New York Cannabis Processors Face Deadline To Implement ‘Seed-To-Sale’ System
If you’re a smaller processor, I think it’s almost a life-threatening situation
Stakeholders in New York’s cannabis industry warned lawmakers this week that many small processors are still struggling to implement a mandatory “seed-to-sale” program that is scheduled to go into full effect on Saturday.
The cut-off for having 10-cent labels affixed to all products sold in licensed cannabis stores has forced some processors to have their products returned from retailers for labeling — a cumbersome process that cannabis industry experts and stakeholders said has been financially crushing for small business operators already struggling to break even.
“If you’re a smaller processor, I think it’s almost a life-threatening situation because of the costs, not just in dollars for these tags that are going to a private business, but also the human capital that it takes to do this,” said John Vavalo, president of the Association of New York Cannabis Processors. He added that he is in the process of buying a $100,000 laser printer to help with the process of affixing the labels — with their unique QR codes — to his canned cannabis products.
“The technology doesn’t exist, so I have to develop it, because … no industry in the world does this,” said Vavalo, who shared his concerns this week with lawmakers at a state legislative budget hearing on economic development. “You get the sense that there are processors and-or retailers that just won’t be able to have products tagged and ready by (Saturday).”
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