Digipath Inc. has reportedly announced that it has agreed to obtain a full site of hemp and cannabis lab testing equipment and has planned to have an operational laboratory in California’s Coachella Valley by the end of 2021.
Digipath is an independent testing lab company that focuses on the hemp and cannabis market. The company’s founder, Todd Denkin has apparently stated that they are excited to unveil their multi-state operator strategy of cannabis testing labs.
He added that the company has purchased important testing equipment for its new California lab. Initially, Nevada implemented stringent testing regulations followed by California, thus serving as a model for other states. He said that their Nevada experience will assist the company in initiating its operations in California.
As per leading industry analysts, California leads the global legal cannabis industry, and residents of the state are the third-largest cannabis consumers in the world. The state requires all cannabis-based products to obtain a Certificate of Analysis from state-licensed testing laboratories before initiating their distribution. This makes California the most rapidly growing testing market in the cannabis industry.
To meet current state demands, California needs over 100 certified analytical testing labs as per the states’ Bureau of Cannabis Control (BCC). As of 2020, the state had a meager 35 certified labs in operating conditions. This is a significant dip from the 62 operational labs back in 2019. This comes after substantial lab capacity shortcomings in the state.
Chairman of Digipath, Bruce Raben, expressed that Digipath is positioned as a high-quality laboratory brand that is founded on best practices in service, customer care, and science. This unique approach differentiates the company from other current testing labs in the industry.
He further said that this quarter was profitable to the company, who believe are in a good position to initiate its MSO strategy as an opportunity to upscale their business in the ever-growing cannabis industry.
Source Credits: https://www.globenewswire.com/news-release/2021/06/01/2239616/0/en/Digipath-Launches-Multi-State-Operator-MSO-Strategy-with-Plans-for-Opening-California-Testing-Lab.html