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California's organic cannabis program, OCal, promises consumers an organic take on weed, but licensees need to know the application process
July 17, 2020

OCal: What your business needs to know on California’s organic cannabis program

Beginning in 2021, the California Department of Food and Agriculture will implement the OCal Program, establishing “comparable to organic” cannabis standards for cultivators and certain distributors. Because the U.S. Department of Agriculture is responsible for certifying products as “organic,” and since cannabis remains illegal under federal law, state officials needed to devise a program that followed the principles of the National Organic Program while avoiding use of the name, hence “OCal.”

The OCal Program has two primary goals:

  1. Establish a system where cannabis licensees may apply for an OCal certification; and
  2. Maintain an operation’s natural resources by encouraging practices “that foster cycling of resources, promote ecological balance, and conserve biodiversity.”

Once implemented, licensed cultivators and certain distributors will be able to modify the names of their products to include the term “OCal” and apply the OCal seal to their products. Other agricultural businesses saw new markets and new opportunities for growth open with the implementation of the National Organic Program, but how complicated is the process of qualifying for the OCal Program and given what we’ve seen in the CDFA’s proposed regulations, might a similar boon to growth happen in the cannabis industry?

Applying for OCal designation

All licensed cultivators, and distributors who do not receive cannabis that is enclosed in a package or container, are able to apply for the OCal Program. The primary requirement for the application is what the CDFA calls a “system plan.” The system plan is supposed to provide a comprehensive overview of a businesses cultivation or distribution operations. The system plan must include:

  • A description of business practices and procedures including how often they are performed;
  • A monitoring and management practices plan that verifies the plan is effectively implemented and ensures the comingling of OCal and non-OCal products is prevented;
  • A list of the practices used to maintain an operation’s natural resources (soil, water, wetlands, woodlands, wildlife, etc.) and a description of the integration of those practices with the conservation of the environment;
  • A list of each input and material (nutrients, pesticides, etc.); and
  • A recordkeeping system.

In addition to the system plan, businesses must also provide in their application to a registered
certifying agent:

  • The business name, phone number, and the name of the individual completing the
    application;
  • The business address and the phone number of the licensee;
  • The name, address, email, and phone number of the licensee;
  • A list of the license types the licensee holds plus license numbers;
  • Previous applications to certifying agents;
  • A statement of consent allowing the CDFA to obtain certification information from
    certifying agents;
  • An agreement submitting to an on-site inspection; and
  • An agreement to conduct an exit interview with the on-site inspector.

Allowable nutrients and pesticides under OCal

Perhaps the most recognizable aspect of an organic or comparable to organic program is the prohibition on the use of specific crop inputs and soil amendments. CDFA has helpfully provided a list of approved synthetic insecticides, including:

  • Ammonium carbonate –for use only as bait in insect traps;
  • Aqueous potassium silicate (sourced from naturally occurring sand);
  • Boric acid (as a form of structural pest control);
  • Elemental sulfur;
  • Lime sulfur;
  • Horticultural oils;
  • Insecticidal soaps;
  • Sticky traps/barriers; and
  • Sucrose octanoate esters (in accordance with approved labeling).

The CDFA also lists synthetic soil amendments allowable by the OCal Program:

  • Aquatic plant extracts (other than hydrolyzed and limited to the use of potassium hydroxide
    or sodium hydroxide with the minimum amount of solvent necessary for extraction);
  • Elemental sulfur;
  • Humic acids (naturally occurring deposits, water and alkali extracts only);
  • Lignin sulfonate (as a chelating agent and dust suppressant);
  • Magnesium oxide (for use only to control the viscosity of a clay suspension agent for humates);
  • Magnesium sulfate (only allowed with a documented soil deficiency);
  • Micronutrients (not to be used as a defoliant, herbicide, or desiccant, and those made from nitrates or chlorides are not allowed—a micronutrient deficiency must be documented by soil or tissue testing or other documented and verifiable method as approved by the certifying agent);
    • Soluble boron products, sulfates, carbonates, oxides, or silicates of zinc, copper, iron, manganese, molybdenum, selenium, and cobalt.
  • Liquid fish products (can be pH adjusted with sulfuric, citric or phosphoric acid);
  • Vitamins, B1, C, and E;
  • Squid byproducts (from food waste processing only); and
  • Sulfurous acid for on-farm generation of substance utilizing 99% purity elemental sulfur.

How effective will OCal be?

Ultimately, OCal’s effectiveness relies upon the willingness of CDFA to promote the program. Consumers, particularly us “wellness-obsessed” Californians, are well aware, if not the specifics, of what an “organic” label means on a product—something vaguely environmentally-friendly or healthy or natural. Will that association of “healthy” translate to an OCal seal for shoppers? And how likely is it that the state of California will spend money on a public education campaign to let people know that OCal means organic?  Without consumers making this connection, the benefits of the OCal seal seem insignificant.

Like many things in cannabis, it may be up to daring entrepreneurs to change minds and convince the public that products and people benefit from an OCal seal. As California’s cannabis consumers become more conscious of what they’re buying, they may begin to demand their products are OCal. And let’s be real: if it’s going to happen anywhere, it’s going to happen here in Cali.

Quick guide for cultivators and distributors

Given the potential limitations and the potential benefits of the OCal Program, MMLG offers the following advice for California cultivators considering certification.

  • First, determine if your operation is already compliant with OCal requirements. Many businesses have been proactive in drafting standard operating procedures, environmental plans, and recordkeeping plans, if your businesses is one of those then a majority of the system plan requirement has already been completed.
  • Next, determine whether applying the OCal seal will increase the value of or demand for your product. Are your consumers or clients environmentally conscious, do they place a high importance on “natural” products, are they even aware of what the OCal seal means?

Once you’ve asked and answered these questions you’re ready to take the next steps to become an OCal certified business, and MMLG will be there to help you along the way.