As the cannabis industry expands into new markets, the number of cultivation operations across the U.S. has increased dramatically. This rapid growth has brought with it increased competition, overproduction, and eventual consolidation through mergers and acquisitions. The old conventional wisdom used to be that cannabis cultivation came with a license to print money, but that is no longer accurate–if it ever was.
In order to survive in today’s environment, cannabis cultivators must remain competitive–and that means reducing costs while increasing efficiencies. Fortunately, technological advances and innovative new processes help modernize cannabis growing operations, setting a new standard to reduce costs and vastly increase yield. Here are three of the top innovations cannabis cultivators should consider implementing:
● Utilizing crop steering sensors and software platforms to increase quality and yield
Crop steering is the manipulation of the cultivation process to increase quality, yields, and achieve desired cultivar expressions. The practice has been used in food production for many years and is now gaining traction in the cannabis industry. Typically, crop steering is accomplished by altering a facility’s climate, irrigation/fertigation strategy, root zone conditions, and light quality. Cultivar expressions –hormonal responses to biotic and abiotic stress factors – can increase production of various sought-after compounds (cannabinoids, terpenes) produced by cannabis plants, as well as increase flower quality and yields. Utilizing sensors in cultivation rooms and in the substrate, cultivators can collect critical data to manipulate root zone and climate conditions to optimize either vegetative or generative growth. Sophisticated software programs can help capture and organize the data to identify best practices over time.
Technological advances and innovative new processes help modernize cannabis growing operations, setting a new standard to reduce costs and vastly increase yield
● Switching to LEDs for clone, veg and flower lighting
In recent years, there has been a tremendous focus on technological advancements in cannabis due to the plant’s status as a high-value crop. Indoor grow lighting is at the forefront of these efforts. A popular choice for many years, high-intensity discharge (HID) lighting is highly inefficient. The bulbs use large amounts of electricity and produce significant heat, overworking HVAC systems to maintain a facility’s climate. In the long term, the high costs for electricity and bulb replacement take a toll with reduced margins. With the introduction of LED lighting, cannabis cultivators are able to experience significant cost decreases while increasing efficiency, quality and yields. LEDs are highly energy efficient and produce significantly less ambient heat, reducing the stress on HVAC and dramatically cutting energy consumption. Unlike traditional lights, which produce light in a limited spectrum, LED lights can be spectrum “tunable,” enabling cultivators to manipulate the light spectrum/intensity produced to trigger specific hormonal responses to minimize stretch, maximize flower sites and/or induce flower production. LED lights produce a higher-intensity, more consistent, and even lighting over canopy. While LED lights require an upfront investment, many states offer rebates that can significantly decrease these costs.
● Implementing lean principles and practices to increase cost efficiency
Identifying systems and procedures to reduce waste and increase efficiencies is critical in today’s competitive cannabis business landscape. Conducting an audit of current processes in every department will help identify where tweaks can be made to effect positive changes. Here are a few areas where inefficiencies are most commonly found:
● Buffer plant strategy and finding the sweet spot for the number of “buffer” plants
● Time and labor spent on the transplanting process, as well as drying and trimming
● Supply chain inefficiencies
Examining these areas and others can help identify improvements that can dramatically reduce waste and expenses, resulting in greater yields, higher quality, and increased profits.
Whether working in a small facility or large operation, implementing some or all of these improvements will help any cannabis cultivator meet their goals and manage costs. As with everything in the cannabis industry, these processes are always evolving – and we will continue to learn new practices and adapt cultivation techniques as the industry matures.
