regulatory provisions

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5 Regulatory Provisions Cannabis Retailers Should Know Before July 1st

June 18, 2018

California cannabis retailers are nearing the end of the transitional period for cannabis and cannabis goods effective July 1st, 2018. This means that all marijuana products will be subject to all statutory and regulatory provisions and must destroy any cannabis product that is not in compliance with the new regulations.

In this article, we’ll cover the regulatory provisions that apply to marijuana dispensaries so they can be prepared for the end of the cannabis goods transitional period.

Laboratory Testing

One of the major changes that will affect cannabis retailers will be the new regulatory provisions regarding laboratory testing. Starting July 1st, untested marijuana and marijuana infused products will not be allowed for commercial sales at any licensed cannabis dispensary. Any untested cannabis must be destroyed using a method approved by the California Bureau of Cannabis Control.

Marijuana dispensaries will not be allowed to send their untested inventory to a distributor for testing. Many retailers will forced to lower their prices in order to sell any remaining untested products before the end of June. It’s highly recommended that cannabis retailers ensure that all future inventory purchases come with certified test results to avoid product loss or low profit margins.

Packaging and Labelling

New standards of cannabis packaging and labelling will be adopted on July 1st, that will make it illegal for marijuana retailers to package and label their own products. This still applies to any cannabis that was purchased prior to July 1st, with the only exception being if the product is for medical purposes. All medicinal marijuana sales will require the retail staff to print and place a sticker with the text “FOR MEDICAL USE ONLY” once the product has been purchased by a verified medical patient.

There is one regulatory provision that could actually save money for California dispensaries. Child-resistant exit bags will no longer be required as every cannabis product must leave the distributor already contained in child-resistant packaging. Opaque exit packaging is still required but this new statute will reduce the cost for the majority of dispensaries.

THC Limits for Edibles

When it comes to THC limits for marijuana edibles, the market has been fairly open until recently. That is all changing as the transitional period comes to an end. July marks the beginning of new regulatory provisions that mandate all cannabis edibles may not exceed 10mg of THC per serving and/or 1000mg per package.

While these limits apply more to manufacturers and distributors, it’s important for cannabis retailers to double-check all incoming edibles for the proper THC limits. Selling any edible that has been mislabelled or contains a higher THC dosage could result in a compliance violations and significant fines.

THC Limits for Non-Edibles

There are also new limits for non-edible cannabis products but these limits vary based on the type of clientele. For adult-use or recreational marijuana customers each package of non-edible cannabis must not contain more than 1000 mg of THC per package.

Medical marijuana patients are allowed to purchase non-edible products that are double the THC percentage. Patients who have a medical recommendation or a state medical card can obtain products with up to 2000 mg of THC per package.

Appearance/Ingredients of Products

Also in accordance with the new regulatory provisions, there are specific appearance and ingredient guidelines that must be met beginning July 1st. The California Department of Public Health requires that all marijuana edible packaging be opaque, child-resistant, tamper-evident, and resealable if there are multiple servings. All cannabis products must not be packaged in a way that appeals to children or resemble traditional food packaging.

Additionally, every cannabis product must include the ingredient list, nutritional facts, and the universal CDPH symbol. There are also specific mandated warning statements that must be printed on every package containing cannabis or cannabis goods. All of these regulatory provisions will need to satisfied by July 1st. If your dispensary needs help with cannabis compliance, IndicaOnline’s dispensary software can streamline reporting and patient limits.