence was not only because they’d been ordered not to discuss cannabis, it was also because science doesn’t really know all that much about it — it’s nearly impossible to get hold of any for research.” Hodgin did some research of his own and discovered that because cannabis is a Schedule I controlled substance at the federal level, alongside substances like heroin and LSD, that
research is dissuaded as all are classified as “drugs with no currently accepted medical use and a high potential for abuse.” Meaning it’s not only hard to get, it’s already considered useless, legally speaking. The fight to transform the image of cannabis, from that of coughing stoners to legitimate medicine, has always been missing one vital ingredient: data. Hodgin also discovered that any scientist wishing to study cannabis had to go through the federal government to get a supply. They, in turn deferred to the Drug Enforcement Administration (DEA) who licensed only one organization in the U.S. to provide that supply. For 52 years, that supplier has been a 12-acre farm at the University of Mississippi, but unfortunately for science, academia hasn’t been as good at cultivating it as the illicit market. Consequently, the quality of cannabis available for research has historically been so low that the most likely questions answered using those samples are related to: “how not to grow cannabis.” It’s almost as if the government itself didn’t want cannabis researched. Hodgin, like many other veterans, sees that research as vital. Cannabis is proving to be a very powerful tool in the fight against PTSD and a suicide crisis that sees a veteran take their own life roughly every 80-90 minutes across the U.S. Things began to change in 2016 when the DEA and Department of Justice (DOJ) recognized that having a monopoly supplier for over half a century was more than a little anti-
// SUSTAINABILITY //
competitive. New rules were drawn up, backed with unprecedented levels of bipartisan support, to open the field up to competitors. Discovering this, Hodgin knew exactly what he had to do. In February 2017, he led a multidisciplinary team built from veterans, law enforcement, leaders from life science and pharmaceutical industries, alongside expert cultivators to found the Biopharmaceutical Research Company (BRC). Together they began building a secure facility to grow highquality cannabis and reliably deliver it to the research community following government guidelines. Growing high-quality cannabis for research isn’t easy. For a start, the priorities of growing for science are diametrically opposed to those you find in typical operations. Scientists require a consistency not normally found in nature in order to remove as many sample variations as possible from their results. This means that the BRC facility isn’t like a regular farm. For starters, it’s as secure as Fort Knox with biometric scanners and security protocols more suited to a secure laboratory than a farm. The grow rooms are all hydroponic and LED lit with positive and negative pressure, full GMP compliance, and near full automation, which enables the environment to be controllable and standardized. All this effort is made to predictably grow exactly the same high-quality cannabis, with set levels of active metabolites taking precedence over the usual driving factors of a commercial cannabis farm. The Biopharmaceutical Research Company is working to become the first federally-authorized U.S. company to grow and supply cannabis for scientific research.
Just as Hodgin’s team was poised to open later in 2017, a new roadblock loomed into view.
Hodgin shared: “It’s been reported that Former AG [ Jeff] Sessions tried to delay the program using the Office of Legal Counsel, who had found a potentially conflicting clause in the Single Convention on Narcotic Drugs from 1961. He threw that wrench into the system. We committed to remaining true to our vision to pioneer federally compliant cannabis instead of engaging in federally illegal activity.” Unable to legally cultivate, the BRC team sought a different approach to keep the operation functioning. As the problem seemed to be primarily with growing cannabis on U.S. soil, they looked into the import market in order to gain samples for research and analysis. “We became the first U.S. company to import cannabis from both Europe and South America legally. Thankfully, after much advocacy and Congressional engagement, we are excited to be moving forward and one step closer to realizing our dream and mission,” Hodgin shared. In August 2019 the DEA and DOJ finally said enough is enough and began moving the program forward again. In March 2020, notice of the newly proposed rules were posted for comment and in May the DEA began reading through the replies. It’s hoped that sometime later this year the rules will finally be approved and BRC can take its place in history as the first-ever federally-authorized U.S. company to grow and supply cannabis for scientific research. With access to high-quality cannabis, science may finally start to learn about the real benefits of this historically controversial plant. ❖
Summer 2020 // Cannabis & Tech Today
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// SUSTAINABILITY //
Specific Spectra for Consistent Cannabinoids Refining Light Strategies to Create Repeatable Chemical Profiles
By Ebby Stone
Photo: iStockphoto.com/kentoh
Do cucumbers prefer blue light during flowering? How is the chemical profile of a cannabis plant influenced by the duration of exposure to infrared light? Believe it or not, these are the kinds of questions farmers often find themselves asking. As cannabis research has amped up, cultivators are starting to find the answers they need through scientific research. Lighting impacts plant quality, harvest size, and flavor profiles, so it makes sense that many indoor growers are creating light strategies for each cultivar. The more precise the lighting, the more consistent the outcome. This consistency is crucial for medical cannabis. When a patient is taking several different medications and then introduces cannabis into that regimen, physicians need the chemical profiles of the plant to be the same for every dose. If the patient has a reaction, the doctor has to determine why that reaction is occurring. If the cannabis is different from dose to dose, clinicians have no way to determine why they’re seeing a change in the patient’s response. Texas Original Compassionate Cultivation, the state’s first legal medical marijuana 26
Cannabis & Tech Today // Summer 2020
dispensary, strives to provide that consistency. CEO Morris Denton noted: “The number one thing that we hear from our patients is that the medicine is the same from dose to dose, from bottle to bottle, from prescription to prescription.” They’re working with Fluence by OSRAM, another Texas-based company, to research how light spectra influence crop yield, quality, and chemical composition. Senior Scientist for Fluence Dr. David Hawley explained that one of the company’s overarching missions is to help enable cannabis as a medicine: “If the clinical research is lacking because those who can conduct that research aren’t able to get consistent quality plants or plants that elicit certain chemical profiles, that’s where we come in.” Fluence has found that environmental inputs, like light spectra, play an integral role in the plant’s final chemical profile. “What we’re doing, as a lighting company, is working to understand what the right light is. That’s a big question since there are all kinds of lighting strategies. Do growers use just one light at the top of the canopy the whole time, or do they move the plant from one light spectrum to the next? Do they change the intensity or light the
plant from the side? Figuring out what the right photons are and the right way to deliver them are absolutely critical in optimizing the overall system,” said Dr. Hawley. There’s more to this research than just improved yield; proper lighting can increase certain cannabinoids, or decrease the inputs one needs for a successful harvest. Dr. Hawley explained, “Maybe we have two different light regimes that achieve the same total plant yield. Perhaps in Treatment A, we found that we got twice as much THC as we did in Treatment B. The question becomes, how much water, light, and nutrients did we consume to achieve that doubling of THC? Which treatment was more efficient?” The goal of Fluence’s research is to determine precision light formulas that facilitate repeatable chemical profiles. Dr. Hawley imagines there will soon come a day when doctors will know what they need, with precise requirements for specific cannabinoids and terpenes. He shared: “When that research becomes available, [doctors] won’t be left scratching their heads and asking, ‘How do we get that out of a plant?’ because Fluence will be able to say, ‘Here’s exactly how you do it,’ and enable that medicine.” ❖
// INVESTING //
The CARES Act Doesn’t Care for Cannabis By Tami Kamin Meyer
Andrew Glashow
Photo: iStockphoto.com/kentoh
W
hen President Donald Trump signed the $2.2 trillion CARES Act on March 27, 2020, in response to the coronavirus pandemic, a multi-billiondollar industry was left out in the cold. With recreational marijuana legalized in 11 states and medicinal cannabis permitted in another 33, the cannabis industry is a bustling enterprise both in the United States and globally. In 2019, Barclay’s released a report estimating that if legalized today, the marijuana industry would generate $28 billion in pre-tax dollars and $41 billion by 2028. And that’s just pot. CBD products are expected to add another $2.1 billion to the till in 2020, roughly the same amount United Airlines reported it lost in the Q1 of 2020 due to the coronavirus. Despite the ever-increasing number of states permitting recreational and medicinal marijuana
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use, it is still illegal on the federal level. Therefore, companies whose businesses were either directly or indirectly associated with cannabis were not permitted to receive CARES Act assistance. However, hemp farmers and related businesses are eligible to seek COVID19 assistance to help them offset the financial challenges caused by the virus. Complaining About the Kiss-Off Andrew Glashow, president and COO of Oasis Cannabis Dispensary did not mince words when expressing his annoyance that the marijuana industry did not qualify for the federal government’s COVID-19 funding. “It is grossly unfair that this industry, which is deemed essential and continues to pay 15 to 20 cents per dollar in taxes,” did not qualify for assistance through the CARES Act, says Glashow. “We are incredibly burdened by taxation and it’s taxation without representation, ala The Boston Tea Party,” he laments.
Glashow also contends the cannabis industry was treated unfairly when the government earmarked funds to help struggling American businesses survive the pandemic. He argues that while the marijuana world suffered in many of the same ways COVID-19 decimated other industries, such as through employee layoffs and diminished sales, cannabis companies were treated unfairly when they were denied access to assistance. “The industry has been negatively affected and the doctrine of fairness hasn’t been applied to [us],” he says. Although the cannabis industry did not qualify for CARES Act assistance, the fact it was considered essential in certain jurisdictions is a promising indication of its growing recognition and acceptance, says Serge Christov, CFO of Honest Marijuana Company. David Metzler, CEO of CBDCapitalGroup, a venture capital firm that focuses on acquiring
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// INVESTING // The Cares Act Doesn’t Care For Cannabis
Serge Chistov
David Metzler
Photo: iStockphoto.com/Darren415
“It would behoove states with legal marijuana to provide pandemic financial assistance to cannabis companies within its jurisdiction due to the tax dollars generated by the industry.” –David Metzler small to medium-sized CBD companies, says he wasn’t shocked federal funding ignored the cannabis industry. “I wasn’t surprised because of the federal element, but I was saddened. The loss of potential jobs in the future will continue to stifle the industry, which brings vital taxes to state governments,” he says.
But Metzler has a plan. In fact, he has developed a playbook for how cannabis companies can weather an economic downturn.
It would behoove states with legal marijuana to provide pandemic financial assistance to cannabis companies within its jurisdiction due to the tax dollars generated by the industry, argues Metzler. “It is short-term thinking losing long-term benefits,” he laments.
Small-to-medium-size marijuana entities will have a tough time surviving, meaning larger competitors will buy them and consolidate the market. Companies that survive the current economic challenge “will own a significant market share.”
If the cannabis industry goes under, “states will lose its tax support.” A better approach would have been to assist the cannabis industry “due to its importance to healthy citizens,” and the tax revenue it generates.
But how can cannabis companies access capital without banks?
He expressed disappointment with jurisdictions like California and Colorado, where legal cannabis sales earn millions in tax revenues annually yet were mum when it came to helping their state’s marijuana industries following COVID-19. “So, not to support [cannabis companies] hurts,” Metzler says. 30
Survival Playbook In his mind, the American economy is either going to endure a recession or depression. On June 8, the National Bureau of Economic Research announced the U.S. is in a recession.
Cannabis & Tech Today // Summer 2020
One option is a company like CBDCapitalGroup, an investment company that not only provides capital to CBD entrepreneurs but also expert advice about making their endeavors a success. Metzler says entities like CBDCapitalGroup are a “safe harbor for any brands that are struggling.” “[Companies] need to get back to basics. We see this as a change agent and it’s all due to [COVID-19]. As Americans, we need hard
times to create hard people who can change the world,” says Metzler. “Because of this hard time, years of growth and prosperity will come,” he says. The American political climate will also play an integral role in how the cannabis and CBD industries rebound from the recession. “If [President] Trump wins, cannabis won’t be legal until 2024. If [Democratic Presidential Nominee Joe] Biden wins, then I think it will be legalized in 2021, and that will be a catalyst for the stock market to boom,” says Metzler. He also thinks Biden will need to consolidate with the Green Party to win the election. However, he isn’t all doom and gloom about the prospects of marijuana becoming legal across the land, even with Trump in office. “I’ve heard that if Trump is up against the rails and is looking for a longshot way to win, he could put marijuana on the legal docket,” says Metzler. In Glashow’s mind, anyone who lends money to the cannabis industry is in the enviable position of knowing the debt will be repaid. “In our industry, in general, the likelihood of us being able to pay back the loans are greater than most. We are a good bet.” ❖
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// BUSINESS INNOVATIONS //
THE IMPRISONED AFRICAN AMERICAN MAN:
America’s First Marijuana Entrepreneur
By Sam White
The legal marijuana business is booming. A multi-billion-dollar industry in the United States, there are now 11 states (12 if you include Washington D.C.) as of 2020 that have legalized recreational cannabis — and these states are all profiting tremendously off the sales. In Colorado alone, the state’s revenue reached the $1 billion mark in early 2019 after only five years of legalization. Bringing in over $6 billion in total sales, it is a monstrous megalith of an industry. For many, these are extremely exciting figures. Legal cannabis has been something that countless groups of American citizens have been fighting for since cannabis was first prohibited in the 1920s. With a long history of being vilified and criminalized, progressives have pushed their local and federal governments towards legalizing a plant that has been proven to be not only decidedly safe to use, but has numerous evidentiary health benefits for millions of users. While the growth and innovation of the legal cannabis industry is a positive thing for citizens, economies, and government taxation, there is one major discrepancy: millions of Americans — African American men in particular — are still serving long and unnecessary sentences in prison for marijuana-related offenses.
Photo: iStockphoto.com/Hiob/chaiyapruek2520
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Cannabis innovation and technology cannot be properly celebrated while the people who built the industry from the ground up are rotting in jail for the same actions that are now making other people multi-millionaires. How can these things ethically exist simultaneously? It is time this became an open conversation. The legal marijuana industry cannot be afraid of this topic anymore. True progression cannot be achieved until all marijuana-related offenses are expunged in states where marijuana is now legal. The legal cannabis industry has a huge responsibility in this conversation. Change only happens when people demand it. Leaders in the marijuana industry need to be publicly calling for records to be expunged and people to be released in states where it has been made recreationally legal. Mass Marijuana Incarceration Mass incarceration in America is an epidemic, and one of the biggest contributions to the enormous prison population are people who are jailed for marijuana-related offenses. Since 1995, there have been an estimated 15 million marijuana-related arrests and citations in the United States. That is an astronomical number — to put that in perspective, that’s three times the size of South Carolina’s state population. Most of these arrests are only for possession; which is the lesser charge between distribution or intent to sell.
// BUSINESS INNOVATIONS //
As of 2020, the prison population has ballooned up to roughly 2 million people behind bars. In 2018, there were 663,367 marijuana-related arrests; 608,775 of those were for possession alone. Black and Latino Americans make up a whopping 50% of those arrests. As the Black Lives Matter movement rages on, there is a lot of attention being paid to how unfairly Black Americans are treated by police. Black Americans are up to four times more likely to be stopped and arrested for a minor possession charge than their white counterparts, according to the American Civil Liberties Union (ACLU). Black American men make up a vast majority of the prison population, and many of them are there for marijuana charges — in fact, the ACLU determined that in 2010, 52% of all of all drug arrests are for marijuana possession alone. While the spotlight of society is red-hot and centered on systemic and institutionalized racism, it’s important that the disparities between the legal marijuana business and the mass incarceration of Black Americans be at the forefront of the discussion. The Weed Man Black American drug dealers built the foundation for which the legal marijuana business now stands. Most customers of legal marijuana have been smoking it long before it was legalized — and everyone had a “weed man” they called for the hookup. Black American men were the marijuana business’s first entrepreneurs. Growing, harvesting, cultivating, curing, weighing, bagging, employing, and distributing — a six-figure business could be run right out of one’s home. It sounds like a dream job, except the job hazard for this career is a prison sentence. A lot of the innovation we see in legal marijuana was first invented on the streets. Dabs, kief, bowls, grinders, gravity bongs, ‘stoner style,’ music, movies, even the units of measurement — dime, gram, eighth, quarter, ounce — were
all products of innovation from the illegal marijuana lifestyle on the streets. Practices of the streets are bleeding into the legal industry every day, and these same practices that are imprisoning millions of people of one race are making millions for people of another. It’s no secret that the marijuana industry is predominantly white. This poses the question: how ethical is it that, in states where it has been legalized, we are allowing people of one socioeconomic class (and race) to make multi-million and billion-dollar businesses while people of a different socioeconomic class and race waste away in jail for the same thing? This is where the legal marijuana industry must make its stand. Those with status, money, and influence — yes, because there are ‘weed influencers’ now — need to use their platform to call for legal reform and the release of all American citizens serving prison sentences for cannabis-related offenses in legalized states. A Call to Action So what role does the legal marijuana industry need to play in this reform? This is not a ‘not my problem’ situation. We need a serious call to action. We need the leaders of the industry to set an ethical standard and lead the charge for change. They need to make it known that it’s unethical, immoral, and wrong to keep people imprisoned for the same exact things they are privileged to do not only legally, but lucratively. We have seen that there is strength in numbers and that change happens when enough people — and especially people knee-deep in wealth and power — demand that it happens. The legal marijuana industry is now flush with people who have their hands in the well of wealth and power, and the consumer base is now millions strong. There are absolutely enough people to call for change; we just need the momentum. ❖
Summer 2020 // Cannabis & Tech Today
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// BUSINESS INNOVATIONS //
Reinventing Retail for Digital and Delivery By Patricia Miller Whether you run a brick-n-mortar storefront or an e-commerce site, the past few months have likely altered your business in profound ways. Tens of millions of people across the globe have tested positive for COVID-19 and those numbers continue to rise. The economic impact is still being tallied and many businesses are trying to adapt — offering online purchasing options, contactless delivery, and curbside pickup.
Founder of Ganja Goddess Tara Wells
Courtesy of Ganja Goddess.
It doesn’t take an in-depth analysis to see that in-store sales have diminished while online revenue has increased. Just look at the grocery store. Online grocery orders for pasta grew by nearly 700% from the previous year, according to Statista’s market research. As consumer behavior has shifted, business owners have shifted, too. For cannabis suppliers, the “essential” designation from lawmakers meant a rapid change from leisurely in-store purchases to hurried curbside pickup, online ordering, and delivery services. Connecting the Physical to the Virtual Cannabis suppliers weren’t the only retailers who had to adapt. New York City’s flagship Sak’s Fifth Avenue store reopened to foot traffic on June 24, offering a hand sanitizing station and free masks to shoppers who may have forgotten theirs at home. In addition to in-store Steven Lynn, director of marketing for IndicaOnline / Courtesy Steven Lynn
enhancements, Saks is offering virtual services like video chat shopping. Sak’s President Marc Metrick shared in a recent interview with Vogue, that the future, “is going to be about how we connect our physical experience with our virtual experience. That’s going to be the real push here because there’s no better customer than the one that shops both online and in store.” Businesses able to offer both instore and digital solutions to their customers will have the best likelihood of surviving the economic fallout of the pandemic. Every sector of retail saw revenue decline by almost 15% since
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March, while online retailers saw their revenues increase by more than 9% during that same time period, according to Statista’s analysis. A Return to Foot Traffic? Will customers charmed by online retailers and delivery models ever go back to in-store shopping? Tara Wells, owner of Ganja Goddess Delivery and CBD Goddess, shared her thoughts: “Once you’ve tried it, you don’t want to stop because it’s so convenient. It saves time and the effort is so minimal compared to going to a store.” Wells has offered delivery in California since 2011 and has seen her sales increase by 325% every month since March. “I don’t see it changing,” Wells confided. “We wondered if this is just going to be a big spike in March and April, May, and June, but we haven’t seen that.
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// BUSINESS INNOVATIONS // Reinventing Retail for Digital and Delivery
IndicaOnline is a cannabis point of sale system for dispensaries and delivery. Their e-commerce portal (pictured above) is helping businesses transition to more online sales and deliveries — something that’s been increasingly important since the onset of the pandemic.
This flight started and it’s just gone up and stayed steady, so I don’t think it’s going to change.” It seems that in this new world of precautions and justified paranoia, digital shopping solutions are filling a needed niche for consumers. “Everybody is staying home and ordering every product they can so they don’t have to go out — and cannabis is no different. But, what we’ve found is that once people use our model, they stick with it. We have a very high customer retention rate,” said Wells. A Virtual Makeover Not every retailer had the foresight or motivation to offer an e-commerce portal prior to the pandemic. For those who haven’t joined the digital revolution just yet, the process doesn’t have to be as complicated as it might seem. Some point-of-sale systems offer dispensary owners quick e-commerce integration plus delivery assistance. Steven Lynn, director of marketing for IndicaOnline described their process for equipping new clients: “Our software makes [onboarding] possible without too much development work on the business’s side. It would be very similar to a restaurant collaborating with GrubHub or DoorDash to facilitate their deliveries or all their e-commerce.” Lynn explained: “We would get them set up
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on Potify [IndicaOnline’s e-commerce platform], which is a 30-minute task for onboarding agents. Then, because it syncs directly to their inventory, we just have to activate that account. That gives them an individualized, unique URL where they can send their online traffic. They can hyperlink from their existing website to their Potify page or we can even white-label that for them, so that consumers won’t be able to navigate to other dispensary sites.” Online orders appear in the POS system so business owners and customers can monitor their status as they’re being fulfilled. Delivery drivers are then tracked using GPS location. Some services even offer built-in compliance software to ensure everything is in line with state regulations. Offering Safety and Convenience Businesses also have to consider how they’re prioritizing the safety of their customers and staff. Ganja Goddess, for example, had the advantage of owning too much warehouse space before the pandemic started. “I found two great warehouse spaces and they were way too big for us [at the time]. But I said, ‘You know what? Let’s do it because they’re great locations.’ So we were able to use that space to create areas for our people to work that were very distant from each other,” Wells explained.
And she didn’t stop with social distancing, “I started having our whole company tested [for COVID-19] every two weeks. It’s been a great expense for us, but we decided that this is something we should do so we can keep ourselves and our customers safe.” Wells has been operating delivery for nearly ten years and she understands why it’s not just the pandemic that’s encouraging growth in the sector, “The desire of the consumer is to really be able to access whatever they want, whenever they want it.” Listening to the needs of one’s customers is vital during this crisis. Many people are struggling to maintain their physical and mental health and having safe, reliable access to adult-use or medical cannabis is truly essential. In April, Ganja Goddess asked their shoppers to submit feedback about their customer experience and how they were coping with the crisis. Wells said the response was overwhelming, with more than a thousand respondents. She shared that her clients expressed a deep gratitude, noting that delivery “really helps them during this time because of the high levels of anxiety that some of these people have. It’s a great thing to get this feedback and know that we’ve been able to give that support to our customers.” ❖
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// BUSINESS INNOVATIONS //
A New Way to Network How Collaborative Technologies Expanded the Event Space By Alex Rogers Photo: iStockphoto.com/gremlin
It wasn’t long ago when cannabis events were considered rare. Historically, the events were dedicated to protesting prohibition policies, and in some cases, included musical entertainment. That all changed in the last decade thanks to cannabis reform victories. While protest-based cannabis events are still vital to the continued success of the cannabis reform movement, professional cannabis industry events in legal jurisdictions are more common now. When I started the International Cannabis Business Conference (ICBC) series in 2014 in California, which I am proud to say is the longest-running cannabis B2B event in the state, industry events were hard to find. Now, and towards the latter part of the last decade, inperson cannabis events are being held all over the globe. Though in-person events can be very fun and fulfilling for attendees, the cannabis event landscape has changed dramatically in 2020 due to the ongoing pandemic. Physical events have been cancelled worldwide, which has in turn hindered the spread of cannabis education and networking opportunities. With that being said, in true cannabis 38
Cannabis & Tech Today // Summer 2020
community fashion, innovators are stepping up in the face of adversity so that shows can go on, albeit in virtual form. Cannabis entrepreneurs, advocates, and regulators still want to learn from each other and collaborate. In-person event networking opportunities may be on hold, but that doesn’t mean that networking opportunities are gone entirely. Instead, they have moved online. Cannabisfocused social media site Leafwire.com is one example of a networking site that’s stepped up to facilitate industry relationships, connecting companies with investor capital and providing a needed outlet for news and collaboration. My team at ICBC was looking forward to a busy event season in 2020 with events planned in Barcelona, Berlin, Bern, and Vancouver. When it became evident that our in-person events were going to have to be rescheduled, it was an easy decision to harness technology to organize our first-ever virtual cannabis global symposium which took place on June 9. We knew that it would be a challenge, however, we also knew that it would be a worthwhile pursuit to bring our unique blend of industry, advocacy, and entertainment to
internet audiences all over the planet. Organizing virtual events creates some advantages over inperson events, and provides benefits that don’t exist with in-person events. For starters, we were able to bring in an array of speakers and presenters much easier because they could participate in our symposium from the comfort of their own homes, just like attendees. Our attendees were able to hang out virtually with legendary cannabis icon Tommy Chong, author and television personality Rick Steves, comedian Doug Benson, cannabis pioneer DJ Muggs, and many cannabis experts and advocates, all without even having to leave their homes. Technology made it all possible. Virtual cannabis events will likely never completely replace in-person events. However, they still provide fantastic opportunities to learn. I could even see some aspects of virtual events being incorporated into in-person events going forward to provide attendees the best of both worlds. My team and I have had to get creative with technology during the pandemic, as have many others in the cannabis space, and the innovation and outside-the-box thinking will no doubt provide benefits well into the future. ❖
Photo: iStockphoto.com/nndanko
// BUSINESS INNOVATIONS //
From Illegal to Essential –
Cannabis in the Time of Pandemic 2020 By Neill Dixon, President, O’Cannabiz Conference & Expo
There have been some big things going on in the world lately and it is moving quickly. To some this may seem, as former Nabisco executives were fond of saying, a “BGO,” or Blinding Glimpse of the Obvious. At the time of writing, 9 million reported cases of COVID-19 and almost 500,000 deaths have been reported globally, social unrest and protest is everywhere, and supertankers are floating all over the ocean full of oil that cannot be sold. But, when you consider that progress on cannabis legality and acceptance has been moving at a glacial pace over the past hundred years or so, this past March proved to be seismic. Legal cannabis access was deemed an “essential service” in 11 states and Canada. These declarations were more than just public service announcements; they are admissions of societal need years 40
Cannabis & Tech Today // Summer 2020
deferred, if not denied. There’s no going back from here. SARS-CoV-2 (severe acute respiratory syndrome coronavirus 2) has laid bare some of the basic issues that sparked legalization debates (and in some states legislative passage) in the first place, namely: Cannabis as essential — like its counterpart, alcohol, cannabis has been deemed essential. Both products can now claim, at least in some places, that they play the same societal roles. Whether the benefits of consumption are medicinal, psychological, recreational, anxiety suppression, sleep inducement, appetite stimulation, or pain relief, they are all considered essential to overall well-being, individually and collectively. The pandemic
doesn’t alter the reality that cannabis can ameliorate the human condition without addiction or deterioration of work, family and social relationships, or other negative consequences. Cannabis as agriculture — whether under blue skies, a greenhouse roof, or a bunker with artificial lighting, cannabis is grown, harvested, and processed like any other agricultural product. Cannabis growing shares characteristics and sources of supply for inputs such as soil, fertilizers, equipment, and labor. There are timetables, schedules, and production quotas to meet in order to be profitable. COVID-19 cases and deaths among farm laborers are still increasing. This labor, often imported, living and working in harsh, sometimes squalid conditions, has highlighted a vulnerability in our agriculture systems that
// BUSINESS INNOVATIONS // must be addressed through collective action or legislative fiat. Cannabis supply chains must be maintained if consumers are to trust legal distribution channels for both quality and supply. Cannabis at work — one of the ongoing issues that occupies the minds of HR people where cannabis has been legalized is how to deal with cannabis consumption in the workplace. Since the pandemicrelated shutdown, some businesses report increases in productivity. Others are evaluating their office space needs. In some other cases, improved work relations have been observed. Moreover, some individuals are voicing that they would prefer not to return to the office — ever. Are any of these improvements and attitudes related to cannabis consumption during work hours at home? Perhaps a study in the future may render the entire topic moot.
Photo: iStockphoto.com/PaulMcKinnon
Legal cannabis access was deemed an “essential service” in 11 states and Canada. Hobo Cannabis Company clients pickup at a window in April 2020, which was a familiar scene at many dispensaries throughout the United States and Canada.
At O’Cannabiz, we were forced to postpone our event until October 27-29 of this year. Based on the world’s progress towards a vaccine, and the overall outlook for travel or resumption of economic activity, that event’s likelihood is being re-evaluated. However, we are committed to future events. We are evaluating a virtual O’Cannabiz Show in the fall and creating a new Grow Up Conference & Expo in Victoria, British Columbia in 2021. Stay tuned to https://ocannabiz.com for updates. ❖
(813) 670-8457
NACB: Helping Cannabis Businesses Meet Social Equity Challenges
To say the cannabis industry is at a unique juncture in history would be an understatement, wouldn’t it? A global pandemic and worldwide recession – both unforeseen nine months ago – have government leaders looking for ways to create new jobs and replace lost tax revenue. Decades of racism and unfair treatment by the legal system have caused dissatisfaction among many Americans and led to social unrest across the country. The prospect of these conditions resolving anytime soon seems to grow more remote every day. The National Association of Cannabis Businesses (NACB) is wrestling with these issues just like you. As an organization dedicated to advancing sound public policy and responsible business practices, we spend every working moment on initiatives to help our members and future members cope with these challenges and succeed in their businesses. Social Equity Programs Numerous state legislatures have adopted programs designed to promote ownership of cannabis businesses by individuals in communities harmed by the long-running war on drugs. We are seizing this opportunity today 42
Cannabis & Tech Today // Summer 2020
to develop a best-practices model for successful state and federal social equity programs in disproportionately impacted areas. However, while some social equity programs are innovative and show great promise, others suffer from bureaucratic delays and lack of resources. Well-intentioned governments cannot afford to leave the people they are trying to help feeling disappointed and cynical once again by failed systems. Following are several of NACB’s cannabis equity program recommendations. We have begun to present these ideas to key legislators and regulators. Recommendations include: • Create large, dedicated funds for social equity programs and associated community reinvestment projects from marijuana excise and sales taxes, application, and license fees. • Remove entry barriers to cannabis business ownership by reducing application and licensing fees and making low-interest loans available to social equity applicants. • Provide coaching to applicants throughout the application process, basic management education, and technical assistance. This can
Photo: iStockphoto.com/Delmaine Donson
// BUSINESS INNOVATIONS //
be accomplished directly by cannabis agency staff or by setting up small business incubator programs. Moving Forward After the Elections Though we can’t predict the impact of the November 2020 elections on the cannabis industry, NACB believes the current recession will lead many states, and even the federal government, to seriously consider adult-use legalization for the new jobs and revenue it could generate. The time is right to form a united front and begin making policy recommendations at the highest levels about how our industry should be regulated when full legalization is achieved. As a wise lobbyist once said, “If you don’t speak up for yourselves, someone else will speak for you.” NACB has adopted a series of cannabis industry standards over the last couple of years, some of which should form the basis of an industry-wide consensus on future government regulation. Please feel free to visit www.nacb. com to review the work we have done to date, and give us your feedback. All NACB members are encouraged to participate in our standardsmaking process. ❖
// THE NEW NORMAL //
How to Earn Coverage and Influence People
Three cannabis-media insiders share what they’re looking for in the perfect pitch. Compiled by Ebby Stone How can you garner more attention for your brand? Even when a company has a fascinating background, technology, or IP, catching the eye of the media can be difficult. However, media coverage doesn’t have to be elusive. When publishers and content creators are wading through story ideas, the primary question they’re asking is, “Does this provide value to my readers?” Value can mean many things to many people. That’s why Cannabis & Tech Today turned to a recent ‘Meet the Press’ roundtable hosted by Cannabis LAB (CLAB) to reveal how businesses and PR professionals can add value to their proposals and widen their exposure. This session was moderated by Charles Felix, owner of Cannabis News Florida.
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// THE NEW NORMAL //
Charles Felix: What does “value” mean to you?
Politics and Policy Reporter for Miami Herald Samantha Gross
Editor-in-Chief of Green Entrepreneur Jonathan Small
Editor-in-Chief of Cannabis & Tech Today Charles Warner
For me, the best pitches are those that are really well researched, someone who knows what I report on. It’s a lot more than just sending the same press release to other people. I like to know that it’s something that they really want in the Miami Herald for a specific reason, because they know what kind of work I do. Just knowing who you’re pitching is really the most important thing. It sounds simple, but it really makes a difference.
Don’t pitch a publication you haven’t read. It seems to be common sense, and I know we’re all very busy, but if you do a mass email and you haven’t even read the publication, you’re just wasting your time, you’re wasting the editor’s time.
Does it inform people, does it inspire people, is it backed by facts and science? We sometimes do fun stories and we love that, but ultimately, does it bring value to the audience? If I’m running a puff piece that somebody has asked me to run as a favor and it doesn’t bring any value to the audience, I’m going to lose the relationship with my audience — that’s not worth it to me. So, we’ve got to make sure that it brings value. It’s entertaining, it’s well-written, it’s something that can add to the conversation, and that matters to every publication. Editor-in-Chief of Green Entrepreneur Jonathan Small I think “how-to” stories are our bread and butter in Entrepreneur. How to do something better, how to be a better leader, how to be a better manager, how to deal with a crisis like we’re in right now. There should be takeaway advice in almost every story.
So, become somewhat familiar with who you’re pitching, I think it’ll save you a tremendous amount of time and really make your job a lot easier. Politics and Policy Reporter for Miami Herald Samantha Gross I follow a code of journalistic ethics that are really close to my heart, which is making sure that all my stories are always balanced. If I’m going to take a pitch from someone, for instance, I’m always making sure that I’m balancing it with the other side of the story. If we’re talking about a policy change that people are really upset about in the industry, then I’m going to go to the government agency that’s making those changes and try to get some balance. So my best practices are really just making sure that my reporting is accurate, it’s balanced, I don’t show any bias. That’s why I don’t take a lot of product pitches because I’m never trying to convince anyone of anything or sell anything.
Another question is, who is the audience that you’re pitching? Who is the audience for the (From left to right, top to bottom) Owner of Cannabis News Florida Charles Felix, publication you’re pitching? The Editor-in-Chief of Green Entrepreneur Jonathan Small, Editor-in-Chief of Cannabis audience for the Miami Herald is Editor-in-Chief of Cannabis & Tech & Tech Today Charles Warner, Politics and Policy Reporter for the Miami Herald different from the audience for Samantha Gross. Today Charles Warner Green Entrepreneur, and so one We do get a lot of emails and our staff is busy. As long as their story or their product falls can’t just send the same press release and hope Time is of the essence. If you bait the hook to into a bigger issue that I happen to be writing for the best. You have to tell your pitch to the suit the fish and you’ve done your research and about, that I can throw into a mix of other different audiences. you go, “Hey, I see your next issue is going to be things, I think that’s always a good pitch. I My audience is entrepreneurs, people who are on outdoor adventure. I’ve got a really good fit keep a folder for sources for future stories and in the industry, or want to be in the industry. right here for outdoor adventure.” I separate them. I cover a bunch of things, so I What do you want to learn about? You don’t have prison sources and I have my healthcare If the editors look through it and it’s good — want to just hear about how great somebody is sources and I have cannabis, too, and those are that thing’s going to get fast tracked as opposed doing or how much money they’re making or people I go back to time and time again. I think to some random press release. Bait the hook to how successful their business is, you want to it is really valuable to offer yourself as a resource suit the fish. Understand what [the publication] hear about why their business is successful and if you’re an expert in something. is trying to do and actually help them what you can take away from their experience accomplish their goal of bringing good content Charles Fenix: Journalists receive dozens of and apply it to your own business, so there has to be that piece of it. while you help your client. ❖ pitches a day. What makes a pitch stand out? Summer 2020 // Cannabis & Tech Today
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// THE NEW NORMAL //
Puff, Puff, Hold Industry experts weigh in on whether the pandemic could spell the demise of social cannabis consumption.
By Tami Kamin Meyer Photo: iStockphoto.com/Barringtonhd
“I’ve had many patients bring this up when it comes to COVID-19 and whether we should change that,” says Dr. Jordan Tishler, a Bostonbased cannabis specialist, physician, and founder of InhaleMD who counsels patients about using cannabis to treat various medical ailments. He is referring to patients’ worries about smoking cannabis during COVID-19 due to the potential impact inhaling cannabis can have on a patient’s lungs, given that the virus attacks those organs. But, he says, there is a bigger consideration. “I don’t think anyone should smoke this stuff. When smoking cannabis, we know the smoke from it is chemically similar [to cigarette smoke],” says Tishler. However, he also admits scientists have conducted many studies of cannabis smokers who never developed lungrelated ailments.
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for alternatives, like edibles. There is not enough research yet, but clearly the medical community is sounding the alarm about not smoking cannabis, urging users to find alternate methods of ingestion.” Are Smokers’ Habits Evolving? If Andrew Glashow is to be believed, there has been a “marginal change” in the number of people who were regular cannabis smokers but, due to COVID-19, are opting for other means of ingestion. Glashow, president and founder of Oasis Cannabis, says that while some cannabis smokers are shying away from that method, others continue unabated. Among those who continue to smoke, however, Glashow says a new trend is developing.
Women, in particular, favor tinctures. Another way some smokers enjoy the social aspects of smoking pot while limiting their COVID-19 exposure is, according to Glashow, to “bring their own paraphernalia to pot parties and not share.” Certainly, the fact that paraphernalia sales are on the uptick supports his claim. Choosing between inhaling cannabis or ingesting an edible is one of the decisions Tishler helps his patient make. While he is against smoking cannabis outright, he admits it offers “an immediate release.” Conversely, edibles take time to kick in. “They’re unpredictable,” says Tishler.
So, with the advent of COVID-19, will cannabis smokers ditch the joint and ingest the plant in other forms?
Although cannabis is often a social experience, fears that sharing a joint or bong can lead to unintentionally passing on the coronavirus is altering behaviors, he says.
Honest Marijuana Company CFO Serge Chistov agrees with Tishler’s assessment of edibles as a smoking alternative gaining popularity despite its unreliable results. “A new generation of edibles will allow younger consumers to switch and graduate into a new generation of users,” he says.
According to Michael Klein, CEO of God’s Greenery and CannabisMD, “People are looking
For example, sales of edibles and tinctures have increased since the pandemic, says Glashow.
Another alternative to smoking cannabis through a bong, joint, or pipe is a flower
Cannabis & Tech Today // Summer 2020
// THE NEW NORMAL // Puff, Puff, Hold
(Left to right) Founder of InhaleMD Dr. Jordan Tishler, CEO of God’s Greenery and CannabisMD Michael Klein, the MouthPeace smoke filter, and Co-Founders of Moose Labs Dan Rush, Maria Testa, and Jay Rush at a tradeshow.
vaporizer. According to Tishler, when a flower vaporizer reaches 350 degrees, the user will “get all the cannabis benefits without the chemical risks.” He cautioned that vaping marijuana through a liquid cartridge is “not safe.” The heating element and battery operate at a temperature so high that it “exposes people to similar chemicals as smoking.” Smoking does not play a role in any of the CBD products Klein’s company manufactures. However, he says an increasing number of people are concerning themselves with the benefits of natural health products, even before the pandemic. Change is in the Air The decision to smoke marijuana or ingest it another way is not the only change facing the cannabis community. According to Glashow, consumers are purchasing more indica strains of cannabis than sativas.
For Tishler, the pandemic has translated into him being busier than ever. He attributes that to an increasing number of people who “are recognizing how much better their treatment is by seeking our medical care.” In other words, Tishler tailors a patient’s cannabis recommendations to treat their medical needs. Then, when the patient purchases their product through a regulated cannabis dispensary, they can be assured of its purity, level of THC, and lack of added chemicals. The COVID-19 outbreak has also proven profitable for brothers Dan and Jay Rush, owners of Moose Labs. “We create products that make [cannabis] smokers’ lives better,” says Jay Rush.
Tishler agreed. “Without question, people are coming out of the woodwork saying they can’t sleep and are anxious.”
In 2015, Moose Labs introduced the MouthPeace, which, along with MouthPeace Filters, offers a triple-layer carbon filter to sanitize smoke and vapor while enhancing flavors. According to its website, the MouthPeace removes resins, toxins, and tar, all without inhibiting intake or reducing the user’s airflow.
Although he believes nothing will convince all pot smokers to ingest marijuana in other ways besides smoking it, the fact that people are becoming more health-conscious will impact what they smoke.
According to Jay, sales for the MouthPeace have always been good. However, “once [coronavirus] hit, it’s taken off,” which he attributes to a few reasons. First, people received stimulus checks and even unemployment, so
That’s because “they’re just trying to get through the f***ing day. We are seeing a shift to more of a calm and towards sleep. People are looking to take the edge off,” he says.
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“Smoking will go towards healthy, fast, transdermal,” methods, says Chistov. Consumers are also favoring pre-packaged items, such as pre-rolled, single joints versus purchasing loose flower. “Fewer hands touch [the product] that way,” he says.
Cannabis & Tech Today // Summer 2020
they could afford to purchase products they had been wanting. He also believes “people want to take care of themselves but still smoke,” and using the MouthPeace enhances the smoking experience while reducing many of the risks associated with the practice. Sales in March and April 2020 for the MouthPeace and filters tripled over the same time in 2019, says Dan Rush. Also contributing to the increase in transactions is the redesigned MouthPeace, introduced in July 2019. That product improvement has led to “hundreds of thousands” of filters and more than 50,000 MouthPeaces being sold, he says. The brothers don’t believe that even COVID19 will spell the end of pot smoking. “I don’t think people will stop smoking joints. It’s too ingrained in our culture. But what I do see is less sharing,” says Jay. In Dan’s opinion, “people are much more germ-conscious [now]. We don’t go to a bar to share beers. Now with the coronavirus, people are more safety aware.” “The pandemic is like a war in that it will create a lot of PTSD and a lot of nervous breakdowns,” opines Chistov. ❖ Tami Kamin Meyer is an Ohio attorney and freelance writer. Her byline has appeared in Forbes, MarketWatch, Next Avenue, and Your Teen. She is the Social Media Chair of the American Society of Journalists and Authors and tweets as @girlwithapen.
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// TECH ZONE // Presented By:
Bring Your Dream to Greeley — Northern Colorado’s Hemp Epicenter Section compiled by Patricia Miller
Photo: iStockphoto.com/RiverNorthPhotography
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// TECH ZONE //
Driving through Northern Colorado, one can’t help but notice the striking contrast between the white-capped mountain ranges towering in the distance and the lush, green fields spanning into the horizon on either side of I-25. It’s a region that in recent years has become synonymous with hemp, thanks in no small part to the annual NoCo Hemp Expo that’s been taking place there since 2014. The event is now the world’s largest hemp conference and exposition and draws thousands of global visitors to Northern Colorado every year. Cultivation It’s not the expo that’s brought in hemp cultivation, rather it’s Northern Colorado’s unique pairing of pristine soil, ideal climate, and forward-thinking local governments that offer regional farmers a dreamscape for industrial agriculture. Nearly a quarter of all industrial hemp produced in Colorado originates from just five counties. Weld, Larimer, Boulder, Morgan, and Adams Counties grow more than 30,000 acres of industrial hemp each year, contributing to Colorado’s authority as the leading hemp producer in the United States.
Photo: iStockphoto.com/AlenaPaulus
Processing The abundance of hemp cultivation has drawn a high concentration of hemp processing facilities, culminating to create a rich ecosystem for the entire industrial hemp industry to grow and thrive. Greeley, Colorado is the epicenter for many of these operations and the birthplace of the Colorado Hemp Industries Collaborative (CHIC). The group connects private-sector hemp companies with regional governments to boost industrial development. Partnerships Every level of government seems to be involved and supportive of the industrial hemp industry in Northern Colorado. Even Greeley’s Mayor John Gates is actively engaged with the sector. “Given our agricultural heritage and strategic location, we see Greeley as a natural fit to lead and support the growing regional hemp ecosystem,” boasted Gates. This ecosystem is heavily supported by CHIC, which offers educational events, networking opportunities, and financial incentives to hemp entrepreneurs in the region. Beyond networking, CHIC offers insight on commercial loan acquisition, insurance, inspections, and real estate development. Greeley Senior Plans Examiner Matt Wagy is fond of inviting entrepreneurs to, “Bring your dream.” He understands that leadership in the area is supportive of hemp and does what it can to ensure the industry isn’t burdened with uninformed regulations. He shares: “We invite hemp project developers to approach us with their plans and we will support their efforts. We treat industrial hemp as just another crop from a compliance perspective.” This openness to hemp isn’t something one can find all over the country. An open-minded and economically-driven approach to industrial hemp has created a one-of-a-kind ecosystem in which the nascent industry can expand and thrive. In this issue’s Tech Zone, Cannabis & Tech Today will dive into the colorful ecosystem of Greeley and explore all the facets of Northern Colorado’s emerging industrial hemp industry. Areas of interest include soils and plant genetics, research, farming and cultivation, processing, manufacturing, and marketing and support. ❖ Summer 2020 // Cannabis & Tech Today
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// TECH ZONE // Presented By:
Soil & Seeds in NoCo’s Hemp Hub Hemp has some incredible properties. Not the least of which is its ability to pull heavy metals and other contaminants from the soil. It’s one of few crops that will leave the soil in better shape, albeit lacking some nutrients, than when it was planted. Further, hemp seed genetics are increasingly important as farmers strive to grow fields with high concentrations of specific cannabinoids, like CBD or CBG. They must also be low in THC or risk destruction by the federal government for exceeding limits set in the 2018 Farm Bill. Northern Colorado is pushing the boundaries of soil and genetics research, propelling the industry into center stage for industrial agriculture. A Northern Colorado hemp farm in full bloom prior to fall harvest.
game-changing implications for industrial agriculture. HumiSoil supports building humus and stimulating natural biological reactions responsible for organic matter conversion. Increasing organic matter by just 1% in the soil can save up to 27,000 gallons of water per acre. Many hemp farmers are operating on razor-thin margins when they start out, so cutting costs on water consumption is vital. Marketing Manager Clinton Sander is proud of the work A1 is doing in the region, stating: “Using regenerative methods in farming practices creates a foundation for what’s most vital, the soil health.” Soil health is closely linked to the quality and quantity of yields. That’s why the NoCo region is also home to soil-testing companies like Soil Sage. The research company is well known in Greeley for their testing services and one-onone soil consultations. Living soil is an important part of healthy crops. Here, soil is pictured stockpiled and awaiting relocation.
Soil Science Healthy plants start with living soils. In Greeley, many farmers are using a unique product known as HumiSoil™, developed by VRM Biologik and A1 Organics. HumiSoil rebuilds topsoil, energizing plant growth and lessening the water required for robust crops. Founded by Duane Wilson in the early 1970s, A1 Organics has been a family-operated business in Northern Colorado for four generations. They’ve grown from a humble lamb farm to a robust commercial composting operation, recycling more than 425,000 tons of organic material per year. They’re the first company to offer HumiSoil in the United States and the product could have 52
Cannabis & Tech Today // Summer 2020
Genetics and the Power of Seeds Arguably, the second most important asset for a hemp farmer are his or her seeds. Matt Gibbs, founder and CEO of Sunrise Genetics, explained why seeds play such a pivotal role in the industry: “The USDA’s 2018 Farm Bill has put the burden of managing THC compliance entirely on farmers — they take the greatest risk and suffer the largest losses if a crop creeps above that arbitrary 0.3% THC level. By screening the DNA of our breeding stock, we
can assure that our plants are stable for low THC production.” International Hemp Solutions also saw the need for reliable, standardized hemp genetics and launched their diverse brand of services in 2014. They were the first company in the U.S. to import “Farm Bill compliant” industrial hemp seed. They now provide not only AOSCAcertified seed, they’re conducting work in hemp R&D, production, propagation, harvesting, processing, manufacturing, and distribution. The hemp industry is just beginning to find its roots in the U.S., which allows local farms and family-owned businesses to throw their years of farming experience into the newly legalized crop. BD Farming is one of Northern Colorado’s family-owned hemp operations, specializing in hand-picked clones that offer a robust cannabinoid profile year-round. Robert Brooks, master grower and co-owner of BD Farming, is now testing CBG and high-count CBD strains for commercial development. ❖
The Agricultural Industrial Revolution is here in
Greeley, Colorado’s Hemp Production Hub Greeley’s top industries are helping hemp to grow at scale
Energy & Power
Agriculture & Food
Education & Health
Northern Colorado’s Hemp Innovation Ecosystem includes:
Greeley
1. NoCo Hemp Expo, the world’s largest 2. Colorado Hemp Industries Collaborative 3. Aims Community College’s Certificate in Hemp and a new AS degree coming 4. CO SBDC’s Harnessing Hemp conference 5. Acres USA Magazine’s Hemp Summit 6. Colorado State University – Hemp Research & Agricultural Extension Counties producing over 2,450 acres of hemp per year (2019)
Let us help you grow your hemp venture here!
Contact: Phil McCready, Greeley Economic Development Manager (970) 397-3440 | Philip.McCready@GreeleyGov.com | www.ColoradoHempCollab.com
// TECH ZONE // Presented By:
Cultivating Cooperation NoCo’s collaborative attitude spurs innovation in industrial hemp.
Enhanced farming practices, robust yields, and the development of precision genetics wouldn’t be possible without research. The Greeley area has embraced collaborative research initiatives, like those produced by New Horizon Agro (NHA) and their Evolving Research Farm. The farm spans more than 500 acres and serves as a cooperative research center. Co-op members can test and research the latest agronomic practices to maximize profitability and yield. Collaboration Breeds Innovation Co-Founder of NHA Artie Elmquist shared his inspiration for starting the cooperative: “I got a degree in General Agriculture and graduated from [Colorado State University] in December of ‘87, came back to the family farm. In 2015, I was invited to my first NoCo Hemp Expo and decided my future didn’t lie in traditional agricultural farming. “Being a lifelong sugar beet grower and understanding and appreciating the value of cooperatives, I concluded what we really needed was to develop, across the United States, a network of hemp cooperatives of farmers — to make it easier for them to be vertically integrated when they market their products.” Elmquist and Co-Founder Roger Bryant are passionate about hemp’s potential and eager to provide marketing opportunities for farmers across the country. Elmquist confided that one area he’s especially interested in is the development of hemp building materials, particularly a material known as hemp adobe. He explains: “Hemp adobe creates very efficient houses. R80 insulation value but with 65% cost savings to conventional construction… they are very healthy buildings to live in — mold and mildew resistant, fire retardant — just so many great benefits.” The Evolving Research Farm is also focused on creating a sustainable, resilient hemp industry that will influence how the rest of 54
Cannabis & Tech Today // Summer 2020
Hemp spans into the horizon near the base of Colorado’s Rocky Mountains. The region’s rich agricultural resources provide a welcoming home for the hemp industry.
commercial agriculture operates. Elmquist notes: “The main focus of the research farm will revolve around how we reshape the way agriculture looks. Weld County can become ground zero for ag innovation.” He explained that hemp allows farmers to collaborate intensively, relying on each other to fulfill different aspects of production and cooperation. For instance, the area’s dairy farms
supply waste to local composters, like VRM Biologik; that soil is then sold to local farms for hemp cultivation. Those farms could produce hemp seed, which can be pressed into hemp cooking oil, creating a byproduct of hemp seed cake — a nutritious feed for livestock. This synergy creates a hemp ecosystem that encourages crop diversity and local collaboration while lowering transportation costs. Processed hemp is piled and awaits the next step on its journey to form one of millions of products derived from the versatile crop.
// TECH ZONE // Presented By:
only one of the thousands of uses of the plant. So our emphasis now is to expand everybody’s knowledge and attract processors and so forth to the area so we can capitalize on the multiple uses of the crop,” Goble explained. The Future of Farming Some companies take full advantage of hemp’s versatility, creating multiple product lines centered around the plant. Athena Biohealth, for example, offers five different product lines, ranging from CBD-infused wellness products, like vitamin capsules and skin cream, to hempinfused granola, soaps, or even environmentally-friendly home cleaning products. The woman-owned business now cultivates 1800 acres of Colorado hemp farmland.
Crops and Soils Instructor at Aims Community College Kirk Goble often takes his Hemp 101 students on field trips to local farms. He says interest in the plant has been intense and his noncredit industrial hemp course is frequently sold out.
Elmquist elaborated: “We now have a justification for a lot of farmers in the county agreeing to shift some percentage of their acreage to hemp production, maybe cut back on their corn acres and some other crops, but then add hemp into the rotation… “Through this research farm, I think we can develop the innovation center that attracts the right businesses to make all of this happen. Greeley is becoming this amazing metropolis for hemp.” Bryant reiterated Elmquist’s enthusiasm, noting: “We’re going to make Greeley to hemp what the Sonoma Valley is to wine.” An Education in Ag An old adage comes to mind, “If you think education is expensive, try ignorance.” For farmers, industry professionals, and real estate brokers, the value of a hemp education is tangible in the results they sow into their fields. Between Colorado State University in Fort Collins and Aims Community College in Greeley, would-be students have several avenues 56
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for pursuing an education in ag. Crops and Soils Instructor at Aims Community College Kirk Goble even offers a six-hour, non-credit course on industrial hemp, which he notes is always sold out. Goble shared an interesting contrast: “We’re very large corn producers around here, but we don’t offer a corn class. And we produce sugar beets around here, we don’t offer a sugar beets class. But the interest in hemp has been so intense.” “The administration and Board of Trustees at Aims Community College have been very supportive of the addition of hemp education to the curriculum,” notes Goble. He believes it isn’t just the crop’s recent arrival to the ag scene that’s driving interest — it’s also the plant’s versatility that’s drawing new industry. “Starting out, pretty much 70% of the crop throughout the nation was going for CBD, but CBD is not an industry. It’s an ingredient. “So, you can have one of the uses of the plant being extraction of the cannabinoids, but that is
Other farms, like Fern Hill Farm, were more reluctant to start growing the crop. Certified Master Gardener and Farmer Clifford Clift started growing hemp after his 46-year-old son approached him with a business proposition. When asked by his son if he would consider growing hemp rather than Christmas trees, Clift replied with a firm, “No way in hell,” according to an interview with the Colorado Sun. It wasn’t until the 79-year-old former real estate agent tried CBD for his arthritis that he became convinced of the plant’s medicinal value. “My pain was minimal after that,” Clift shared with the Colorado Sun. He’s now working with his son Paul producing hemp on their farm just outside of Greeley. Farmers cultivating hemp are taking a risk, though, despite hemp’s federally legal status. If a crop has more than 0.3% THC, the entire harvest must be destroyed. Agriscience Labs is one of Colorado’s leading ISO-accredited cannabis and hemp testing labs. They work closely with Northern Colorado farmers, testing their genetics and hemp plants to ensure crop compliance with state and federal guidelines. Those who experience crop failure due to natural processes, such as hail, freeze, drought, or flood, often turn to local company J9 Crop Insurance, providing protection for farmers across three states. They offer crop and livestock insurance, as well as personal and business lines of protection. It’s a much-needed safety net for what could be perceived as a high-risk venture. ❖
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Processing and Partnerships in Hemp Country
(Top row) Hemp Ventures CEO Ryan Dougherty. A hemp t-shirt worn in a field of hemp. Compounded hemp and polylactic acid (PLA). Starches are extracted from hemp or corn and fermented to form lactic acid, which is then polymerized to create PLA — a biodegradable material that can be used in a variety of applications. (Bottom) A wide angle photo of the BDX extraction facility
For many who choose to live and work in Northern Colorado’s agricultural communities, there’s more to love than just the picturesque mountains in the distance or the easy accessibility to major metropolitan hubs like Denver and Fort Collins. The area provides access to ag-based educational opportunities, industry partnerships, and processing facilities that just aren’t available in many parts of the country. Creating a Knowledge Base Owner of Hemp Processing Partners Shane Pritchard is opening an industrial hemp collaboration hub and laboratory in Greeley later this year. He explained why the area is such an ideal fit: “Greeley and Weld County are very strong agricultural areas and we have access to agricultural universities, with Colorado State University in Fort Collins, the University of Northern Colorado in Greeley, and Aims Community College. So there are good 58
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educational resources there and a lot of really productive agricultural land.” Hemp Ventures is a hemp processing and technologies company led by CEO Ryan Doherty. He feels shared knowledge will encourage more adoption of hemp throughout the country: “I really want to engage with students, colleges, and universities to get the whole next generation seeing this material and getting their hands on it so they can come up with businesses and ideas to take advantage of this new opportunity — which, I think, is one of the greatest in the last couple of decades. How often do you see a plant reintroduced that has the capabilities of cotton, timber, and petrochemicals? It has never happened.” Informed Farmers Grow Better Crops One of the largest hemp extraction footprints in the U.S. belongs to BioDynamic Extraction (BDX), which can produce up to 20,000 kg of
CBD per year in one of their facilities. BDX Market Strategist Preston Mantel encourages the farmers they work with to be educated and informed so they can cultivate quality crops. Mantel noted: “Ken [Thieneman, BDX founder] recognized the importance of biomass. With extraction, you get out what you put into it, so making high-quality CBD products starts with quality biomass.” That’s why many companies choose to work with hemp agronomists — scientists who are trained to increase soil productivity and improve crop quality. Well-educated farmers produce better crops, which allow for a synergy between producers and processors that’s hard to find in such a localized area. High-quality hemp can be processed into an astounding array of products, able to create thousands of goods from fiber to fuel to food.
CBDa E X T R AC T E D W I T H W AT E R Our process extracts CBDa with water, yielding a product that is as close to the plant as possible, retaining all the benefits while adding nothing of harm. It’s the art of combining science and nature to create well-being. photo: brienneboortz.com
CONTACT US / LEARN MORE planetarie.com Sales@planetarie.com 303-548-2449
// TECH ZONE // Presented By:
The market is saturated with CBD products, which has placed extra pressure on processors to be transparent and efficient. Pritchard explained how they’re helping farmers optimize returns with his cutting-edge processing technology: “We’ve made hemp separation more economically viable in order to drive down input and production costs and be able to do it at a very large scale. We have systems that process 10,000 pounds an hour. In the hemp world, that’s been revolutionary.” A photo of the BDX team in their extraction facility during an open house. (Below) Lauren Kelsey, analytical chemist, working in the in-house testing lab.Photos: Jake Thieneman
Doherty explains: “You really need the fiber and hurd to be separated. It’s kind of like separating crude oil into all the different things that it can be used for… Hemp is very similar, the stalk is like the crude oil and you need it separated to make it useful for all these other industries. What we do is separate it and make it useful. So, that will be the catalyst for much more activity and innovation in the space.” PureHemp Technology is one such company working to separate and manufacture hemp into a diverse set of GMP- and organic-certified SKUs. As a vertically integrated hemp manufacturer, they produce and market full- and broad-spectrum CBD products. Adding to the regional current of innovation, PureHemp created a tech known as continuous countercurrent reactors (CCR). CCRs rapidly deconstruct hemp stalk into cellulose, sugars, and lignin. Those components are then used to create everything from hemp business cards to green chemicals, like bioplastics. They plan to scale up their CCR pilot plant to 8-tons per day over the next year while continuing to offer conventional stalk refinements such as size choppers, a thresher, and a decorticator. Extracting: an Exacting Science Innovation is a common theme in the processing sector of the industrial hemp industry. BDX, for example, specializes in supercritical carbon dioxide cannabinoid extraction. Client Relationship Manager Jake Thieneman noted that in an industry like hemp, you have to constantly refine and reexamine your goals: “We’re continually innovating our process, just so we have better and better products. We chose supercritical CO2 extraction because it’s the 60
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cleanest, and yes it was a bigger investment on our part, but it’s worthwhile for us to stay true to our vision and stay true to the mission because we’re really trying to innovate this industry.” BDX is also working with technology partners to offer their clients full THC remediation, meaning traceable, zero-THC products for their customers. Thieneman disclosed: “We invested in [top-quality] lab equipment, which actually makes our job a lot more difficult because we have to strip every little bit of THC out, to three or four decimal places, but it makes our products that much better for the client. We document that and deliver [that documentation] to our clients.” Thieneman is passionate about zero-THC products, and not just because his father relied on CBD to recover from a traumatic surgery. Thieneman played for the San Francisco 49ers in 2019 and saw locker rooms filled with aching players who turned to over-the-counter pain relievers or doctor-prescribed opioids to deal with their injuries. He believes CBD with zero THC could be a game changer for athletes and those impacted by chronic pain.
More efficient technologies can make all the difference when growing hemp for CBD products. Pritchard continued, “A lot of customers tell us that by using our equipment, it’s given them the ability to sell material in an oversupplied market. They’ve been able to get more purity in their product and that’s given them the edge when they go to sell it.” Designed for Success and Safety Little innovation would be possible without well-designed facilities and secure products. Code Unlimited, an accessibility, building code, and fire protection firm, is helping hemp producers create operations that adhere to best practices while remaining compliant with state regulations. One of the primary challenges of facility design is fulfilling the company’s vision while also providing a code-compliant structure. Code Unlimited creates structures for the hemp industry that positively impact the well-being of farmers and other hemp professionals, creating buildings that are both functional, efficient, and inviting. Code Unlimited Engineer in Training Caitlynn Holmes shared: “It’s really exciting from a behind the scenes perspective to be able to impact the way that people go about their daily lives.” With a well-designed facility brimming with high-quality hemp, security will be a major concern — not only for farmers, but for regulators who take security seriously. Local Greeley companies like Patriot Shield Security are able to provide end-to-end protection, offering secure hemp transport, transactions, warehousing, storage, and security monitoring. As the industry expands, expect to see the already lengthy list of security regulations continue to grow. ❖
// TECH ZONE // Presented By:
Transforming an Agricultural Hub, Organically How Rocky Mountain Extraction Services is Impacting the Hemp Landscape in Northern Colorado By Monica Parpal Stockbridge Rocky Mountain Extraction Services (RMES) has come a long way since incorporating 18 months ago. The 2018 Hemp Farming Act was the catalyst, although opening their doors wasn’t quite so simple. “Originally, we felt like [the Hemp Farming Act] was a green light,” says CTO Jerry Van Sickle. “What we found was that it was more of a yellow light.” Because of hemp’s association with recreational marijuana, Van Sickle and CEO Scott McWhorter discovered challenges in commercial property leasing and banking for RMES — even though they were specializing in manufacturing organically-sourced CBD extracts and distillates rather than THC. After transitioning from previous engineering careers in the area, the partners knew they wanted to be located in Weld County. They approached the bank from a professional, compliant perspective. “Ours is a legitimate business and we chose to just represent it as a legitimate business, and not really harp on the fact that it’s not THC,” McWhorter says. “We just talked about our business and how we do things and how we are focused on compliance, traceability, and transparency.” Today, McWhorter and Van Sickle, along with Chief Analytical Chemist John Eickhoff, work with customers around the world, from new startups to large enterprises, offering targeted extractions and organically certified products and services — something unique in the market. “One of the things that sets our THC nondetect products apart is that we do it in an organically-certified manner using no
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solvents of any kind throughout any of our process,” Van Sickle says. What’s more, RMES can offer very targeted and specific extractions when it comes to the ratio of CBD to THC. They can transform a ratio of 25:1 biomass to a 36:1 extract. “It’s easy to make a product for consumers that’s compliant with the federal regulations when you have that great ratio,” McWhorter says. Since incorporating, RMES has scaled the business to process a large amount of biomass, 1000-1200 pounds a day. “This allows us to work with larger farms and provide oil for larger businesses,” Van Sickle adds. One unexpected result is that some of RMES’ competitors have become some of their biggest customers. As the industry learned about RMES’ unique product, competitors approached and asked if RMES would be willing to work with them. “They have biomass they want to be extracted a certain way, and we can do that. It is great to work in an industry that is open and collaborative.” Keeping this service-oriented approach in mind, RMES also offers a white label program. “We started offering a variety of products that are certified organic to customers that want to go out and promote their own brand and sell CBD into their market,” McWhorter says. “And since we don’t have a consumer brand, we don’t compete with those customers.” As the RMES team sees it, CBD manufacturing as an industry has opened up a lot of opportunities, especially in Colorado. “It’s exciting to see that and be a part of that,” Van Sickle says. ❖
Purity through Innovation At Vantage Hemp Co., we have CBD extraction down to a science. Positioned to be a leading supplier of API standard CBD extracts, we specialize in the production of high-quality crude oil, full-spectrum oil, distillate, and isolate at our two world-class extraction facilities in Greeley, CO. We hold our processes to the highest standard, to bring you the purest product.
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// TECH ZONE // Presented By:
A Northern Colorado Advantage Vantage Hemp Co. Finds A Natural Fit In Greeley By Monica Parpal Stockbridge Before Vantage Hemp Co. formed in December of 2018, the leadership team debated about where they would open their facilities. After looking at options across Canada and the United States, they decided on Colorado. “Colorado is well known for the cannabis and hemp industry,” says Harvinder Johal, Vantage Hemp Co. Partner. “That’s where the resources, suppliers, and customers already are. It really kind of became a natural fit.” From their base of operations in Greeley, Colorado, Vantage Hemp Co. — a scientificallydriven CBD extractor — works with large institutional clients such as pharmaceutical companies and retailers around the country and internationally. For the Vantage Hemp Co. team, Greeley’s biggest draw was its rich agricultural history and opportunity for the growing hemp industry. “The Greeley City Council has a keen interest in attracting processors like ourselves to build out the value-added side of the hemp industry,” Johal says. “Having processors like Vantage Hemp Co. located in the area creates high-skilled jobs and attracts other companies to service the hemp industry.” Additionally, being located near academic
institutions like Aims Community College enhances Vantage Hemp Co.’s commitment to researching improved agronomic practices and future extraction methods. Today, Vantage Hemp Co. operates a 35,000-square-foot, highvolume CO2 extraction facility. The company also recently opened a 26,000-square-foot facility with state-of-the-art technology to meet a demand for GMP compliant, high-quality, pharmaceutical-grade hemp-derived CBD extractions using hydrocarbon extraction. The facilities support large scale winterization, in-house testing capabilities, and crystallization equipment designed to produce CBD extracts. With these two facilities, Vantage Hemp Co. is able to process four tons of biomass per day using hydrocarbon extraction. What’s more, the company can process one ton of biomass per day via CO2 extraction. This is one thing that sets Vantage Hemp Co. apart. Since many companies choose just one form of extraction, the capability to do both helps provide greater flexibility and better outcomes when processing different types of harvested biomass. “When you look at something like full-spectrum oil or distillate, there’s going
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to be variety in that based on the characteristics of that hemp plant that year,” Johal says. “Depending on what our customers are looking for, we make sure we hit those requirements.” Vantage Hemp Co. aims to be a scientificallydriven CBD extraction company that takes the unique characteristics of the hemp plant into consideration in order to produce high-quality product not only to satisfy its customers, but to bring new opportunities to its agricultural partners. “For farmers looking to diversify from corn and soybeans, hemp is a growing opportunity,” Johal says. “We’re focused on CBD, but others may be interested in food or fiber. There’s a lot of opportunity within hemp and the industry has a strong future.” More and more, Johal and the Vantage team see companies in the healthcare, cosmetic, or food space looking at how they can utilize CBD products. “We want to be at the front of the line of that opportunity by providing world-class production right here in Colorado,” he says. ❖
// TECH ZONE // Presented By:
Manufacturing a Mindset Through Industrial Hemp Globally, the industrial hemp market was estimated at $4.7 billion in 2019, according to Grand View Research. Greeley and Northern Colorado are poised to play a major role in the sector, hosting several manufacturing companies that are working collaboratively to produce a vast array of products. Reduce, Reuse, Recycle ReBlocks, a building block manufacturer, is working with hemp stalks and recycled plastic to produce building materials. Their building kits are available in different sizes and layouts, with each kit preventing more than 15,000 pounds of plastic from entering the landfill. Though ReBlocks only needs the fibrous component of hemp, ReBlocks Director of Sales and Marketing Adam Dietrich is focused on collaboration. “We want to have partnerships in which we share that overhead and really work toward a group think, where research and development is a standard. In every corporation, you have your research and development hub. We want to bring that back and be able to gain that momentum that was lost over the last 60 years or so,” Dietrich said.
ReBlocks building materials are sourced from recycled plastic and hemp stalks. The lightweight, durable blocks leave a remarkably green footprint, preventing more than 15,000 pounds of plastic from entering the landfill with each kit.
Innovation for a Greener Industry Interconnectivity and sustainability are at the heart of the Greeley hemp ecosystem. Companies in the region aren’t just looking to collaborate and avoid wasting materials, they’re innovating the very processes used to refine the materials themselves. SonEx Labs utilizes hydrocarbon extraction to refine hemp into crude oil with 65-90% potency. Similarly, Planetarie — a water-extraction and consumer
The Planetarie team out for a stroll. Their water extraction capabilities are one of the more environmentally-friendly extraction options currently available on the market.
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CBD company — is using their technology to reimagine the hemp extract. Christopher Roy, customer relationship manager for Planetarie, explained their approach to hemp extraction: “Even though everyone thinks that sustainability is synonymous with hemp, we saw that people weren’t really looking at the long-term impacts of high scale ethanol operations and what that actually does to the environment. So we saw an opportunity to take the universal solvent, water, and develop a process that extracts the cannabinoids from hemp in their raw, natural state, leaving them closer to the way mother nature intended. This process is a lot healthier for, not only the consumer, but for our community as well.” Healthier Through Hemp It’s an idea echoed by many Greeley manufacturers — a commitment to creating more sustainable products and fostering healthier communities in the process. Broken Compass, a Colorado manufacturer of duffel bags, travel gear, and outdoor apparel, shares that belief. They’re creating durable products from sustainably-sourced hemp materials.
Broken Compass Co-Founder Jason Hummert explains there are still hurdles to overcome: “We still source everything from overseas, but it’s always been our goal to source raw materials and hemp fiber domestically… So our goal now and into the future is to partner with people domestically to move farther down the supply chain.” Northern Colorado is becoming that
domestic resource for everything hemp-related. The region is home to nearly every sector of hemp manufacturing, whether it’s high-grade soil enrichments from companies like BioChar Now, or fresh, local hemp seed from the United States’ first commercial hemp grain processor, Colorado Hemp Works. It’s a truly diverse hub for the entire hemp ecosystem. ❖
(Left) The Planetarie team is a close-knit bunch, as are many Greeley-area companies working in the hemp space. The region’s numerous collaboration centers encourage networking and cooperation. (Right) A Broken Compass duffel bag accompanies a hiker to one of Colorado’s breathtaking vistas.
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// TECH ZONE // Presented By:
A Helping Hand for Hemp
The final cog in the industrial hemp machine is educating the public about hemp’s availability and versatility. Dr. Philip McCready is the cofounder of the Colorado Hemp Industries Collaborative (CHIC) and the economic development manager for the City of Greeley. His Ph.D. in the economics of innovation is an ideal fit for hemp, as each facet of the evolving sector continues to find new ways to advance the industry. A Collaborative Ecosystem “We have people being drawn to Colorado and to what we’ve been doing in Greeley — it’s really striking to find this level of entrepreneurial energy,” noted McCready. He formed CHIC to bring together the disparate branches of the local hemp industry to form a more efficient and integrated ecosystem. But, he’s seeing more than just collaboration, he’s watching these farmers and inventors push each other to new heights of ingenuity. “What we’ve got here in Greeley is the mindset like that of the pioneers of the fracking industry or the gold rush, who really seem to be making technological breakthroughs that are going to put America back on top of the industrial hemp space,” muses McCready. Evolve Distributions is another company working to advance the work of local hemp 68
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farmers. Owner Roger Bryant offers full-service sales, marketing, and distribution for hemp and is passionate about seeing larger companies become involved in the space. “Businesses can come to us to do their logistics and shipping, and we can send out a product complete with legal backing and the proper paperwork to ensure these companies aren’t met with a surprise when they present their products to the public.” These services play an integral role in expanding North American industrial hemp manufacturing. A Home for Hemp Greeley is the central hub for five of Colorado’s top producing counties for industrial hemp. Perhaps that’s why Acres USA, North America’s leading organic and sustainable farming publication, has been based in Greeley for the last 40 years. The magazine offers farmers an in-depth look at best practices in sustainable farming. They’ve focused heavily on hemp as a crop that can sustain the family farmer and will be hosting the Advancing Industrial Hemp 2020 virtual conference in October. Similarly, the East Colorado Small Business Development Center hosts the Harnessing Hemp — Cultivating a Business conference annually to connect small businesses with
consultants who can help support their startup and expand their reach. Conferences and events are drawing people from all over the world to Greeley. One of the top attractions is the NoCo Hemp Expo, touted as the world’s largest industrial hemp conference and exposition. Technologies to Change Our World The expo is produced by Colorado Hemp Company Founder Morris Beegle, a well-known hemp advocate with coast-to-coast connections from his origins in the music industry. He’s using his marketing skills and networking savvy to build connections and share education about everything hemp has to offer. Beegle shared his vision during an interview with Cannabis & Tech Today, explaining: “[Events] are really just one part of what we do. We also have a hemp paper company that does marketing materials. We want to see hemp paper come back into the marketplace and be significant and disrupt the wood pulp paper industry… “We’d like to see hemp getting into the plastics market, into the biofuels market, and the building materials market and start disrupting that… I’m excited about people really investing energy and bandwidth looking at how these technologies really will change our world.” ❖
From Seed to Shelf, Evolve Works For You.
Evolve Distributions helps navigate multiple facets of the hemp industry. The Evolve network accepts entrants from every level — farms, extractors, labs, manufacturers, wholesale, or retail. From a gallon of Nano-Emulsion CBD for your local farmers market to filling shelves across the country, we have you covered. The network is further enhanced by the Evolve Platform — designed to help the industry grow together and remove common roadblocks.
One Platform To Connect Us All: • B2B Commerce • Sales Processing • Automated Regulatory Compliance Order Tracking/Fulfillment • Inventory Management • Standardized & Verified Quality • Demand Insight
To learn how Evolve Distributions can help you, contact Roger Bryant, VP of Sales or visit our website. Roger@GetEvolvedCBD.com / EvolveHempSource.Com
// COVER STORY //
Riding the Seventh Wave Photo: Maryanne Bilham
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// COVER STORY //
Carlos Santana shines his light on the pandemic, the protests, and the healing power of pot.
By Patricia Miller
The legendary guitarist Carlos Santana is renowned for his unique sound and a legacy of best-selling albums. He’s sold over 100 million records since his 1960s debut, winning numerous lifetime achievement awards, Grammys, and accolades. But this soulful musician isn’t resting on his laurels. He continues to tour, create new music, and headline a multi-year residency at the House of Blues at Mandalay Bay Resort and Casino in Las Vegas. Recently, Santana expanded his brand to offer Mirayo, a line of cannabis products produced in partnership with Left Coast Ventures. His current musical collaboration with wife and drummer Cindy Blackman Santana is focused on celebrating the diverse sounds of blues, funk, jazz, rock, and pop. A recent release, their rendition of John Lennon and Yoko Ono’s Imagine, is donating 100% of streaming profits to WhyHunger’s Rapid Response Fund. The fund was established to combat the global hunger crisis that has only intensified as a result of the COVID-19 pandemic. When Cannabis & Tech Today connected with the legendary performer, he was nestled in his Hawaiian estate, enjoying some downtime from what is, by anyone’s standard, a jam-packed schedule for a 72-year old entertainer. His voice was kind, with a playfulness underscored by his sensitivity and passion. There was a thoughtful enthusiasm to his responses and a soothing energy that seemed to radiate through the phone line. In this exclusive interview, Santana shares his soul. He discusses how he is grieving the loss of his brother, why the Black Lives Matter movement is ushering in a new wave of consciousness, and how cannabis has always been part of his cultural and spiritual identity. Cannabis & Tech Today: You moved to Hawaii just before travel restrictions were instituted in response to the pandemic. Have you been using virtual communications to connect with loved ones? Carlos Santana: Yes. We’ve done a lot of that. One thing that I learned because my youngest brother passed… I learned that I don’t need AT&T and Verizon to connect with my mom
and dad or loved ones who crossed the portal to the other side. It’s important to believe. In fact, this whole conversation is about believing, trusting, accepting, and surrendering to the spirit — because when you do that, you’re not stuck anywhere. C&T Today: I was sorry to hear about Guillermo [Santana’s youngest brother] passing away in May. That must have been so challenging while being isolated from others, but it sounds like the physical distance didn’t feel like a barrier to you. CS: It was challenging because I wasn’t there to bring comfort and hug my sisters and brother. I have four sisters and now, one brother… I had two brothers. But at the same time, I have learned to accept that I am closer now to my mom and dad and to my youngest brother [Guillermo Jorge Santana]. I immediately visualized my mom hugging my youngest brother, kissing his hands, and feeding him chile rellenos and enchiladas and tacos [laughs], so my imagination is very active and very vibrant and very tangible. C&T Today: It seems that despite the distance from fans and loved ones, you’re still finding ways to connect with others. For instance, you’re presenting a virtual commencement for the UCLA Alpert School of Music. Do you think you can relay the same message virtually as you would in person? CS: Yes. I love to encourage the students who just graduated. I always tell them that I look at their eyes like shining diamonds with a promise to fulfill — that we will sculpt this planet and life into unprecedented heights of beauty, elegance, and excellence. People need encouragement; people need validation and encouragement. People need hope and courage. There’s too much on every channel promoting fear. I find that to be very boring, predictable, and pathetic. I don’t like fear. I like joy, and this is what I share with them: go forward with joy and change the world. C&T Today: Do you see a lot of parallels between what’s happening now and the political/social climate of the late sixties? Summer 2020 // Cannabis & Tech Today
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// COVER STORY // Riding the Seventh Wave
CS: Yes, there are [parallels]. The hippies are alive more than ever because hippies believed, before a lot of people believed, that we can coexist with unity, harmony, and have fun with colors and music, and celebrate. You know what I miss? I miss the love-ins that we used to have, where people closed the parks and had tie-dye shirts, music and food, and smoked some weed… as a meditation, of course.
We were able to, as hippies, look at the future and it became like a wave that all of a sudden you didn’t see for a while, but just because you don’t see the wave coming it doesn’t mean it’s not there — until it almost reaches the shore. This is the wave now, this is the wave that the hippies knew, the seventh wave of collective consciousness awakening.
s too much on every “There’ channel promoting fear. I find
that to be very boring, predictable, and pathetic.”
C&T Today: You mentioned using cannabis as a meditation; how does the plant play a role in your spirituality? CS: Well, first of all, it expands your consciousness. And most people who are straight… since the beginning, I always viewed them like those horses that have the blinders on in Central Park, so they don’t get spooked by trucks or cab drivers. They put those blinders on their eyes so they can only see straight ahead. The opposite of that is when you’re not afraid and you’re able to see the big picture… Everyone who experimented with marijuana or peyote or ayahuasca or other things, their music was different. You can tell who was a square, with all respect, and who was aware. So a square is someone who is, “Me, myself, and I,” and doesn’t see the big picture — the collective highest good. Aware is, you take a toke and it’s like: “Ooh, ah!” You get to see what we saw at Woodstock: that we can bring the Berlin wall down and we can bring governments down, like Yugoslavia, Czechoslovakia, Hungary. All those oldest nations became transformed by the multitude going through a change, like what’s happening now. And what made it happen? Consciousness awareness. You don’t have enough bullets to shoot all of us, so you need to put the weapons down and either join us or step aside. And that’s what’s happening right now… We are giving birth to a whole new planet through collective consciousness awakening. We saw that, being hippies, a long time ago in 1960. C&T Today: If psychedelics played such an important part in your awakening and the spiritual awareness of your connection to other people, why did you decide to leave psychedelics behind at some point? CS: Because I needed to understand discipline. I needed to discipline my ego. A lot of people were abusing their bodies with alcohol or this or that, and I felt that I needed to discipline myself to attain the longevity that I have now. I’m 72 and I feel like I’m 17. When you see our band, a lot of people our age don’t play like this, with all respect to them. A lot of people are rubber stamping and just going through the motions. We come on stage
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Cannabis & Tech Today // Summer 2020
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// COVER STORY // Riding the Seventh Wave
“Go forward with joy and change the world.”
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like a thousand lions, ready to tear it up, in a good way. So one thing that I gained by spiritual discipline and also the knowledge of having the hippie experience, is I have a double whammy of awareness. Now I can light up or not and I arrive at the same place… That’s how I look at peyote or mescaline or marijuana. It’s an ingredient to expand your consciousness, to see beyond the indoctrination of being a wretched, little, nothing, sinner. That’s the wrong frequency, because it’s what Bob Marley called mental slavery. C&T Today: You’ve been involved with social justice issues since the sixties and there’s an intersection with social justice and cannabis. How can the cannabis industry become a more equitable space for the communities of color that have been disproportionately impacted by the war against drugs? CS: All the colors in the rainbow tell us the same thing. There’s no conflict there. It’s been what, maybe five or six years since they opened the door to cannabis in Colorado? This new door that opened up the will, it’s not only to get 74
Cannabis & Tech Today // Summer 2020
high, but it’s to become aware of our collective consciousness in a different way. In the future, we will be able to bring restitution and solutions and correct the mistakes of the past with Black, Brown, and other people… especially with women, because women of all colors have been treated not nice by the macho mentality over the last thousands and thousands of years. I’m happy to say that I can see the big picture and I’ve seen it in the future, everyone will be treated with equality, fairness, and justice — but it takes awareness. Who would have thought that taking the toke was the beginning of opening that door of awareness? C&T Today: What inspired you to create your own line of cannabis products? CS: Well, the main word starts with an “H.” It’s about healing in any form, in any place, anytime. It’s about healing, bringing relief from pain. Although I’m learning lately that pain is a signal in your body that is announcing change. So, wherever you find pain, it’s your body telling you, “Change.” Change your mind, change your destiny.
Photo: Maryanne Bilham
Like my mom taught me, she said, “If you grab this marijuana, this big chunk of marijuana, and you put it into this jar with alcohol and let it sit there for a while, then you can cure rheumatism, arthritis, and pain in your knees and in your bones.” So my mom knew a long time ago that it’s a medicinal gift from mother nature to humans and we should use it wisely. ❖
// EMERGE //
A Pandemic Pivot
Foregoing Face-to-Face in Favor of Virtual Connections By Ebby Stone
Photo: iStockphoto.com/peepo
This year, 49% of B2B marketers are replacing live events with webinars in response to the pandemic, according to data analytics company Statista. It’s not a pivot that’s been easy to do. Most event planners are focused on customer experience, lining up all-star speakers, and hosting in the best possible location for their demographics. If one had to choose between attending a conference in Burlington, Vermont or Las Vegas, Nevada, most would be inclined to choose Las Vegas because of it’s relatively centralized geographic location, affordable air fares, and abundance of after-hour activities.
Platforms Are the New Location Now that event location is irrelevant, the focus has shifted to which platform will offer the most engaging experience and the highest return on 76
Cannabis & Tech Today // Summer 2020
investment for both attendees and exhibitors. In an interview with Cannabis & Tech Today, CEO of the Cannabis Science Conference Josh Crossney shared that as he’s had to rethink their event strategy for 2020. He’s been considering a shift to digital, at least temporarily. “What I’ve been doing the past couple weeks is really just shopping different platforms. They’re all so different and range in the capabilities they provide,” noted Crossney.
Choosing an Event Tech Provider The differences in platforms are vast. According to EventMB, a data research company specializing in events, 42% of virtual event tech providers have been operating for less than a year. This translates to some notable differences in the technology and user
experience of each platform. Some of these are, in many ways, a Zoom portal — offering speakers the opportunity to present or answer questions, but little else. Some go a step further and offer monetizable video-on-demand content after the event has taken place, bringing in additional revenue for event planners while adding value for attendees. Monetizing digital events has proven difficult. Nearly 25% of virtual event platforms don’t offer analytics for proving a return on investment for sponsors, according to EventMB’s analysis of 94 virtual event tech providers.
Engagement Still other platforms are more complex, offering attendees a virtual domain where they can interact as avatars, reminiscent of the
// EMERGE //
popular Sims games. Those platforms offer a level of engagement and gamification not typically associated with Zoom-based event models. Not surprisingly, engagement has been particularly challenging for virtual platforms. Many event tech providers rely on live polls and surveys to facilitate audience participation, with only 52% able to gamify the experience in some way, noted EventMB in their analysis.
Networking Arguably, the most important facet of a successful event is the relationships that develop as a result. As Crossney noted, “I feel like you get the best networking done when you’re in person, but we’re in these strange times. You have to adapt to stay relevant and in front of your audience while giving customers and vendors a chance to stay in front of your audience.” Many digital event platforms offer a way for attendees to connect, such as group chat rooms, 1-on-1 meeting capabilities, and even private video chat. Fewer than 30% of respondents to EventMB’s studies cited having a reception area for attendees to congregate and interact. Trade shows had become so ubiquitous in the cannabis space that it was easy to take them for granted, as well as the connections they afforded the companies who frequent them. As Crossney recalled, “You could go to a cannabis conference every day of the year and still miss them. I traveled three to four times a month on a regular basis, and right before all of this, I was starting to… not get burned out, but I missed my dog, my family, my bed… so I was a little over all the travel.” But, like most of us, he was quick to note his longing for those connections now that they’re unavailable. “Be careful what you wish for, because I miss being out there, going to conferences, seeing friends and giving big hugs. A lot of my colleagues in this industry have become some of my closest friends.” While most virtual events don’t have a “Give a big hug” option, they do offer ways to see one another’s face, chat, and learn something new in the process. Many events offer live demos, video conferencing, and exhibitor halls to facilitate some of those opportunities for connecting.
A Marriage Made in Convenience At some point, in-person events will make a comeback. At this stage of technological 78
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The Hyperfair platform invites attendees to visit a virtual world with multiple levels of expo floor offering prizes, entertainment, live sessions, and loads of surprise content for a full 90 days of virtual engagement.
development, until we’re all wearing Google Glass and using scratch-n-sniff televisions, inperson events have a definite edge over virtual productions. People want to shake hands and pick up monogrammed swag, but it would be foolish to think digital events will disappear when the in-person industry rebounds. Many will still want a virtual option, whether they’re immunocompromised, living in a remote location, or just eager to sleep in their own bed, the digitization of interactions is here to stay.
Exploring New Territory Cannabis & Tech Today is a new entrant into the event space. We haven’t had the luxury of years of experience uniting our audience through conferences or expos. What we have instead is access to cutting-edge technologies. For the Emerge Virtual Cannabis Conference & Expo, our publication vetted a long list of potential virtual event tech platforms. The one that stood out was Hyperfair. It’s immersive, pulling attendees into a virtual world where their avatars can stroll around a game-like expo hall. Participants wander from booth to booth, collecting virtual swag that translates to real
prizes, and popping in and out of auditoriums. Whether attendees are taking part in a Q&A with industry leaders or discussing strains with a fellow cannabis connoisseur, the platform’s six floors of virtual experiences encourage active participation. For sponsors and exhibitors, 3D-product renderings give customers another reason to visit customized booths. Plus, Hyperfair measures behavioral analytics, turning every interaction into actionable intelligence. This platform has never been used in the cannabis industry. It’s a risk for our publication, setting off into new territory with emerging technology, but that idea resonates with our core themes — cannabis and technology. The cannabis space is still developing, and from a federal perspective, it’s still a risky venture. Similarly, technology is often frightening, overwhelming, or frustrating — until one day it’s so ingrained that you can’t imagine life without it. At Cannabis & Tech Today, we don’t know what the future of virtual events looks like, but we’re excited to emerge into a more connected future, together. ❖
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// EMERGE //
SCHEDULE OF EVENTS
Events accurate at time of printing, for updates please visit emergecanna.com
Day One – Sept. 8 TIME (PT) 8:30-9:30 9:30-10:15 10:30-11:00
LOCATION
TRACK
SESSION
Expo Hall Auditorium A Auditorium C
— Steve DeAngelo Wanda James
Build Your Avatar and Visit Our Sponsors! Technology in the Cannabis Industry The PowHER Of Women In Business
11:15-5:30 SESSIONS 11:15-12:15 Auditorium A Marketing & Strategy Cannabis Media Coverage in a COVID-19 World Auditorium B Cultivation & Manufacturing The 21st Century LED & Integrated Design Revolution in Cannabis Cultivation Auditorium C Advocacy & Minorities Multicultural Technology Innovation 12:30-1:30 Auditorium B Science & Technology Auditorium C Investment & Finance
Fast-Acting Edibles: How Technology and Food Science Are Fueling the Biggest Change in Cannabis Cannabis Investing in a COVID World
1:45-2:45 Auditorium A Marketing & Strategy Auditorium C Investment & Finance
The Emerging Luxury Cannabis Market: How Elevated Brands are Elevating Consumer Experiences Investor Pitch Contest
3:00-4:00
Auditorium A Auditorium B Auditorium C
Marketing & Strategy Science & Technology Advocacy & Minorities
How to Scale a CBD Company Without Digging Yourself Into a Hole Driving CPG Innovation Through Israeli Science Multicultural Voices in Cannabis Law
4:15-5:15 Auditorium A Retail, Services & Dispensaries Auditorium B Cultivation & Manufacturing Auditorium C Investment & Finance 5:30-6:15
Auditorium A
The Rise of Cannabis Tourism Tomorrow’s Grower: How Emerging Technology Is Reshaping the Future of Cannabis Cultivation What to Look for in Ancillary Cannabis Investment Opportunities
Social Equity In Cannabis Discussion
6:30-9:30 Auditorium A Advocacy & Minorities Auditorium B Advocacy & Minorities Auditorium C Marketing & Strategy
Last Prisoner Project: State of Social Justice Update+Networking Hour Sensi Media + End the Cycle Compilation Artists, in support of Last Prisoner Project Women in Cannabis Biz Power Hour with Wanda James Hosted by Lisa Tsou | Music by Nyasha Austin
Day Two – Sept. 9 TIME (PT)
LOCATION
TRACK
SESSION
8:30-9:15 Expo Hall — Visit Our Sponsors! 9:15-10:15 SESSIONS Auditorium B Science & Technology The World of Psychedelics Auditorium C Advocacy & Minorities End the Cycle: Overcoming Oppression and Cannabis Prisoner Restitution 10:30-11:00 Auditorium B Jim Belushi: Advocacy, Cultivation and Equity 11:15-5:30 SESSIONS 11:15-12:15 Auditorium A Marketing & Strategy Auditorium C Investment & Finance
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What Data Can Tell Us about Cannabis Industry Trends & Opportunities Investing for Impact: A Multi-Capital Approach for the Cannabis Industry
Continues on page 82
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History in the Milling How centuries of expertise are improving productivity in the cannabis industry.
You may not think a fourth-generation family business with a century of engineering excellence would play a part in the still-evolving cannabis industry. And yet, this kind of expertise and technology is a strong fit for an industry where product quality is paramount. For cannabis producers, preserving the integrity of the plant, in terms of flavonoids, cannabinoids, and terpenes is essential. It’s these chemical compounds that lend the plant its unique features and effects. But historically, imprecise processing equipment tended to destroy these valuable aspects of the plant while also releasing undesirable, potentially contaminated byproducts. In order to produce high-quality extracts and thus generate more ROI on the finished products, many cannabis extraction companies, processors, and labs are upgrading to more precise milling technology. A Century of Expertise Fritsch Milling and Sizing is a 100-year-old company built on proven methods from one of Germany’s oldest and most respected industrial mill manufacturers. In fact, Fritsch has a long history of manufacturing precision milling systems and particle analyzers for a wide range of industries, such as food, pharmaceuticals, agriculture, industrial materials and nanotechnology — as well as aerospace, energy, 3D printing, and high-tech additives where particle size is of critical importance.
Today, Fritsch’s line of laboratory- and processing-size milling and analysis equipment are helping the cannabis industry generate greater product integrity and consistency. In turn, this yields a better return on investment over time. By delivering higherquality, premium products for the rapidly growing market of medical cannabis patients and consumers, Fritsch’s goal is to create increased yields and better ROI for their customers. A New Standard for Cannabis Biomass Milling While many players in the cannabis industry are younger and less experienced, Fritsch is not new to the playing field. In fact, Fritsch is an established innovator and leading manufacturer of application-oriented lab instruments for particle sizing and sample preparation. Their professional tools and instruments help elevate cannabis processing, which helps improve ROI and enhance the end-product. Fritsch’s systems achieve both qualitative and quantitative leaps forward by providing precision control and parameter fine-tuning for particle size control in plant processing pipelines. It’s this laboratory precision that contributes to particle size uniformity, ideal for high-quality commercial cannabis production. Every instrument is individually configured, such as the Pulverisette line of cutting mills. These are optimized for biomass processing, utilizing cutting chambers, knives,
and airflow with specialized geometries designed to mitigate heat and physical stress on plant samples while maintaining the chemical profile. Most importantly, research has shown that milling dried cannabis in preparation for extraction maintains the integrity of the cannabinoid character and minimizes terpene loss. Cannabis company OutCo remarked that the Pulverisette mill had increased the company’s productivity ten fold. Thanks to its precise, consistent particle size, the mill enables a higher turnover rate and fits 250 percent more cannabis into the extractor column. Founded on Family Fritsch is founded on family values. Four generations ago, Alfred and Max Fritsch began the company in 1920 as gemstone cutters. In the 100 years since then, Fritsch has centered its work on agriculture and food processing, engineering a variety of milling systems specifically to reduce plant material and work with medicinal products. As the company makes a name for itself in the medical cannabis field, fourth-generation owners are now stepping into leadership roles. Just like their father, grandfather, great-uncle, great-grandfather, and great-granduncle before them, Max and Sebastian Fritsch are prepared to continue innovating far into the coming century. ❖ Learn more at 100-years-fritsch.com.
Summer 2020 // Cannabis & Tech Today
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// EMERGE //
SCHEDULE OF EVENTS
Day Two – Sept. 9 TIME (PT)
CONT’D
LOCATION
TRACK
SESSION
12:30-1:30 Auditorium A Retail, Services & Dispensaries Auditorium B Cultivation & Manufacturing Auditorium C Investment & Finance
New and Innovative Retail Technology and How it May Impact a Post-COVID Market Women in Cultivation & Manufacturing How to Survive an IRS Audit
1:45-2:45 Auditorium A Marketing & Strategy Auditorium B Cultivation & Manufacturing
Redrawing Your PR Strategy: How a Pandemic Changed Everything for Public Relations and Marketing Hemp Testing: When, What & Why
3:00-4:00 Auditorium A Retail, Services & Dispensaries Auditorium B Science & Technology Auditorium C Advocacy & Minorities 4:15-5:15
Auditorium A Auditorium C
5:30-6:15
Auditorium C
Marketing & Strategy Investment & Finance
Cannabis Beverages How to Get the Highest Quality Lab Results and Production Products Dismantling Systemic Racism: An Action Plan for the Cannabis Industry Successful Marketing Strategies in the Infused Products Market Sustainability as a Business & Brand Value Driver in the Cannabis Industry
Carlos Dew – Superbad
6:30-9:00 Auditorium A — Auditorium C Advocacy & Minorities
Q&A with Andrew DeAngelo, Last Prisoner Project Sensi Media + End the Cycle Compilation Artists, in support of Last Prisoner Project
Day Three – Sept. 10 TIME (PT) 9:30-10:00 10:00-10:30 10:45-3:30
LOCATION
TRACK
SESSION
Expo Hall Auditorium A
— —
Visit Our Sponsors Future of Cannabis Legislation with Senator Daylin Leach
SESSIONS
10:45-11:45 Auditorium A Marketing & Strategy Auditorium B Science & Technology Auditorium C Advocacy & Minorities 12:00-1:00
Auditorium A Auditorium B Auditorium C
Retail, Services & Dispensaries Cultivation & Manufacturing Investment & Finance
Job Hunting 2.0: Finding Cannabis Jobs & Staff Let's Talk Hemp! Emerging Markets: Cannabis Investing and Beyondl
1:15-2:15
Auditorium A Auditorium B Auditorium C
Retail, Services & Dispensaries Science & Technology Advocacy & Minorities
Minorities in Retail Terpenes Panel Cannabis Convos with Executive Director Cat Packer
2:45-3:30 Auditorium A Marketing & Strategy Auditorium B Cultivation & Manufacturing Auditorium C Investment & Finance 3:30-4:20
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From the Vape Crisis to Uncertain Public Markets, the Need For Crisis Communications in Cannabis is Here The STEM Women of Cannabis Leadership Lessons from Female Cannabis Advocates
Cannabis & Tech Today // Summer 2020
Cannabis Media: Disrupting the Mainstream Beating Regulators to the Punch: What Cannabis Can Learn from the Alcohol and Gaming Industry About Self-Regulation Quick and Dirty Hacks to Launch Your Cannabis Brand
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// EMERGE //
SPEAKERS
The Emerge Cannabis Conference & Expo takes place September 8-10, but the experience doesn’t end there. Attendees also receive an extra 90 days of education, resources, and networking at no additional cost. Here’s a sneak peek at just a few of the industry-leading innovators who’ll be gracing the virtual stage.
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Lindsey Bartlett
Morris Beegle
Jim Belushi
Wes Burk
Steve DeAngelo
Omar Figueroa
Sarah Gersten
Naomi Granger
Mary Jane Gibson & Mike Glazer
Shelby Hartman
Javier Hesse
Wanda James
John Kagia
Madison Margolin
Roz McCarthy
Shalina Kaur Pannu
Cynthia Salarizadeh
Robert Tankson
Lisa Tsou
Peter Vogel
Cannabis & Tech Today // Summer 2020
// HEALTH+WELLNESS //
COVID-19 Anxiety Drives Cannabis Use Across America Coronavirus Cases Spike in Florida and Arizona, Along with Cannabis Sales By Aaron Smith America has a bad case of pandemic anxiety. COVID-19 infections are rising, and the White House is forecasting 208,000 U.S. fatalities by November. Tens of millions of workers lost their jobs and face dismal prospects of getting new ones. There is no end in sight.
Cannabis Patients Are Puffing More, Citing ‘Uptick in Anxiety’ As coronavirus spreads across the land and leaves economic wreckage in its wake, it seems that all of America could probably qualify as anxious.
Anxiety has gone mainstream and so has marijuana. Americans are turning to their favorite leaf for pandemic anxiety relief. In New Jersey, one of the few states to recognize anxiety as a qualifying condition, the pandemic has prompted a rush on medical cannabis cards.
“We have seen an uptick in anxiety,” said Kyle Powers, CEO of PrestoDoctor, a New Yorkbased online provider of medical cannabis cards with a network of about three dozen doctors in six states.
“The dam just broke as far as medical cannabis was concerned,” said Dr. Allan Tiedrich, a New Jersey doctor and founder of Doctor-THC, a clinic providing medical cannabis cards via Telehealth Services, eliminating personal visits that might increase the risk of infection. He said that anxiety as a qualifying condition has increased to about 70% of his total patients’ diagnoses, from about 30% pre-pandemic. Kyle Powers and Dr. Laren Hightower (Courtesy PrestoDoctor)
Dr. Allan Tiedrich (Courtesy Debbi Tiedrich)
“The pandemic is causing it,” he said. “But, if they get cannabis and are feeling anxious, they can take a puff on their vape pen and get through the day — and they’re not using something that’s addictive.” 86
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Dr. Laren Hightower, who works for PrestoDoctor in the fast-growing medical cannabis state of Oklahoma, said that since the quarantine started in April, “I’ve seen a large increase in the number of patients requesting medical cannabis to relieve their symptoms, mainly anxiety. It’s understandable that with the financial stress from job loss, furloughs, and shifting to working Jeffrey Sharkey from home, multitudes are overwhelmed.” COVID-19 cases are surging in at least 40 states, particularly Florida and Arizona, which
were reporting daily records heading into the July 4 weekend. After a holiday weekend of inadequate social distancing in the Sunshine State, intensive care units were maxed out in 56 hospitals. Dispensaries remain open in Florida and Arizona, where governors designated dispensaries as essential businesses. Florida and Arizona experienced an unprecedented surge in cannabis sales, with the most recent figures from May showing record sales that easily exceed prepandemic levels. It remains to be seen whether summertime sales will rise in tandem with COVID-19. But numbers have been trending in that direction, prompting Cantor Fitzgerald to raise the price target for Trulieve Cannabis Corp., which just opened its 51st location in Florida. Anxious Floridians Fuel Frenzied Sales Florida has 362,000 card-carrying medical cannabis patients and is one of several states, like California and Oklahoma, that provide a loose enough interpretation of qualifying conditions to allow for anxiety and similar conditions like depression. Jeffrey Sharkey, founder of the Medical Marijuana Business Association of Florida and CEO of Capitol Alliance Group in Tallahassee, a government relations business consultancy working with cannabis companies, said that cannabis purchases increased by 40% during March, April, and May. “The stress levels, the mental health levels, are
Photo: iStockphoto.com/Lepusinensis
// HEALTH+WELLNESS //
extremely high,” said Sharkey. “The uncertainty and the anxiety and the mental stress has amplified a number of these medical conditions for sure. I’ve talked to a number of people who have increased their usage.”
Sam Richard, executive director of the Arizona Dispensaries Association, said his state has seen a 40% increase in cannabis sales year-over-year during the pandemic and “we show no signs of slowing down.”
Florida has gained 2,500 patients a week during the pandemic, he said, but the established patients are those driving sales.
Arizona allows a relatively generous monthly allotment of two-and-a-half ounces at the comparatively modest average price of $275 per ounce. Richard believes that many patients might be loading up for extended periods of self-quarantining in their apartments.
“You absolutely cannot ignore the financial drive,” said Dr. Luis Enrique Weyback, a medical cannabis doctor near West Palm Beach. “It’s a business and you’re employing people, so there’s a big motivation to keep the doctor’s office open.” But the pandemic hasn’t provided a windfall for Dr. Weyback, who has scaled back from about 50 Dr. Luis Enrique Weyback new patients a (Courtesy MJC Photo of Royal Palm Beach) month, to almost no one. Florida does not allow Telehealth Services for first-time medical cannabis patients, requiring in-person visits. “I personally, ethically, and morally do not feel okay with potentially increasing a patient’s risk of exposure to a potentially deadly novel virus,” he said. “I elected to more or less shut down my practice from the standpoint of taking in new patients because I have to protect my family because my wife is immunocompromised.” Self-Quarantined Arizonans Enjoy an Exciting Selection
It’s not just the quantity of usage, or why they’re using it. It’s also how they use it. The state’s dispensaries offer what is arguably the most impressive variety of menu selections, including heady concentrates like shatter, unusual modes of delivery like inhalers and enemas, and adventurous products like intimacy oil. Richard said the pandemic is giving quarantined and unemployed patients an excuse to experiment. “There’s an opportunity to explore,” said Richard. “If you’ve been rocking a 10 mg gummy and you want to see what a 100 mg cookie does to you, it’s probably good that you don’t have work to do for the next couple days.” Sam Richard
In Arizona, more than 90% of patients have chronic pain as a qualifying condition, said Steve White, Steve White (Courtesy Harvest House of Cannabis) president of the Arizona Dispensaries Association. But that doesn’t tell the whole story. Arizona does not include anxiety as a qualifying condition, so it’s harder to gauge whether it might be an unspoken motivation behind some of the patients signing up with other qualifying conditions. “In terms of overall cannabis consumption, we expect a variety of factors are driving consumption trends, including greater reliance on cannabis to relieve stress and anxiety, aid sleep, and accentuate recreational experiences,” said White, who is also CEO of Harvest House of Cannabis, which has dispensaries in four states including Florida and Arizona. Back in New Jersey, Dr. Tiedrich said he’s written 586 prescriptions for medical cannabis, including many for anxiety, chronic pain, and PTSD. He said that increased cannabis use, whatever the qualifying conditions may be, can only benefit society in these trying times. “Frankly, I think we all should be smoking pot,” he said. “It would be a more peaceful world. Women should run it, and we should all be buzzed.” ❖ Summer 2020 // Cannabis & Tech Today
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// THE LAB //
FROM STALK
to
SMOKE
By Rachelle Gordon
When it comes to cannabis cultivation, patience is a virtue. This is especially true when it comes to the curing process. After many months of careful tending during the life cycle of the plant, the harvested buds endure another several weeks of drying and curing before the cannabis can finally be consumed. Tracee McAfee and Greg Baughman knew there had to be a better way. The Michigan-based caregivers had been enjoying Baughman’s homegrown bounties for many moons when McAfee wondered, “How can we enjoy this beautiful bud right off the stalk?” Devoted followers of “Guru of Ganja” Ed Rosenthal, they thought back to one of the famed cultivator’s books in which he mentioned freeze-dried marijuana as some of the best he had ever consumed.
IN 24 HOURS
“We figured, well, if Ed said it maybe there’s something to it,” laughed McAfee in an interview with Cannabis & Tech Today. After painstaking research and development, McAfee and Baughman invented Cryo Cure, a technology capable of revolutionizing the drying and curing process. The system dries and cures freshly-harvested cannabis in as little as 24 hours, offering vibrant and fragrant buds that take the term “bag appeal” to a whole new level. “A live resin flower…” Cryo Cure machines utilize a proprietary fivestep process. Raw cannabis is frozen and subjected to extreme vacuum pressure. The flower then goes through a sublimation process, wherein the frozen moisture content within is converted into vapor. That vapor is then condensed in an ice bank and defrosts in the form of hydrosol liquid. When all is said and done, the bright-green cannabis within retains more terpene and cannabinoid content than traditionally cured bud with no trichome deterioration. “If you were to go and pick up cannabis from a local dispensary and put it under a microscope to take a look at those trichomes, they’ll look a lot like raisins, which shows the degradation of the flower,” explains Baughman, Cryo Cure’s President (McAfee is CEO). “Now, if you were
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to take a Cryo Cure sample and look at that under the microscope, you’ll see perfect elliptical trichomes without any degradation, shrinkage, or damage to them. We like to call it a ‘live resin flower.’” Additionally, the Cryo Cure machine makes it easy to extract terpenes, thanks to the sublimation process. This is especially attractive for hemp farmers looking to get the most out of their harvest, according to Baughman. “Every 10,000 wet pounds of hemp that has at least a 1% terpene profile on it, if you extracted that terpene profile, that would have been worth $2 million on the market just for the cannabisderived terpenes. And that’s only at $50 a milliliter. We can actually extract 95% of the available terpene in any biomass that is put in our machine for a 24 hour period.” It’s important to note that a Cryo Cure machine is not the same as the freeze-drying machines we all remember popping up on latenight infomercials of yesteryear. The technology may be similar, but these machines were specifically-designed for cannabis and hemp. “We have a patent-pending process that perfectly preserves the flower,” McAfee said. “A hundred percent of the time people see it, everybody says, ‘I can’t wait to try that.’”
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OCTOBER 20-21,2020 WWW.HORTICANNLT.COM
// THE LAB // From Stalk to Smoke in 24 Hours
The Cryo Cure Cannabis Experience There’s no doubt that cannabis put through the Cryo Cure process is different from traditionally-cured flower — and that’s a good thing. Buds appear fluffy with an intensified color, befitting of any centerfold spread. The aroma and flavors are rich and pungent, enticing anyone who gets within its scent. Buds are easy to manipulate and break up, something Baughman says has been a welcome respite for many medical marijuana consumers. “I have a patient [in Michigan] who has MS, and he doesn’t have feeling in his hands. He says one of the worst things is how it’s very difficult for him to break up some of the flower that you would traditionally get in a dispensary. The first time that he was able to break this up, he was just like, ‘I love it.’ It was so easy for him. He didn’t need a grinder. He didn’t need to sit there and use his hands for 10 to 20 minutes.” McAfee added the high associated with Cryo Cure cannabis tends to be more uplifting and
According to Cryo Cure President Greg Baughman, the freeze-drying process preserves trichomes and terpenes and offers shelfready product in just 24-hours.
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cerebral, something she credits to the higher terpene and cannabinoid content. Early Fans Include Rosenthal, Danny Danko McAfee and Baughman knew they had something special when famed cannabis cultivation expert Danny Danko declared himself a fan after meeting the duo at a Michigan Cannabis Cup. Things went truly full circle after Danko introduced them to Ed Rosenthal, who had initially inspired them. “Ed was so impressed with our final results that he actually joined our company!” McAfee said. Adding such notable growers to the fold has led to a dramatic increase in demand for Cryo Cure, receiving orders from around the world, quickly becoming an international company almost overnight. They say any misconceptions, such as a decrease in yield due to less water weight, or a chlorophyll-taste due to the color of the bud, are quickly put to rest. And if 24 hours is simply too long to wait, fear not — the duo is working on an
upgraded system that works in as little as 13. Creating Consistency and Quality in the Curing Process For Baughman and McAfee, the end goal is not necessarily about getting to enjoy fantastic cannabis sooner — it’s about achieving a consistent and efficient experience for producers and consumers alike. The curing process has as many risks as the rest of the plant life cycle, whether caused by environmental conditions or human error. Cryo Cure aims to eliminate those dangers and help increase profits at the same time. “We’re here to make our customers’ lives easier,’ said Baughman. “We understand the challenges that come in this cannabis industry, we know the challenges that you face in different seasons. [With Cryo Cure] you actually can control your moisture content. You’re actually gaining every time in your harvest by using our machine because you’re keeping your moisture level consistent across the board on all of the cannabis that you harvest.” ❖
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// PRODUCT REVOLUTION //
DaVinci’s IQ2 portable, dual-use vaporizer provides cooler vapor and precision temperature control for the ultimate in customizable consumption. Track your dose per draw with IQ2’s LED light grid display, plus refine your temperature, determine your length of draw, and track your battery level with industry-leading precision. Now available in onyx, graphite, amethyst, and cobalt. $295
Planetarie’s CBDa Topical Salve believes less is more. Made with minimal ingredients and sourced from high-quality hemp, this salve combines CBDa with organic beeswax and Golden Jojoba to offer a natural, luscious topical. Water extraction ensures only the purest ingredients come in contact with the body’s largest organ — your skin. $80
The Python Series from Tom’s Tumbler offers some of the fastest dry trimming technology available on the market. The Python Series trims 12,000 pounds a day using bladeless tech and features custom adjustments for each unique strain. Handtrimmed quality in record time isn’t a pipe dream, with Tom’s heavy-duty, agriculturalgrade trimmers, it’s a reality. $45-85,000.
Rocky Mountain Extraction Services Certified Organic White Label Products are the helping hand you need to start your own CBD brand today. The company offers full-spectrum and THC non-detect extracts and distillates in the form of tinctures, softgels, salves, and gummies — all made with Pure Rocky Mountain CBD Oil — so you can launch your brand with a broad array of products. Custom formulations are available, as well as private label products. Prices vary. 92
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CBD Living Sparkling Water is more than just refreshing and anti-inflammatory. This unique combination pairs 100% organic hemp with vitamins and minerals, offering all the benefits of CBD plus six different vitamins to keep your body healthy and hydrated the whole day through. Now available in four flavors: Apple Ginger, Peach Honey, Orange Grapefruit, and Strawberry Lavender. $54 for a pack of 12.
// PRODUCT REVOLUTION //
FLKR LYTR combines the fun of fidget spinners with the utility of a lighter. Spin it, flip it, twirl it, but don’t loan it out or you might never get it back. This lighter sleeve will put your nervous tic to rest… or at least give you something to fiddle with while you’re waiting for the joint to circle back around. $12
Stashlogix’s Durango might be your new favorite carrying case. Built for the adventurer in all of us, the Durango features a 3-digit combination lock to keep your stash secure, water and odor-resistant fabric, a poker pocket, a hidden pocket, mesh dividers, a water bottle holder to keep cotton mouth at bay, and padded backing for maximum ventilation while on the trail. $59
CBD Synergies-AX Calming Formula is science in a bottle. Phytonutrients, amino acids, essential oils, and broadspectrum CBD work together to calm and soothe your worried mind. Now with 5-HTP — a precursor to everyone’s favorite neurotransmitter, serotonin — plus GABA, L-Theanine, Skullcap, and Rose Flower oil, this formula will keep you calm even on the most stressful of days. $79
Stratos DabTabs offer a new way to dab, delivering CO2extracted distillate with zero mess and 100% consistency. When the ceramic tablet reaches the desired temperature, the material within vaporizes, free of combustion and negative byproducts. Available in Energy, Sleep, and Relax. $50 per gram
RAD Source’s RS 420 XL Cannabis Irradiator cleans cannabis without damaging the flower or chemically altering it. Using patented Quastar x-ray decontamination tech, this cold process remediates 99.9% of mold, mildew, aspergillus, and other harmful microbes. Pass every state-mandated test with confidence without sacrificing the integrity of your flower. Inquire at www.radsource.com for pricing.
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RELAX // Something Edible With Laurie Wolf
Every summer I reacquaint myself with the taste of berries, melons, and tomatoes at their peak of ripeness. Summer fruits burst with sweetness and flavor. The difference is quite remarkable. If you can manage it, eating seasonally is good for you and good for the planet. Currently, the planet needs all the help it can get. We all do. These are crazy days. I don’t know about you, but cannabis has been a friend during these worrisome times. Behind our masks, we have sad, scared faces, along with lots of stress and anxiety. It’s been tough, hang in there, and be woke. #DontFearTheEdible
Roasted Cherry Tomato Bruschetta with Goat Cheese Bruschetta is a perfect way to use leftover bread and showcase foods at their peak of freshness. Tomato-basil is one of the most popular, but we went with scallion, and roasting the tomatoes adds a level of complexity that is pretty awesome. It doesn’t matter if the tomatoes are not perfect, roasting them changes all that. 4 Servings, 2 pieces each What You’ll Need: • 8 thick slices crusty bread, toasted on both sides, cut in half • 2 whole garlic cloves, peeled • 4 teaspoons canna-olive oil • 2 tablespoons olive oil • 2 cups cherry tomatoes • 1 garlic clove, minced • 3 scallions, cut in 1-inch pieces • Coarse salt and pepper
Directions: 1. Heat oven to 325° F. 2. Place the bread on your work surface. Rub one side of the bread with the garlic cloves. Drizzle or brush the bread with the canna-oil. 3. On a baking sheet with sides toss the olive oil with the tomatoes, garlic, and scallion. Bake in the oven for 15 minutes, or until the tomatoes have lost their shape and the scallions have started to turn golden brown. 4. Divide the tomato mixture between the bread slices and sprinkle with salt and pepper.
Laurie Wolf is the author of such cannabis cookbooks as Marijuana Edibles, HERB, The Medical Marijuana Dispensary, and Cooking with Cannabis. Her recipes have been featured in High Times, Dope Magazine, Culture, and more. She is also the founder of Laurie + MaryJane, an edible company offering everything from almond truffle bites to vegan chocolate cookies. 94
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// COMING UP //
A Virtual Metamorphosis
next issue MEET THE ELITE This issue we’re diving into the secret strategies of some of the industry’s leading innovators. How are they finding investors in an economic downturn? How are they providing effective, growth-oriented leadership with a remote workforce and an uncertain future? Cannabis & Tech Today is picking the brains of the cannabis elite and passing the knowledge on to you.
PACK IT RIGHT
Events are undergoing a digital transformation and attendees are reaping the rewards, enjoying all the benefits of walking around a crowded conference hall without the inconvenience or claustrophobia. Why not jump into the action from your couch or home office? The Emerge Virtual Cannabis Conference will wow attendees September 8-10, while offering an additional 90 days of access to extended sessions and bonus materials. Whole Plant Expo Online will infiltrate the information superhighway October 1 – November 30 with more than 100 speakers. CannaCosmo Health & Beauty Virtual Expo takes place September 29-30 and CannaVest USA Virtual Expo will connect investors to startups November 17-18. HAVE YOU ATTENDED ANY VIRTUAL EVENTS THIS YEAR? WE WANT YOUR FEEDBACK!
What did you like? What would you have changed? If an event offered both a live and a virtual option, which would you choose? How much time did you spend on the event’s platform? Email your answers to submit@innotechtoday.com for a chance to be featured in our next issue. You can’t be everywhere and we understand that. If you feel like you’re missing out, stay tuned to our website and social channels for premier event coverage.
Supply chain disruptions caused by the pandemic are already rippling through each vertical of the industry. As retailers start sourcing new materials and closer-to-home suppliers, Cannabis & Tech Today will explore who’s doing it right and provide an in-depth look at packaging solutions for the nation’s essential products.
LEGISLATE IT! It’s an election year and you know what that means… it’s time to fight for your right to cannabis. Did you do your part at the polls? Cannabis & Tech Today will talk to the big wigs to find out where they stand on important cannabis issues. How will they implement change, what still needs to be done, and how will their policies impact your life? Find out this fall.
RETAIL READINESS There’s no doubt that 2020 has been one of the most unpredictable and chaotic times in recent history, particularly for retailers. Even as an essential industry, many are suffering from a lack of technological preparedness while others are thriving thanks to their tech-based solutions and quick-thinking ingenuity. Discover who succeeded, how to catch up, and what’s next for the rapidly evolving cannabis space.
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RELAX // THE LIGHTER SIDE
Cannabis: The Mother of Innovation By Ngaio Bealum They say that “Necessity is the mother of invention.” I would like to add a corollary to that adage. How about: “Cannabis is the mother of innovation”? Cannabis has been sparking invention and innovation since before the first stoner looked in the fridge and created a salty, sweet, savory snack from whatever disparate ingredients were found therein. Seriously. If you’ve never made a grilled hot link and peanut butter sandwich with a maple honey dipping sauce, or a Cap’n Crunch and Chipotle Tabasco marshmallow treat, you aren’t getting high enough. And now I’m hungry. Hang on while I get a snack… Where was I? Ah yes. Here we go: Cannabis innovation isn’t confined to the culinary arts.
Step up your snack game with a Cap’n Crunch and Chipotle Tabasco Marshmallow Treat. Now available in “Fiery” and “What Have I Done?” flavor varieties.
From music to science to everything in between, stoners have always been creating new stuff. Louis Armstrong revolutionized jazz music. Carl Sagan explored the cosmos. Maya Angelou smoked weed “with abandon,” according to a biographer, and wrote books and poems that moved the planet. Alexandre Dumas, author of The Three Musketeers and other classic tales of derring-do, started a social club for fancy pants hash smokers. Speaking of hash, I remember when there were but two kinds of concentrated cannabis: hashish and kief. Now, there’s wax, oil, shatter, live resin, the list goes on and on. Stoners did that. I am pretty sure stoners invented the vaporizer. And discovered terpenes. Okay,
“discovered” may be a strong word, but cannabis enthusiasts were the first to figure out how terpenes work and why certain terpenes will give you the giggles or make you horny, while others will help you sleep or make you want to clean the house. The entire CBD industry was started by cannabis growers looking to find an effective yet safe way to help children deal with epileptic seizures brought on by Dravet syndrome. Yay Weed. And Science! And weed and science! The point is that “potheads,” now known simply as people who enjoy using the cannabis plant, have always found ways to thrive. When the Feds started cracking down on outdoor growers (anyone remember the paraquat scare from the 70s?), cannabis connoisseurs started using hydroponics and kick-started an entire indoor growing industry. When stoners discovered that cannabis was effective in helping AIDS patients deal with symptoms, they fought like hell, (seriously — it was a battle — people went to jail) to create the medical cannabis industry, which led directly to adult-use cannabis legalization. As we head toward an increasingly uncertain future, we can be sure of two things: 1. It may take a while, but things will get better. Humans are smart and resourceful and life always, uh, finds a way. 2. Stoners and cannabis users will always be around to create, innovate, and propagate not just new cannabis strains or methods of delivery, but new ways to live and thrive in a more just and fair society. Okay. I’m going to get more snacks ❖ Ngaio Bealum has been an activist and comedian for more than twenty years. He is the host of the Netflix show Cooking on High and has traveled the world in search of the perfect vibe.
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