CannabisNewsBreaks – Advanced Container Technologies Inc. (ACTX) GrowPods Could Play Key Role in Farming Future

Advanced Container Technologies (OTC: ACTX), the exclusive U.S. distributor of self-contained, automated, indoor “micro-farms” called GrowPods, has noted that its innovative controlled environment farms could be key to feeding the world, which is projected to reach a population of 10 billion by the next generation. Such an increase would require a 70% increase in global food production, the United Nations has forecast. With that as a backdrop, controlled environment agriculture offers a potential solution because of its ability to produce high yields in small spaces using little water and no soil. Controlled environment agriculture includes indoor and vertical farming practices such as hydroponics, aeroponics and aquaponics; these practices combine to create sustainable, optimized growing conditions that protecting crops from pests and diseases. Industry experts note that these growing environments have potential to provide access to affordable, high-quality and nutritious food, with one leading research projecting that vertical farming may take over approximately 50% of the leafy green markets in the country. “I believe that it’s possible that vertical farming can take over approximately 50% of leafy green markets in the U.S. and portions of small fruit and tomato markets in 10 years,” said research plant pathologist Dr. Kai-Shu Ling.

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About Advanced Container Technologies Inc.

Advanced Container Technologies is in the business of selling and distributing self-contained, automated, indoor “micro-farms” called GrowPods, along with related equipment and supplies. Additionally, the company designs and sells patented proprietary medical-grade plastic containers, known as the Medtainer(R), that store and grind pharmaceuticals, herbs, teas and other solids or liquids. For more information, visit the company’s website at www.AdvancedContainerTechnologies.com.

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CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

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420 with CNW — New California Bill to Address THC Level Inflation

Anyone who consumed cannabis in the pre-legalization days will tell you that the drug has gotten progressively stronger over the years. Improvements in breeding and cultivation have allowed cultivars to develop strains with extremely high levels of THC (delta-9 tetrahydrocannabinol), the chemical compound that causes marijuana’s well-known “high.”

With demand for products with high THC levels increasing, cultivars nationwide compete to create the most potent cannabis, resulting in an industry suffused with high-potency goods such as dabs. The proliferation of high-potency cannabis products in America’s state legal market has worried some medical experts, who are concerned that inflated THC levels may increase the risk of developing a substance use disorder.

In California, home to the country’s largest cannabis legal cannabis industry, Assemblymember Reggie Jones-Sawyer has introduced a bill that would address THC level inflation in the state’s massive cannabis industry. Assembly Bill 1610 is a measure meant to increase transparency in cannabis testing and get rid of fraud in the nascent industry.

The bill is sponsored by SC Labs, a cannabis and hemp testing company that provides quality control, compliance and R&D testing service to businesses in the cannabis industry. SC Labs chief compliance officer Josh Wurzer notes that the company is sponsoring Assembly Bill 1610 because it would enhance transparency within the marijuana sector by requiring or allowing randomized product shelf testing or in-person lab audits.

He said that SC Labs has thrown its weight behind the bill because there is no way to weed out bad actors that drag the sector down without increased engagement from the state. As it stands, Wurzer said, the current system is allowing these bad actors to profit over legitimate cannabis companies that are striving to follow product safety and compliance rules.

California’s legal cannabis industry may be large, but it is dwarfed by the illicit marijuana market, which generates nearly double the revenue and deprives the state of billions of dollars in taxes.

Wurzer explained that the illicit market coupled with reduced prices has put a lot of pressure on the legal market, but increasing transparency and trust would bolster the legal markets and help them thrive. The bill would also address the price gouging that has forced consumers to dig deeper into their pockets for supposedly high-THC products.

To get a leg up on their competitors and boost their profits, some labs have taken to overstating the percentage of THC in products in a bid to attract more customers. As a result, consumers pay more for products that contain less THC than indicated and, in some cases, are contaminated with pesticides.

Jones-Sawyer’s bill would prevent this by increasing product-safety requirements for producers and requiring in-person annual audits of labs. According to Jones-Sawyer, the bill will also ensure a supply of high-quality products to the cannabis market and protect the consumers.

Such a law may also result in the use of modern cultivation technologies, such as the indoor grow equipment from Advanced Container Technologies Inc. (OTC: ACTX), to produce higher-quality cannabis that tests verify before it hits store shelves.

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420 with CNW — Analysis Finds Wisconsin Residents Bought $121M Worth of Marijuana from Illinois in 2022

A new analysis shows that residents in the state of Wisconsin bought $121.2 millions worth of cannabis from licensed retailers in Illinois last year. This contributed roughly $36 million in taxes to the neighboring state. The data was requested by Melissa Agard, the Senate Majority Leader, who asked the Legislative Fiscal Bureau to look into how much was going into Illinois through out-of-state marijuana purchases. Agard has in past sessions sponsored legalization measures.

The nonpartisan bureau released its results last week after examining data obtained from the Department of Financial & Professional Regulation in Illinois, which breaks down monthly out-of-state and in-state marijuana sales. These estimates were premised on an assumption that all the out-of-state cannabis purchases within counties bordering Wisconsin were by the state’s residents.

The bureau also highlighted that the exact figures could be lower or higher, based on various factors, such as the possibility that residents of Wisconsin may have completed their marijuana transactions in counties that don’t share a direct border with Wisconsin, such as Cook County, or that a portion of out-of-state sales in border counties came from residents of other neighboring states.

Additionally, the report doesn’t take into account possible sales within other states with adult-use marijuana near Wisconsin.

Despite this, the report does give a rough range of the magnitude of revenue the state of Wisconsin’s missing out on the longer it fails to establish a regulated cannabis market.

A press statement from Agard asserts that the cannabis revenue generated in bordering Illinois could be allocated toward transportation infrastructure, public schools and public safety in Wisconsin. She further noted that legalizing cannabis for responsible use by adults would generate considerable revenue for main streets, support entrepreneurship, reinvest in the state’s agriculture and farming heritage, safely regulate the existing illegal market and address the racial disparities arising from cannabis prohibition.

Agard stated that she planned to introduce her measure again if GOP officials chose to exclude it from the budget, arguing that the time had come to legalize cannabis for the betterment of the state and its residents.

An unrelated report from last month also established that 50% of individuals aged 21 years and older in Wisconsin lived approximately 75 minutes from an out-of-state marijuana retailer. This figure is expected to grow if legislative efforts to legalize cannabis in neighboring Minnesota are successful.

Meanwhile, Governor Tony Evers announced his biennial budgetary estimates in February, which included language to legalize recreational and medical cannabis in the state.

Besides tax benefits, states stand to create significant job opportunities when marijuana is legalized because companies serving that space, such as Advanced Container Technologies Inc. (OTC: ACTX), could grow and need additional manpower as they pursue market opportunities that results from such legislation.

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420 with CNW — Kentucky Legislators Approve Medical Cannabis Bill

After years of hitting a brick wall, proponents of medical cannabis legalization in Kentucky have made progress when their legislation won support from a significant Republican leader and passed a Senate committee. Applause broke out from supporters when Senate Majority Leader Damon Thayer changed his vote from opposing the legislation to supporting it. Thayer approved the specific objectives of the bill and stated that he supported it because of those who were suffering.

During the bill debate, opponents of the measure sympathized with those who experienced chronic pain and other conditions, but they cautioned that marijuana use could be addictive and result in worse side effects.

Eric Crawford, a mainstay in the movement to legalize medical marijuana, presented Kentucky legislators with the same argument he has been making for years. He claimed that he uses medical cannabis instead of opioids to treat muscle spasms and pain caused by injuries he sustained in a car accident decades ago.

The Senate Committee passed the measure, SB47, with an 8 to 3 vote. It now moves to the full Senate, where cannabis legalization measures have previously failed to advance past the committee stage and have died without even receiving a hearing. For the bill to become law during this year’s 30-day legislative session, it would need to pass the Senate and pass through the House for final approval. Similar drafts have previously been approved by the House. Both chambers are controlled by the Republican Party.

Democratic Governor Andy Beshear, who had grown weary of years of inaction, partially lifted the state’s ban on medical marijuana last year. In accordance with Beshear’s decision, Kentuckians are permitted to possess medical marijuana for a limited range of conditions as long as it is obtained legally in another state. They must retain their receipt as evidence, and a licensed medical practitioner must certify that they are suffering from a qualifying condition.

The measure being considered would legalize and allow Kentucky agencies to control medical cannabis in the state. Medical marijuana will be prescribed for a range of conditions, such as cancer, chronic pain, multiple sclerosis, chronic nausea, epilepsy and PTSD.

Eligible individuals would need a card to be allowed to get the prescription. Additionally, patients under the age of 18 will not be able to obtain or possess medical marijuana without the help of a designated caregiver.

The legislation’s lead sponsor, Senator Stephen West, noted that the bill would not go into effect until the beginning of 2025 to give state health officials time to develop guidelines to oversee the program.

If the measure is enacted into law, many opportunities outside the immediate sphere of the marijuana program will open up for residents. For example, many companies, such as Advanced Container Technologies Inc. (OTC: ACTX), have found their niche serving enterprises dealing in marijuana and its products. These ancillary entities also stand to benefit when legalization occurs.

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420 with CNW — German Minister Confident That EU Will Sign Off on Germany’s Adult-Use Cannabis Proposals

Last year, German lawmakers unveiled a measure that would legalize recreational cannabis in the country. The bill would allow adults aged 21 years and older to purchase and possess up to 30 grams of cannabis for personal use as well as legalize the home cultivation of up to three mature cannabis plants per adult.

Speaking at the time, Health Minister Karl Lauterbach said that the measure would help to protect the country’s young people as the current ban on recreational cannabis had proven to be ineffective. Although the measure still hadn’t received parliamentary approval at the time, the largest hurdle it would have to overcome would be to receive approval from the European Union.

In a recent statement, Lauterbach said that he was confident the European Union would choose to approve Germany’s recreational cannabis measure. He also noted that lawmakers would soon publish a cannabis legalization bill that “conforms to European law” in the next couple of weeks.

The minister said that the EU commission gave him “very good feedback” regarding Germany’s cannabis legalization blueprint before he took part in an EU meeting in Brussels. The blueprint for Germany’s pending cannabis legalization law was sent to the European Commission last fall to ensure that it was compliant with EU and global drug laws. The commission is expected to provide a decision regarding the blueprint in the next few weeks.

According to the blueprint, Germany would realistically launch its recreational cannabis industry sometime in 2024. It would also limit the recreational cannabis markets to products cultivated within the country’s borders, dashing the hopes of some global producers who had hoped that the move to legalize recreational cannabis in Germany would open up the EU’s largest economy to international cannabis trade.

Even if Germany had found a way to allow recreational cannabis imports, international drug-control treaties that prevent the shipment of cannabis across borders would have made trade with foreign producers nigh impossible.

Lauterbach said in October 2022 that the plan was for Germany to cultivate and harvest all the crop in the recreational cannabis market without any reliance on foreign marijuana producers. A previous statement from the German government stated that the legislative process for recreational cannabis legalization would only continue if the EU approved the adult-use measure.

If the European Commission approves the blueprint, other countries in the EU could use it as a guide if they decide to follow Germany and legalize recreational marijuana.

The legalization of marijuana comes with several direct and indirect benefits, such as creating markets for the products made by numerous ancillary entities such as Advanced Container Technologies Inc. (OTC: ACTX) serving cannabis industry companies.

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420 with CNW — Adult-Use Cannabis Demand Exceeds Projections in Missouri

Since Missouri dispensaries started selling marijuana for recreational purposes more than a month ago, demand has outpaced expectations. In November 2022, a measure allowing for recreational cannabis sales was approved, opening the door for the establishment of dispensaries in the state.

Marijuana sales reached $102.9 million in February, with recreational sales accounting for $71.7 million of the total. The first weekend of sales brought in $13 million. In addition to experiencing astronomical sales and customer numbers in its first month, Missouri has seen a nearly 50% increase in the wholesale price of marijuana flower. According to LeafLink — a wholesale cannabis platform that links distributors and retailers — the state is the only top 20 market by size experiencing a shortage rather than a surplus since the demand is outpacing expectations.

LeafLink cites two elements as the causes of Missouri’s recent success. First, the program’s design made it possible to license the already-existing medical businesses, creating almost immediate retail opportunities. Secondly, Missouri borders noncannabis-selling states, and Illinois, the only bordering state with recreational marijuana, has a lot more expensive goods and high taxes.

The Missouri Cannabis Legalization Movement’s founder, Tim Gilio, claims to have noticed a noticeable impact on dispensaries, with lines getting longer and items disappearing from shelves as supplies completely run out. Unfortunately, medical cannabis users are being affected by this because recreational users outnumber the patients.

3Fifteen Primo owner Jason Corrado claimed to have observed serious supply issues at dispensaries that were unprepared for the approval of amendment 3. In Corrado’s opinion, the best way for stores to meet demand is by being in touch with various suppliers. He claims that his extensive network of supplier connections has helped to keep a steady supply in all 3Fifteen Primo locations, urging others to follow suit.

The problem, however, is the limited number of cannabis cultivators in the state since DHSS set a limit on grower licenses to 60. Demand is much higher than even they anticipated, according to Gilio; otherwise, growers would have produced more over the previous year.

But will Missouri run out of marijuana with the high demand? Most likely not.

According to Illicit marketing vice president David Craig, most growers ramped up production when amendment 3 passed in November. Illicit and the majority of cultivators operated below capacity during the medical-only program. These brands have currently filled all the available space.

A marijuana product still needs to be produced for four to five months before it can reach the final consumer, thus the gaps in the supply will be filled by the end of April.

The skyrocketing demand for recreational cannabis could open a wider market for companies, such as Advanced Container Technologies Inc. (OTC: ACTX), which “sell shovels during a gold rush” as they serve firms directly dealing in marijuana or its derivatives.

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420 with CNW — Bill Targeting Illicit Marijuana Grows Designed to Safeguard Users from Pesticides

A bipartisan pair of congressional lawmakers has refiled a draft law meant to address the growing problem of illicit cannabis plantations on federal land. The lawmakers framed the legislation as a much-needed tool for the government to rein in illegal cannabis grows that are polluting the environment and risking marijuana consumers’ health.

Although dozens of states have launched medical and recreational cannabis markets, America’s illicit cannabis market is still thriving. Licensed sellers struggle to compete with the illicit market as high taxes, and rigid rules have made legal cannabis several times more expensive than black-market marijuana.

As a result, the illicit market regularly outsells the legal market by a wide margin, robbing states of tax revenue and feeding billions of dollars into the criminal enterprises behind the illicit cannabis market. Furthermore, illegal cannabis grows often use toxic banned pesticides and herbicides, which can leach into the ground and contaminate water sources. Cannabis consumers who use illicit cannabis also face the risk of contamination and adverse health effects from consuming low-quality or contaminated cannabis.

The Targeting & Offsetting Existing Illegal Contaminants (TOXIC) Act is about environmental protection and consumer safety, said Representative Scott Peters. He noted that no consumer should unknowingly take cannabis that is adulterated by dangerous pesticides and stated that he and Representative Doug LaMalfa tabled what was known as the Toxic Act to combat the scourge of illegal cannabis grows on federal land.

For years, reform advocates have argued that the best way to reduce the risk of consuming contaminated cannabis products and ensure consumer health is to launch regulated marijuana markets that subject products to standardized testing and compliance policies.

Illicit sellers don’t comply with any testing or compliance protocols. While this allows these sellers to price their products much cheaper compared to legal cannabis, it significantly increases the risk of entering contaminated products into the market and harming consumers.

Peters also noted that these illicit cannabis grows don’t just impact the end user; they also endanger several species and put the Forest Service agents tasked with clearing federal lands at risk of contamination.

Both LaMalfa and Peters represent California, which is home to the one of largest illicit cannabis markets in the United States ($8.7 billion in 2019). Their bill would provide the U.S. Forest Service (USFS) with funding of up to $250 million over a five-year period to increase penalties for people who use banned dangerous pesticides and to remediate areas where these pesticides were used.

If more of these illicit cultivators became licensed participants in the regulated cannabis market, they could benefit from new technologies such as the microgardens sold by Advanced Container Technologies Inc. (OTC: ACTX) to grow cannabis in an environmentally responsible way.

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420 with CNW — Bipartisan Legislators File Bill Allowing Those with Drug Convictions Access to Hemp Industry

Bipartisan congressional legislators have filed a new measure to end the “discriminatory” federal rule that prevents people with prior felonies for drug offenses from owning or operating legal hemp businesses. The “Free to Grow Act,” sponsored by Representatives Chellie Pingree (D-ME), David Trone (D-MD), Nancy Mace (R-SC) and Dave Joyce (R-OH), focuses only on the section of the 2018 Farm Bill that dealt with prior convictions and federal legalized hemp.

Pingree stated that in spite of legalization, the industry’s expansion is being hampered by bureaucracy, regulatory uncertainty and discriminatory policy. Congress is expected to approve a new farm bill version this year. The new legislation would remove provisions from the farm bill that currently prohibit individuals convicted of a felony drug offense within the previous 10 years from legally holding certain positions within a licensed hemp business.

In 2019, the USDA made it clear that only “key participants” — chief executives with a direct financial stake in the company or other top executives — would be subject to the ban. As a result, employees such as maintenance workers are exempt from the rule, which is consistent with the strict reading that advocates pushed for. The lawmakers are now attempting to completely remove the prohibitory language.

A majority of advocacy organizations, including DREAM.Org, Americans for Prosperity, Drug Policy Alliance, Due Process Institute, U.S. Hemp Roundtable and R St Institute, are supporting the proposed reform.

Pingree has been on the forefront of advocating for changes to the hemp sections of the bill, filing separate measures in past sessions that incorporated proposed revisions supported by a majority of the industry players. Those revisions include items such as increasing the THC levels for legal hemp and eliminating a clause that hemp should only be tested by DEA-certified laboratories.

Regarding the latter, the USDA did declare at the end of 2022 that it was temporarily postponing enforcement of the requirement because such facilities lacked “adequate” capacity. The rule did not go into effect on Jan. 1, 2023, and will not go into effect until at least Dec. 31, 2023.

In January, the USDA made the announcement that it would begin publishing a weekly newsletter with “unbiased, timely and accurate data” about the hemp industry. In an annual effort to better understand how the market has changed, the department began sending out surveys to hemp farmers across the nation shortly after that development.

The Congressional Research Service also published a report last year outlining a number of ways stakeholders hoped to see federal hemp laws changed to better support the sector through the upcoming farm bill.

As more people are freed from the unwarranted restrictions barring them from participating in the hemp industry, it will create downstream opportunities for enterprises such as Advanced Container Technologies Inc. (OTC: ACTX) engaged in supplying equipment that can be used to grow different plants indoors, such as cannabis.

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420 with CNW — Cannabis Advocates Pin Hopes on Delaware, Hawaii After Ballot Defeat in Oklahoma

Oklahoma voters recently rejected a measure that would have legalized recreational cannabis in the state and expanded access to adults aged 21 and older. With this decision, Oklahoma joined a group of conservative states that have recently rejected measures to legalize adult-use cannabis, including North Dakota, Arkansas and South Dakota.

The recreational marijuana measure’s failure to pass in Oklahoma was a blow to advocates, who were hoping that changing attitudes among younger voters coupled with laissez-faire economic attitudes would swing the vote in favor of cannabis. Even though 10% of Oklahomans currently hold a medical cannabis card, 63% of voters rejected the measure while only 38% were in favor of legalizing recreational cannabis.

In the wake of their recent setback in Oklahoma, legalization advocates are now turning their attention to Delaware and Hawaii where the prospects of legalization are much greater. Both states are currently host to bills that would legalize recreational cannabis for adults aged 21 and older.

The measure in Hawaii has support from Governor Josh Green while the Delaware measure has a veto-proof majority among state lawmakers. Green noted during his campaign trail that he would sign a recreational cannabis bill into law if he was elected governor and the legislature sent him an adult-use bill.

In Delaware, an adult-use bill was vetoed by Governor John Carney and is now headed to the senate for a vote that could override Carney’s veto.

Even though the prospects of legalizing cannabis in larger states such as Pennsylvania and Ohio are still uncertain, Delaware and Hawaii seem to be on track to legalize cannabis. Democrats have control over the house and senate in both states, and both governors are from the Democratic party, meaning they can effectively pass cannabis legislation with little effective pushback from the GOP.

Minnesota, which also has a legalization bill going through the legislature, has a similar Democratic trifecta.

However, advocates concede that some conservative Democratic senators may have to be convinced to vote in favor of legalizing adult-use cannabis

While successfully passing cannabis legalization measures in small Democratic states such as Hawaii and Delaware would certainly be a solid step in the right direction, it may not have a major domino effect on the rest of the country’s adult-use industry. Succeeding in a conservative state such as Oklahoma would have had a much wider ripple effect and could have even caused lawmakers in other conservative states to rethink their cannabis policies. Furthermore, cannabis reform in conservative states could even pressure lawmakers at the federal level to consider federal cannabis reform.

Companies such as Advanced Container Technologies Inc. (OTC: ACTX), which specialize in meeting the needs of entities within the cannabis industry, will be keeping an eye on the progress of the cannabis legalization movement since it could open more opportunities for them.

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420 with CNW — More Companies Stop Preemployment Marijuana Tests as Legalization Spreads

Employers are opting to do away with drug screening tests amid a major labor shortage that has caused a deficit of around 3.5 million workers in the workforce. The transportation industry has been especially affected by the labor shortage, with employers in the sector struggling to find enough warehouse personnel, public transit workers, couriers and truck drivers. The food and hospitality industries as well as health care and retail trade have also been grappling with worker shortages for a while.

Some companies are now choosing to stop marijuana screening tests for new potential employees as they can reduce the worker pool by a wide margin.

With nearly one-half of Americans living in states that allow recreational cannabis sales and even more residing in states with medical marijuana markets, plenty of Americans are using cannabis either recreationally or for medical purposes. But since cannabis is still illegal at the federal level, employers are allowed to screen employees or potential workers for cannabis and either dismiss them or decline to hire them if they fail a drug test.

Drug test company Quest Diagnostics reports that 4.6% of the tests it carried out in 2021 were positive for marijuana, the highest in 20 years. This was a nearly 50% increase from the 2.7% of drug tests conducted in 2020 that tested positive for marijuana. However, the number of firms screening for cannabis has reduced by 10% in states with legal cannabis markets.

It seems more companies are choosing to eliminate pre-employment drug tests in an effort to fill up their ranks. Companies are desperate to keep remaining workers and hire new ones in a labor landscape that has been termed the Great Resignation due to the voluntary resignation of 47.4 million employees in 2021.

Amazon announced that it would stop testing for cannabis in June 2021, and a 2021 survey from staffing company Manpower Group revealed that at least 9% of 45,000 companies were thinking of eliminating pre-employment drug screenings.

According to employment attorney Bernard Tisdale, companies that would like to stop testing for marijuana first have to go through a complex checklist such as whether it is a safety-sensitive position or a federal contractor. Tisdale says that some of his clients have stopped testing for cannabis in low-skilled job applications as this made it harder to fill the positions. He added that employers who don’t test during the hiring process still have the right to screen for cannabis if an employee is showing clear signs of impairment at work.

As drug-testing rules are relaxed by employers, more people could become comfortable consuming marijuana products, and that could indirectly boost manufacturing activity in several niches, such as the production of indoor cultivation equipment by enterprises such as Advanced Container Technologies Inc. (OTC: ACTX).

NOTE TO INVESTORS: The latest news and updates relating to Advanced Container Technologies Inc. (OTC: ACTX) are available in the company’s newsroom at https://cnw.fm/ACTX

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