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Will California Embrace Cannabis Farmers Markets And Pot Cafes? Gov. Newsom's Crucial Decision Ahead

Franca Quarneti
August 31, 2024

California’s Legislature has passed two pivotal bills that could redefine the industry.

The first bill aims to establish cannabis farmers markets, granting pot growers the opportunity to sell their products directly to consumers for the first time.

The second proposes the legalization of cafes, allowing existing cannabis lounges to serve food and host ticketed events.

Get Benzinga’s exclusive analysis and the top news about the cannabis industry and markets daily in your inbox for free. Subscribe to our newsletter here. If you’re serious about the business, you can’t afford to miss out.

However, the final decision rests with Governor Gavin Newsom, whose approval is crucial for these measures to take effect.

See Also: In Amsterdam Style, California Senate Moves To Legalize Cannabis Farmers Markets And Cafes

Cannabis Farmers Markets: A New Frontier

The proposed legislation for cannabis farmers markets would enable small-scale growers to sell directly to consumers, bypassing the traditional distribution and retail channels.

"This administration has put forward talking points about supporting our small farming community, so vetoing the farmers market bill would be a real blow and a devastating message from Newsom to the small farming, small business, and legacy farming community," Genine Coleman, executive director of the cannabis trade group Origins Council, said in dialogue with SFGate.

At the moment, cannabis farmers are required to send their products through distributors and retailers before reaching consumers, a process that reduces their profits. Allowing farmers markets could help these small growers retain more of their revenue and foster a closer connection with their customers, akin to craft wineries and small produce farms.

Pot Cafes In California?

The second bill seeks to legalize marijuana cafes, permitting cannabis lounges to serve prepared food and host events. This measure is aimed at providing a much-needed revenue boost to cannabis businesses, which have been navigating a challenging economic environment.

The bill also addresses concerns from last year's failed attempt, incorporating provisions for employee safety such as mask-wearing and smoke-free work areas.

Despite these adjustments, Newsom's stance remains uncertain. Last year, he vetoed a similar bill, citing concerns about the risks posed by secondhand smoke to workers.

Tara Gallegos, a spokesperson for Newsom, indicated that the governor would "evaluate the bills on their merits."

Read Next:

  • Why Are So Many California Cannabis Companies Switching To Hemp Products?

Cover image made with AI.

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