California Bill Would Let ‘Small’ Cannabis Producers Ship Directly to Consumers

Legislation proposed in California would allow small cannabis producers to
ship and sell their products directly to consumers. The bill, the Small and
Homestead Independent Producers (SHIP) Act, introduced by state Rep. Jared
Huffman (D), would allow the state’s smallest cannabis farmers to mail
cannabis products within the state or into other states where cannabis is
legal, were the federal government to remove cannabis from the Controlled
Substances Act.

“Larger, commercialized cannabis operators are infiltrating the market and
squeezing out our local farmers in the process. So when the antiquated
federal prohibition on cannabis finally gets repealed, we need to have
substantial legislation ready to help these small businesses survive. My
legislation would ensure that folks can ship their products straight to
consumers, which would both help expand small businesses and ensure farmers
stay afloat. When full legalization is guaranteed, we must commit to not
leaving our smallest family-farmers behind.” — Huffman in a press release

According to the bill text, a “small cultivator of cannabis” would include
farms that cultivate “one acre or less of mature flowering cannabis plant
canopy” outdoors, “22,000 square feet or less of cannabis plant canopy” in
a greenhouse, or “5,000 square feet or fewer of mature flowering cannabis
plant canopy” indoors. Small manufacturers are defined under the proposal
as “a person who produces a manufactured cannabis product,” including
salves, tinctures, edibles, or concentrates, with a gross annual revenue of
less than $5 million.

In a statement, Ross Gordon, co-founder at National Craft Cannabis
Coalition and Policy Analyst at Origins Council, said that “Nearly 15 years
into the experiment of state-level cannabis legalization … small and craft
producers are being pushed to the margins, safe access for consumers and
patients is shrinking, and the industry is consolidating into the hands of
a few.”

“Without direct-to-consumer shipping, federal cannabis legalization risks
reinforcing these failures instead of correcting them,” Gordon said. “The
SHIP Act is a make-or-break policy for the future of small cannabis
businesses in California and across the country.”

The California bill has received endorsements from the National Craft
Cannabis Coalition, Minority Cannabis Business Association, National
Cannabis Industry Association, Drug Policy Alliance, Parabola Center,
Marijuana Justice, Veterans Cannabis Coalition, Origins Council, Washington
Sun & Craft Growers Association, Vermont Growers Association, Maine Craft
Cannabis Association, Humboldt County Growers Alliance, Mendocino Cannabis
Alliance, Trinity County Agricultural Alliance, and the Central California
Cannabis Club.