by Grow Up Conference | Oct 3, 2024 | Extraction Magazine, Media Partners
Nutraceutical is a term combining the words “nutrition” with “pharmaceuticals” and it refers to foods that provide additional medicinal value beyond basic nutrition. [1] The term was coined in the 1980s and originally only described food components like calcium, fiber, and fish oils. Today, the list has expanded to include multiple dietary supplements, extracts, and fortified food products that represent a global industry valued at more than $383 billion as of 2022. [2]
While the size of the nutraceutical industry is impressive, it is considered small compared to other industries like agriculture, cosmetics, or energy. One prospect for improving growth in the nutraceutical sector comes down to a new practice known as biorefining, which gives businesses a more efficient way to capitalize on whatever kind of organic material they have. [3]
Biorefining is the act of using the same biomass more than once to provide multiple, distinct products. It is essentially a way of reusing or recycling the biological material to produce multiple goods from the same stock. This translates into new revenue streams, and this fact alone is starting to wake up some major industrial entities who may soon find reasons to enter the nutraceutical business.
How Biofuel Could Prevent Alzheimer’s Disease
To better explain the concept of biorefining, let’s take the example of schizochytrium. Schizochytrium is a microalgae that is favored by petroleum and chemical companies to produce a biofuel that can be used in diesel engines. [4] The financial prospects of a renewable biodiesel that can be sustainably manufactured is an important step in the world’s move towards renewable energy, but this is only the beginning when it comes to income. Thanks to biorefining, these companies may have found a way to increase their revenue while they wait for their research and development teams to finalize this high value intellectual property.
The reason is that schizochytrium also contained a high number of polyunsaturated fatty acids (PUFAs), more commonly referred to as omega-3 oils, and the petroleum manufacturers realized they could harvest these PUFAs without affecting their biodiesel production. [5][6] The extraction method to best achieve this goal varies depending on variables like organic material and cultivation method for the algae, but the process typically relies on either physical extraction of the biomass or through biological production of the desired components using microorganisms.
According to the chemical companies manufacturing and extracting PUFAs, their products are even better for consumers than those sourced from fish oils. In general, PUFAs can help to treat medical conditions like rheumatoid arthritis, heart disease, cancer, Alzheimer’s disease, and schizophrenia. What distinguishes the algae sourced PUFAs is the lower presence of heavy metals like lead, mercury, and PCBs found in fish. The chemical manufacturers claim their omega-3s lack these contaminants, as well as the fishy flavor.
With this new product in hand, biofuel producers can branch out into a new industry, and they are looking for more opportunities to capitalize on biorefining’s potential to expand. With this in mind, PUFAs are considered lipid based nutraceuticals, but they are not the only ones. Phytosterols and polar lipids being studied for both medicinal and economic benefits. Like PUFAs, phytosterols can also be sourced from algae, like dunaliella salina, which is primarily being cultivated as a source of carotenoids. [7] Phytosterols are chemically similar in structure to cholesterol, and may help to limit long term cholesterol buildup. [8]
This may be less appealing for a biodiesel manufacturer, but several food producers have developed fortified foods like margarine or salad dressing with higher levels of phytosterols specifically aimed at improving their consumers’ health. [9] Polar lipids, the broadest lipid based nutraceutical category, have an even wider field of derivative products that can be produced with biorefining. One example, polyphosphatidylcholine, is sourced from soybeans. [10]
Soybeans have numerous industrial uses, but one of the most profitable could be to develop other biofuel initiatives. [11] This helps to create a similar profit and revenue structure to the PUFAs, algae, and biodiesel, but the big difference is the targeted medical conditions the extracted nutraceuticals will be used for. Polyphosphatidylcholine is valuable as a treatment of various internal organ related conditions benefiting the liver, heart, digestive system, and nervous system. [12]
These are all conditions that could find a large consumer market, especially for patients who prefer organic remedies to synthetic pharmaceuticals. When looking at these benefits just from these lipids based nutraceuticals, it is clear how biorefining can benefit numerous stakeholders with various organic materials. Increasing revenues, developing new industries, and improving products and treatments satisfies all parties involved with the transaction. With this in mind, it is worth considering what other organic matter components could utilize biorefining.
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Beyond lipids, one of the most common and vital food components are proteins. When looking at proteins used in food, most of them are sourced from animals and animal products. The problem is that the meat industry is not as sustainable as previously believed, and researchers are looking for new ways to cultivate protein based nutraceuticals. Biorefining may help by tapping into some under utilized biomaterials. Similar to lipids, one of the earliest studied protein based nutraceuticals stems from algae that is being used to develop other kinds of biofuels.
Certain types of red and green algae have protein contents as high as 40% per volume, and are a good source for lectins. [13] Lectins are a sugar binding protein that have been shown to have cytotoxic, anti-HIV, and antibiotic capabilities. [14] In order to harvest the lectins, biorefineries use either hydrolysis or microbial fermentation as opposed to the physical extraction employed with lipids. [15][16] In order to maximize results, it may be necessary for nutraceutical manufacturers to look beyond the energy sector to supply their biomass. With this in mind, many are turning to phycobiliproteins, which are fluorescent proteins used in food dyes and cosmetics. [17]
These are two other giant industries that could certainly profit from biorefining, the question becomes how marketable are the nutraceuticals being extracted? Phycobililproteins have recently garnered the attention of pharmaceutical companies for their anti-inflammatory and neuroprotective properties, but what really makes phycobiliproteins special are their capability of finding free radicals. [18] Free radicals are oxidized molecules made during normal cell metabolism that damage cell material throughout the body.
The problem with free radicals is that they can often travel undetected through the bloodstream, causing multiple diseases, the most severe of which being cancer. The nutraceutical pulled from these proteins may help to prevent serious health concerns, and they are being manufactured out of the leftover material for making colorful products. At a minimum, biorefining these proteins may provide a bridge between cosmetics and pharmaceutical industries.
How Sugar Could Stop Spreading Viruses
Lipids and Proteins are vital food components, but the largest category overall is carbohydrates. [19] Carbohydrates are complex sugars, also called polysaccharides, and it should come as no surprise that algae is one of the first organic material being research as a source for bio-refined carbohydrate based nutraceuticals. When studying red algae, early experimentation lead researchers to a variation called Schizymenia pacifica, a preferred algae for color in the cosmetics field. [20]
The extracts from Schizymenia have been shown to have antiviral properties, specifically when combating influenza, cytomegalovirus, and HIV. These extracts fall into the category of carbohydrates called sulfated polysaccharides, and they are extracted by disrupting the organic material’s cell walls with either heat or ultrasounds while typically in a solution of water or . [21] Thanks to their anti-viral properties, sulfated polysaccharides are one of the most studied carbohydrate extracts, but it is a large field to explore. Other strains of algae have been identified that produce sulfated polysaccharides, and they each provide different medical benefits.
For some, that means properties that are antioxidant, immune-inflammatory, antimicrobial, or antilipidemic. With this in mind, different kinds of algae may allow pharmaceuticals to design tailored treatments aimed at fighting specific symptoms of these or other viruses. Keeping in mind the amount of carbohydrates compared to other food compounds, plus the potential number of treatable conditions, polysaccharide biorefining may be in high demand for pharmaceutical companies in the future.
How Food Waste Could Protect Hearts and Minds
Less common food components can also benefit from the biorefining process. Many of these compounds are smaller, appear less frequently, but may provide some powerful medical breakthroughs from otherwise discarded materials. One of the most promising are polyphenolic compounds, a ubiquitous compound found in fruits and vegetables. [22] The medical benefits these compounds provide include neuroprotective, cardiovascular, cerebrovascular, and neurodegenerative protections, essentially helping the hearts and brains of consumers.
What makes these compounds especially appealing is not their treatment potential, but where they are sourced from. Polyphenolic compounds can be extracted from plant material used in other industries that would otherwise be thrown away. This was first discovered when olive mills producing olive oil treated their waste water with different solvents to extract the compounds from their leftover byproducts. [23]
The waste water would have otherwise been discarded, but instead proved to be a recyclable resource for the small olive mills. This led to additional extraction techniques being employed on potato peels, grape skins, carrot shavings, and coffee grounds, all of which proved fruitful for harvesting polyphenolic compounds. [24][25][26][27]
Each case relied on plant material that was undesirable, but biorefining found value in the waste. In terms of the extraction methods used, different byproducts may respond better to different solvents and techniques, but the benefits of recycling this biomass is obvious. Food companies can still produce their primary products without interruption, but now have a secondary revenue stream by selling their leftover byproducts to nutraceutical manufacturers.
These manufacturers are able to sell products from biomass that would otherwise be thrown away, which helps lower their production cost by buying the less desirable organic material. Finally, customers benefit by having access to more diverse products and more customized treatments, many of which are sourced sustainably with less environmental impact. All of this leads to the growth of existing industries and creates synergy between otherwise disconnected industries in innovative ways.
References
- Santini A, Cammarata SM, Capone G, Ianaro A, Tenore GC, Pani L, Novellino E. Nutraceuticals: opening the debate for a regulatory framework. Br J Clin Pharmacol. 2018 Apr;84(4):659-672. doi: 10.1111/bcp.13496. Epub 2018 Feb 14. PMID: 29433155; PMCID: PMC5867125.
- Nutraceuticals Market size and Forecast to 2031. (n.d.). https://www.skyquestt.com/report/nutraceuticals-market#:~:text=Global%20Nutraceuticals%20Market%20size%20was,period%20(2024%2D2031).
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- Rajendra Prasad Reddy, B., et al. “Performance, and emission characteristics of a diesel engine fuelled with Schizochytrium micro-algae biodiesel and its blends.” International Journal of Ambient Energy 43.1 (2022): 2090-2096.
- Manjula, Ramu, and Manjunath Chavadi. “Biotechnology of microalgae: a green approach towards exploitation of omega-3 fatty acids.” Phycobiotechnology. Apple Academic Press, 2021. 307-323.
- Shahidi, Fereidoon, and Priyatharini Ambigaipalan. “Omega-3 polyunsaturated fatty acids and their health benefits.” Annual review of food science and technology 9.1 (2018): 345-381.
- Francavilla, Matteo, Pasquale Trotta, and Rafael Luque. “Phytosterols from Dunaliella tertiolecta and Dunaliella salina: a potentially novel industrial application.” Bioresource Technology 101.11 (2010): 4144-4150.
- Lin, Xiaobo, et al. “Phytosterol glycosides reduce cholesterol absorption in humans.” American Journal of Physiology-Gastrointestinal and Liver Physiology 296.4 (2009): G931-G935.
- Scholz, Birgit, et al. “Phytosterol oxidation products in enriched foods: Occurrence, exposure, and biological effects.” Molecular nutrition & food research 59.7 (2015): 1339-1352.
- Tiberg, Fredrik, et al. “Phase behavior, functions, and medical applications of soy phosphatidylcholine and diglyceride lipid compositions.” Chemistry Letters 41.10 (2012): 1090-1092.
- Kim, Hyunseok, and GianCarlo Moschini. “The dynamics of supply: US corn and soybeans in the biofuel era.” Land Economics 94.4 (2018): 593-613.
- Verma, P., et al. “Phosphatidylcholine: a revolution in drug delivery technology.” Int J Pharm Sci Res 1.2 (2010): 1-12.
- Becker, E. Wolfgang. “Micro-algae as a source of protein.” Biotechnology advances 25.2 (2007): 207-210.
- Singh, Ram Sarup, and Amandeep Kaur Walia. “Lectins from red algae and their biomedical potential.” Journal of applied phycology 30 (2018): 1833-1858.
- Álvarez-Viñas, Milena, et al. “Subcritical water for the extraction and hydrolysis of protein and other fractions in biorefineries from agro-food wastes and algae: A review.” Food and Bioprocess Technology 14 (2021): 373-387.
- Matassa, Silvio, et al. “Microbial protein: future sustainable food supply route with low environmental footprint.” Microbial biotechnology 9.5 (2016): 568-575.
- Chen, Huaxin, Hongtao Qi, and Peng Xiong. “Phycobiliproteins—A family of algae-derived biliproteins: productions, characterization and pharmaceutical potentials.” Marine Drugs 20.7 (2022): 450.
- Romay, C. H., et al. “C-phycocyanin: a biliprotein with antioxidant, anti-inflammatory and neuroprotective effects.” Current protein and peptide science 4.3 (2003): 207-216.
- Pallela, Ramjee. “Nutraceutical and pharmacological implications of marine carbohydrates.” Advances in Food and Nutrition Research 73 (2014): 183-195.
- Bourgougnon, Nathalie, et al. “Annual variation in composition and in vitro anti-HIV-1 activity of the sulfated glucuronogalactan from Schizymenia dubyi (Rhodophyta, Gigartinales).” Journal of Applied Phycology 8 (1996): 155-161.
- Wassie, Teketay, et al. “Extraction techniques, biological activities and health benefits of marine algae Enteromorpha prolifera polysaccharide.” Frontiers in nutrition 8 (2021): 747928.
- Rasouli, Hassan, Mohammad Hosein Farzaei, and Reza Khodarahmi. “Polyphenols and their benefits: A review.” International Journal of Food Properties 20.sup2 (2017): 1700-1741.
- Tripoli, Elisa, et al. “The phenolic compounds of olive oil: structure, biological activity and beneficial effects on human health.” Nutrition research reviews 18.1 (2005): 98-112.
- Singh, Balwinder, et al. “Phenolic compounds in potato (Solanum tuberosum L.) peel and their health‐promoting activities.” International Journal of Food Science & Technology 55.6 (2020): 2273-2281.
- Ferrer-Gallego, Raúl, et al. “Determination of phenolic compounds of grape skins during ripening by NIR spectroscopy.” LWT-Food Science and Technology 44.4 (2011): 847-853.
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by Grow Up Conference | Oct 3, 2024 | Media Partners, Psychedelic News Wire
Numerous studies have found that psychedelics hold the potential to treat mental-health conditions, including anxiety, depression and post-traumatic stress disorder. Now new research has found that psychedelics activate cells in the brain that help reduce anxiety.
The research was conducted by a global team of investigators, including at the Tata Institute of Fundamental Research and Cornell University. The researchers’ focus was on determining what types of cells and areas in the brain were involved when anxiety was suppressed using psychedelics. Associate professor Alex Kwan, the study’s senior author, explained that knowing the neurobiology involved would assist in the development of better medications.
For their research, the investigators used DOI (2,5-dimethoxy-4-iodoamphetamine), a psychedelic that’s similar to psilocybin and LSD. They used rats and mice for their experiments, which began by placing the rodents in a maze that had two sides: an exposed section above the ground and an enclosed area with walls.
The maze was designed to determine how anxious the rodents would be and how much they would explore. Investigators evaluated levels of anxiety based on time the animals spent in each area, observing that the animals spent most of their time in the closed wing. The scientists then administered the psychedelic into the bloodstream of the rodents and ran them through the maze. Once this was done, they infused the psychedelic into different regions in the brains of these rodents, and then observed any changes in their levels of anxiety.
The investigators found that the ventral hippocampus was the only region that could hold on to the psychedelic’s effect of decreasing anxiety. This research is based on prior studies that observed abnormal hyperactivity in the ventral hippocampus when animals are anxious.
Study’s coauthor assistant professor Antonio Fernandez-Ruiz also measured the electrical recordings of the brain. This helped identify interneurons that demonstrated increased firing following the psychedelic’s introduction. The study’s corresponding author, professor Vidita Vaidya, explained that the research offered a better understanding of cellular triggers for anxiety relief induced by psychedelics.
The investigators are now studying if the amygdala plays a role in this.
The research was supported by India’s Department of Atomic Energy, a Whitehall Research Grant, the Sree Padmavathi Venkateswara Foundation, the National Science Foundation, a Sackler Institute Award, a Klingenstein-Simons Fellowship, a Sloan Fellowship and the National Institutes of Health.
Other coauthors included scientists from the New York State Psychiatric Institute, Columbia University and Yale University. The research’s findings were reported in the “Neuron” journal.
The findings of this study can help to explain why startups such as Seelos Therapeutics Inc. (NASDAQ: SEEL) are focusing their R&D programs on developing psychedelic treatments targeting mental-health indications.
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by Grow Up Conference | Oct 2, 2024 | Media Partners, Stratcann
A German pharmaceutical company says it will be partnering with Canadian cannabis nursery Mother Labs to bring a line of branded cannabis flower to the German medical market.
ADREXpharma is a licensed wholesale distributor of controlled drugs and medical cannabis, serving most of Germany’s 20,000 pharmacies. New legislation that came into force on April 1, 2024, removed medical cannabis from the German narcotic list, making access easier for Germans seeking to access cannabis for medical purposes.
Cannabis for medical purposes is available at pharmacies in Germany by prescription. Several Canadian cannabis companies have entered the German market in recent years as the country’s medical cannabis program has expanded, increasing demand for products.
In 2019, ADREXpharma announced a deal with Canadian cannabis producer MediPharmm Labs to supply cannabis concentrate derivative products, including THC and CBD oil, to the German market. Earlier this year, the German pharmaceutical company announced a similar deal with a Danish medical cannabis producer to supply cannabis oil through ADREXpharma.
This newest collaboration with Canadian cannabis company Mother Labs will help meet the evolving demands of the German cannabis market, says Nicole Broockmann, CEO of ADREXpharma.
“This partnership represents a significant milestone in our mission to provide German medical patients with the highest quality cannabis products. Mother Labs’ advanced genetic development capabilities perfectly complement our distribution and regulatory expertise. Together, we will bring a product to market that meets the highest standards of quality and consistency.”
The new “Mother Labs” branded cannabis flower is expected to soon be available in German pharmacies.
“We are excited to bring our advanced genetics to Germany in partnership with ADREXpharma,” said Brian Bain, CEO of Mother Labs. “Our purpose-built facility, with dedicated pheno-hunting space and comprehensive storage via our TC lab, allows us to rigorously test all genetics in-house for a minimum of 72 weeks before release. This precision process ensures that only the highest quality, stable, and unique genetics make it to market, reinforcing our position as leaders in genetic innovation.”
Bain told StratCann that the first run of genetics Mother Labs will provide into the German market will be Beta808 (Slurricane x Chatterbox) and Garlic Funk (First Class Funk x GMO). The second will be Tangerine Skies (Wedding Cake x Banjo), Orange Drink, King Z, and Flawless Victory (Ice Cream Cake x Cherry Cheese Cake). Mother Labs bred all of these cultivars, Bain says, except for Orange Drink.
“Over the past year or two, we’ve made significant strides in securing tighter control over our intellectual property, particularly our unique genetics. Rather than broadly releasing certain genetics in the Canadian market, we’ve been selective, tightly controlling which cultivators are initially proving out these genetics domestically and tightening up our terms around domestic and international sales. This approach ensures we maintain the strongest possible grip on our IP as we expand globally.”
Germany has become one of the newest countries to see a ramp-up of cannabis imports from Canada, with brands and producers either teaming up with local companies like ADREXpharma or through their own footprint in Germany, like Aurora and Tilray.
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by Grow Up Conference | Oct 2, 2024 | Cannabis News Wire, Media Partners
The U.S. Internal Revenue Service (IRS) intends to continue seeking tax payments from cannabis businesses that have taken deductions in anticipation of possible federal changes, according to an attorney with the agency. Even if marijuana is rescheduled federally, the IRS could theoretically seize assets from marijuana companies that fail to meet their tax obligations.
Luke Ortner, IRS senior counsel, spoke about the possible effects of rescheduling marijuana from schedule 1 to 3 under the Controlled Substances Act (CSA) in a recent discussion at the American Institute of Certified Public Accountants (AICPA) marijuana conference in Denver.
The change, if enacted, would allow state-approved marijuana businesses to take advantage of federal tax deductions, which they have been unable to do under IRS code 280E.
Although the rulemaking process is still ongoing, some larger cannabis companies have already started to claim deductions. For instance, cannabis giant Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) revealed in January that it had received $113 million in refunds for 280E. Ascend Wellness and TerrAscend have also stated that they expect comparable reimbursements.
The IRS noted that the 280E rule remains in effect until a final rule is implemented, a point Ortner reiterated during the conference. He further emphasized that even if marijuana is rescheduled, the IRS would continue to enforce 280E for past tax years, meaning cannabis companies would still be liable for previous unpaid taxes.
Several businesses and industry participants have presented legal defenses for their 280E tax deduction claims. They have argued, for example, that the policy shouldn’t apply in cases where cannabis-related activities are only conducted within a state.
Ortner stated that there are currently pending legal challenges that may affect the IRS’s future approach to these problems. For the time being, however, the IRS position remains unaltered, and it will work to recoup any payments made in violation of 280E. Ortner assured the accountants that those working with state-licensed marijuana businesses would not face penalties for helping the organizations file tax returns.
Ortner also brought up another possible effect of reclassification, despite the optimism of many in the cannabis industry that rescheduling will eventually treat their businesses like other traditional ones, at least in terms of tax policy. The IRS might be better equipped to enforce tax collection against businesses that don’t fulfill their commitments if marijuana is placed on schedule 3.
Currently, with cannabis classified as a schedule 1 drug, the IRS has largely deferred enforcement to the U.S. Drug Enforcement Administration (DEA) and has not aggressively pursued companies that are not compliant with tax laws. However, Ortner noted that this could change with reclassification.
However, rescheduling is not assured. Before making any judgments, the DEA is anticipated to hold a hearing in December 2024 to obtain additional feedback regarding the suggested reform.
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by Grow Up Conference | Oct 2, 2024 | Media Partners, Stratcann
The University of British Columbia (UBC) has received a grant to help improve the breeding of more fruity-smelling cannabis.
The $500,000 grant, provided by Genome British Columbia (Genome BC), was announced by Aurora Cannabis Inc., which says the project, Genomics-enabled Aroma Breeding in Cannabis, will directly support the companies’ genetics work around cannabis.
The project is led by Dr. Jose Celedon, Principal Scientist, Breeding and Genetics at Aurora, and by Dr. Joerg Bohlmann, a professor at UBC, focusing on validating genetic and chemical markers for fruity aroma in cannabis.
“Through this work Aurora will deepen our understanding of cannabis genetics with a focus on aromas, a leading driver of consumer preference that directly impacts the user experience,” said Dr. Jose Celedon, Director, Breeding and Genetics at Aurora.
“By collaborating with UBC on this Genome BC-funded project, we are able to fully execute this aroma research without the typical financial constraints, allowing us to continue simultaneous work on additional important breeding traits, such as yield, potency and disease resistance. We are eager to see the outcomes of our work and the impact on the future of cannabis breeding.”
Aurora has been collaborating with researchers at UBC for several years. In 2023, Aurora announced they were teaming up with a UBC researcher to create cannabis more adapted for outdoor production in Canada. The company’s breeding program and cannabis breeding facility, Occo, is in collaboration with an adjunct professor from UBC.
Aurora recently patented a series of genetic and chemical markers for fruity aroma, which were identified through its CanD diversity panel. This new collaboration, says the cannabis company, will allow Aurora to validate these markers using cutting-edge approaches that would otherwise require significant funding. The data generated from this work will support the discovery and launch of cultivars with unique and improved aromas, alongside high yield and potency.
Aurora’s in-kind contributions to the project include conducting sensory analysis of fruity aromas, and leading bioinformatic analyses with in-house software. UBC’s contributions to the project through Genome BC funding, will involve sequencing transcriptomes, analyzing the volatile chemistry, and conducting functional characterization of the genes responsible for fruity aromas in cannabis.
If successful, Aurora hopes the methods developed in this project can then be adapted to explore other aromas, strengthening the publicly traded cannabis company’s “aroma-related intellectual property portfolio.”
Genome BC is a not-for-profit organization that has helped conduct genomics research and innovation for nearly 25 years. Genome BC has attracted over $1 billion in direct co-investment to the province, which has contributed to funding more than 550 genomics research and innovation projects. In 2020, Genome BC announced a $4.3 million project to breed powdery mildew-resistant cannabis cultivars.
by Grow Up Conference | Oct 2, 2024 | Media Partners, Stratcann
The Edmonton Police Service (EPS) is seeking the public’s assistance in locating a suspect who robbed two South Edmonton cannabis stores in the course of a week.
The suspect is described as a white male between 5’6 and 5’10” tall with an average build and shaved brown hair. In both robberies, police say he wore a fake beard, sunglasses, and a baseball hat.
The first robbery took place on Tuesday, September 17, 2024, at approximately 11 p.m., at a cannabis store in the area of 52 Avenue and Terwillegar Boulevard.
Police say that the suspect approached the clerk, demanded cash, and told the clerk to take him to the stockroom. Once he gained access to the stockroom where most cannabis is stored, the suspect forced the clerk to assist him in filling bags with cannabis before fleeing the store.
Then, on Sunday, September 22, 2024, at around 10 p.m., the same male entered another cannabis shop in the area of 66 Street and 42 Avenue. This time, he reportedly produced a handgun, and the clerk pressed the panic alarm. The suspect fled the shop and was last seen running north along 66 Street.
Cannabis store break-ins and robberies continue to be a challenge in many parts of Canada, but stores in Alberta have faced considerable pressure from criminals. Just a few weeks ago, police in Calgary were asking for the public’s help in identifying a man wearing various disguises robbing several cannabis stores.
In July, police in Edmonton were seeking help locating two suspects in a cannabis store robbery. In December 2023, police in Calgary identified suspects in a string of cannabis store robberies. RCMP in Red Deer, Alberta, said they recovered some $19,000 worth of stolen cannabis, along with firearms, ammunition, and other stolen property, while executing a search warrant on July 3.
Other parts of Canada are also impacted. In early September, police in Ontario announced four arrests in connection with cannabis store break-ins in the Toronto and Durham Region. In March, Toronto police arrested a man connected to cannabis store robberies, and Niagara police were investigating the armed robbery of a cannabis store.
In BC, Kelowna’s Hi Cannabis was broken into early on the morning of September 29, causing thousands of dollars in damage. Robberies and burglaries are not exclusive to cannabis stores. Two cannabis producers in BC were robbed in early-morning heists in 2023, as well.
by Grow Up Conference | Oct 2, 2024 | Cannabis News Wire, Media Partners
Amid a shaky economy, the marijuana industry seems to be thriving, with many premium brands raking in huge profits. Brand Marketing VP at Cresco Labs Inc. (CSE: CL) (OTCQX: CRLBF), Dana Mason, argues that consumers want the best and individuals who appreciate premium products are willing to pay more.
Exclusivity, which is characterized by limited availability and high prices, is the primary element of luxury goods. In a recent interview, representatives from different premium cannabis brands operating in various categories revealed how they were doing in today’s economy.
Under the marijuana edibles category, there is Cresco Labs, which produces Mindy’s Edibles. Mason revealed during the interview that while some cannabis categories had been influenced by price compression in states such as Michigan and Illinois, edibles sales remained steady.
Wana Brands, another company selling infused edibles, is also recording increases in its revenues in Michigan. Wana, which exited the Oregon and California markets following heightened price compression and stiff competition with the illicit market, continues to focus on bringing its products to as many consumers as possible.
Under the cannabis flower category, Claybourne employs a different strategy, only selling its products to stores where the clientele can pay premium prices. This, Nick Ortega notes, is focused on showing retailers that high-end products can generate more income for them in comparison to other products.
On cannabis pre-rolls, data from Headset shows that between January 2020 and July 2024, pre-roll sales rose to $265 million from $71.4 million. Made in Xiaolin, a brand that specializes in pre-rolls, uses its products to showcase craftsmanship and creativity. Its products include White Rose, which has a 10-minute lit time and contains 0.4g of flower. Another offering is the Knife, which has a lit time of 20 minutes to half an hour and contains 2g of flower.
The company CEO and cofounder, Chris Louie, revealed that its sales had increased as the cannabis market in New York grew.
Data from Headset also showed that sales of THC-infused drinks have also risen during the last five years. At the start of 2020, retailers sold more than $6 million worth of these beverages. As of July 2024, sales had surpassed $23 million.
Cann, a company that produces THC-infused drinks, was founded by Luke Anderson and Jae Bullock. The company’s products are currently available in liquor stores and dispensaries as well as via e-commerce in the state of Connecticut, with Bullock revealing that sales at each outlet continue to rise.
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by Grow Up Conference | Oct 2, 2024 | Media Partners, Stratcann
A new report from researchers in the US is calling on that country’s federal government to take the lead in more strictly regulating cannabis with an eye on public health.
The report from the National Academies of Sciences, Engineering, and Medicine (NASEM) in the United States was compiled by members of the NASEM’s Committee on the Public Health Consequences of Changes in the Cannabis Policy Landscape.
Looking at countries like Canada and Uruguay that took a stricter public health focus to legalization, researchers say the US federal government needs to bring more cohesion to the dozens of various state-legal models allowing some form of medical and/or non-medical adult-use access to cannabis.
The US approach to legalization has generally been more focused on revenue generation for various levels of government through taxation and regulatory fees, as well as private businesses. At the same time, both Canada and Uruguay put policies in place that emphasized public health concerns over private profits or even personal liberties.
The report also calls on the US federal government to close hemp regulatory loopholes in the 2018 Farm Bill that have led to a proliferation of under-regulated semi-synthetic cannabinoids like delta-8THC.
The committee was tasked with recommending a harm reduction approach to cannabis policy and setting a policy research agenda for the next five years.
“There is an urgent need for a coordinated public health approach to cannabis policy in the U.S.,” said Steven Teutsch, chair of the committee that wrote the report and senior fellow at the Leonard D. Schaeffer Center for Health Policy and Economics at the University of Southern California.
“Our report shows that cannabis policy often focuses on regulating sales and revenue first, and protecting public health second. Now is the time for the federal government to create guidance for states that have legalized cannabis in the interest of protecting the public’s health.”
Many of the recommendations mirror the approaches to legalizing and regulating cannabis taken by Canada and Uruguay, models the report explores in-depth as well. From the report:
“Existing state cannabis policies were developed without a public health strategy. State-to-state variations in regulations limit public health efforts to prevent harmful use. In contrast, some countries, such as Canada and Uruguay, have adopted more measured approaches with stricter government control over cannabis products and how they are sold or consumed. Such stricter regulatory frameworks may better protect public health.”
In contrast, the state-legal approach in the US has meant little oversight for things like age-gating or enforcing advertising restrictions. The report also expresses significant concern about how the current “ambiguous definition of hemp” in the 2018 Farm Bill has led to a largely unregulated market for semisynthetic intoxicating cannabinoids.
The report includes several recommendations:
- Congress should refine the definition of “hemp” to clearly state that no form of tetrahydrocannabinol or semi-synthetic cannabinoid derived from hemp is exempt from the Controlled Substances Act.
- In conjunction with other federal agencies, the Centers for Disease Control and Prevention should conduct research on and develop best practices for protecting public health for states that have legalized cannabis, drawing from tobacco and alcohol policies. These best practices should encompass marketing restrictions (e.g., on advertising and packing), age restrictions, physical retail and retail operating restrictions, taxation, price restrictions, product design, and measures to limit youth access. Other strategies for protecting public health that warrant identification of best practices include reducing cannabis-impaired driving, promoting state retail monopoly, and encouraging cultivation practices that limit contamination of both products and the environment. The best practices should be reconsidered and updated periodically as new research emerges.
- The Centers for Disease Control and Prevention, in conjunction with its federal, state, tribal, and territorial partners, should create an adaptable public health surveillance system for cannabis. This surveillance system should include, at a minimum, cannabis cultivation and product sales, use patterns, and health impacts. It should also include all the essential components of a public health surveillance system: a surveillance plan, data collection, data analysis, data interpretation, data dissemination, a link to action, and regular evaluation.
- The U.S. Pharmacopeia has established product quality and analytical standards for cannabis inflorescence (flower) and is developing standards for cannabis extracts incorporated into pills and edibles. As these standards are completed, state cannabis regulators should adopt and enforce them to ensure the safety and quality of all legal cannabis products.
- State cannabis regulators should require training and certification for all staff at cannabis retail outlets who interact with customers. The training should address the effects of cannabis on humans, prevention of sales to minors, warnings about cannabis-impaired driving, cannabis use in pregnancy, high-concentration or high-potency products, and how to identify signs of impairment. The effectiveness of the training should be assessed, and the content updated as new scientific information about the positive and negative impacts of cannabis emerges.
- The Centers for Disease Control and Prevention (CDC), in coordination with other relevant agencies, should develop and evaluate targeted public health campaigns directed mainly toward parents and vulnerable populations (e.g., youth, those who are or are likely to become pregnant, adults over age 65) about the potential risks of cannabis; how to identify risky behaviour, such as the use of cannabis in combination with alcohol or prescription drugs; and risk mitigation strategies, such as lower-risk use guidelines and safe storage. These public health campaigns should include discouraging unhealthy use, such as the use of cannabis in combination with other substances (alcohol, tobacco, or drugs), and the increased risk associated with the use of high-concentration or high-potency products.
- Congress should remove restrictions on the Office of National Drug Control Policy (ONDCP) from studying the impacts of cannabis legalization. The ONDCP should be allowed to support research on the impacts of changes in cannabis policy.
- Jurisdictions responsible for the enforcement of cannabis laws should endeavour to regularly gather and report detailed data concerning the use of criminal enforcement tools to enforce cannabis policies.
- State cannabis regulators should systematically evaluate and, if necessary, revise their cannabis social equity policies to ensure they meet their stated goals and minimize unintended consequences. Policymakers should meaningfully engage affected community members when developing or revising these policies.
- Where states have legalized or decriminalized adult use and sales of cannabis, criminal justice reforms should be implemented, and records automatically expunged or sealed for low-level cannabis-related offences.
- The National Institutes of Health; the Centers for Disease Control and Prevention; state, local, and tribal health authorities; and private entities should support a research agenda focused on:
- public health outcomes of different approaches to cannabis regulation
- efficacy of tests used to determine cannabis impairment
- health effects of cannabis use (by product, amount, and frequency) by specific populations
- health effects of emerging cannabis products, and • mitigation of the risks of cannabis use.
by Grow Up Conference | Oct 1, 2024 | Grow Opportunity, Media Partners
“The lack of accurate, standardized testing protocols for cannabis beverages is allowing products with THC levels an average of 41 per cent above legal limits to flood the market,” stated Callum Hanton, CEO of Bubble Bud Inc. “Some beverages were tested to be overdosed by over 71 per cent. Not only does this compromise product consistency and market integrity, it also exposes consumers to serious health risks from unknowing overconsumption.”
Bubble Bud Inc. has been at the forefront of addressing cannabis beverage testing issues since 2020. In collaboration with Agilent Technologies, the company developed a dedicated testing protocol that revealed significant discrepancies between existing methodologies and actual THC content. Their 15-month research showed that many products in the market contained higher THC levels than labelled. Following external validation to ensure data accuracy, the company shared its findings with Health Canada in January 2024.
Bubble Bud is calling on the regulated cannabis industry to join in prioritizing consumer safety and advocating for collaboration between industry, government, and regulators to enhance THC regulation enforcement and develop more effective testing protocols.
“We applaud Minister Nally for recognizing these risks and publicly calling out the need for change, but the Government of Canada and Health Canada must step up and implement robust, consistent testing methodologies across the board,” Hanton concluded. “We need to protect public health, uphold market integrity, and create a fair, safe market for both consumers and responsible producers and urge Health Canada to match Alberta’s urgency in addressing this critical issue.” Minister Dale Nally, Alberta’s Minister of Service Alberta and Red Tape Reduction, spoke at the 2024 GrowUp Conference earlier this week, highlighting this critical issue of inaccurate THC labelling in cannabis beverages.
by Grow Up Conference | Oct 1, 2024 | Grow Opportunity, Media Partners
(Globe Newswire) Toronto – TerrAscend Corp., a leading North American cannabis company, today announced that certain entities consolidated by the company in Michigan have completed the second draw of US$26 million in gross proceeds of the company’s senior secured term loan for total gross proceeds of US$140 million from funds managed by FocusGrowth Asset Management, LP, a leading capital provider to the cannabis sector, along with other members of a loan syndicate, which was previously announced on August 2, 2024.
The proceeds from the second draw were used to pay down the company’s higher interest Michigan debt. The Loan included an initial draw of US$114 million in gross proceeds, which was completed in August 2024, bringing the total gross proceeds under the transaction to US$140 million.
The Loan carries an interest rate of 12.75 per cent, matures in August 2028, contains no prepayment penalties and is guaranteed by the company and TerrAscend USA, Inc. No warrants were issued as part of the Loan. The loan is secured by the consolidated entities in Pennsylvania, California and Michigan, as well as certain entities in Maryland.
Ventum Capital Markets acted as the exclusive financial advisor to the company for the Transaction.
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