(This is an abridged version of a story that appears in the February issue of Marijuana Business Magazine.)
To become successful in the growing and, thus, highly competitive extraction space, it’s important for companies to keep their production expenses low.
Cost-cutting can be achieved in many areas, especially by implementing automation, negotiating discounts with vendors for buying in bulk, streamlining packaging expenses by using the same type of packaging for products, spending the money up front for quality equipment and designing a facility for maximum efficiency and output.
According to AC Braddock, CEO of Eden Labs, an extraction firm in Seattle, “The biggest problem we see in costs is in downtime and bottlenecks in the extraction process.”
But such “downtime and bottlenecks” can be avoided.
Braddock and other industry stakeholders who spoke with Marijuana Business Magazine offered the following tips for extraction companies seeking to cut costs: