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The company behind a cannabis mega-factory in California hopes that federal legalization of the substance will allow it to expand distribution of joints, oils and edibles beyond the borders of the most populous US state.
California legalized recreational cannabis in 2016, but it remains on the federal controlled substances list.
The U.S. House of Representatives passed a bill to overturn the federal ban on marijuana on April 1, although the measure is unlikely to pass the Senate.
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Joshua Krane, vice president of operations for cannabis operator 4Front, said the company’s 170,000 square feet (15,793 square meters) of manufacturing and processing space outside of Los Angeles has the capacity to supply cannabis products to the US West Coast if restrictions are lifted
“This facility has been designed to be truly future-proof for us as not only can we serve the entire California market, but once we are able to ship cannabis and sell cannabis across state lines to really feed.” west coast of the country,” he said.
The company behind a cannabis mega-factory in California hopes that federal legalization of the substance will allow it to expand distribution of joints, oils and edibles beyond the borders of the most populous US state. (AP Photo) (AP Photo / AP Newsroom)
The factory, which opened in November 2021, is operating at 20-25% capacity, Krane said.
“As we see the industry’s natural ramp-up, this will likely hit an additional demand curve as we move into federal legalization,” he added. “And so we would continue to increase production from this building as the state and hopefully this side of the country would require.”
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According to Krane, the highly automated facility is the largest in California. It makes both its own and partner brands, including oils, tinctures, and various types of candy.
Edible items are the most popular and demand has surged since the start of the coronavirus pandemic in 2020
Edible items are most popular, and demand has surged since the coronavirus pandemic began in 2020, Krane said.
“It has been a bit difficult to keep up with the additional demand in terms of manufacturing enough for these new customers. There was a tremendous swing from alcohol and other vices to cannabis.”
In March 2020, when lockdowns went into effect, recreational cannabis sales in major U.S. markets were up nearly 50% year over year, according to cannabis retail outlet and data platform Flowhub.
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With a machine capable of rolling 2,000 joints an hour and a kitchen capable of producing 400,000 pieces of candy in a single shift, the Commerce, Calif. factory is ready to meet continued demand.