Cannabis authorities in California have been significantly ramping up their efforts to crack down on the state’s illicit market by serving more search warrants, confiscating record amounts of cannabis and seizing more weapons and money as well.
On Wednesday, the California Department of Cannabis Control (DCC) announced that the Unified Cannabis Enforcement Taskforce established last year had drastically improved results from its operations last quarter in comparison to Q1 this year.
This includes serving 71 more search warrants, confiscating 34,400 more pounds of cannabis, seizing 15 more firearms, US$211,200 more cash and eradicating 68,400 more plants in Q2. These improvements represent a 338, 108, 375, 1,776 and 130 per cent increase from Q1 respectively.
“This well-orchestrated taskforce continues to reach new heights on shutting down a variety of illicit operations that range from dispensaries to indoor grow houses to outdoor cultivations sites among other facets in the illegal supply chain,” said Chief of Enforcement for the California Department of Fish and Wildlife (CDFW) David Bess.
The taskforce is co-chaired by the CDFW and coordinated by the Homeland Security Division of the California Governor’s Office of Emergency Services.
Illegal cannabis operation raided by the taskforce in May. Photo via the California Department of Cannabis Control
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On July 12 this year the California DCC will have been in existence as a state department for two years. The organization recently awarded US$20 million to a series of academic institutions throughout the state for cannabis research.
The California Department of Tax and Fee Administration has estimated that the state’s illicit market is worth approximately US$3.7 billion annually, comprising about 20 per cent of California’s cannabis landscape.
The state has a robust cannabis industry with a medical and recreational market. California legalized medical cannabis in 1996 and adult-use pot in November, 2016.
Major cannabis operators active in the Golden State include Canopy Growth Corporation (TSX: WEED) (Nasdaq: CGC), the world’s largest cannabis company; Humble & Fume Inc. (CSE: HMBL) (OTCQX: HUMBF), which started distributing Cookies products in the state last fall; and Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF), a company with one remaining California dispensary in Napa.
rowan@mugglehead.com
