ISSUE 27: Megatron makes moves in Mass., U.S. Virgin Islands legalize
Plus: Another MA-based cannabis company is shutting down, and I share my chili recipe.
Welcome to the 27th edition of Burn After Reading! This is my newsletter on cannabis (and other things). You can check out last week’s issue here, and if you haven’t subscribed yet, please do.
There’s a lot to cover this week! Let’s dive right in.
CCC MEETING RECAPS
If you haven’t heard already, I’m introducing a new benefit for paid subscribers of Burn After Reading: Cannabis Control Commission meeting recaps.
These meetings are often 6+ hours long, but my recaps will tell you everything you need to know.
If you’re already a paid subscriber, here’s how you can sign up:
If you’re not already a paid subscriber, sign up before the next Cannabis Control Commission meeting to lock in this special rate of $4.20 a month.
CALVIN JOHNSON JR’S PRIMITIV CANNABIS COMING TO MASSACHUSETTS?
Who says aimlessly scrolling social media can’t lead to productivity?
On Wednesday, I was perusing Burn After Reading’s instagram feed when I came across a new suggested account that was created by Primitiv, the MI-based cannabis company founded by NFL Hall of Famer Calvin Johnson Jr. The account is Boston-focused, suggesting that the former Detroit Lion wide receiver is planning on entering the Massachusetts cannabis space.
There’s been no public announcement from Megatron’s camp yet, but he told me back in November that he was seeking expansion into other states.
While Primitiv operates their own cannabis cultivation and retail business in Michigan, Johnson told me that they’ll be expanding into other markets utilizing branding deals with existing cannabis companies.
We still don’t what company Primitiv will partner with. I was unable to find any other accounts that had been recently created by the company, which may suggest this is a deal with a locally based company and not a multi-state operator. However, this is just speculation.
Of course, the athlete cannabis brand market in Massachusetts is already getting a little crowded. Ricky Williams’ Highsman brand made its Bay State debut in September, and David Ortiz’s brand recently announced they’re expanding into the vape space with a line featuring “caribbean terpenes” (whatever that means).
FINALLY, YOU CAN (LEGALLY) BUY WEED IN THE CARIBBEAN (SOON, ANYWAYS)
Speaking of the Caribbean, Let’s welcome the U.S. Virgin Islands to the legalization club! As Marijuana Moment reported last week, the territory’s Senate passed a legalization bill with a veto-proof majority.
The bill legalizes possession of up to two ounces of flower, and also includes equity provisions that will attempt to offer pathways for minorities, women and service-injured veterans to get business licenses.
I get that the U.S.V.I. are a small group of islands with a population of only 105,870, but there are multiple reasons to believe that this market could punch above its weight (assuming they implement regulations to govern the industry in a timely manner).
For starters, it’s a major destination for tourists from both the U.S. and Europe. The Islands were regularly seeing over 2 million visitors a year pre-covid, and have become an increasingly popular spot for American-based vacationers who are seeking the Caribbean experience without the hassles and paperwork associated with international travel.
Another thing the Islands have going for them? Believe it or not, the U.S.V.I. will be the first place in the Caribbean region where you can legally purchase weed for recreational use. While Jamaica and a few other countries and territories in the region have medical cannabis and decriminalization, none have made the move to full legalization yet.
The Caribbean finds itself in this peculiar position: A United States territory is set to legalize, despite their lack of sovereignty and their reliance on a federal government that still considers cannabis illegal.
Meanwhile, a number of independent nations in the region are hesitant to go full adult-use, fearing it could trigger massive banking implications from the US and EU-based banks that offer correspondent banking relationships with local institutions. Interruption of these correspondent banking relationships would have a devastating impact on their entire economies, making the pursuit of legalization a risky proposition — particularly when you consider many of these relationships are already on thin ice.
Caribbean nations and territories also face other hurdles when setting up legal cannabis markets: Illicit cannabis cultivation and sales are a common part of everyday life in many areas, and potential legal businesses face a limited market without the ability to export to markets outside the region.
The ability to export products would be particularly beneficial for the Virgin Islands. Given their relatively small size and potential for outdoor cultivation, the U.S.V.I. would benefit more from inter-state (or in this case, territory-to-state) exports than perhaps any other cannabis market in the U.S.
Anyways, congrats to the Islands. Cannabis policy in the U.S. has certainly come along way when a territory that lacks representation in Congress feels comfortable enough to legalize.
(If any publications want to hire me to go down to the U.S. Virgin Islands to cover this story in more depth, I’ll gladly take them up on that offer. 😁 If you’re interested in the Caribbean cannabis banking situation, I’m hoping to write a longer piece on that subject soon.)
MA-BASED CANNABIS DELIVERY/E-COMMERCE COMPANY SHUTTING DOWN, CEO ANNOUNCES
The CEO of Lantern — a Boston-based cannabis e-marketplace and home delivery company — announced that they will be winding down operations by the end of January.
"While our Boston-area business continued to grow and serve the expanding cannabis community with the best selection, lowest prices, and convenient delivery, it proved difficult for Lantern to expand outside of Massachusetts, due to both the speed of legalization and the challenging regulatory framework that affects all cannabis businesses, both ancillary and plant-touching. We wish every state approached ancillary third party tech companies the way our home-state of MA did, but unfortunately that's not how regulations are being proposed in key northeast markets such as New York. "
- Lantern CEO Meredith Mahoney via LinkedIn
Lantern's technology has been used by a few companies in Massachusetts to facilitate home deliveries. The company originally started as a part of alcohol delivery company Drizly, before it was spun off into its own entity in February 2021.
The closure comes amongst increasing concerns that delivery companies in MA and elsewhere are not being hampered by strict regulations and economic uncertainty.
ONE YEAR AFTER CANNABIS WORKER DEATH, OSHA AND CCC’S SILENCE IS DEAFENING
Tomorrow (1/7) marks one year since Lorna McMurrey collapsed on the job while working at Trulieve’s Holyoke facility. A Cannabis Control Commission investigation into the company has been ongoing since October 2021. The Commission has not provided any updates regarding that investigation.
It’s also been over two weeks since Trulieve announced their alleged settlement with OSHA. Neither OSHA nor the Department of Labor have responded to requests for comment. As of Thursday night, the inspection report on OSHA’s website still says the case has not been closed.
I’ve reached out to Senator Warren’s office to see if they can bring more attention to this issue, and I’ll continue to follow this story as it develops.
A REVIEW OF CANNA-HEADLINES
New England
Vermont up to 25 recreational marijuana stores in first three months of legal sales (MJBizDaily)
Cannabis dispensary now open in Exeter (Katrina Thornley | RIcentral)
National / Rest of U.S.
International
🇪🇺 What’s In Store For The European Cannabis Industry In 2023? (Part 1) (Ben Stevens | BusinessCann)
🇮🇹 A high ambition: Italian Army aims for self-sufficient cannabis market (Tom Kington | Defense News)
THIS WEEK’S NEW ENGLAND / VIRTUAL CANNABIS EVENTS
Providence, RI.
(Friend of the newsletter Jason Reposa has started a weekly event email that is a bit more comprehensive than my list. If you’re a big fan of cannabis-related events, check it out!)
WELCOME DISTRACTION
We are in peak chili season, so here’s my recipe that uses bison and a medley of other meats.
Enjoy!
CAT OF THE WEEK
This tabby who recently got loose on a United flight.
That’s a first-class cat right there. I say let them roam. The seatbelt light isn’t on…
SPECIAL BULLETIN
If you live in the Worcester area, the good folks over at Delivered Inc. are hosting a coat drive. Click here to see how you contribute to this important cause.
That’s a wrap on this issue. Thanks for reading! If you have any suggestions or feedback, email me here. Be sure to subscribe if you haven’t already, and if you would like to support my work, please consider a paid subscription.