As the legal cannabis market has expanded, selling cannabis seeds has become more commonplace, especially as consumers’ tastes become more refined. Still not all cannabis seed sales are lawful.
Those selling cannabis seeds in California, either in-store or online, need to be certain procedures are in place to prevent sales to restricted buyers (mostly minors).
Genetic Seed Variations Can Be Protected Intellectual Property
Laws pertaining to sales of marijuana seeds or associated products vary a great deal in the U.S. and beyond, in part because there is a general lack of understanding on how they should be defined. Some consider seed sales ancillary to the cannabis market, but the reality is because these are part of the cannabis plant (or rather, its origins) these too are controlled.
Last month marked the start of the typical marijuana grow season, which runs March through November, which meant individuals and large cannabis firms in California were on the hunt for high-quality seeds for purchase on the legal market. Cannabis seeds are at the core of the California marijuana industry, and the internet can connect farmers from San Diego to San Francisco and beyond to the growing demand.
Many marijuana growers pride themselves on their extensive knowledge of marijuana growth, which obviously begins with the seed. The three basic types of cannabis seeds are regular, autoflowering and female, with each containing broad subtypes, often referred to as “strains.” Many cannabis cultivators pride themselves on various elements of the strains they grow, as the effects can vary widely depending on seed properties. Certain strains are better for those seeking medicinal relief, while others are better for creating various degrees of intoxication and still others for a distinct taste. Growers are increasingly asserting intellectual property rights, something all cultivators should discuss with their cannabis business attorney.
California has selected Metrc as the state’s track-and-trace system used to track commercial cannabis activity and movement across the distribution chain ("seed-to-sale"). This site is intended to give annual and provisional licensees information that will help them use Metrc to remain in compliance with California’s tracking and reporting requirements.
CalCannabis Cultivation Licensing – a division within the California Department of Food & Agriculture, CalCannabis is responsible for licensing cultivators (including nurseries and processors) and implementing the state's Track-and-Trace system to record movement of cannabis from seed to sale.
Integration & API
3. Request API sandbox access.
Third-party vendors who want to interface with the Metrc system must follow the four steps outlined below to be validated and obtain access to the California Cannabis Track-and-Trace system’s (CCTT–Metrc) Application Programming Interface (API):
Bureau of Cannabis Control – a bureau within the California Department of Consumer Affairs, BCC is responsible for licensing retailers, distributors, testing laboratories and microbusinesses.
No. Alcohol and tobacco sales are unauthorized at cannabis retail stores.
Every retail cannabis location will need a dispensary POS software that provides complete seed-to-sale tracking functionality. The best POS options will have a number of built-in features designed to help you automatically comply with the legal regulations in your state/province. Here are a few features any POS you evaluate should include:
More information on non-storefront cannabis retail can be found here.
Are product giveaways and gifting allowed?
Up to $750,000, the licensing fee is $4,000; between $750,000- $2.5 million, the fee is $20,000; between $2.5 million and $7.5 million, the fee is $64,000; and for more than $7.5 million, the fee is $120,000.
The cost of a cannabis dispensary license in California includes an application fee of $1,000, plus a licensing fee that’s based on the projected value of your operation.
By investing in a cannabis-specific POS system, you can automate many of the most important compliance aspects, including state track and trace reporting requirements. Learn more in the Point of Sales section below.
You definitely need a cannabis-specific POS at your dispensary. Find the most frequently asked tech questions here.