AGP Executive Report

Hemp Policy Shock: Minnesota hemp farmers say a looming federal THC limit is already collapsing demand, forcing growers to pivot or stop planting and leaving processors running fewer days as inventory piles up. Regulatory Pressure on Hemp Products: Iowa drink makers warn the Nov. 12 federal 0.4 mg THC-per-container rule could wipe out sales, with lawmakers pushing for state opt-outs or delays. Texas Delta-8 Fight: Hemp companies are back in court challenging Texas Department of State Health Services actions that curb delta-8, arguing the state is overreaching. Local Cannabis Access: Oceanside, California voted to add two more in-store retail cannabis license openings, raising the total to six. Medical Market Expansion: Kentucky opened a new medical cannabis cultivation facility in Lexington, adding capacity for edibles, oils, and vapes for approved patients. Enforcement & Public Safety: DHS highlighted fentanyl seizures and arrests on National Fentanyl Prevention and Awareness Day, while Wisconsin’s Hemp 1848 owner faced arrest amid protests over the crackdown.

Federal Rescheduling: DEA published its case against marijuana rescheduling, spotlighting concerns over inaccurate THC labeling and weak state controls. Court Watch: A U.S. judge ruled New Jersey’s cannabis labor peace agreement requirement is preempted by the NLRA, setting up a possible Third Circuit fight. Hemp vs. States: Texas hemp retailers sued to block enforcement of the state’s near-total THC ban, arguing it unlawfully rewrites the 2018 Farm Bill and harms tens of thousands of jobs. State Policy: Connecticut’s Supreme Court cleared the way for a hemp processor to grow and process cannabis at a former tobacco site, limiting local zoning power over state-licensed operations. Industry Moves: Vireo Growth completed its acquisition of C21 Investments, while EnWave reported improved Q3 results as revenue and royalties rose. Business & Retail: West Chester, Pennsylvania, voted to restrict where smoke and vape shops can open, including CBD/THC/kratom retailers. Health Data: A new JAMA Psychiatry study found cannabis use disorder is rising among U.S. adults as use increases.

Cannabis Banking: U.S. Eagle Federal Credit Union will shut down its Aery Group cannabis banking arm on Nov. 1, citing consolidation and tougher competition in New Mexico’s cannabis finance market. Regulatory Transition: New Mexico cannabis operators are bracing for a switch to a new seed-to-sale tracking system next week, with growers and advocates warning the rollout may be rushed and poorly planned. Hemp Product Pathway: Australia’s Senate committee urged the APVMA to simplify how hemp-based pet nutrition products are classified, aiming to reduce confusion over whether products qualify as “excluded nutritional or digestive.” Legal/Enforcement: A Pennsylvania Supreme Court ruling could force skill-game terminals to go dark by Oct. 13 unless lawmakers act, threatening revenue for bars and social clubs that rely on the machines. Retail Safety: An Anacortes man was charged after an alleged armed robbery of a cannabis shop, with police saying they found cannabis and paraphernalia nearby. Business Pressure: A Vermont cannabis grower says lack of retail licensing is squeezing profits and hurting survival. Market Watch (ASX): Australian cannabis stocks coverage spotlights Althea Group, ECS Botanics, Little Green Pharma and Cann Group through “execution, cash discipline and funding runway” as reporting season refocuses on earnings quality.

Texas Hemp Legal Fight: Texas hemp shops sued the state to block new DSHS rules that effectively rewrite hemp’s legal definition and curb smokable hemp THC products, seeking a temporary restraining order while the case plays out. Local Land-Use Pressure: New Buffalo Township denied a special land use permit tied to a contractor storage yard linked to a proposed data-center project, after residents raised concerns about grading and truck activity. CBD Retail Crime Watch: Rotorua’s CBD thefts rose from 536 to 572 year over year, with police action increasing but shop owners saying the problem still feels worse. Wildfire Grazing Under Threat: A Bay Area goat-grazing business says an expiring state wage exemption could force it to pay herders far more, threatening targeted grazing as a wildfire mitigation tool. Public Safety & Cannabis Work Rules: A Florida EMS case highlights the messy clash between off-duty medical marijuana use and workplace testing/impairment standards, with an appeal planned. Cannabis Beverages Research: A study reports many cannabis drink users cut alcohol and report better sleep and less stress. Policy Momentum in California: San Diego County supervisors advanced a socially equitable cannabis program for unincorporated areas, with a second hearing set for Sept. 2. Industry Events: SXSW is taking votes on 2027 panels, including multiple cannabis and psychedelics proposals, while High Times released its Summer/Fall 2026 issue focused on cannabis culture and craft.

Medicinal Cannabis Business: Althea (ASX:AGH) is exiting its UK and Ireland clinic business by divesting to Montu, cutting a loss-making offshore segment and reshaping its cost base. Earnings Watch: Vitura Health (ASX:VIT) posted record gross revenue and record net profit, reinforcing the clinic-led distribution model as a standout in a tough sector. Going-Concern Risk: Cann Group (ASX:CAN) flagged material uncertainty about its ability to continue as a going concern, citing ongoing operating losses and exploring funding or restructuring options. M&A & Regulatory Overhang: Little Green Pharma (ASX:LGP) is pushing ahead with its proposed Cannatrek acquisition, but the target’s inherited TGA advertising matter is part of the deal backdrop. Retail Compliance Crackdown: Czech authorities found violations at 63% of inspected outlets in a nationwide operation targeting kratom and synthetic psychoactive substances, seizing nearly 500,000 products. Hemp/THC Enforcement: Wisconsin police arrested a Janesville business owner tied to alleged illegal THC sales, with multiple store warrants and product seizures. Consumer Safety/Policy: Oregon lawmakers are again pushing for more cannabis regulations in 2027 to protect kids, as THC caps and warning labels remain in the spotlight.

Product Launch: Southern Sky Brands teamed up with Jackson, Mississippi’s Martin’s to debut three new vape SKUs—Dammit Debbie (Lemandarin Haze), Tootie Frutti (Fruit Punch Express), and Zuga OG (Jack & Cola)—with proceeds earmarked for a veterans charity. M&A Watch: Aurora Cannabis says it’s acquiring Internode Pharma and HAP Pharma to expand access to the UK medical cannabis market. Policy & Taxes: Yale’s Budget Lab backs a potency-based federal cannabis excise tax tied to THC on labels, projecting up to $57.9B over 10 years (or $111.3B if all states legalize), while noting THC figures are often overstated. Regulatory Shift: DEA rescheduling moves toward Schedule III could unlock major tax relief for Michigan and Ohio under 280E. Market Reality: On Long Island, one medical dispensary is converting toward adult-use as competition squeezes medical retail. Industry Events: The Cannabis Quality Conference (Oct. 21–23, Arlington, VA) signals rising quality expectations as federal oversight tightens.

DEA/Rescheduling Push: The DEA told a judge opponents’ objections to marijuana rescheduling are meritless, arguing federal restrictions should be loosened—another sign the scheduling fight is heating up. State Licensing & Enforcement: Connecticut’s AG permanently shut a New Haven smoke shop after repeated cannabis-law violations, ordering a $100,000 penalty and a business ban. Local Policy Watch: Pendleton, Oregon, let its 120-day marijuana business moratorium expire after legal limits on extending it without a voter vote. Hemp/THC Regulatory Uncertainty: Colorado’s hemp-derived THC market may get a short reprieve as a federal deadline to close the intoxicating-hemp loophole could slide from November to December. Industry & Community: South Dakota officials say medical marijuana reclassification could unlock tax and banking benefits, though they still want more federal clarity. Business Rules on the Ground: Amherst County, Virginia, approved zoning buffers for vape shops and medicinal marijuana dispensaries near schools and other child-frequent areas. Criminal Justice & Supply Chain: Nigeria’s Omoyele Sowore blasted NDLEA for destroying cannabis farms, calling it economically wasteful and urging legalization and regulation.

Regulatory Shake-Up: The Trump administration moved to rescind the 2001 Roadless Area Conservation Rule, a move conservation groups call a major giveaway to logging interests rather than a wildfire fix. Enforcement Crackdown: Maryland authorities and the St. Mary’s County Sheriff’s Office seized illicit cannabis and non-compliant THC products from three tobacco retailers, citing unlicensed sales. Market & M&A: Curaleaf launched a takeover bid for Aurora Cannabis valued around US$260M, offering Aurora shareholders Curaleaf shares plus cash, pending approvals. Social Consumption Push: Massachusetts cannabis regulators are seeking more funding to roll out the state’s social consumption overhaul, including upgrades to the MassCIP licensing system. Local Compliance Actions: Connecticut AG William Tong ordered a smoke shop permanently closed and fined owners $100K for repeated cannabis-law violations. Cross-Border Pricing Pressure: Michigan’s low legal cannabis prices continue to lure Ohio buyers, but Ohio’s new rules now block bringing Michigan purchases back. Science & Health: A study links the brain’s cannabinoid system to how persistent anxiety strengthens learning tied to alcohol rewards, adding to the growing research on cannabis and mental health. Public Safety/Policy: York City police investigated a convenience store selling “legal” THC-A products after complaints, with a warrant uncovering about 4 pounds of marijuana products.

Hemp & CBD Regulation: Virginia’s new hemp rules (effective Aug. 15) cap hemp-derived products at 2 mg total THC per package, pushing at least one retailer, THE Dispensary in Danville, to close and forcing other shops to scramble for compliant inventory. State Policy & Courts: North Carolina’s Supreme Court again upheld that the smell of cannabis can justify a police search, reinforcing odor-based enforcement. Medical Cannabis Business: South Dakota lawmakers heard that federal medical marijuana reclassification to Schedule III could unlock tax deductions and better banking access, though the state says it still lacks clear guidance. Hemp Product Pushback: The hemp beverage industry is fighting a looming federal THC ban, with lawmakers considering a short delay to give businesses time to find a workable solution. Industry Events: Minnesota launched its first Minnesota Cannabis Week (Aug. 21–27) to connect minority, tribal, and small operators with regulators and community partners. Market Watch: Ohio’s recreational prices remain far higher than Michigan’s, keeping cross-border buying incentives alive. Research & Safety: A study in older adults with HIV found cannabis use is linked to higher fall risk, though the effect shrinks once cigarette smoking is considered.

Virginia Hemp Crackdown: A federal judge in Roanoke refused to pause Virginia’s new 2 mg THC cap for hemp products, rejecting a bid by seven hemp businesses to block the rule after the state removed the old 25:1 CBD-to-THC ratio exception. Massachusetts Label Accuracy: Massachusetts regulators found 13 of 63 tested flower products had THC levels outside acceptable ranges, prompting renewed focus on potency labeling and consumer safety. Local Governance: White County, Georgia is considering 180-day moratoriums on new convenience stores, vape shops, and CBD shops while staff review where they can operate under state and land-use rules. DEA vs Hemp: A hemp company pushed back against a DEA filing arguing synthetic HHC is illegal, saying the government’s stance is undermined by how it handled related petitions in ongoing court fights. Business & Policy: Houston voters will consider lowering the enforcement priority for misdemeanor cannabis possession and banning no-knock warrants, as Texas AG Ken Paxton continues to challenge local reforms. Enforcement & Public Safety: Nigeria’s NDLEA says it destroyed narcotics worth over ₦301bn after a court order, signaling continued pressure on trafficking networks.

ASX Cannabis Watch: Vitura Health (ASX:VIT) is drawing attention for its asset-light, marketplace-style model that scales with transactions, with investors focused on distribution reach, regulatory execution, and cultivation efficiency. Distribution Expansion: Cann Group (ASX:CAN) is widening pharmacy distribution via national chain arrangements, shifting patient access beyond specialist dispensaries and raising the stakes on reliable supply and unit economics. Operational Focus: ECS Botanics (ASX:ECS) is being read through the same operating lens—how prescribing, product mix, and commercial scale are playing out in real-world execution. Export-Led Growth: Little Green Pharma (ASX:LGP) is highlighted for its export pathway into Europe and how manufacturing certification and compliance help it compete as domestic pricing pressure continues. Corporate Reshaping: Althea Group (ASX:AGH) is trimming its offshore footprint after divesting its UK unit, with Germany now carrying more weight in the revenue story. Policy Crossroads: The U.S. marijuana rescheduling fight hits a key Monday deadline for post-hearing briefs, keeping industry and research outcomes in limbo. Enforcement & Supply Chains: Nigeria’s NDLEA says it arrested a Lagos businessman at the airport over a cocaine consignment to India and also seized large codeine-syrup stockpiles in Lagos.

Federal Marijuana Rescheduling: A key Monday deadline (Aug. 17) is set for optional post-hearing briefs in the DEA’s long-running push to move marijuana from Schedule I to Schedule III, with an advisory recommendation expected before any final decision—potentially reshaping the U.S. cannabis market, research, and state programs. Hawaii Hemp Crackdown: Hawaii’s Department of Health is tightening enforcement on hemp-derived THC products sold without medical cards, and an industry lawsuit argues the state is effectively recriminalizing federally legal hemp. Cannabis M&A: Curaleaf’s unsolicited $272M bid for Aurora Cannabis signals consolidation is accelerating, raising the odds of more takeover talk across global medical cannabis. Business & Regulation Watch: A GS1 India CEO says medicine QR codes need stronger standardization across the healthcare supply chain to better fight counterfeits and improve tracking. Drug Enforcement (Nigeria): NDLEA reports major airport and warehouse busts, including 1.55kg cocaine concealed in luggage and large codeine syrup and “Colorado” seizures, as it pushes its anti-trafficking campaign.

M&A Watch: Curaleaf has made an unsolicited $272M bid for Aurora Cannabis, signaling faster consolidation in global medical cannabis and raising the question of whether Canopy Growth could be next. Regulatory Pressure: North Carolina’s Supreme Court upheld a cannabis-odor-based search standard, keeping enforcement leverage in place for police and courts. Market Squeeze: Michigan’s legal marijuana industry is feeling the hit from oversupply and a new 24% wholesale tax, with dispensary and license slowdowns following. Retail Reality: A Denver cannabis shop owner says police response time left thieves a long window during a burglary that cost about $60,000. Enforcement Spotlight: Tamil Nadu launched an anti-narcotics task force targeting ganja and drug syndicates, citing thousands of cases and large seizures. Aviation Safety: India is scrutinizing an Air India captain’s marijuana test result after a flight incident, with officials noting a positive result doesn’t automatically prove impairment. Business Growth: A new Minnesota cannabis store, Blue Ox, opened after licensing delays, leaning into education-focused retail. Legal/Compliance: Lapeer officials will consider transferring two marijuana dispensary licenses.

Hemp Policy Watch: Congress is debating a nationwide ban on hemp products, with Lancaster County businesses and farmers bracing for what it could mean for THC edibles and oils. Regulatory Pressure: A U.S. judge denied a hemp business’ bid to pause new regulations, while other courts weigh whether to delay THC rule changes—keeping compliance timelines front and center for operators. Legal & Enforcement: North Carolina’s Supreme Court upheld a cannabis-odor search standard, and multiple drug cases kept rolling—like Florida’s Operation Beneath the Surface, where 17 people were arrested and cocaine, marijuana, meth, and guns were seized. Industry Growth: Minnesota’s new licensed cannabis store, Blue Ox, is opening after a long paperwork stretch, signaling continued retail expansion. Business Risk: A cannabis dispensary incident in Florida landed a man in court after an alleged bathroom altercation. Supply Chain/Trade: Nigeria’s customs reported major Ogun border seizures, including thousands of cannabis parcels alongside other contraband. Aviation Safety: Air India’s marijuana-test reports after a flight incident are raising fresh questions about drug testing and flight-readiness protocols.

Hemp Policy: Montana hemp processors are celebrating a U.S. Senate delay on a proposed hemp ban, buying time for lawmakers to craft a longer-term fix for THC limits. Regulatory Courtroom: A federal judge in Virginia refused to pause new hemp restrictions that would make many hemp products illegal if they exceed 2mg THC per package, leaving businesses scrambling over inventory. Ohio Legal Fight: Hemp companies asked the 6th Circuit to keep an Ohio law enforcement pause in place after a lower court blocked parts of the THC reclassification. Enforcement Crackdown: Detroit police shut down a Citgo gas station after undercover buys allegedly showed marijuana sales to minors; investigators seized pre-rolls, THC vapes, cash, and firearms. Industry & Finance: Avicanna reported Q2 2026 results, highlighting growth in proprietary products and progress toward profitability. Market Access Program: St. Kitts and Nevis launched registration for a Traditional Cultivator Programme orientation to feed into its regulated medicinal cannabis sector. Community & Safety: Volunteers in Pontypool and Tauranga South are organizing cleanups and patrols aimed at improving local town centers and public safety.

Retail Expansion: CERTIFIED opened a new branded Ohio dispensary in Reynoldsburg, expanding access across East Columbus communities. Legal & Enforcement: The North Carolina Supreme Court upheld an arrest tied to cannabis odor, reinforcing that odor can be one factor in probable-cause reviews. Pricing Pressure: Ohio’s adult-use cannabis remains far pricier than Michigan, with WeedBuddy data showing big gaps that may keep driving cross-state purchases. Policy Fight: Massachusetts faces a November ballot initiative that would roll back legalization, and national reform groups warn it could trigger similar efforts elsewhere. Industry Health: A new study finds marijuana legalization boosts agriculture employment in legalization states by about 9%, even if wages don’t rise as much. Business Ops: FLEX Payment Solutions earned sixth straight Inc. 5000 recognition, highlighting continued growth in payments for regulated sectors including cannabis/CBD. Public Safety Tech: Flock announced changes to its camera/search practices after reports of misuse, including tighter retention for license plate data.