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EVIO, Inc. (EVIO) Prepares for New Cannabis Testing Rules in California Ahead of January Recreational Legalization

  • EVIO maintains cannabis labs in five states, and it plans to have 18 labs by the end of 2018 that provide testing to ensure the quality and safety of the cannabis supply
  • The company’s goal is to become the industry’s largest cannabis testing company, says CEO
  • Serving the legalized cannabis industry, EVIO sees California becoming the biggest marketplace globally. Estimates are that the cannabis market there could reach $4-$7 billion annually

EVIO, Inc. (OTCQB: EVIO) is readying itself for new testing rules in California, which it foresees as the largest cannabis marketplace in the world (http://cnw.fm/k6nwT). Its labs in that state will analyze newly legalized recreational marijuana in January 2018. Its Yuba City, California lab is already testing cannabis under current rules, but they are expecting all new and more stringent requirements come January.

EVIO already has labs in five states and is planning to have 18 by the end of 2018. The publicly-traded Oregon-based company now has labs in Massachusetts, Florida, Oregon, Colorado, and California. EVIO serves the cannabis industry by testing for pesticides, solvents, micro-biological contaminants, heavy metals, and cannabinoids. It also provides the industry with advisory services including in the areas of compliance and product development.

EVIO is a life sciences company which provides the regulated cannabis industry with accredited analytical testing services. Part of its growth comes from license agreements, offering the EVIO brand to other labs. EVIO’s goal is to become the largest cannabis testing company in the industry, said William Waldrop, CEO and founder of the company (http://cnw.fm/k1MFz).

It anticipates that new testing rules for California will be announced before January, but based on draft rules already published, requirements are for testing for 66 pesticides, 22 solvents, and heavy metals. The metals include lead, arsenic, mercury, and cadmium. The proposed California analysis requirements will be similar to how EVIO is already testing in Oregon.

EVIO foresees that new testing rules for pesticides will be announced in November 2017. It also expects a high early failure rate on the cannabis it tests — the same pattern it saw in its home state of Oregon. It experienced a 25% failure rate in extracts and concentrates when the new rules were first introduced. But testing approvals increased later in the first year as growers quickly addressed the issues.

The new more stringent tests are important because EVIO sees California as not only a vibrant opportunity, but eventually the biggest cannabis marketplace in the world. Regimented regulatory oversight is to be expected, including lab testing, the company said. According to the San Diego Union-Tribune (http://cnw.fm/opMV7), California’s cannabis industry could be worth from $4-$7 billion.

For more information, visit the company’s website at www.EVIOLabs.com

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