New Jersey cannabis Archives - Green Market Report

StaffMarch 23, 2023

The Daily Hit is a recap of the top financial news stories for March 23, 2023.

On the Site

Exclusive Interview: Untangling New York’s True Party of Ownership Rule

New York cannabis policy czar Axel Bernabe spoke to Green Market Report to outline exactly what is and isn’t allowed for cannabis businesses under the state’s two-tiered market structure, including controversial “True Party of Interest” regulations. Read more here.

California State Officials Launching Crackdown on Local Cannabis Corruption

California’s state government has had enough of corruption in its marijuana industry at the city and county level, and is launching a new crackdown in at least six yet-to-be-named jurisdictions, to look for evidence of pay to play schemes, bribery, and other instances of wrongdoing. Read more here.

Curaleaf to Close New Jersey Grow, Lay Off Up to 40 Staff

Massachusetts-based cannabis titan Curaleaf (CSE: CURA/OTCQX: CURLF) confirmed this week that it plans to close its marijuana cultivation facility in Bellmawr, New Jersey, which could reportedly result in up to 40 layoffs. Read more here.

Charlotte’s Web Sales Fell in 2022 as CBD Demand Fades

Despite inking major deals, Charlotte’s Web Holdings, Inc. (TSX: CWEB) (OTCQX: CWBHF) saw falling revenue in 2022 due in part to waning demand in an increasingly saturated cannabidiol (CBD) industry. Read more here.

Emerging East Coast State Markets to Buoy Cannabis Industry as Legalization Stalls

While the most-seasoned legal recreational state markets saw declines in revenues for the first time in 2022, recently legalized states on the East Coast are expected to fuel growth for the time being, according to a report by New Frontier Data. Read more here.

In Other News

Cannabis rescheduling

U.S. Health and Human Services Secretary Xavier Becerra, whose agency was tasked last fall with kicking off a federal review of marijuana’s status as a Schedule 1 controlled substance, said during a TV interview this week that his office is working as quickly as it can, but didn’t provide any details or timeline. The review could ultimately lead to federal marijuana legalization, and Becerra shared a clip on Twitter. Listen to highlights here.

Georgia

Nine companies that applied for medical cannabis business licenses have filed suit against a state commission that was in charge of awarding permits, and the situation has led to a proposed compromise from a state lawmaker. Read more here.

John SchroyerMarch 23, 2023

Massachusetts-based cannabis titan Curaleaf (CSE: CURA/OTCQX: CURLF) confirmed this week that it plans to close its marijuana cultivation facility in Bellmawr, New Jersey, which could reportedly result in up to 40 layoffs.

The grow operation is one of the company’s two in New Jersey, NJ.com reported, but the company will be consolidating the pair of operations into its facility in Winslow, to cut costs and accurately size production.

“Curaleaf is phasing out cultivation at our Bellmawr, New Jersey location to meet current business needs, and will utilize that location for other operations at this time. This allows us to consolidate our production of key product platforms with our Winslow facility and will streamline processes to increase output,” Curaleaf said in a statement provided to Green Market Report. “Winslow has the capacity to support New Jersey’s overall market demand.”

“The company values the dedication of the Bellmawr team and will work to identify other opportunities within its overall operations for impacted team members,” the statement reads. “These changes do not impact our dispensary in Bellmawr which will continue to operate and serve both medical patients and adult use customers.”

The move follows layoffs by Curaleaf in Massachusetts last year, when it shed 220 workers, and also laid off 50 employees in California after closing a cultivation facility in August, NJ.com reported.

Though it’s unclear just how many Curaleaf workers will lose their jobs, NJ.com reported that a representative of the United Food and Commercial Workers union said he’d spoken to about 40 who were concerned about the closure.

Workers at the Bellmawr grow were attempting to unionize with the UFCW, the union rep told NJ.com, but “management interfered,” which led the union to file a formal complaint about Curaleaf with the National Labor Relations Board roughly three weeks ago. That complaint is still awaiting arbitration.

The UFCW representative, Hugh Giordano, told NJ.com he suspects the layoffs are in response to unionization attempts, an assertion that Curaleaf spokeswoman Stephanie Cunha vigorously denied.

Cunha said the Bellmawr closure has “nothing to do with the union,” NJ.com reported.

The UFCW has been making inroads with cannabis workers nationally for years, but which has also resulted in multiple head-butting incidents with companies that don’t want organized labor in their midst.

Curaleaf has about 5,500 staff nationwide and has a national footprint in 19 states.

John SchroyerDecember 19, 2022